It’s Thursday, and you know what that means.
Today, we’ll be covering stocks that have been newly rated as “Bullish” on my Green Zone Power Ratings system.
For new readers, “Bullish” rated stocks have a score of 60 or higher on my six-factor system. Historically, stocks with a “Bullish” rating have outperformed the market by two times on average.
A stock’s rating can change for any number of reasons.
Perhaps it enjoyed a recent run, pushing its momentum factor rating higher.
Or, conversely, perhaps the stock price dipped, improving its value factor rating. Or, as often happens, the company might have reported earnings, and a strong quarter boosted its growth or quality factor ratings.
Whatever the reason, something fundamentally changed, putting the stock on our radar and warranting a deeper look.
So, let’s jump in, starting with the newest additions from the S&P 500 Index.
S&P 500 New Bulls
I ran my usual screen for S&P 500 companies that popped up as “Bullish” this week, and this is what I came up with:
A running theme throughout 2026 is the “two economies.”
High-income Americans, particularly those benefiting from the AI boom, have never had it better. But middle and lower-income Americans are really struggling after years of stubbornly high inflation.
Walmart (WMT) – a company famous for its “everyday low prices” – reported that its biggest market share gains this year have come from solidly middle-class households with incomes higher than $100,000.
Meanwhile, some of Walmart’s core working-class customers have actually been forced to trade down.
This has created an opportunity for “dollar store” operators like Dollar Tree (DLTR). When the shekels really get tight, shoppers flock to the cheapest possible option. And it’s hard to find anything consistently cheaper than Dollar Tree.
Moving on, Interactive Brokers (IBKR) will look familiar to my Green Zone Fortunes readers. I recommended it back in July 2021, and it’s currently up 468%.
Of course, I’m not one to rest on my laurels. The shares are on fire this year, up by almost 40%.
As for the “why,” you don’t have to be a genius to figure it out. We’re years into a raging bull market, and investors have been busily trading stocks and, increasingly, options, which tend to generate more in commissions than standard stocks and ETFs.
Higher interest rates help, too.
More than half of Interactive Brokers’ revenues come from interest on uninvested cash. With the Fed now looking likely to raise rates later this month, IBKR looks well positioned to continue moving higher.
New Bulls Outside the S&P 500
Moving on, let’s look at the newly “Bullish” stocks outside of the S&P 500. I ran a screen for the top 20 stocks with the largest score increases over the past month, and this is what popped up:
There are a few interesting names I’d like to highlight.
Times might be tough, but Americans still love to travel.
That’s created opportunities for Choice Hotels International (CHH), a franchising company of mostly budget hotels under the Comfort Inn, Quality Inn, WoodSpring Suites and other brands.
It seems that, despite inflation cutting into budgets, Americans still find the money to travel. They’re just doing it more economically these days.
That’s been good for Choice Hotels… and we see it reflected in its “Strong Bullish” growth factor.
Running a hotel can be a rough business. It’s expensive to maintain the properties, and the labor shortage makes staffing extremely difficult in most markets. But rather than owning and operating hotels directly, Choice Hotels licenses its brand names to independent hotel owners and operators who pay franchise fees.
It isn’t a “hotel” company at all. It’s an asset-light branding company. That explains why the company is also rated as “Bullish” on its quality factor.
Continuing with our “two economies” theme, we have Freshpet (FRPT), a premium pet food company that makes fresh, refrigerated meals and treats for dogs and cats.
Freshpet uses natural, minimally processed ingredients with no artificial preservatives. It’s essentially the pet-food equivalent of shopping at a premium natural-foods grocer.
Freshpet just reported a blowout quarter, with sales up almost 16%… and rates a “Strong Bullish” 94 out of 100 on growth.
Freshpet also rates a “Bullish” 76 on its quality factor, reflecting the high profitability of the business.
In a world where Americans earning $100,000 per year are trading down to shop at Walmart, it seems there are still plenty willing and able to pay a premium for organic dog food!
To good profits,
Adam O’Dell
Editor, What My System Says Today
P.S. With volatility picking up and the market environment becoming increasingly difficult to navigate, Adam believes now is the time to rethink the way you approach your trades.
That’s why he’s hosting a special HyperCycle Blueprint event LIVE right now. In it, he reveals the historical patterns he believes investors should be watching and how he’s looking for opportunities that could unfold in a matter of weeks — not years.
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