5 Surging Big Name Stocks to Buy (AMZN, CBOE, DAL, MCD, ORLY)

Take advantage of the market momentum and cash in with these plays

Put your rally caps on people, this thing is rocking!

I don’t even have to make the case for a rally here, all you have to do is look at the market. The last hurdle for the S&P 500 that everyone was worried about was the 200-day moving average that was camped out around 2060.

Well guess what?

That thing is long gone as now we’ve surpassed the top of last Friday’s trading range. Next stop, 2102, after that, the ATH. What a quick turnaround from the September lows!

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But the root of my optimism isn’t even the S&P 500 chart, it’s the Russell 2000, affectionately referred to as the R2K.

While the S&P 500 has been bouncing back, the R2K has been taking its time.

In fact, the September low on the R2K was lower than the August low. Something that wasn’t a characteristic of the S&P chart.

From that lower low, shares have begun to rebound, putting in higher lows and higher highs over the last month of trading. It’s looking more and more like a breakout in on the horizon for the small caps, which should help boost the rest of the market as well.

I’m looking for a rally from now until the end of the year. That means it’s time to load the boat.

I’ve uncovered five stocks at or very near their 52-week highs with a ton of momentum that are breaking out to the upside. They are also Zacks Rank #1 (Strong Buy) and Zacks Rank #2 (Buy) stocks that have had recent earnings estimate revisions to the upside from analysts.

All of these are popular names I’m sure you’ve all heard of.

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Let’s get started…

Big Name Stocks to Buy: Amazon (AMZN)

Amazon.com (AMZN) operates as an online retailer in North America and internationally. It operates through the North America, International, and Amazon Web Services (AWS) segments. The company serves consumers through retail websites, such as amazon.com, amazon.ca, and amazon.com.mx, which primarily include merchandise and content purchased for resale from vendors and those offered by third-party sellers.

Another big time earnings report from Amazon was enough to catapult shares above the July highs and get over $600. In the days following the report, shares have still remained below the top of the earnings gap day but there hasn’t been any violent rejection at that level. In the short term that could provide some resistance but give the two days of support the stock saw down at $600, I think it provide a short term base below the stock.

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Big Name Stocks to Buy:CBOE Holdings (CBOE)

CBOE Holdings (CBOE) through its subsidiaries, operates as an options exchange and creator of listed options in the United States. The company provides marketplaces for trading options on various market indexes; futures on the VIX Index and other products; options on the stocks of individual corporations comprising equity options; and options on other exchange-traded products that include ETP options, such as exchange-traded funds and exchange-traded notes.

Shares are currently butting up against resistance at the 52-week rear $68. The base it established around $65 held for several weeks before this recent bullish attitude has forced shares higher. A crossover above the zero line on the CCI happened just as shares began to break higher. I think the 52-week high lets go over the next couple of days and you see the stock well into the $70s.

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Big Name Stocks to Buy:Delta (DAL)

Delta Air Lines (DAL) provides scheduled air transportation for passengers and cargo worldwide. The company operates in two segments, Airline and Refinery. Its route network comprises various gateway airports in Amsterdam, Detroit, Los Angeles, Minneapolis-St. Paul, New York-LaGuardia, New York-JFK, Paris-Charles de Gaulle, Salt Lake City, Seattle, and Tokyo-Narita.

The airlines were hot all year as oil prices made life easy for the entire industry. That an economy where more and more people were flying the friendly skies on trips and vacations. Delta benefited along with the rest of the business. A fierce move in October to a fresh 52-week high near $51.50 has been met with a couple of down days here as the CCI has come down from 200 to 43. I expect a bounce at the zero line and a continuation of the short term bullish trend for shares of DAL.

Click “Follow the Author” for free weekly picks! Twitter @bartosiastics

Big Name Stocks to Buy: McDonald’s (MCD)

McDonald’s (MCD) operates and franchises McDonald’s restaurants in the United States, Europe, the Asia/Pacific, the Middle East, Africa, Canada, and Latin America. The company’s restaurants offer various food products, soft drinks, coffee, and other beverages. As of December 31, 2014, it operated 36,258 restaurants, including 29,544 franchised restaurants comprising 20,774 franchised to conventional franchisees, 5,228 licensed to developmental licensees, and 3,542 licensed to foreign affiliates1 and 6,714 company-operated restaurants.

The McDonald’s story has been pretty interesting. After replacing their CEO, shares wandered in the dessert and spent most of 2015 in a consolidation range in the high $90s. The volatility in August took shares all the way down to below $88. From there it’s been nearly straight up. Guess that having breakfast available all day was a good idea. As an aside, take half an egg McMuffin and put it on half a quarter pounder next time you hit the golden arches. You’re welcome in advance.

Click “Follow the Author” for free weekly picks! Twitter @bartosiastics

Big Name Stocks to Buy: O’Reilly Auto (ORLY)

O’Reilly Automotive (ORLY) together with its subsidiaries, engages in the retail of automotive aftermarket parts, tools, supplies, equipment, and accessories in the United States. The company provides new and remanufactured automotive hard parts, including alternators, starters, fuel pumps, water pumps, brake system components, batteries, belts, hoses, temperature controls, chassis parts, and engine parts; maintenance items comprising oil, antifreeze products, fluids, filters, wiper blades, lighting products, engine additives, and appearance products; and accessories, such as floor mats, seat covers, and truck accessories.

This stock just keeps on trucking. It’s a slow and steady wins the race sort of stock that has continuously broken out to new highs again and again over the course of the year. The 200-day sits $40 off the current price, providing support well below the current bullish trend line that sits around $250. Personally, it’s my favorite auto parts store as well.

Click “Follow the Author” for free weekly picks! Twitter @bartosiastics

Profit From These Stocks to Buy

The best way to profit from an index that’s breaking out is to buy stocks that are breaking out. With this rally, there are so many popular names that are on the move, you don’t have to dip into the unknown companies. Just take a page from Peter Lynch and buy what you know.

Be sure to click FOLLOW THE AUTHOR above to stay on top of all the hot momentum stocks at Zacks.com. David Bartosiak is the Momentum Stock Strategist with Zacks, editor of the Momentum Trader and Home Run Investor, and host of “Trending Stocks”

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

O REILLY AUTO (ORLY): Free Stock Analysis Report

MCDONALDS CORP (MCD): Free Stock Analysis Report

DELTA AIR LINES (DAL): Free Stock Analysis Report

CBOE HOLDINGS (CBOE): Free Stock Analysis Report

AMAZON.COM INC (AMZN): Free Stock Analysis Report

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