CHRIS VERSACE: Good morning, "Action Alerts Plus" members. As we head toward the end of the week and close out the month of March, I wanted to share a few of the stocks I'm watching outside of the portfolio and share with you what they tell me about our active positions. Let's get started with the chip stocks and Micron, which missed quarterly targets when it reported earnings after Tuesday's closing bell.

Even though we don't have a dog in the Micron fight, we do pay attention to the company's results and guidance because it touches on a number of end markets that we do have exposure to. With that in mind, let's break down what we learned. First, with PCs. Micron now sees 2023 volumes down mid-single digits incrementally better than its late 2022 outlook.

That's a modest positive for Microsoft. And yes, those shares have been strong in the current quarter up almost 12%. Now, doing the prudent thing, if that strength continues, we may be inclined to do some trimming in April, especially if Microsoft shares continue to close in on the Wall Street consensus price target of 290.

Now, turning to smartphones. Micron made some mixed comments earlier this week. It now sees 2023 volumes down slightly year-over-year. That's a little different than its prior forecast that was calling for flat up slightly volumes. However, Micron also shared it as seeing a greater adoption of flagship phone models. That suggests a positive mix shift for Apple with its Pro models that carry higher price points. Micron's comments to me also suggest a challenging road ahead for various Android smartphone producers and their suppliers.

Turning to data center. Micron shared it saw that market bottom out during its February quarter. That bolsters our decision earlier this month to call up shares of Marvell from the bullpen to the active portfolio. Those comments about data center also explains some of the strength in our shares of Google, Amazon, and Microsoft as well this week.

And before we move on, be sure to check your email later today for a fresh technical look at Marvell shares. Now, let's move over to the EV charging space. There are a few positive developments out this morning.

First, EVGO announced better than expected quarterly results and shared it sees a total of 3,400 to 4,000 DC Fast charging stations in 2023. That compares to the 2,800 it had exiting 2022. And the White House issued a statement discussing new private and public sector investments in EVs and the EV charging space.

In particular, some of the callouts from that statement were Amazon rolling out over 3,000 electric delivery vehicles as part of its commitment to bring over 100,000 electric delivery vehicles to the road by 2030. Trane Technologies commitment to transition 100% of its global fleet of more than 8,000 vehicles, including service vans and trucks to all EVs by 2030. And Hertz forecasting nearly two million EV Rentals this year up 5-fold compared to what it did in 2022.

Now, taking stock of those White House call outs. They remind us that the EV transition is more than just passenger vehicles. It's trucks and a variety of other vehicles as well. And that plays very well into charge point strengths in the commercial market. Also, those call outs remind us that we are only in the early stages of EV adoption and the EV charging station network build-out.

While I know members have been frustrated with ChargePoint shares, with data points like these, we will continue to take the longer term approach with ChargePoint shares. And finally, as I mentioned in yesterday's Alerts, we had some minor developments of Elevance and American Water Works. American Water Works continued to execute on its nip-tuck acquisition strategy, continuing to walk the path as a consolidator for the fragmented water utility industry.

We expect the company will continue to follow its well-worn strategy that will lead to eventually petitioning for rate increases, giving it yet another lever towards its stated goal to deliver EPS growth of 7% to 9% and grow its dividend also 7% to 9% each year.

Over at Elevance, it sold a non-core business. And as you can imagine, we always appreciate the disposition of a non-core business because it means just simply put greater focus on the business that matters most. However, with Elevance, the next action item we are watching is the final notice for Medicare Advantage payment rates.

Typically as we've written and shared in previous notes with members, there tends to be a favorable rate adjustment between the final notice and the initial one. And that will be a catalyst for us to revisit Elevance shares in the coming days. Thanks for watching.

As we leave the first quarter of 2023 behind us, JD Durkin will be back tomorrow with a technical check-in with AAP team member, Bob Lang.