Newell Brands Inc (NWL)

From 2012-17 they did a great job of growing their earnings. Now, they're having difficulty. Earnings will be down this and next year. Also, activist shareholders are involved to shake up the business. Turnaround situations are tough. The next 9 months will be strong for equities, so if you own it, move on and take your lumps and buy something else. This turnaround will take a long while.

Newell did a big acquisition that hasn’t helped it. People are losing faith in brands and that is a serious threat to Newell’s business model.

It is looking like a value trap. They are having to sell off assets to pay down debt from a recent acquisition, which sounded great initially but is not panning out.

It has been a rough stock. Management over promised and under delivered. They made an acquisition that makes the stuff that is left behind when houses are robbed. No one wants the stuff.

Used to be a darling in this space. Fundamentally, it suffers from a broken chart recently. Are you catching a falling knife or getting the right price now? You'll face a wave of selling on the way back up when it bounces back, so this will create resistence levels.

Historically, this has been a very well-run company. They made a couple of acquisitions and got a little ahead of themselves on the balance sheet. They need to pay down a little bit of debt. Longer-term, shareholders have been rewarded well. What is required is another acquisition, but we are probably not going to see one for 6-12 months. If you don't own this, he feels the entries quite good.

This is a very good company. He owned a company it acquired. They have great brands and it should play into the consumer. $4k more per individual should come from tax credits for higher income earnings. Today their forecast disappointed investors. Then a news story worked against them. They were quick to say that their Crock Pot model eliminates the possibility the news story’s reported fire.

It had a stumble in the third quarter with back-to-school. The floods really impacted them. 11-12 times earnings. There are big synergies in an acquisition they made. He is buying under $30. (Analysts’ target: $35).

Recommended this in the fall, but was a little too early. The hurricane hit their supply, then they had a bad 3rd quarter. Their brands are still strong globally, and thinks the stock is going to head back to the $40-$50 where it came from. Dividend yield of 2.9%. (Analysts' price target is $35.)

Believes in the turnaround. Had acquired Rubbermaid and spent quite a bit of time rationalizing their brands and their offerings, and selling off some pretty iconic names. He is very positive on the name, but as result of his Stop-Losses he was taken out before it got really ugly. He’d be interested in taking another look at it now.

(A Top Pick Nov 23/16. Down 35%.) This is dirt cheap, trading at about 10X earnings. Reduced their guidance because there were some inventory issues at Office Depot and Toys “R” Us. Very well diversified. They’ve merged with Jardin, and going forward are going to be able to get a lot of synergies that ultimately support the earnings growth. Valuation is so compelling that it is tough to make an argument not to pick some up. Dividend yield of 3%.

This was a Top Pick last time. Had taken a risk when he recommended it. Their press release stated the hurricane had hit the chemical business in Houston, and was going to push up raw materials pricing. Back to school sales was very disappointing, and the stock took another drop. The company is well-managed. They made a large acquisition. He is still a believer in the company and that we will see a recovery in the next couple of years. It could be a double from here if everything goes well.

Just missed a quarter. In a toppy market, a hallmark is that companies that miss get really punished. You now have to look at this with your "risk lens". There are many people that now just want to get their money back. A lot of people will hang in longer than they should. If you own, you are selling into a headwind of "want to" sellers. He would recommend you sell.

(Used to be Rubbermaid.) They make Parker Pens, Waterman Pens, Sharpie Pens. They make a lot of different products that you can buy through a store or through e-commerce. Dividend yield of 2.28%. (Analysts’ price target is $56.) All 3 of his picks are below their all-time highs.

He is not in this sector. This company has been around for years and years and has been a consistent performer. This sector is not attracting a lot of money inflows at present. You could lighten up or acquire more on dips