Momentum Ideas: 18 Low Risk Stocks in Rally Mode

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 |  Includes: CM, CMLP, CVX, DTG, EIG, KHC, KSS, MCF, PKI, PRA, PZZA, RY, SWY, TLP, TYL, TYY, UGP, WBMD
by: Kapitall

The following is a list of stocks in rally mode, i.e. trading above the 20-day, 50-day and 200-day moving averages.

All of these stocks have low levels of risk, as defined by the RiskGrade ratings developed by the RiskMetrics Group. RiskGrades is calibrated to be more intuitive and easier to use than standard deviation or beta. According to the company, their rating system captures all the components of market risk: equity, interest rate, currency, and commodity risk.

The lower the RiskGrade rating, the lower the risk level of the stock. HJ Heinz Co. (HNZ), the first company in our list, has a RiskGrade rating of 61, which means that it is less risky than 91% of tickers on U.S. markets.

We're not going to go into detailed analysis for each company. The goal here is to give a starting point to risk-averse momentum investors looking to jump on rallying stocks. Full details below.

RiskGrades sourced from RiskMetrics group.



The list has been sorted by the RiskGrades score.

1. HJ Heinz Co. (HNZ): Food Industry. Market cap of $15.7B. The stock is currently 3.78% above its 20-day MA, 2.24% above its 50-day MA, and 6.8% above its 200-day MA. RiskGrade at 61. Short float at 2.48%, which implies a short ratio of 4.03 days. The stock has gained 10.6% over the last year.

2. Dollar Thrifty Automotive Group Inc. (NYSE:DTG):
Rental & Leasing Services Industry. Market cap of $1.51B. The stock is currently 3.87% above its 20-day MA, 7.68% above its 50-day MA, and 10.6% above its 200-day MA. RiskGrade at 64. Short float at 6.16%, which implies a short ratio of 5.08 days. The stock has gained 81.65% over the last year.

3. ProAssurance Corporation (NYSE:PRA):
Property & Casualty Insurance Industry. Market cap of $1.82B. The stock is currently 5.75% above its 20-day MA, 3.99% above its 50-day MA, and 6.64% above its 200-day MA. RiskGrade at 64. Short float at 2.84%, which implies a short ratio of 6.71 days. The stock has gained 10.3% over the last year.

4. WebMD Health Corp. (NASDAQ:WBMD): Internet Information Providers Industry. Market cap of $3.05B. The stock is currently 6.37% above its 20-day MA, 7.76% above its 50-day MA, and 12.79% above its 200-day MA. RiskGrade at 68. Short float at 3.51%, which implies a short ratio of 5.87 days. The stock has gained 24.32% over the last year.

5. Chevron Corp. (NYSE:CVX): Major Integrated Oil & Gas Industry. Market cap of $205.81B. The stock is currently 6.65% above its 20-day MA, 10.77% above its 50-day MA, and 27.48% above its 200-day MA. RiskGrade at 76. Short float at 1.17%, which implies a short ratio of 3.02 days. The stock has gained 46.35% over the last year.

6. Transmontaigne Partners L.P. (NYSE:TLP)
: Oil & Gas Pipelines Industry. Market cap of $557.29M. The stock is currently 1.07% above its 20-day MA, 4.53% above its 50-day MA, and 18.12% above its 200-day MA. RiskGrade at 79. Short float at 0.32%, which implies a short ratio of 0.96 days. The stock has gained 52.27% over the last year.

7. Canadian Imperial Bank of Commerce (NYSE:CM): Money Center Banks Industry. Market cap of $32.78B. The stock is currently 4.91% above its 20-day MA, 6.47% above its 50-day MA, and 15.87% above its 200-day MA. RiskGrade at 80. Short float at 1.16%, which implies a short ratio of 19.91 days. The stock has gained 31.04% over the last year.

8. Kohl's Corp. (NYSE:KSS): Department Stores Industry. Market cap of $15.21B. The stock is currently 1.77% above its 20-day MA, 0.69% above its 50-day MA, and 3.45% above its 200-day MA. RiskGrade at 81. Short float at 2.57%, which implies a short ratio of 1.61 days. The stock has gained 0.83% over the last year.

9. Royal Bank of Canada (NYSE:RY): Money Center Banks Industry. Market cap of $80.91B. The stock is currently 4.89% above its 20-day MA, 8.88% above its 50-day MA, and 11.92% above its 200-day MA. RiskGrade at 81. Short float at 0.76%, which implies a short ratio of 15.88 days. The stock has gained 10.69% over the last year.

10. Tortoise Energy Capital Corp. (NYSE:TYY): Diversified Investments Industry. Market cap of $565.99M. The stock is currently 1.66% above its 20-day MA, 5.59% above its 50-day MA, and 14.09% above its 200-day MA. RiskGrade at 81. Short float at 0.2%, which implies a short ratio of 0.75 days. The stock has gained 33.44% over the last year.

11. Papa John's International Inc. (NASDAQ:PZZA):
Restaurants Industry. Market cap of $754.8M. The stock is currently 0.66% above its 20-day MA, 3.65% above its 50-day MA, and 12.92% above its 200-day MA. RiskGrade at 84. Short float at 4.66%, which implies a short ratio of 8.39 days. The stock has gained 17.73% over the last year.

12. Employers Holdings, Inc. (NYSE:EIG): Property & Casualty Insurance Industry. Market cap of $725.7M. The stock is currently 10.26% above its 20-day MA, 11.92% above its 50-day MA, and 21.63% above its 200-day MA. RiskGrade at 86. Short float at 3.97%, which implies a short ratio of 9.57 days. The stock has gained 31.08% over the last year.

13. Tyler Technologies, Inc. (NYSE:TYL):
Technical & System Software Industry. Market cap of $668.43M. The stock is currently 4.55% above its 20-day MA, 5.24% above its 50-day MA, and 16.38% above its 200-day MA. RiskGrade at 89. Short float at 11.97%, which implies a short ratio of 25.14 days. The stock has gained 5.55% over the last year.

14. PerkinElmer Inc. (NYSE:PKI): Medical Instruments & Supplies Industry. Market cap of $3.06B. The stock is currently 3.66% above its 20-day MA, 5.52% above its 50-day MA, and 18.73% above its 200-day MA. RiskGrade at 90. Short float at 1.17%, which implies a short ratio of 1.32 days. The stock has gained 17.49% over the last year.

15. Contango Oil & Gas Co. (NYSEMKT:MCF): Independent Oil & Gas Industry. Market cap of $946.18M. The stock is currently 5.17% above its 20-day MA, 5.06% above its 50-day MA, and 18.82% above its 200-day MA. RiskGrade at 92. Short float at 2.44%, which implies a short ratio of 3.6 days. The stock has gained 15.61% over the last year.

16. Safeway Inc. (NYSE:SWY):
Grocery Stores Industry. Market cap of $8.22B. The stock is currently 3.68% above its 20-day MA, 3.36% above its 50-day MA, and 4.78% above its 200-day MA. RiskGrade at 92. Short float at 7.06%, which implies a short ratio of 5.22 days. The stock has lost -4.13% over the last year.

17. Ultrapar Holdings Inc. (NYSE:UGP): Oil & Gas Refining & Marketing Industry. Market cap of $8.37B. The stock is currently 1.24% above its 20-day MA, 0.24% above its 50-day MA, and 11.35% above its 200-day MA. RiskGrade at 92. Short float at 0.12%, which implies a short ratio of 1.1 days. The stock has gained 44.32% over the last year.

18. Crestwood Midstream Partners (NYSE:CMLP): Oil & Gas Drilling & Exploration Industry. Market cap of $918.55M. The stock is currently 1.59% above its 20-day MA, 6.49% above its 50-day MA, and 26.04% above its 200-day MA. RiskGrade at 95. Short float at 0.46%, which implies a short ratio of 1.11 days. The stock has gained 58.76% over the last year.

Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.