With major indexes floundering a bit this week, our S&P 500 “New Bulls” list isn’t as deep as it has been lately.
But that’s totally fine because stocks outside the S&P 500 are more than making up for it!
There’s also one stock involved in one of 2025’s biggest mega trends that I want to take a closer look at using my Green Zone Power Rating system.
Let’s get right to it!
Short List of S&P 500 “New Bulls” Includes a Top Crypto Stock
When bullish trading slows down, it’s natural to see fewer stocks on my “New Bulls” screen. It just means that my system is adapting to the ebbs and flows of market sentiment.
These last few weeks, we’ve seen a healthy batch of newly bullish stocks as bullish trading pushed major indexes to record highs. Now, with some selling occurring, our list isn’t quite as long.
As always, S&P 500 stocks need to pass two Green Zone Power Rating thresholds to show up on this list:
- The stock must currently rate 60 or higher (that is, “Bullish” or “Strong Bullish”),
- The stock must have been rated less than 60 for each of the last four weeks.
Here are the three S&P 500 stocks that turned “Bullish” this week:
The big one that stands out to me here is Coinbase Global Inc. (COIN)…
With bitcoin and other cryptocurrencies also trading near all-time highs, it makes a ton of sense to see America’s largest crypto exchange make our “New Bulls” list.
What’s really impressive is that COIN stock’s rating increased by 42 points over the last month. This shows a sea change in investors’ perceptions toward this stock and cryptos in general.
With COIN’s bullish jump, I want to issue some Green Zone Power Rating words of warning…
To do this, I’m going to lift the veil and show you COIN’s individual factor ratings:
Coinbase’s “Strong Bullish” Growth and Quality factor ratings are some of the best you’ll find in my system, at 94 and 95 out of 100, respectively. This shows that the business is growing at a rapid pace, is allocating capital well and has a healthy balance sheet.
But like the cryptocurrencies that are traded on its exchange, COIN stock can be subject to big stock price swings … as reflected by its 18 rating on my Volatility factor that goes along with its 89 rating on Momentum.
COIN stock is up 47% over the last 12 months, more than tripling the broader S&P 500’s 13% gain. That’s more than double the tech-heavy Nasdaq 100’s 17% gain as well.
But it hasn’t been a smooth ride…
Just in the last month, the stock has lost 26% of its value, and it wouldn’t shock me to see it claw back all of those short-term losses and go higher over the next 30 days…
This isn’t a sign to avoid COIN stock, as my system’s “Bullish” rating is signaling it should beat the S&P 500 by 2X over the next 12 months. It’s more of a signal to strap in for a potentially rough ride along the way.
COIN stock shows you exactly why I chose these six factors to drive my Green Zone Power Rating system. It’s a volatile stock, but with a strong underlying business and a swath of investors buying into the crypto mega trend, it’s set to do well in the coming months.
If you want to dig deeper on thousands of tickers and see how their individual factor make-up contributes to their overall rating in my system, click here to see how you can join me in Green Zone Fortunes now.
Along with unlimited access to my system, you’ll also receive my monthly stock recommendations. My team and I are working on the August issue now, which will be shipped to my subscribers next week, so it’s a perfect time to join up.
To close out today’s issue, let’s see what stocks outside the S&P 500 passed my “New Bulls” screen this week…
The Biggest Ratings Movers Outside the S&P 500
While our S&P 500 list was kind of thin, the same can’t be said for stocks outside the S&P 500…
We had 50 stocks pass my “New Bulls” screen, and there are some huge ratings jumps on this list. I trimmed the list down to only show moves of 20+ to show you the 27 biggest movers:
There are a ton of small- and micro-cap stocks on this list!
Smaller stocks have largely been ignored in this mega-cap tech bull market, so seeing a larger crop of smaller names turn “Bullish” is a great sign. If the Federal Reserve trims interest rates next month — which the CME Fedwatch tool gives an 80% chance of happening now — smaller stocks stand to benefit as cheaper financing becomes available.
I also see a good number of foreign stocks as investors look outside the U.S. for new opportunities. Home market bias is natural and absolutely acceptable. These ratings improvements show that broadening your scope gives you a much larger pool to swim in, though.
Have a great rest of your week!
To good profits,
Editor, What My System Says Today