The IBD Screen Of The Day for Tuesday is headlined by NetEase, the Chinese tech giant. This column focuses on the top ideas from IBD Stock Screener. The Global Leaders Screen, which identifies the best global stocks trading in the U.S., provides Tuesday's stocks worth buying and watching.
Miniso (MNSO), TechnipFMC FTI (FTI) and Miniso are also notable stocks that appear on the screen. The screen only includes 10 stocks, and it uses IBD ratings as well as other factors to choose the best foreign stocks.
Remember that the stock market is undergoing a correction. Investors should wait until the stock market starts to move up again. Investors should not buy breakouts but instead focus on the best stocks in today's market to watch and purchase.
NetEase Flat Base
NetEase, one of China's largest online gaming and internet service providers, is a leader in the Chinese market. In the second quarter, video games accounted 78% of NetEase's revenue. NetEase also offers other services, such as a music streaming service, a search engine and online games.
According to IBD MarketSmith's chart analysis, NTES is building a base at 110.82. Investors who are more aggressive can take advantage of the high price on Oct. 11, 109.88, as a starting point. The shares fell 0.8% on Tuesday afternoon.
The Hangzhou-based company reported earnings of $1.93 adjusted per U.S. dollar share for the quarter ending June 24. FactSet polled analysts who expected NetEase to earn $1.25 per share on sales $3.41 billion. In the previous period, NetEase had earned $1.20 adjusted per U.S. dollar share on sales $3.41 billion.
According to IBD StockCheckup, the stock of NetEase has a 95 IBD Composite rating out of 99, a good score, given its recent rebound and decent earnings growth. This makes the Chinese leader in video games one of the best stocks for investors to watch and buy.
Global Stocks Targets Buy Points for Miniso and TechnipFMC
Miniso, TechnipFMC and Miniso are other global stocks worth watching.
MNSO is consolidating with a buy point of 29.92. The stock also shows an early trigger to buy at 28.28. The shares are looking for support near their 50-day line after a 6% drop midday on Tuesday.
Miniso, a Chinese retailer, surpassed fiscal fourth quarter estimates in late August. This was due to faster-than expected store openings, including one flagship store at Times Square, New York.
FTI's stock is now about 2% lower than the entry point of 21.67, which was a flat-base buy point. Recent losses have pushed it down. The shares fell 0.5% at midday on Tuesday, extending a losing streak of three sessions. The third-stage base adds some risks to the breakout.
TechnipFMC, headquartered in the U.K., was formed by the merger of FMC Technologies from the U.S.A. and Technip France in 2017. It offers services in the energy sector for operations on land, at sea and in shallow water. The company manufactures high-pressure valves and fittings.