February Super Granny and Super SMID Granny Market Update + SMID Granny February Rebalance +25 adds/ -24 deletes.

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  • Re-introducing our list of 5 Super and 5 Sleeper Grannies
  • SMID Grannies November Quarterly rebalance today
  • Updating 5 Super and 5 Sleeper SMID Grannies
  • Chartbook linked below
  • See below for SMID Grannies adds and deletes

To download the slide deck for our Market Update Webinar, please click HERE.

VIDEO: We discuss our macro views 6 weeks into 2025 including the case for financials and small-caps as well as the broadening trade for AI stocks

Please click below to view our Macro Minute (duration: 9:23).

February Super Granny and Super SMID Granny Market Update + SMID Granny February Rebalance +25 adds/ -24 deletes.


SUPER GRANNIES: 5 Super and 5 Sleeper

Back by popular demand, we are re-introducing our “Super Grannies” (most timely) and “Sleeper Grannies” large-cap stock ideas.

  • The rationale is many clients ask us to narrow our recommendations down to a list of “fresh money” ideas.
  • We established a criteria of 4 factors to narrow the list to tactical buys:
    – fundamentals using DQM model managed by “tireless Ken”
    – IBD momentum rating
    – technical strength measured by Price >20 DMA, 20 DMA vs 200 DMA and combos
    – Mark Newton’s judgement on technical outlook
  • We have 5 tactical buys aka “Super Grannies”
    – Meta Platforms Inc (META)
    – JPMorgan Chase & Co (JPM)
    – S&P Global Inc (SPGI)
    – Accenture (ACN)
    – Amazon (AMZN)
  • The bottom 5 “Sleeper Grannies” are:
    – MicroStrategy Inc (MSTR)
    – Advanced Micro Devices Inc (AMD)
    – PayPal Holdings Inc (PYPL)
    – Eaton Corporation (ETN)
    – Microsoft (MSFT)

REBALANCE SMID GRANNIES: +25 adds, (-24 deletes). YTD outperformance +582 bps

Last December, we maintained Small-caps as one of our #1 recommendations in our 2025 year-ahead outlook. We also created the SMID Granny portfolio strategy last year as many of our clients asked us for our Top SMID stock picks.

  • We believe the SMID Grannies could benefit from the multiple themes and secular tailwinds
  • SMID Grannies were selected from a universe consisting of 2,293 small and mid-cap stocks.
  • From the SMID Granny portfolio, we employed the same framework mentioned above to identify the 5 most timely ideas and 5 least timely ideas within the SMID Granny portfolio.

25 rebalance additions are:

24 rebalance deletions are:

February Super Granny and Super SMID Granny Market Update + SMID Granny February Rebalance +25 adds/ -24 deletes.
February Super Granny and Super SMID Granny Market Update + SMID Granny February Rebalance +25 adds/ -24 deletes.


SUPER SMID GRANNIES: 5 Super and 5 Sleeper

“Super SMID Grannies” (long) and “Sleeper SMID Grannies” are derived from our SMID stock list of 45 ideas called “SMID Granny Shots”

  • We have 5 tactical buys aka “Super SMID Grannies”
    – Hims & Hers Health Inc (HIMS) <– carry over
    – Applovin Corp (APP)
    – Spotify Technology (SPOT)
    – Interactive Brokers Group, Inc (IBKR)
    – Carvana (CVNA)
  • The bottom 5 “Sleeper SMID Grannies” are:
    – IONQ Inc (IONQ) <– carry over
    – ePlus inc (PLUS) <– carry over
    – Zscaler Inc (ZS)
    – Semler Scientific Inc (SMLR)
    – EnerSys (ENS)

Please see Mark’s technical note tonight for commentary on the 5 Super Grannies and 5 Super SMID Grannies.

February Super Granny and Super SMID Granny Market Update + SMID Granny February Rebalance +25 adds/ -24 deletes.
Source: Fundstrat
February Super Granny and Super SMID Granny Market Update + SMID Granny February Rebalance +25 adds/ -24 deletes.
February Super Granny and Super SMID Granny Market Update + SMID Granny February Rebalance +25 adds/ -24 deletes.
February Super Granny and Super SMID Granny Market Update + SMID Granny February Rebalance +25 adds/ -24 deletes.
February Super Granny and Super SMID Granny Market Update + SMID Granny February Rebalance +25 adds/ -24 deletes.
February Super Granny and Super SMID Granny Market Update + SMID Granny February Rebalance +25 adds/ -24 deletes.
February Super Granny and Super SMID Granny Market Update + SMID Granny February Rebalance +25 adds/ -24 deletes.

Key incoming data February:

  • 2/3 9:45 AM ET: Jan F S&P Global Manufacturing PMI Tame
  • 2/3 10:00 AM ET: Jan ISM Manufacturing PMI Tame
  • 2/4 10:00 AM ET: Dec JOLTS Job Openings Tame
  • 2/4 10:00 AM ET: Dec F Durable Goods Orders Tame
  • 2/5 8:30 AM ET: Dec Trade Balance Tame
  • 2/5 9:45 AM ET: Jan F S&P Global Services PMI Tame
  • 2/5 10:00 AM ET: Jan ISM Services PMI Tame
  • 2/6 8:30 AM ET: 4Q P Non-Farm Productivity Tame
  • 2/6 8:30 AM ET: 4Q P Unit Labor Costs Tame
  • 2/7 8:30 AM ET: Jan Non-Farm Payrolls Tame
  • 2/7 9:00 AM ET: Dec F Manheim Used Vehicle index Tame
  • 2/7 10:00 AM ET: Feb P U. Mich. Sentiment and Inflation Expectation Hot
  • 2/10 11:00 AM ET: Jan NY Fed 1yr Inf Exp Tame
  • 2/11 6:00 AM ET: Jan Small Business Optimism Survey Tame
  • 2/12 8:30 AM ET: Jan CPI Hot
  • 2/13 8:30 AM ET: Jan PPI Hot
  • 2/14 8:30 AM ET: Jan Retail Sales Data Tame
  • 2/18 8:30 AM ET: Feb Empire Manufacturing Survey Tame
  • 2/18 10:00 AM ET: Feb NAHB Housing Market Index Tame
  • 2/18 4:00 PM ET: Dec Net TIC Flows Tame
  • 2/19 9:00 AM ET: Jan M Manheim Used Vehicle index
  • 2/19 2:00 PM ET: Jan FOMC Meeting Minutes
  • 2/20 8:30 AM ET: Feb Philly Fed Business Outlook
  • 2/21 9:45 AM ET: Feb P S&P Global Manufacturing PMI
  • 2/21 9:45 AM ET: Feb P S&P Global Services PMI
  • 2/21 10:00 AM ET: Feb F U. Mich. Sentiment and Inflation Expectation
  • 2/21 10:00 AM ET: Jan Existing Home Sales
  • 2/24 8:30 AM ET: Jan Chicago Fed Nat Activity Index
  • 2/24 10:30 AM ET: Feb Dallas Fed Manuf. Activity Survey
  • 2/25 9:00 AM ET: Dec S&P CoreLogic CS home price
  • 2/25 10:00 AM ET: Feb Conference Board Consumer Confidence
  • 2/26 10:00 AM ET: Jan New Home Sales
  • 2/27 8:30 AM ET: 4Q S GDP
  • 2/27 10:00 AM ET: Jan P Durable Goods Orders
  • 2/28 8:30 AM ET: Jan PCE Deflator

Economic Data Performance Tracker 2025:

February Super Granny and Super SMID Granny Market Update + SMID Granny February Rebalance +25 adds/ -24 deletes.
Source: Fundstrat, Bloomberg

Economic Data Performance Tracker 2024:

February Super Granny and Super SMID Granny Market Update + SMID Granny February Rebalance +25 adds/ -24 deletes.
Source: Fundstrat, Bloomberg

Economic Data Performance Tracker 2023:

February Super Granny and Super SMID Granny Market Update + SMID Granny February Rebalance +25 adds/ -24 deletes.
Source: Fundstrat, Bloomberg

Disclosures (show)