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ProPicks AI Top-10 Countdown: 2 Short-Term Power Plays Yielding Massive 40%+ Gains

Published 2024-10-28, 04:35 a/m
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  • ProPicks AI turns one year in November with market-beating results.
  • This article kicks off a series highlighting the 10 best-performing stocks added by our AI during the year.
  • Today, we focus on stocks 9 and 10 - two short-term plays that yielded stunning returns in a heartbeat.

Almost one year ago, InvestingPro users watched live the unveiling of a feature that would change the way many retail investors go about searching for the top stocks to buy for the month ahead: ProPicks AI.

By using AI computing power to process hundreds of financial data sets and extensive industry-recognized models, ProPicks served as their go-to stock picker that has since delivered impressive results, allowing our premium users to outperform even this year's nearly unprecedented bull market - and by a wide margin.

As we count down to our groundbreaking tool's first anniversary in November, we'll take a look at its top-10 buys since going live in this six-part series, starting today with picks #9 and #10.

Remembering that the eye-popping results you're about to see in this series are not backtested numbers - they are actual buys made by our AI in front of everyone's eyes since going live in November.

More than just individual winners, these stocks highlight the diverse range of trading strategies and time frames employed by our AI, demonstrating its adaptability and versatility against the ever-shifting market conditions.

They also underscore the importance of keeping an eye on our monthly updates, as they anticipate market trends and keep constantly making game-changing decisions on which stocks to buy.

In fact, that's how our composed Tech Titans strategy managed to outperform the S&P 500 by a massive 47.9% since its official launch in November last year, with an 85% gain so far.

But how does our AI do that?

Well, unlike other models, ProPicks AI identifies undervalued stocks before they become too expensive.

Rather than relying solely on momentum models, our approach integrates decades of thorough market and technical data, funneling a multitude of data sets to provide our premium users with market-beating decision-making—all for less than $9 a month when you use this link.

Already a Pro user? Make sure you've seen this month's picks here.

Now... drumroll...

Here is our #10 pick of the year: Insulet Corporation (NASDAQ:PODD), picked by our Mid-cap Movers strategy in November last year.

Let's delve into how we achieved these fantastic results with what many consider an obscure name.

#10: Insulet Stock

Insulet Corporation’s dramatic turnaround in 2023 showcases the power of timely insights.

After suffering a staggering 53% YTD drop by November 1, 2023, the stock had firmly established itself among the worst performers in the S&P 500.

Insulet Daily Chart

This steep decline stemmed largely from the rising dominance of competitors in the medical device sector.

The shift towards weight-loss treatments threatened to overshadow traditional therapies like those offered by Insulet, deepening the bearish sentiment around the stock.

However, change was on the horizon. On November 2, 2023, Insulet announced its earnings, sparking a rally in the stock.

Insulet Stock Picks Up Momentum

Key developments, like regulatory approvals, proved to be game changers.

ProPicks AI detected this turnaround early on, adding Insulet to its monthly rebalancing update in the ‘Mid-Cap Movers’ strategy, just a day before the earnings report was out.

This proactive move allowed traders who paid attention to the rebalance to seize the opportunity right at the beginning of the rally, resulting in impressive gains of 39.6% in just one month.

After riding the bullish surge, ProPicks AI opted to remove Insulet from the ‘Mid-Cap Movers’ strategy during the next rebalancing on December 1, 2023.

Here’s how the stock moved right after it left the strategy:

Insulet After Exiting ProPicks Strategy

Investors who held Insulet over a longer period still faced losses, as this short-term surge wasn’t enough to offset earlier declines in 2023.

However, those who monitored the monthly rebalance capitalized on the bullish surge at the right timing and bagged 39.3% gains in just a month, taking profits at the right time.

Our #9 top-performing stock of the year has a similar scenario:

#9: Xerox

Remember when “Xerox” meant to copy something? The name once dominated the photocopying and scanning industry, so much so that it became a verb.

However, as technology has rapidly advanced over the past two decades, Xerox (NASDAQ:XRX) has seen its prominence wane.

The stock never quite seemed to recover from the pandemic-fueled plunge back in 2020.

Xerox Weekly Chart

The prolonged sideways movement continued, yielding poor returns in stock price, even though it maintained a high dividend of about 9%.

That continued until an anomaly back in November 2023. The company announced earnings on October 24, 2023, promising reinvention to drive sustainable profitability and growth.

The beaten-down stock caught a bid on earnings optimism and started surging on November 2.

However, ProPicks AI detected a shift in sentiment just before this rally, adding Xerox to its “Tech Titans” rebalance the day before its earnings report, on November 1, 2023.

Xerox Daily Chart

The stock surged 43.6% by February 1, 2024, when it was removed from the strategy. You can almost guess what happened next:

Xerox After Exiting ProPicks Strategy

The stock has since plunged 45% and now qualifies as a small cap.

Is this the right time to buy it again? Follow our AI-curated strategies to find for only less than $9 a month here.

Already a user? See the response here and now.

Bottom Line

Numbers 10 and 9 on our list of best-performing ProPicks AI stocks of the year presented short to mid-term opportunities that delivered significant returns for those following our strategies monthly.

However, this isn't always the case. In fact, most of our top-10 winners are longer-term investments, identified at the right moment and held until the fundamentals no longer indicated a hold signal, based on our AI's advanced data processing methodology.

Stay tuned this week for our next article, where we reveal picks #8 and #7!

SPOILER ALERT: Picks #8 and #7 will showcase a completely different aspect of ProPicks AI compared to picks #10 and #9.


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Disclaimer: This article is written for informational purposes only; it does not constitute a solicitation, offer, advice, counsel or recommendation to invest as such it is not intended to incentivize the purchase of assets in any way. I would like to remind you that any type of asset, is evaluated from multiple perspectives and is highly risky and therefore, any investment decision and the associated risk remains with the investor.

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