Back to top

View the PFP Archive

Plus 5 New Strong Buys for Today
Kevin Matras   
Profit from the Pros
By Kevin Matras
Executive Vice President
Zacks Investment Research

Stocks Down Amid Profit Taking

Stocks closed lower across the board yesterday. And they are poised to close down for the week, sans a rally today.

The news points to rising bond yields for pressuring stocks. And psychologically, that may be true. But given that Fed Chair Jerome Powell, after two days of testimony before the Senate and the House on Tuesday and Wednesday, essentially said that rates aren't going anywhere anytime soon, this narrative is misguided, in my opinion.

I would chalk this up to typical profit taking after a spectacular run-up.

It should be known that stocks usually pull back about -5% roughly 3-4 times per year. (A pullback is defined as a decline between -5% and -9.99%.)

And stocks usually pull back -10% on average of about once a year. (A decline of -10% (actually -10% to -19.99%) is called a correction.)

So we've all lived thru these types of things time and time again.

Of course, pullbacks and corrections are never fun. And nobody knows that's what they are/were until they're over.

But with forecasts for full-year GDP to come in at the fastest pace in 38 years, it sure looks like a buying opportunity to me.

And with falling case counts, more vaccines hitting the market, more people getting vaccinated, and more big cities coming off of lockdown and letting businesses open, it looks like there's a lot more upside to go.

So make sure you're taking full advantage of it.


Kevin Matras

Executive Vice President, Zacks Investment Research


Buy These Insider Stocks Today

When in-the-know officers dip into their own pockets to buy shares of their own company, there's only one reason: They expect the stock price to go up.

Zacks is now targeting insider moves that include a telling "cluster buy" in a leading industrial firm. Four highly-placed insiders just bought over 6,000 shares to take advantage of an opportunity they see. It's time to get in on this action.

Our recommended insider trades are normally closed to public view – but the deadline for you to gain access is midnight Sunday, February 28.

See hand-picked insider trades now >>

Most Popular Articles from

Image: Bigstock

3 Cheap Tech Stocks to Buy on the Dip as the Nasdaq Sinks

Right now, investors with a longer-term outlook might want to consider buying these trading under $20 a share stocks. Read More »

Image: Bigstock

Airline Industry Gains 21.5% YTD Despite Headwinds: Here's Why

A reduction COVID infections and increasing vaccinations have been added positives for air-travel demand. Read More »

Image: Bigstock

Will Rising Mortgage Rates Impact the Housing Market?

Even if the rates rise to the highest level forecasted, they would still be attractive enough to keep the housing boom continuing for the next few quarters. Read More »

Image: Bigstock

Invest in These 3 Stocks With Upgraded Broker Ratings Now

Each of these selected stocks have witnessed broker rating upgrades over the last four weeks. Read More »

Image: Bigstock

Can Cathie Wood Send Space ETFs to the Moon?

Here is what investors need to know about the fast growing space economy. Read More »


Increase Investment Returns with Free Zacks' Portfolio Tracker

Catch breaking news on your stocks and funds at a glance, including timely recommendation changes ... Zacks Ranks ... Industry Ranks ... earnings announcements ... earnings estimate revisions ... and more. And now you can screen for new stocks to improve portfolio performance.

Click for Free Tracker & Screener >>

Image: Bigstock

Bull of the Day: Winnebago (WGO)

A shift away from airlines and hotels is bringing big bucks back to 'bagos. Read More »

New Zacks Strong Buys for February 26th

Here are 5 stocks added to the Zacks Rank #1 (Strong Buy) List today. Read More »


Download our app for convenient on-the-go access to even more—daily and weekly newsletters published by Zacks experts, proprietary research and tools, and Portfolio Tracker on

Download our Zacks App for Apple iOS
Download our Zacks App for Android

Visit Success Stories to hear how Zacks research, tools and portfolios help our members outperform the market.