- First Word
S&P 500 ~30% loss in "real terms" staggering, leaving room for rally. Not priced for perfection. Since 1930, median P/E when 10Y 3.5% to 4.5% is 19X, and 18.5X when Fed tightening.
- Signal From Noise
Post COVID-19, Simply Good Foods Stock Looks Appetizing
Like many small caps, Simply Good Foods (SMPL) saw its stock get whacked in the coronavirus panic in March, down about 50% at one point to $14 from $30 last September. The market abandoned small caps en masse—normal under stressful times—even companies with strong potential, like SMPL. Source: Bloomberg Once...
- Portfolio Strategy
Despite Pullback, Earnings Revisions Support Rally Continuing
Given last week’s pullback, I remind investors to keep your eyes on the bigger target, the horizon six, 12, and 18 months away. Our work tells us that equity markets will be higher in the future. Additionally, from a positioning standpoint our proprietary sector single stock quantitative stock models still...