Being a Big Name Isn't Enough in This Market

Folks, we're in a very peculiar market... The broad market S&P 500 Index is soaring. It's up roughly 15% so far this year. [Chaikin PowerFeed]( Being a Big Name Isn't Enough in This Market By Vic Lederman, editorial director, Chaikin Analytics Folks, we're in a very peculiar market... The broad market S&P 500 Index is soaring. It's up roughly 14% so far this year. And the tech-heavy Nasdaq 100 Index is also on the move. It has climbed about 16% in 2024 so far. Those are impressive gains. But as Chaikin Analytics founder Marc Chaikin and I have both mentioned in recent days, that doesn't mean it's safe to put money to work in any big-name stock. It's not that simple. McDonald's (MCD) is the perfect example... [Back in December]( I wrote that the "old burgers aren't this stock's only problem." I explained that McDonald's was struggling despite an attempt at a revamp. You might remember that the company recently refreshed its buns. It made other changes to its menu aimed at upping the perceived quality of its products. Unfortunately, it coupled that with massive price increases. And as I said [in February]( consumers are fed up. And now, the company's stock has continued to struggle... despite the strong overall market. Today, let's dig a bit deeper. And we'll use McDonald's as an example of why you can't just buy big names and hope for the best – even in a market that has been roaring higher... Recommended Links: [TOMORROW: The End of the Bull Market?]( The Fed, the economy, the election... there's a lot of confusion today surrounding the state of America in 2024, and what ripple effects we can expect in the stock market. But tomorrow – Wednesday, June 26 – the man who predicted this latest bull run is stepping forward with a surprising prediction about where the stock market's going next. [See full details here by tomorrow](. [The sneaky (yet 100% legal) way for Obama to return to power]( The ONLY way Democrats can keep the White House is to bring back Barack Obama. And there's a sneaky (yet 100% legal) way to achieve this. In fact, this disaster scenario is already underway. See what they're up to, and how you can get ready today. [Here's the full video exposé](. You would think that McDonald's would be a safe bet. Consumers at the bottom end of the economic ladder have been struggling. Inflation is down from the big highs back in June 2022. But it has still remained "sticky." And you would expect that to push folks with tight budgets to the cheapest options – like Big Macs from McDonald's. But the company miscalculated... big time. The chart is about as extreme as it gets for a blue-chip business like McDonald's... [Chaikin PowerFeed] Since I first discussed McDonald's back on December 4, the S&P 500 has climbed a staggering 19%. And over that same time frame, MCD shares are down about 9%. This is a wipeout... the kind that could have major implications for an investor that was overallocated to this stock. But that's the market we're in. Select stocks are soaring. And the concentration at the top is at historic levels. According to Goldman Sachs, the market has surpassed the concentration levels we saw in the 1990s. Put simply, something strange is going on right now. So what does this mean for investors? There are two key takeaways... First, it's not enough to be a big name in this market. Name recognition alone doesn't mean that a stock is going to soar. That means investors need to be wary of big names that are faltering. McDonald's makes this obvious. The company should be soaring along with the market... but it's not. In fact, it currently earns a "bearish" rating from the Power Gauge. And that means our system sees more pain ahead. Beyond that, the example with McDonald's also means that investors need to be deliberate about the stocks they put money to work in. Some stocks are soaring... while others are crumbling. And that's happening amid a strong overall market. Marc has also been paying attention to this strange situation. And tomorrow, at 8 p.m. Eastern time, he's going on camera to explain the details... In fact, he sees a massive change coming for the market. And he has 80 years of hard data to back it up. Marc believes this shift is going to continue playing out for many years to come. As he says, it's a whole new ballgame. You won't want to miss Marc's big event tomorrow evening with the full story. And it's 100% free to attend – you just need to register in advance. [You can do so right here](. Good investing, Vic Lederman Market View Major Indexes and Notable Sectors # Hld: Bullish Neutral Bearish Dow 30 +0.66% 10 15 5 S&P 500 -0.34% 127 303 67 Nasdaq -1.14% 30 54 16 Small Caps +0.42% 396 1090 408 Bonds +0.4% Energy +1.7% 5 15 2 — According to the Chaikin Power Bar, Large Cap stocks are more Bullish than Small Cap stocks. Major indexes are mixed. * * * * Sector Tracker Sector movement over the last 5 days Energy +3.41% Financial +1.39% Health Care +0.93% Utilities +0.82% Communication +0.56% Industrials +0.47% Staples +0.3% Materials +0.17% Real Estate +0.05% Discretionary -0.01% Information Technology -3.76% * * * * Industry Focus Retail Services 19 44 15 Over the past 6 months, the Retail subsector (XRT) has underperformed the S&P 500 by -9.53%. However, its Power Bar ratio, which measures future potential, is Strong, with more Bullish than Bearish stocks. It is currently ranked #13 of 21 subsectors and has moved down 2 slots over the past week. Top Stocks [rating] CASY Casey's General Stor [rating] EBAY eBay Inc. [rating] AMZN Amazon.com, Inc. * * * * Top Movers Gainers [rating] MOS +4.71% [rating] BKR +4.49% [rating] APA +4.45% [rating] EQT +4.19% [rating] SLB +3.99% Losers [rating] RMD -11.48% [rating] SMCI -8.65% [rating] NVDA -6.68% [rating] QCOM -5.5% [rating] DXCM -5.2% * * * * Earnings Report Reporting Today Rating Before Open After Close SNX CCL FDX No earnings reporting today. Earnings Surprises [rating] EPAC Enerpac Tool Group Corp. Q3 $0.47 Met estimate * * * * You have received this e-mail as part of your subscription to PowerFeed. If you no longer want to receive e-mails from PowerFeed, [click here](. You’re receiving this e-mail at {EMAIL}. For questions about your account or to speak with customer service, call [+1 (877) 697-6783 (U.S.)](tel:18776976783), 9 a.m. - 5 p.m. Eastern time or e-mail info@chaikinanalytics.com. Please note: The law prohibits us from giving personalized investment advice. © 2024 Chaikin Analytics, LLC. All rights reserved. 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