The S&P 500 and the other major indexes surged this past week to record highs as Donald Trump won the presidential election. The latest Federal Reserve rate cut and generally positive earnings report also lifted stocks. S&P 500 stocks Meta Platforms, Costco Wholesale, Vertex Pharmaceuticals, Hoka maker Deckers and Broadcom are stocks to watch now.
Vertex, Deckers and Costco broke out on Friday and were added to the IBD Leaderboard list. They join Meta and Nvidia peer Broadcom, which are just below buy points.
Meta Stock
Meta stock on Friday finished forming a flat base with a 602.95 buy point following a bounce off its 50-day moving average earlier in the week.
The new flat base is part of a base-on-base formation. It cleared a three-weeks-tight pattern in late September as part of a broader consolidation.
Shares of the social network behemoth have formed a series of patterns since its 25% rally in February.
Meta stock leads the Internet-Content Group according to the IBD Stock Checkup.
The Magnificent Seven member is up more than 66% so far this year.
Deckers
Hoka and Ugg maker Deckers was the IBD Stock Of The Day for Thursday.
DECK stock rose 2.5% to 175.61 on Friday to break out above a 172.57 buy point for a 22-week cup-with-handle base. Shares surged 11.1% for the week, rebounding from their 50-day line.
Footwear stocks got an extra boost to on Thursday from Under Armour's strong earnings beat and lifted guidance.
Deckers is up nearly 31% from an August low and has rallied 58% so far this year. DECK stock hit a record high of 184.48 on June 3 before falling into a consolidation.
Meanwhile,Hoka rival On Holding reports its Q3 results on Nov. 12. FactSet expects the Swiss shoemaker to report flat earnings year over year at 22 cents per share on nearly 31% revenue growth to $705 million. ONON stock is at or just below various early entries.
Deckers topped expectations for its own quarterly results on Oct. 24 with a 39% earnings increase on 20% revenue growth.
Broadcom Stock
Top mutual funds scooped up a massive $17.24 billion worth of Broadcom shares in October as frenzied demand for chipmakers continues amid the artificial intelligence boom. Broadcom purchases outpaced that of other AI play including Palantir Technologies and Nvidia.
Analysts expect the company to report accelerating earnings growth for each of the next three quarters. For Broadcom's Q4 results next month, Wall Street forecasts 26% earnings growth to $1.39 per share.
Broadcom stock is trading near a 186.42 buy point for a high handle, matching its record high from Oct. 9.
Shares made an actionable move on Wednesday and Thursday as they bounced off their 50-day line and broke a trendline in the handle.
Broadcom has spiked nearly 65% in 2024.
Costco
Costco stock jumped 3.3% on Friday, clearing a 923.83 flat-base buy point. Shares reclaimed their 50-day line on Nov. 6 and an early entry on Nov. 7 as part of a 7.6% weekly gain.
COST stock has rallied 43% so far this year.
Costco on Wednesday announced it generated $20.03 billion in revenue during October, up 7.2% from last year, with a 5.1% increase in comparable sales. Comparable sales for the U.S. rose 4.1%. The monthly sales report noted October results were hurt by consumers in September stocking up on supplies in anticipation of hurricanes and port strikes. Costco estimates the impact on October's total and comparable sales was about 1% for the U.S., and slightly lower than 1% worldwide.
Vertex Pharmaceuticals
Vertex Pharmaceuticals late on Nov. 4 cleared earnings expectations and hiked its sales outlook. But analysts say the real momentum driver comes in January, when the Food and Drug Administration is scheduled to review the company's acute pain and next-generation cystic fibrosis treatments.
Vertex stock broke out above a 510.63 flat base buy point Friday. Shares cleared their short-term highs and a trendline earlier on the back of earnings results.
VRTX stock is up 27% this year and trading at record highs.
You can follow Harrison Miller for more stock news and updates on X/Twitter @IBD_Harrison
