Stock market corrections are painful, particularly for growth stocks, but volatile market conditions often allow investors to enter (or buy more of) a stock at an attractive entry point. Right now the markets are looking choppy, but some commentators still hold a year-end rally in sight. “Certainly, it’s a volatile time,” Ned Davis Research’s Ed Clissold told CNBC. Strong quarterly earnings and guidance are keeping him optimistic: “We still think we can get a year-end rally once we get through this weakness here.”
“After such severe selling, there is almost always a retest. We will be watching for signs of a successful retest in the coming days, namely fewer stocks leading to the downside as the popular averages approach or even breach the lows,” Clissold wrote.
In the meantime, here are five stocks that are looking particularly interesting at current levels. We include TipRanks market data to break down the Street outlook for each of these stocks.
Illumina (ILMN)
What causes a cancer cell to mutate? What is the origin of a puzzling disease? Is it possible to prevent the next outbreak? Or safeguard the world’s food supply?
Illumina (ILMN – Research Report) is a global leader in genomics- and these are the kind of questions it is trying to answer. Its sequencing technologies enable us to understand genetic variations associated with health, disease, and drug response.
Canaccord Genuity’s Mark Massaro (Track Record & Ratings) has just reiterated his Buy rating on the stock. This comes with a bullish $375 price target (17% upside potential).
The five-star analyst writes: “No fault of its own, ILMN is down 21% since reaching $372/share just 9 days ago. We would buy ILMN right here, as ILMN, the dominant leader in sequencing, is powering huge population sequencing projects around the world at a scale never seen before.”
