Today is Thursday, and you know what that means.
I’ll be reviewing the stocks that recently crossed into “Bullish” territory by scoring a 60 or higher on my Green Zone Power Ratings system.
It’s an eclectic mix this week, ranging from homebuilders and health insurers to Africa’s equivalent to American retail giant Target (TGT).
But before we jump into it, let’s address the elephant in the room…
It seems we’re at war again.
After a series of escalating skirmishes, President Donald Trump declared the ceasefire with Iran over… and the bombs are dropping again.
Stocks initially sold off on the news, but they’ve already recouped most of their losses.
So, what should we make of this?
The market has been climbing almost uninterrupted since late March. That tells me, at least for now, Wall Street considers the war “under control.”
Still, that doesn’t mean the situation isn’t serious.
It’s messy and has no clear off ramp… it will continue to gum up supply chains… and worst of all, it will almost certainly keep inflation from falling as quickly as we’d all like.
But, for now, investors appear to be betting that corporate earnings will hold up and the economy can continue grinding forward. Even so, we’re beginning to see the early signs of a shift in market leadership.
As I wrote on Monday, health care has been the top-performing major industrial sector for two weeks running. And the two sectors that have defined much of 2026 – technology and energy – are struggling to regain momentum.
This is an important reminder that there’s always a bull market somewhere.
With that in mind, let’s turn to this week’s newly “Bullish” stocks, beginning with companies in 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:
At the top of the list is Centene Corp (CNC), whose Green Zone Power Rating jumped 21 points over the past month.
Centene is essentially a health care middleman. The government pays them to administer Medicare, Medicaid and certain Obamacare marketplace plans.
The stock rates as “Bullish” on its volatility, value and momentum factors. This is consistent with investors rotating into more defensive names that aren’t impacted much by the general health of the economy.
Also on the list are health insurer UnitedHealth Group (UNH) and auto insurer Progressive Corp (PGR). As was the case with Centene, both of these rate as “Bullish” on their volatility factor, meaning they tend not to bounce around too much. Both also rate as “Bullish” on their quality factor, reflecting their strong profitability.
We also have two homebuilders making the cut, PulteGroup (PHM) and D.R. Horton (DHI). This is a brutal time to be navigating the construction business, as high interest rates and an ongoing labor shortage make building a house punishingly expensive. But that’s exactly the kind of environment that would tend to favor the strongest, best-in-class operators.
New Bulls Outside the S&P 500
Let’s cast the net a little wider and 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:
We see more insurance companies popping up as “Bullish.” Alignment Healthcare (ALHC), which offers Medicare Advantage plans, saw its Green Zone rating jump by 22 points over the past month.
As was the case with the other insurers, it rates as “Bullish” on volatility. But unlike the others, Alignment is actually a growth dynamo, rating a “Strong Bullish” 97 on its growth factor.
South African retailer Mr. Price Group (MRPLY) also joined the ranks of the “Bullish.” Mr. Price doesn’t have a close American equivalent, but the closest match would be something like Target Corporation. Mr. Price sells clothing, homeware, sportswear and electronics via its network of 3,000 stores spread across Africa.
Africa is the last true “emerging” market. Most of the economies of East Asia and Latin America have developed into solid middle-income economies. Africa, with its population of 1.6 billion, still represents a largely untapped market.
As the continent develops, local champions like Mr. Price should enjoy a long runway for growth.
Finally, I’d like to highlight YETI Holdings (YETI). YETI, based in Austin, Texas, practically invented the high-end, premium market for water bottles and coolers. “Water bottles as a fashion accessory” wasn’t really a thing before YETI.
That space has gotten more crowded as competitors like Stanley have upped their game.
Is YETI making a comeback?
Maybe. Its momentum rating is “Bullish,” and its quality rating is “Strong Bullish.”
Predicting the whims of fashion is notoriously difficult, but my Green Zone Power Ratings system suggests that the stock has room to run.
To good profits,
Adam O’Dell
Editor, What My System Says Today
