While the S&P-500 (SPY) and Nasdaq Composite have had a solid year with an 8% return and 17% return, respectively, the Retail Sector (XRT) has lagged considerably, impacted by promotional activity to unwind bloated inventory levels and continued worries about consumer demand. This has especially been the case when it comes to brands with a…
Category: stock pick
An Opportunity For Patient Investors
While several large-cap names have enjoyed solid share-price performance for the year on the back of a near 10% year-to-date performance for the S&P-500 (SPY), returns have been quite bifurcated between small-caps and large-caps, and especially those small caps with sub $1.0 billion valuations. This is evidenced by the iShares Russell MicroCap Index Fund ETF…
Growth Story In The Staples Category
It’s been a choppy year for the major market averages and we’ve seen quite bifurcated returns across sectors. Several tech stocks are putting up solid returns, energy is struggling to gain any traction, financial stocks are being hit hard due to fears of bank runs, and defensive stocks are continuing their outperformance that began last…
The Most Undervalued Name In The Gold Sector
One of the best ways to consistently outperform the market is to look for attractive businesses that are undervalued due to short-term issues or shifts in sentiment. One can then allocate exposure to these stocks until sentiment shifts back in favor or a positive development leads to a more normalized trading multiple for the stock.…
Niche Small-Cap With A Very Attractive Valuation
2023 has been a much better year for the major market averages, with the Nasdaq Composite sporting a 15% return after coming off one of its worst performances in years. However, the small-cap and especially micro-cap space hasn’t seen nearly the love and many names continue to plumb new lows despite improving fundamentals. One name…
Gold Developer A Steal At Current Levels
While the major market averages have resumed their upward trajectory following a brief departure amid fears of bank runs last month, the real winner this year has been the Gold Juniors Index (GDXJ), which is sporting a 13% year-to-date gain. However, not all companies have performed the same and some have suffered violent declines, with…
This Credit Card Juggernaut Looks Ready To Breakout
It’s rare that the best companies in the world see their stocks move onto the sale rack (at least 30% discount to fair value). While owning these companies to diversify one’s portfolio is certainly a winning strategy, it’s hard to generate double-digit annual returns if one doesn’t wait for major corrections to buy these stocks.…
Energy Company of the Future
It’s been a volatile year for investors in the major market averages and while some growth stocks have done quite well and climbed more than 50% off their lows, most have struggled to make much upside progress with gains being fleeting. This is frustrating to say the least for many investors, and especially those that…
Panic Selling Creates Buying Opportunity
It’s been a volatile week with fear of bank runs for the overall market, and it’s little surprise that the major market averages have found themselves sitting near their December lows given the wreckage witnessed in the Financial Sector (XLF) with the failure of Silicon Valley Bank and Signature Bank New York. While this has…
Luxury Retailer Too Cheap To Ignore
Market corrections can be exciting for long-term investors given that they provide an opportunity to buy shares in great businesses at an attractive price. The caveat however, is that market corrections stemming from economic weakness can make this more challenging, especially in the Retail Sector. The reason is that recessionary environments can lead to a…
