High-Growth Investments

Eli Lilly & Company

Eli Lilly & Company (LLY) continues to experience unrelenting demand for its diabetes and weight-loss treatments. In fact, demand is so high that the FDA recently revealed that most doses of Mounjaro and Zepbound could be in limited supply through the end of the current quarter.

In order to keep up with continuing demand, Eli Lilly plans to invest heavily in manufacturing and supply capacity for its injectable medicines like Mounjaro and Zepbound. Just this week, the pharmaceutical company announced plans to purchase a manufacturing facility from Nexus Pharmaceuticals.

In the meantime, we’ll see exactly how robust demand has been for the company’s treatments next week. Eli Lilly is scheduled to release results for its first quarter in fiscal year 2024 before the stock market opens on Tuesday, April 30.

First-quarter earnings are forecast to increase 52.5% year-over-year to $2.47 per share, up from $1.62 per share in the same quarter a year ago. Analysts have increased earnings estimates by nearly 8% in the past month, so a fourth-straight quarterly earnings surprise is likely. First-quarter sales are expected to rise 28.2% year-over-year to $8.92 billion. LLY is a Conservative buy below $801.

SOM Technicals:

10-07-23: Closed at 567.87. Trade pressures are up. Volumes are now bullish. The next target up is 575.41.

10-14-23: closed at 609.20. Trade pressures are up and trending. Volumes are now bearish. The next target up is 636.00. There is the large gap near 460 to fill.

10-27-23: Closed at 560.23. Trade pressures are down. Volumes are bearish. The next target down is 559.00.

11-3-23: Closed at 567.81. Trade pressures are up but turning down. Volumes are neutral. The next target down is 535.00.

11-10-23: Closed at 597.50. Trade pressures are down. Volumes are neutral. Rolling over after the rally, the next target down is 544.70.

11-17-23: Closed at 591.74. Trade pressures are down but rising. Volumes are neutral. The next target up is 629.97.

11-26-23: Closed at 601.10. Trade pressures are up Volumes are neutral. In consolidation. The next target up is 619.40.

12-1-23: Closed at 584.04. Trade pressures are down. Volumes are bearish. The next target down is 573.69.

12-9-23: Closed at 598.05. Trade pressures are up. Volumes are bullish. The next target up is 611.72.

12-15-23: Closed at 571.22. Trade pressures are down. Volumes are down. The next target down is 55.74 then 529.00.

12-30-23: Closed at 581.60. Trade pressures are up. Volumes are bullish. The next target down is 560.26.

1-6-24: Closed at 618.55.  Trade pressures are up. Volumes are neutral. The next target up is a retest of the 636.15 target.

1-12-24: Closed at 642.92. Trade pressures are up. Volumes are bullish. The next target up is 664.52.

1-20-24: Closed at 628.58. Trade pressures are down. Volumes are neutral. The next target down is 606.55.

1-27-24: Closed at 640.00. Trade pressures are up. Volumes are bullish. The next target up is the Breakout of the Upper median line resistance at 639.50.

2-3-24: Closed at 667.66. Trade pressures are up. Volumes are bullish. The next target up is 682.18.

2-10-24: Closed at 741.00. Trade pressures are up. Volumes are now neutral. The next target up is 745.00.

2-16-24: Closed at 786.00. Trade pressures are up. Volumes remain bullish. The next target up is 882.00.

2-25-24: Closed at 769.54. Trade pressures are down into the neutral zone. Volumes are neutral. The next target down is 712.11.

3-1-24: Closed at 782.12. Trade pressures are in the neutral zone and rising. Volumes are bullish. The next target up is 794.47.

3-9-24: Closed at 762.14. Trade pressures are down. Volumes are bearish. The net target down is 749.88.

3-16-24: Closed at 754.17. Trade pressures are up but turning down. Volumes are bearish. The next target down is 718.42.

3-22-24: Closed at 770.61. Trade pressures are up. Volumes are bullish. The next target up is the resistance at 794.25.

3-29-24: Closed at 777.96. Trade pressures are up. Volumes are now bearish. The next target up 787.40.

4-6-24: Closed at 784.21. Trade pressures are up. Volumes are bullish. The next target up is the prior high at 793.67.

4-14-24: Closed at 751.64. Trade pressures are down. Volumes are bearish. the next target diown is 720.51.

4-27-24: Closed at 733.51. Trade pressures are down but rising. Volumes are neutral. The next target up is the new long entry at 734.81.

5-4-24: Closed at 734.97. Trade pressures are down. Volumes are neutral. The next target down is 707.91.

5-10-24: Closed at 760.00. Trade pressures are down. Volumes are bullish. the next target up is the prior high at 795.50.

 

EMCOR Group, Inc.

EMCOR Group, Inc. (EME) provides electrical and mechanical construction, energy and industrial infrastructure, and building services necessary for expanding and enhancing facilities in the U.S. The company’s services have been particularly popular with semiconductor companies as they continue to upgrade their manufacturing facilities.

Just how popular are EMCOR’s services? Well, on Thursday, the company released blowout results for its first quarter in fiscal year 2024. Total first-quarter revenue rose 18.7% year-over-year to $3.43 billion, and earnings soared 76.8% year-over-year to $197.1 million, or $4.17 per share. The analyst community expected first-quarter revenue of $3.22 billion and earnings of $2.83 per share. So, EMCOR Group posted a slight revenue surprise and a 47.3% earnings surprise.

Thanks to the “exceptional start to the year,” EMCOR Group increased its outlook for 2024. For fiscal year 2024, EMCOR Group now expects revenue between $14.0 billion and $14.5 billion, up from previous estimates for $13.5 billion to $14.0 billion. Full-year earnings per share are now forecast to be between $15.50 and $16.50, which is up from previous guidance for $14 to $15. EME is a Moderately Aggressive buy below $391.

SOM Technicals:

10–07-23: Closed at 206.72. Trade pressures are down but rising. Volumes are now bullish. The next target up is 211.58.

10-14-23: Closed at 202.02. Trade pressures are down. Volumes are bearish. The next target down is 192.91.

10-27-23: Closed at 205.12. Trade pressures are up. Volumes are bullish. The next target up is 212.90.

11-2-23: Closed at 210.22. Trade pressures are up. Volumes are bullish. The next target up is 212.90.

11-10-23: Closed at 210.68. Trade pressures are rising in the neutral zone. Volumes are bullish. The next target up is 229.49.

3-29-24: Closed at 350.20. Trade pressure are up but turning down. Volumes are neutral. The next target up is 354.73. A close below 347.00 signals correction.

4-6-24: Closed at 365.02. Trade pressures are up. Volumes are bullish. The next target up is 369.53, the prior high.

4-14-24: Closed at 351.88. Trade pressures are down but rising. Volumes are neutral. the next target down is 349.26.

4-27-24: Closed at 354.02. Trade pressures are up. Volumes are bullish. The next target up is 367.44.

5-4-24: Closed at 363.77. Trade pressures are down but rising. Volumes are bullish. The next target up is 367.44.

5-10-24: Closed at 380.28. Trade pressures are up. Volumes are bullish. The next target up is 401.49.

 

Progressive Corporation

Progressive Corporation (PGR) is a popular insurance company in the U.S., in business since 1937. The company offers a variety of insurance, including car, boat, motorcycle, homeowners, personal and commercial – and all those commercials with Flo and Jamie ensure that folks know they can bundle their auto and property insurance.

And those insurance bundles appear to be popular, as Progressive announced robust results for its first quarter in fiscal year 2024 in mid-April. First-quarter earnings surged 421% year-over-year to $2.33 billion, or $3.94 per share. Adjusted earnings of $3.75 per share topped estimates for $3.21 per share by 16.8%. First-quarter revenue of $17.24 billion also beat estimates for $16.61 billion.

In the wake of its quarterly earnings beat, the analyst community has increased second-quarter earnings estimates by 19% in the past month alone. Second-quarter earnings are now forecast to soar 540% year-over-year to $2.56 per share, compared to $0.40 per share in the same quarter a year ago.

Thanks to the strength of its business and a strong cash flow, Progressive also continues to reward its shareholders. The company paid a quarterly dividend of $0.10 per share on April 12. PGR is a Conservative buy below $224.

SOM Technicals:

4/27/24: Closed at 205.03. Trade pressures are down. Volumes are bearish. The next target down is 199.79.

5-4-24: Closed at 208.72. Trade pressures are down. Volumes are bullish. The next target down is 206.06. 

5-10-24: Closed at 210.17. Trade pressures are neutral. Volumes are bullish. The next target down is 211.49.

 

Royal Caribbean Group

Royal Caribbean Group (RCL) is a well-known cruise operator that provides unique vacation experiences in more than 60 countries around the world. The company operates a fleet of more than 63 cruise ships that provide high-quality accommodations, a variety of dining options and onboard entertainment. And, as evidenced by the company’s latest results, demand for Royal Caribbean’s travel experiences is robust right now.

First-quarter adjusted earnings surged to $478.0 million, or $1.77 per share, up from a loss of $59.0 million, or a $0.23 per share loss, in the first quarter of 2023. Analysts expected adjusted earnings of $1.33 per share, so Royal Caribbean Cruises posted a 33.1% earnings surprise. First-quarter revenue of $3.7 billion also beat estimates for $3.69 billion.

Royal Caribbean Cruises noted that it’s been its strongest season in company history, with record bookings and higher rates for 2024 sailings. As a result, Royal Caribbean Cruises increased its guidance for fiscal year 2024. The company now anticipates full-year adjusted earnings per share between $10.70 and $10.90, which is nicely higher than current estimates for $10.06 per share. RCL is a Moderately Aggressive buy below $159.

SOM Technicals:

8-25-23: Closed at 99.77. Trade pressures are up but turning down. Volumes are neutral. The next target down is 96.02.

9-1-23: Closed at 97.70.  Trade pressures are down. Volumes are bearish. The next target down is 85.56.

9-8-23: Closed at 97.36. Trade pressures are down but rising. Volumes are bearish. The next target down is 85.56.

9-16-23: Closed at 97.42. Trade pressures are up but turning down. Volumes are neutral. The next target down is 95.74.

9-23-23: Closed at 91.204. Trade pressures are down. Volumes are bearish. The next target down is 85.58.

12-30-23: Closed at 129.49. Trade pressures are up.  Volumes are bullish  The next target up is 131.93.

1-6-24: Closed at 122.66.  Trade pressures are up into the neutral zone.  Volumes are bullish.  The next target down is 113.67.

1-12-24: Closed at 121.21. Trade pressures are down. Volumes are bearish. The next target down is 113.67.

1-20-24: Closed at 127.00. Trade pressures are up.  Volumes are bullish. The next target up is 130.97.

1-27-24: Closed at 123.46. Trade pressures are down. Volumes are bearish. The next target down is 113.67. 

2-3-24: Closed at 123.44. Trade pressures are down. Volumes are neutral. The next target down is 116.47.

2-10-24: Closed at 116.80. Trade pressures are down. Volumes are bearish. The next target down is 112.30.

2-16-24: Closed at 116.90. Trade pressures are up into the neutral zone. Volumes are bearish. The next target down is 112.39.

2-25-24: Closed at 121.91. Trade pressures are up. Volumes are neutral. The next target down is 112.39.

3-1-24: Closed at 124.26. Trade pressures are up. Volumes are bullish. The next target up is 126.96.

3-9-24: Closed at 127.42. Trade pressures are up but declining. Volumes are bullish. The next target up is 131.76.

3-16-24: Closed at 128.92. Trade pressures are up but turning down. Volumes are neutral. the next target up is 133.09.

3-22-24: Closed at 125.83. Trade pressures are up. Volumes are bullish. The next target up is 139.33.

4-27-24: Closed at 140.59. Trade pressures are up. Volumes are bullish. The next target up is 142.73.

5-4-24: Closed at 138.21. Trade pressures are down but rising. Volumes are neutral. The next target down is 133.34. A close above 141.05 would signal higher.

5-10-24: Closed at 141.04. Trade pressures are up but declining. Volumes are bullish. The next target down is 135.61.

Vertiv Holdings Company

Vertiv Holdings Company (VRT) is a leading provider of digital infrastructure, as it offers power, cooling and IT infrastructure solutions for commercial and industrial facilities, communication networks and data centers. Its solutions are utilized in more than 130 countries, and the company boasts 2,740 global patents, as well as more than 770 pending patents.

On Wednesday morning, Vertiv reported that first-quarter orders jumped 60% year-over-year, and that the company’s backlog increased to a new record of $6.3 billion. Vertiv also reported that first-quarter sales grew 8% year-over-year to $1.64 billion, and adjusted earnings increased 41.7% year-over-year to $248.6 million, or $0.43 per share. Both topped estimates for revenue of $1.62 billion and earnings of $0.36 per share.

Thanks to the strength of its business in the first quarter and anticipation for orders to remain robust going forward, Vertiv upped its outlook for fiscal year 2024. Full-year 2024 sales are now expected to be between $7.54 billion and $7.69 billion, and adjusted earnings per share are forecast to be between $2.29 and $2.35. VRT is a Moderately Aggressive buy below $107.

SOM Technicals:

3-29-24: Closed at 81.84. Trade pressures are up but turning down. Volumes are bullish. The next target down is 77.05. A close above 83.62 signals higher.

4-6-24: Closed at 85.34. Trade pressures are up. Volumes are bullish. The next target up is the prior high at 88.70.

4-14-24: Closed at 83.89. Trade pressures are rising into the neutral zone. Volumes are neutral. The next target down is 78.14.

4-27-24: Closed at 93.49. Trade pressures are up. Volumes are neutral. The next target up is 94.76.

5-4-24: Closed at 93.01. Trade pressures are rising into the neutral zone. Volumes are bullish. The next target up is 95.70.

5-10-24: Closed at 95.40. Trade pressures are up. Volumes are bullish. The next target up is 100.01.