Top 10 Stocks to Consider
The world of stock trading is ever dynamic, with opportunities and challenges aplenty. As we step into November 2023, investors are gearing up for what promises to be an eventful month in the financial markets. From PayPal to Nvidia, here are the top 10 stocks you should have on your radar as you navigate the financial landscape in the coming month.
Market Overview:
Before we dive into our list of stocks to watch, let’s take a quick look at the current state of the market. October has been a turbulent month, with stocks testing significant support levels. The S&P 500 E-Mini Future, a barometer of market sentiment, has seen a 10.29% decrease from its year-to-date highs, reflecting the ongoing market downturn. However, S&P 500 E-Mini futures have shown resilience by being up 6.69% year-to-date.
Investors have witnessed repeated tests of support levels at $4,243 and $4,175 during October. The key question is whether buying interest will re-emerge as we enter November. Notably, a crucial support level to watch is at $4,100, which could attract buyers if selling pressure persists. This level has come into play as the market deals with uncertainty and external factors.
Trading Strategies:
Before we explore the top 10 stocks for November, it’s essential to consider the trading strategies you might employ. The implied volatility rank (IVR) and monthly implied volatility (IV) are vital tools for crafting effective trading strategies. It’s crucial to select stocks with tight and liquid options markets, aligning with your trading style and account size. Timing is pivotal for successful trading, and you have various strategies at your disposal.
Earnings trades, for instance, can be executed just before or on the day of the earnings event. However, planning trades weeks ahead of an earnings report can allow for early profit-taking before the actual earnings announcement. Each trade should be evaluated meticulously to align with your chosen strategy.
For many of the stocks listed here, you’ll have the option to initiate positions in November options contracts. This flexibility allows you to extend positions to December options contracts if the need arises to defend your position by collecting more time and premium.
Now, let’s explore the top 10 stocks to watch in November 2023.
1. PayPal (PYPL) – Earnings Release: 11/1 (After the Close)
PayPal, a global leader in digital payments, provides secure and convenient online money transfer solutions.
- Trading at $52.18, down 29.19% from its 2023 opening price of $73.69.
- Current IVR: 53.12, with November’s IV at 63.1 and December’s IV at 51.2.
2. Roku (ROKU) – Earnings Release: 11/1 (After the Close)
- Trading at $57.22, up 37.28% from its 2023 opening price of $41.68.
- Current IVR: 39.8, with November’s IV at 90.5 and December’s IV at 74.8.
Roku is a pioneer in streaming entertainment, offering devices and a content-aggregating platform.
3. Qualcomm (QCOM) – Earnings Release: 11/1 (After the Close)
Qualcomm designs wireless telecommunications products, known for innovations in 3G, 4G, and 5G technology.
- Trading at $106.18, down 4.64% from its 2023 opening price of $111.35.
- Current IVR: 56.7, with November’s IV at 48.6 and December’s IV at 41.8.
4. Apple (AAPL) – Earnings Release: 11/2 (After the Close)
Apple is a multinational technology company known for consumer electronics, software, and online services.
- Trading at $167.34, up 28.45% from its 2023 opening price of $130.28.
- Current IVR: 48.3, with November’s IV at 34.6 and December’s IV at 30.4.
5. Uber Technologies (UBER) – Earnings Release: 11/7 (Before the Open)
Uber offers ride-hailing, food delivery, and freight shipping platforms, transforming urban mobility.
- Trading at $40.74, up 60.65% from its 2023 opening price of $25.36.
- Current IVR: 54.6, with November’s IV at 61.3 and December’s IV at 52.4.
6. Walt Disney (DIS) – Earnings Release: 11/8 (After the Close)
Disney operates film studios, theme parks, and media networks, with a significant presence in digital media.
- Trading at $88.97, down 10.06% from its 2023 opening price of $80.02.
- Current IVR: 48.5, with November’s IV at 41.9 and December’s IV at 36.4.
7. Unity Software (U) – Earnings Release: 11/9 (After the Close)
Unity Software is a leading platform for creating and operating real-time 3D content, used in various industries.
- Trading at $25.91, down 12.76% from its 2023 opening price of $29.70.
- Current IVR: 46.7, with November’s IV at 84.9 and December’s IV at 67.1.
8. The Trade Desk (TTD) – Earnings Release: 11/9 (After the Close)
The Trade Desk provides a self-service platform for digital ad buyers, optimizing advertising campaigns.
- Trading at $66.06, up 43.64% from its 2023 opening price of $45.99.
- Current IVR: 52.6, with November’s IV at 84.3 and December’s IV at 65.7.
9. Applied Materials (AMAT) – Earnings Release: 11/16 (After the Close)
Applied Materials provides equipment and services for semiconductor chip manufacturing.
- Trading at $131.29, up 31.6% from its 2023 opening price of $99.77.
- Current IVR: 58.7, with November’s IV at 44.5 and December’s IV at 41.6.
10. Nvidia (NVDA) – Earnings Release: 11/16 (After the Close)
– Nvidia is a technology company offering graphics processing units for gaming, AI, and various sectors.
- Trading at $404.41, up 172.31% from its 2023 opening price of $148.51.
- Current IVR: 75.8, with November’s IV at 48.5 and December’s IV at 56.3.
It’s worth noting that while some of these stocks have shown remarkable growth, others have faced challenges. As you explore these stocks in November, consider your risk tolerance and preferred