This “sleeper stock” is flying under the radar... but not for long

Retail traders are ignoring this stock, but it recently caught Wall Street’s attention… [Justin Spittler's Trade of the Week] This "sleeper stock" is flying under the radar... but not for long I love a good “sleeper” stock. These are stocks that fly under most investors’ radars. Of course, many sleeper stocks are ignored for a reason. They’re bad companies. But the BEST sleeper stocks are only ignored by retail traders… not Wall Street. That brings me to my newest Trade of the Week: Freshworks (FRSH). Freshworks is a $6.9 billion software company. It utilizes artificial intelligence (AI) to help companies like Klarna and Bridgestone better serve their customers. It’s not well known among everyday traders. But it’s caught the attention of Wall Street. I say this for a couple reasons. One, Freshworks’ buying volume has picked up in recent months. Investment bank Jefferies also upgraded FRSH to a “Buy” three weeks ago, giving it a $30 price target. Needham also recently reiterated its “Buy” rating on the stock. It also has a $30 target. More important, the price action is very bullish. FRSH bottomed way back in June 2022, long before the indices did. Since then, it’s rallied 118%. And yet, hardly anyone is talking about it! I think that will change soon… Below, we can see FRSH is off to a hot start this week. It’s up 4.1% after bouncing off its rising 10-week moving average. I believe this level will serve as a launchpad for the stock and ignite its next major move higher: Source: StockCharts Buy a starter position in FRSH today. I believe it can hit $38 within the next 12–18 months. Exit your position if FRSH closes below $20. That gives us a risk-reward ratio of 5:1 on this trade. Action to take: Buy FRSH at current market prices. Risk management: Exit your position if FRSH closes below $20. Justin Spittler Chief Trader, RiskHedge If someone forwarded you this email and you would like to be added to our email list to receive Justin Spittler's Trade of the Week every week, [simply sign up here.]( This email was sent to {EMAIL} as part of your subscription to Justin Spittler's Trade of the Week. To opt-out, please visit the [unsubscribe page](. [READ IMPORTANT DISCLOSURES HERE.]( YOUR USE OF THESE MATERIALS IS SUBJECT TO THE TERMS OF THESE DISCLOSURES. Copyright 2024 RiskHedge. All Rights Reserved RiskHedge | 1417 Sadler Road, PMB 415 | Fernandina Beach, FL 32034