MLR - PMP 4/21/15
The major averages rallied yesterday on lower, below average volume, though the lower volume was expected after Friday's volume-boosting options expiration.
China cut the amount of reserves commercial banks are required to hold by one percentage point, a bigger-than-normal reduction that will free up around $200 billion for lending. Markets acted favorably. Indeed, the number of actionable pocket pivots was impressive:
Harmon International (HAR) had another pocket pivot after our earlier notice on HAR's 4/16 pocket pivot.
Social networking site FB - pretax margin 56.5%, strong earnings and sales, institutional sponsorship has grown since the company went public 12 quarters ago.
Car dealership Lithia Motors (LAD) - earnings and sales are accelerating, group rank 37.
Hardware and agricultural retailer Tractor Supply Co. (TSCO) - ROE 29.2%, group rank 65.
Cloud-based human capital management software company Paycom (PAYC) - ROE 24.1%, earnings and sales accelerating, group rank 52. PAYC just closed above its 50dma.
Electronic postal service company Stamps.com (STMP) - pretax margin 28.1%, ROE 21.5%, accelerating earnings and sales, group rank 24. STMP had three gap ups with its most recent resulting in tight sideways consolidation.
Supply chain management software company Manhattan Associates (MANH) - pretax margin 28%, ROE 48.5%, earnings and sales accelerating, group rank 52.
Clothing retailer Hanesbrands (HBI) - ROE 44.1%, earnings and sales accelerating, group rank 38. HBI has been trading in a constructively tight range over the last few weeks.
Office furniture supplier HNI Corp. (HNI) - ROE 22.4%, strong earnings, accelerating sales, group rank 31.
Futures are up about 0.5% at the time of this writing as the NASDAQ prepares for yet another run at the 5,000 level.
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