5 Stocks With OUTSTANDING Q3 So Far... Stock Outperforming!

While the market's been pretty much spinning its wheels this summer, a handful of stocks have quietly kept climbing higher. Now, too often momentum names are based on nothing more than hype, but I got my eye on five special companies that are backing up with serious earning beats and raised guidance for the future. Be sure to stick around for the last one as it's currently the highest rated stock in our entire quant model. Now, if you're enjoying these kinds of stock picking videos, then do me a quick favor and tap that like button. It's the single best way to tell YouTube to put more videos like this in front of you. Okay, let's dive right in with our first stock in PACS Group with the symbol of PACS. They are one of the largest operators of skilled nursing and post-acute care facilities in the country. Now, think of the places people go to recover after a hospital stay. It's about as recession-proof as a business gets. Now, before I dig into the data on PACS, I should probably tell you who the heck I am. I'm Steve Reitmeyer, but all my friends call me Righty. I've been investing for over 40 years and currently a partner at wallstreetszen.com. This is where our quant rating system helps identify stocks with the highest likelihood of outperformance. And yes, I should remind you that investing is inherently uh carry some risk, so always do your own homework before buying or selling any stocks. Let's get back to the bull case for PACS, right? Here's why it's interesting growth story right now. Now, America's getting older, especially the large wave of baby boomers getting on in years and demanding more and more healthcare. This is a dynamic demographic shift that is already well underway. PACS has been buying up and turning around facilities to lean into that growing demand. This shows up nicely in their expected 30% earnings growth in the year ahead. Investors have started to take notice with shares on a nice long-term run, including another 25% gain just the past 3 months alone. Gladly, there's plenty of reason to believe there's even more upside ahead. One big reason to be bullish is the strength of the Wall Street analyst support where they enjoy consensus recommendation of strong buy. Okay, we agree that sometimes Wall Street recommendations are kind of dime a dozen. What is even more important is who is behind the recommendation. Now, right now, we have three analysts in the top 10% of their peers for stock picking excellence, all pounding the table on these shares. Now, let's put this stock under the microscope of the Z ratings quant model. All in all, we analyze every stock across 115 different factors and then boil it down to an intuitive letter grade of A through F. Indeed, A-rated stocks are the best because historically they have enjoyed nearly three times the returns of the S&P 500. Pax comes in with an overall A rating, which is equivalent to our strong buy recommendation. This stems from being the top 3% of all stocks analyzed for superior fundamental profile. Each overall rating is then broken down into seven distinct component grades to highlight a stock's unique strengths and weaknesses. Now, for Pax, they land in the top 19% of all stocks for growth, safety is quite sound in the top 16%, momentum jumps up a notch to the top 3% pointing to the timeliness of shares, and the sentiment grade is the standout in the top 1% of all stocks pointing to serious smart money support. The best part of a growing healthcare company is that it does well in just about any market environment. It has enough earnings growth to attract investors during the best of times, and when the market heads south, it has appealing flight-to-safety characteristics that allows it to hold up better than most in down markets. This is a pretty good place to start our stock list today. Quick aside before I continue, if you want to fast forward to high-potential stock picks like this, then the best thing you can do right now is sign up for my next live training session this coming Monday. The focus is on timely market insights plus my top picks. Now, it's totally free, but you do need to sign up. Do that now to join me this coming Monday at 7:00 p.m. Eastern Time. Just go to wallstreetzen.com/live. Pax isn't the only name here quietly riding a growth megatrend. The next stock is a household name that has become one of the biggest winners of the entire AI boom. That brings us to our second stock in Dell Technologies with the symbol of D E L L. Yeah, that Dell. The company you probably bought a computer from back many years ago, right? But if that's how you still think of Dell, then you're totally missing their transformation that plays right into the tremendous growth from the AI revolution. Here's the deal. Every one of those AI data centers that we're all talking about, right? Needs racks and racks and racks of specialized GPU packed servers. And Dell has become one of the largest builders of exactly that gear. This explains the massive, are you ready for this? $51 billion backlog of orders already signed and waiting to be filled. Just like all the stocks we're going to talk about today, shares have been on a big momentum run of late. Luckily, it's based upon serious growth that shows no signs of slowing. Now, Dell's revenue grew nearly 40% over the past year. Even better is how that translated into earnings growth more than twice that pace. That's serious operating leverage at work. Now, Wall Street is downright pounding the table with four buy and 10 strong buy recommendations. This includes an all-star team of stock pickers with amazing track records of calling out winners. The most bullish voice on the stock is Mehdi Hosseini at Susquehanna who ranks in the top 1% all analysts in our database based upon his actual stock picking performance, right? When he talks, people listen. Even with the big gains already in hand for Dell, he still sees fair value roughly 60% above current levels in the year ahead. Now, our Zen rating is model echoes that bullish sentiment. Not just the A rating overall, but the fact that it's actually in the top 2% of all 4,600 plus stocks we track thanks to its gleaming fundamental profile. Let's take a closer look at Dell's strengths through the lens of our component grades. Financials come in the top 17% as they are literally a cash printing machine. Growth jumps to the top 2%, which is about the consistency growth. And then we have not one, but two grades in the top 1% of all stocks. And that's for both momentum and sentiment. My favorite part of the Dell investment story is that enormous backlog of business, right? $51 billion in orders are in hand. This greatly increases visibility into likely future growth that should keep these shares on the upswing. Now, the stamp of approval from many of Wall Street's top uh stock pickers is just icing on this already delicious cake, right? And the next stock proves you don't have to be a household name like Dell to be crushing it right now. So, a quick ask before we move on to that stock, are you're getting value out of this video? Then hit that subscribe button right now. That's because I publish data-driven stock analysis like this every week, and I'd hate for you to miss the next one. This brings us to the middle of the pack with our third of five stocks today in LB Foster with the symbol of FSTR. Now, this is a 124-year-old company that builds the guts of American rail and infrastructure systems. We're talking about rail track, friction management, the coatings and components that keep freight and transit moving. Not exciting, but absolutely essential. And with federal infrastructure money still flowing into rail and transit, the demand backdrop here is about as good as it's been in several years. Yes, it's kind of boring on the surface, but exciting enough to push up shares 40% in the past few months alone. Now, let's talk about why it should stay on the ascent. First is the growth story where they are forecast to grow earnings by roughly 40% a year. This is about three times the pace of the average stock these days, right? And on the value front, I should point out that in the discounted cash flow models, LB Foster is seen as severely undervalued. Literally, it should be doubling its price to meet up with its fair value targets. Now, the Zen rating confirms the optimism on these shares. Yes, A rated, but that applies to all stocks in the top 5% of our analysis. In this case, we're talking about being the elite top 1% of all stocks after the full 115 fundamental factor review. Let's take a closer look at what's so special here through the component grades to see exactly what's going on. Growth lands in the top 7%. That is about the consistency of path growth that usually foreshadows more earnings growth ahead. Momentum steps up to the top 6%, and sentiment is the strong point here in the top 1%, meaning the smart money is already clued in on this name. The risk here is simply about size. This is a small company, like we're talking $450 million market cap. This generally points to more volatile shares than your usual large cap stock. But, with strong infrastructure tailwinds point to serious growth prospects. And the smart money already leaning in, then LB Foster is a name worth having on your radar screen right now. Before we get to the final two picks, one quick thing. If you want to stay one step ahead of the market, then join me live every Monday at 7:00 p.m. Eastern time. That is when I share my updated market outlook and trading plan to outperform. It's also what I unveil my trade of the week based upon the proven Quant model and my greater than 40 years of investing experience. It's a free event, but you do need to register. Just go to wallstreetzen.com/live or click the link in the description below or scan the QR code on your screen. Just pause the video for a moment to sign up. I'll be patient and wait for you, and then I look forward to seeing you on Monday. Our fourth stock today is Atlantcus Holdings with the symbol of ATLC. Here's the simple version of what this fintech company does. When someone gets financing at the checkout counter, a company like Atlantcus is likely the engine underneath all that. No doubt you've seen this financing option more and more, and thus has become an interesting growth niche to consider. This explains why shares are on a bit of a momentum run by rising more than 80% over the past year. Now, the catalyst is what you would expect, explosive earnings growth like the most recent quarter climbing 50% year-over-year. Plus, a recent acquisition brought on a big new block of accounts to keep that growth engine humming along. Wall Street believes the trajectory could continue as evidenced by the slate of strong buy recommendations. Even better is seeing that the street high price targets pointed the potential of 80% more upside for shares in the year ahead. Our ZACKS Earnings Model puts Atlantcus on the honor roll because it also scores in the top 1% of all stocks based upon his special fundamental profile. So, not just A rated, perhaps better stated as A plus. Now, let's pop the hood and see what's underneath thanks to the component grades. Now, financial strength lands in the top 14% of all stocks, momentum top 9% growth climbs up a notch to the top 5% and sentiment takes the cake in the top 4% of all stocks. The risk for Lanco is the same as any consumer focused business. If the economy weakens, it will lead to less new loans and higher defaults. Luckily, right now it is hard to see a recession forming on the horizon. But growth this strong with momentum already in hand and the smart money on board, that's a tough combination to find and greatly adds to the appeal in the Lanco shares. No shame in the game for any of the previous four stocks we've discussed today, but as per usual, I have saved the best for last. That's because we're going to discuss the number one ranked stock in our entire database. Not top 1%, but number one period, all right? And that brings us to Bio Ventus with the symbol of BVS. This is a medical device company focused on pain relief and healing things like injections that help arthritic knees and devices that help broken bones mend faster. Real medicine for real everyday problems generating real earnings growth. The stock chart clearly tells the momentum story in hand with shares up 80% in the past year. That includes recent price strength, but that is all in the past. Let's talk about the very, very bright future. Here's what I like the most. Bio Ventus has beaten the stuffing out of earnings. We are talking about 12 beats in a row. Remember, each time they beat, analysts raise expectations once again, and yet time and time again they leap over that ever higher hurdle. Earlier, we talked about Pax benefiting from the aging of the US population. That trend is Bio Ventus's friend as well. This explains the 35% expected earnings growth in the year ahead. And just like Pax, that growth serves them well during the bullish times of the market and the safety found in healthcare stocks is to their benefit during the bearish times as well. I already stole thunder from the Zen rating section because I already told you this is the single highest rated stock out of the more than 4,600 analyzed. Yes, number one overall. This means its fundamental profile ranks higher than any stock on your mind like Nvidia, Apple, Micron. You name it, it beats them all. The component grades are the most impressive of the day including top 9% for value. So, even with all that momentum, shares are still attractively priced. Then we have financial strength in the top 6%. Safety is the top 5% and the crowning jewel is the dual top 1% showings for both growth and sentiment. Five separate grades all stacked in the top 10% of all stocks reviewed. This is rare and uniquely attractive because it's so greatly increases the odds of future share price performance. This made it very easy for me to select BioVentus for my Zen Investor Newsletter portfolio where I feature my top 20 hand selected stocks for the long haul. So, there you have it. Five stocks enjoying serious momentum. Even better is they all have Wall Street support and Zen Ratings profiles that point to even more upside ahead. Remember, the Zen Ratings are updated daily so you can pull a free rating on over 4,600 stocks yourself just by typing in the ticker at wallstreetszen.com. Be sure to bookmark the site for frequent future visits. Now, I want to hear from you. Which of these five stocks is your favorite? And do you think there are any other momentum stocks I should check out for my future videos? Drop it all in the comment section below for the benefit of our community. Got a little more time on your hands? Then consider watching the video coming up on your screen right now. It features stocks that will likely survive the next tech crash. Be sure to check it out now.