Four UPGRADED Stocks to Buy on Dips

The stock market has finally encountered some selling pressure after months of relentless advances.  Pullbacks in strong markets are often buying opportunities. It’s a good time to check the…

updated POWR Ratings.

Our POWR Ratings are updated every single day to provide investors with the information they need to evaluate the merits (or lack thereof) of stocks in myriad industries. These ratings are shaped by a wide array of quantitative and qualitative data.

There could be an opportunity to buy the dip on stocks that have recently been upgraded.

The following four stocks were recently upgraded to a rating of Strong Buy: Analog Devices (ADI), Best Buy (BBY), Align Technology (ALGN), and BIlibili (BILI).

Analog Devices (ADI)

Integrated circuits used in consumer electronics and industrial applications will prove increasingly important as we transition into a tech-dominated future. ADI makes and markets these devices. Examples of ADI products include amplifiers, converters, encoders, decoders, analog microcontrollers, and temperature sensors.

ADI has A grades in each POWR Rating but for its Peer Grade of B. Just as important is ADI’s top-10 ranking out of nearly 90 stocks in the Semiconductor & Wireless Chip category. ADI price returns are primarily in the green but for ’18 when the stock had a -1.64% price return. ADI’s ’19 price return was 41.31%. ADI has an average analyst price target of $137.13, indicating there is at least a 13% upside.

ADI has a reasonable forward P/E ratio of 24 for a tech stock, meaning it might be underpriced at its current trading level. Look for ADI to escalate toward its 52-week high of $127.39 in the months ahead.

Best Buy Co. (BBY)

BBY is a favorite amongst tech geeks and everyday people alike as it provides a massive, warehouse-like setting with myriad electronics at reasonable prices. Though BBY stores had limited operations in recent months due to the pandemic, business is finally getting back to normal.

The POWR Ratings show BBY has A grades in each POWR Component but for its Industry Rank grade of B. BBY is ranked above every other Specialty Retailers stock. Furthermore, BBY price returns are mainly in the green but for the lone exception of ’18. BBY’s one-year price return is 83.80%. The stock’s three-year price return is 124.61%.

The analysts insist BBY will reach $122.17 per share. If this price is hit, BBY will have spiked nearly 9%. However, BBY has soared toward $120 after dipping down to $50 when the market sold off.

If BBY pulls back in the weeks ahead, it will present the perfect opportunity to establish a position in this electronics stalwart.

Align Technology (ALGN)

Dentists and patients alike are quick to testify to the merits of Invisalign. Invisalign straightens crooked and gapped teeth with seemingly futuristic dental technology. Invisalign works faster and looks better than traditional dental braces. Though Invisalign is fairly costly, it is worth every penny as it works to perfection.

ALGN has A grades in each POWR Rating Component but for its Peer Grade of B. ALGN is ranked in the…

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