Looking for some Good Stocks in 2016? Below is a list of good
stocks to invest in for 2016. I will update this list as I see fit given the volatility of the stock market. I
will also try to list some good penny stocks as well. However, good penny stocks are hard to come by because
penny stocks are penny stocks for a reason. The company is probably in some kind of trouble which is causing the stock
price to fall rather then go up. Good Stocks are companies that are growing and analysts haven't modeled this growth
into their expectations. The best stocks in 2016 will be the companies that beat earnings and raise guidance.
When investing, I try to find good stocks that miss earnings and are cheap because when
they eventually beat, the stock price rockets higher. However, when I trade, I position in these good stocks after the
price drops and then sell into a pre earnings rally getting out of the way before the company actually reports earnings. This
way, I'm ready to buy again if they report poor earnings. Last year, this process worked well in shares of Twitter (TWTR).
Good stocks to buy are companies that have lines. Shake Shack (SHAK), Apple (AAPL), Chipotle (CMG). Chipotle
recently dropped from $730 to $500 due to the E.Coli scare. It will take a few quarters to price in the downside risk
but this is a good stock to buy for the long term. Below is a list of good stocks to invest in.
Good Stocks 2016 - Right now the best stocks to buy in
2016 would be Shake Shack (SHAK), Small Caps Bull 3x (TNA), Chipotle (CMG), and Apple (AAPL). I will explain more about
each stock below.
Shake Shack (SHAK) - Shake Shack (SHAK) IPO'd in early 2016 and skyrocketed
to $96 due to a supply and demand imbalance. There were only 5 million shares available to trade and tons of demand.
However, when some of the insiders started selling shares, the price came all the way back to earth, around $40 per
share. If you've never been to a Shake Shack, it's one of the best tasting burgers you will ever eat. The long
lines underscore this and sales have been surging. Shake Shack is expanding overseas with franchised locations while
ramping up company-owned restaurants in the USA. SHAK stock is still a bit pricey but so was Chipotle (CMG) at $45 back
in 2006. If you are looking for a good long term stock to invest in, buy Shake Shack (SHAK) below $45. The company
is in the early innings of something great.
(CMG) - Chipotle Mexican Grill (CMG) is my 2nd favorite restaurant stock right now and is a good stock to buy. Shares
have dropped from $730 to $500 due to E.Coli that hurt 45 people in nine states. If you want fresh, healthy food, this
is the risk you face. Antibiotics are put in food for a reason and if you don't want them, you risk getting food borne
illnesses. CMG is a good stock pick because there are constantly long lines at most of the restaurants at any given
hour of the day. The food is healthy and cheap and the company is expanding to pizza and asian cuisine. In 10-20 years, Chipotle (CMG) will be one of the largest publicly
traded restaurants stocks and they should soon start paying a dividend. In the short term, CMG at $500 or below is a
steal and once this E.Coli mess is cleared up, the company will be back to greatness. Small Caps Bull 3x
Long ETF (TNA) - Looking for a good ETF to buy? TNA is the Russell 2000 on steroids because it gives you three
times the return of the Russell 2000. 2016 is an Election year so this is one of my top election stocks for 2016 because
I'm expecting good stock market returns. TNA could easily rally from $70-$100 in 2016. Buy TNA on a big drop between
$60-$65 for an even larger return.
Apple (AAPL) - Rounding out the list of Good Stocks
2016 is Apple (AAPL). The company is a dominate player in the mobile space and will continue to pile the cash up over
the next 5-10 years. Buy AAPL below $110 and watch it rise for years to come.
So there you have it, my list
of good stocks in 2016. I will update this list of good stocks every few months but if you are an active trader, keep
an eye on my stocks to watch page for daily updates.