As I’ve noted in a few past columns, “ Investor’s Business Daily’s IBD 50 is ‘a weekly, rules-based, computer-generated stock index.’” Moreover, the stocks on the list tend to be fundamentally strong and have top-notch growth outlooks. Also importantly, their shares are usually being rapidly acquired by a significant portion of Wall Street’s largest investors.
I’ve used the IBD top 50 stocks list on multiple occasions as a screening tool to identify little-known names that eventually turned out to be big winners. Also illustrating the excellent performance of the list, the Innovator IBD 50 ETF (NYSEARCA: FFTY ) has jumped about 20% so far in 2024. Of course, the ETF seeks to reflect the performance of all of the companies on the list.
Here are three of the top stocks to buy that are currently on the IBD top 50 list. e.l.
f. Beauty (ELF) e.l.
f. Beauty (NYSE: ELF ), which sells cosmetics products, is well-positioned to benefit from an important macro trend. Specifically, as I pointed out in a recent column, a survey conducted last month by well-known consulting firm McKinsey found that the members of Generation Z intend to spend more money on beauty products going forward.
And 29% of all respondents reported that they intend to “splurge” on beauty and personal care products. e.l.
f. is likely already benefiting from this key trend. It reported outstanding first-quarter financial results with net sales soaring 71% versus the same period a year earlier to $321.
