Growth Stocks are Back Baby!
Since the beginning of 2015 hundreds of millions of dollars have been flowing away from stock funds and into bond funds. Growth stocks tried to paddle upstream but even the best ones treaded water. Value stocks had an easier ride as safety and yield players helped boost the stocks.
From July 2015 to July 2016 growth stocks were out and value stocks were in. Then last month we had a shift — a shift in the flow — and good growth stocks started doing what they should have been doing: breaking out and moving higher.
Make no mistake, this was a definitive shift. Smart people who study charts and volume confirmed this. Growth stocks are back baby!
What’s more is the no-growth year growth stocks had means there’s a lot of catching up to do. Here’s four of my favorite growth stocks I think can get your portfolio moving.
David Sharek is stock portfolio manager and CEO of DavidSharek.com. David believes a company's profits ultimately drive the price of its stock. His book The School of Hard Stocks can be found on Amazon.com.