In today’s Daily Digest, we’ll review the following:

1. New position in Homebuilders.
2. No adjustments since the last report.
3. Closed XLB at Profit Target.
4. Current status of open campaigns.
5. Volatility Snapshot.

Let’s dig in!

From the desk of Steve Strazza @Sstrazza

Dividend Aristocrats are easily some of the most desirable investments on Wall Street. These are the names that have increased dividends for at least 25 years, providing steadily increasing income to long-term-minded shareholders.

As you can imagine, the companies making up this prestigious list are some of the most recognizable brands in the world. Coca-Cola, Walmart, and Johnson & Johnson are just a few of the household names making the cut.

Here at All Star Charts, we like to stay ahead of the curve. That's why we're turning our attention to the future aristocrats. In an effort to seek out the next generation of the cream-of-the-crop dividend plays, we're curating a list of stocks that have raised their payouts every year for five to nine years.

We call them the Young Aristocrats, and the idea is that these are "stocks that pay you to make money." Imagine if years of consistent dividend growth and high momentum and relative strength had a baby, leaving you with the best of the emerging dividend giants that are outperforming the averages.

By...

There weren’t any S&P 500 earnings reactions yesterday…

But one earnings reaction really stood out to us.

While most of the market’s attention is fixated on tech and AI, Heico Corp $HEI has quietly emerged as one of the strongest earnings performers in the Aerospace and Defense space.

This company isn’t your typical defense contractor. 

They specialize in manufacturing and servicing critical aerospace components, including FAA-approved replacement parts and high-reliability electronic systems used in military, commercial, and space applications.

It’s a high-margin, high-moat business - and the market is noticing.

The fundamental backdrop for Aerospace & Defense has rarely looked this strong.

Geopolitical tensions are rising. 

Global defense budgets are expanding. 

And commercial air traffic continues to rebound post-COVID.

The iShares Aerospace & Defense ETF includes GE Aerospace $GE, RTX $RTX, Boeing $BA, and Heico $HEI.

Price recently broke out to new all-time highs after a multi-month...

Every day, we sift through the filings to spot where the real conviction lies – cutting through the noise to highlight the most meaningful insider moves.

Here's what stood out today:

📌 Vestis Corp $VSTS – Director Keith Meister stepped in with a monster $4.7 million purchase with VSTS trading at all-time lows. This purchase stands out for its size in the sub-$1 billion uniform rental company.

📌 Murphy USA $MUSA – Director David Haley scooped nearly half a million dollars worth of MUSA stock. This comes as the stock carves a year-long head-and-shoulders pattern.

Here’s The Hot Corner, with data from May 28, 2025:

Click the table to enlarge it.

📌 Sweetgreen $SG – Director Clifford Burrows  stepped in with a quarter  million dollar purchase in the hip fast food chain. This purchase comes as the...

Today's number is... 3

Let's check in on how the third year of this bull market is progressing.

Here’s the chart:

Let's break down what the chart shows:

• The light blue line represents the performance of an average first year during a bull market for the S&P 500. The dark blue line illustrates the performance of the first year of the current bull market for the S&P 500.
• The light gray line indicates the performance of an average second year within a bull market for the S&P 500, while the dark gray line shows the performance of the second year of the current bull market.
• The light red line depicts the performance of an average third year during a bull market for the S&P 500, and the dark red line represents the performance of the third year of the current bull market for the S&P 500.

The Takeaway: By my definition, a bull market starts with a 20% rally after a 20% drop. Based on that, we’re still in a bull market that began in late 2022.

We’re seeing healthy sector rotation play out, with risk-on groups like Communications, Technology, Industrials, Financials, and Discretionary all flashing green.

This builds on what we’ve been highlighting in these notes for a while now.

The bears had their shot — and they blew it. Failed breakdowns are rippling through the market, and what we’re seeing now is the aftermath: buyers stepping in, and the tape responding.

With markets back on solid footing, the question becomes: is this just the beginning of something bigger, or are we in for more sideways chop?

Zooming out, the Communications sector — a clear leader — might offer some insight.

Since the bear market lows, $XLC has delivered an exceptional run with barely any volatility. But that changed on Liberation Day — marking the first real correction this group has seen throughout the entire bull phase.

Looking at the chart, it wouldn’t be surprising to see some sideways movement here — maybe a base-building phase before the next leg higher.

In trading, managing risk is non-negotiable — but equally...

I’ve been tracking insider transactions for the past three years.

I’ve learned a ton along the way.

From Form 4s and 13Ds/Gs to political filings—hedge funds, the C-suite, you name it. 

There are a million reasons insiders sell: paying for a wedding, getting divorced, buying a house, taking a vacation. But there’s only one reason they buy. And that’s because they think the stock’s going up.

I’ve seen it all—from Nancy Pelosi riding the Mag 7 wave, to CEOs and CFOs stepping in during selloffs, and top hedge funds putting serious skin in the game. We cover all these different insiders. 

Sometimes there’s something there. Sometimes there’s not. 

This morning, we got a big one. I woke up to a monster Form 4 from Toyota Motor showing a $250 million investment in Joby Aviation $JOBY.

Joby’s building electric aircraft for urban air mobility—think of them like flying taxis.

And this is...

Fun facts most people don't know about Build-a-Bear Workshop:

• It still exists and is publicly traded under the ticker $BBW
• Shares are up nearly 50x since the COVID lows
• The stock went public in October 2004, hit $35 two months later and didn't make a new high for another 19yrs, nearly twice the expected lifespan of a Black Bear in the wild.
• (New Item): Build-a-Bear just reported its best first quarter ever.

I break down the quarter and give the company its full grade for members in the LINK

From the desk of Steve Strazza @Sstrazza

Welcome to The 2 to 100 Club.

In this scan, we look to identify the strongest growth stocks as they climb the market-cap ladder from small- to mid- to large- and, ultimately, to mega cap status (over $200B).

Once they graduate from small-cap to mid-cap status (over $2B), they come on our radar. Likewise, when they surpass the roughly $30B mark, they roll off our list.

But the scan doesn't just end there.

We only want to look at the strongest growth industries in the market, as that is typically where these potential 50-baggers come from.

Some of the best performers in recent decades – stocks like Priceline, Amazon, Netflix, Salesforce, and myriad others – would have been on this list at some point during their journey to becoming the market behemoths they are today.

When you look at the stocks in our table, you'll notice we're only focused on Technology and Growth industry groups such as Software, Semiconductors, Online...

With Bitcoin holding high in the 107-108K neighborhood, above last year's resistance, it feels like the stage is being set for another crypto bull. Not just for bitcoin, but for many of the so-called "alt-coins" as well. And today's trade is in the company that is best positioned to take advantage of a resurgence of alt-coin activity. 

And following a recent gap move higher, the consolidation over the past couple weeks and today's morning dip provide a great entry point.

In today’s Daily Digest, we’ll review the following:

1. New position in TLT.
2. No adjustments since the last report.
3. No exits since the last report.
4. Current status of open campaigns.
5. Volatility Snapshot.

Let’s dig in!

Abercrombie didn't have to be perfect. With the stock down 50% since January, even after a HUGE bounce, Abercrombie & Fitch just had to be decent. Anything better than about a 20% guidance cut would have been acceptable. Word was that foot traffic at Abercrombie was lousy. That left ne'er do well Hollister to bail out the corporate ship while $ANF tried to find a bottom. Hollister has had a nice few quarters but that wasn't going to be enough to offset the end of Abercrombie's name-brand and the huge 5 year heater of double-digit comps and fat margins.

Turns out, Hollister had plenty. The tariffs weren't so bad. Business was pretty much fine. Wall Street rejoiced... 

Abercrombie didn't have to be perfect. With shares sitting 50% lower since January sentiment around $ANF was somewhere between "skeptical" and "afraid to look". Word was that traffic was bad at Abecrombie's name-brand stores, leaving Hollister, the surly, less-good-looking younger sibling division of $ANF. Hollister had been good lately but not great. This was supposed to have been a tough quarter for "not great".

As it turned out, Hollister was pretty damn great and the warning was less-than-feared. The stock market rejoiced:

AutoZone $AZO just reported mixed results, narrowly beating on revenue but missing earnings.

Once again, the stock was punished, marking the 4th negative earnings reaction in the last 5 quarters.

That’s a clear trend.

The core business remains solid. 

The company continues to grow steadily, expand its store base, and generate strong free cash flow. 

Their relentless focus on cost control and one of the market's most aggressive share repurchase programs has helped drive long-term shareholder value for decades.

But right now, the market is focused elsewhere.

Margins are under pressure, especially in the commercial segment, where growth has been decelerating. And with comps getting tougher and operating expenses creeping higher, even a slight EPS miss is enough to trigger a selloff.

This isn’t a question of survival because it remains one of the most efficient retail operators. 

But investors are clearly demanding more than stability. 

In a market that’s rewarding accelerating growth and margin expansion, good just isn’t good enough anymore.

Until the narrative shifts, the stock may continue to...

Thanks to everyone who joined us for today's Hot Corner Insider Weekly Strategy Session.

Every day, we sift through the filings to spot where the real conviction lies – cutting through the noise to highlight the most meaningful insider moves.

Here's what stood out today:

📌 Joby Aviation Inc $JOBY – Toyota Motor $TM came in with a monster Form 4 showing a $250 million purchase, boosting its total position to 128,454,401 shares. 

That gives Toyota a 16% stake in JOBY. Even more telling, JOBY now represents 29.12% of Toyota’s equity portfolio, making it its second-largest holding after Grab Holdings $GRAB. 

That’s a serious vote of confidence in the flying taxi space.

Here’s The Hot Corner, with data from May 27, 2025:

Click the table to enlarge it.

📌 KKR & Co. $KKR – Timothy Barakett, the founder of Atticus Capital, filed an eye-popping Form 4 after...

As the market bounces back, growth is doing what it does best: leading the charge.

Large Cap Growth ($IWF) and the tech-heavy Nasdaq 100 ($QQQ) aren’t just participating — they’re setting the pace. These are the names climbing to the top of the leaderboard, outpacing the rest of the U.S. index universe.

But here’s where it gets interesting.

Despite the strong tape, the S&P 500 still closed down 2.5% last week. That puts us right at a critical juncture.

This is the level to watch.

If the market can absorb that dip and hold firm here, it sends a clear message: the bulls are still in control. The trend remains intact, and the path of least resistance is higher.

But if this level breaks, it’s a different conversation. It doesn’t mean the whole move is invalid — but it would suggest this rally needs more time, or a reset, before it can resume.

Either way, how we respond at this inflection point will shape the tone of the next few weeks.
 

Sign up for my free note here.

Over the years, my process as a trader and investor has gone through constant refinement. I've learned to trust the charts, simplify my approach, and focus on clean, asymmetric setups.

But something has truly elevated my game recently — and that’s trading options.

I’ve been doing it for quite some time now, but what really helped me take things to the next level is working with Steve and learning how to gain leverage while keeping risk clearly defined. That’s been a game changer.

It’s all about getting more juice out of the same setups — with full control over risk.

Lately, there’s one stock in particular that’s been an absolute textbook example of this.

BigBear.ai Holdings $BBAI.

I’m watching the sun sink into the gulf of whatever water from my mobile office. 

We’ve done the drive from Key West to Naples a bunch lately and it’s just lovely. 

No major highways. You take a road from the middle of the ocean to another through the middle of the Everglades. 

It is cruising, defined. Florida style. 

You can see both sharks and gators right out your window along the way. 

Anyway, I’ve found that I really enjoy reading and writing from the car. It frees me from my desk-brain. 

I also really enjoy uncorrelated exposure. It frees me from my overweight risk-on equity positioning.

And I don’t mean defensive exposure. 

I’m talking about exposure to things that can move fast and generate alpha in bull cycles but don’t necessarily move with the broader US...