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3 Hot Stocks That Still Don’t Make the Grade

The big moves in these three companies won't last for long, as they're built more on speculation than lasting fundamentals

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Whenever you see hot stocks picking up the pace, it’s often because the fundamentals attract the attention of big-money investors.

hot stocks don't make the grade
Source: Flickr

However, investors should be aware that this isn’t always the case. Many times, hot stocks move based on stories, rumors or themes, even though at the same time, the fundamentals are screaming “go elsewhere!” And what happens when those fundamentals are eventually reflected in the stock price? You suffer a fast, steep loss as the smart money — who can trade much more quickly than you — moves onto the better picks.

Fortunately, if you keep your eyes off the biggest headlines of the day, using Portfolio Grader can help you separate the real winners from the short-term pretenders.

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Article printed from InvestorPlace Media,

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