Paul Tracy runs the StreetAuthority Market Advisor newsletter, and he has an ad out now about investing only in stocks that have a “driving force” behind them.
He doesn’t mean any technical indicators, or fundamental financial forces, he means catalysts. Catalysts are, of course, the great holy grail of “story” investing — when you buy most biotech stocks, for example, you’re looking for a “catalyst” to drive the shares higher in the form of an FDA approval or a buyout. You’ll hear pundits like Jim Cramer talk about catalysts all the time, too — there are a lot of folks who might be excited about a stock’s valuation or prospects, but are unwilling to buy it if they don’t see an event in the near future that should move the stock abruptly higher (or lower, one must add).
So what are the “catalyst” stocks that Tracy thinks you should look at now?