DON'T BUY

DLTR vs. DG Likes the dollar store trade in general. Prefers DG, as it benefits from being in rural areas, away from the Targets and Walmarts. DLTR has a lot of urban competition. In the next 3-5 years, he prefers DG.

BUY
Likes it a lot. In the material space, which is part of the cyclical upswing you want to be involved in. An underowned name. Had been underperforming, but now seeing a bit of a turnaround. Decent dividend of 1.7%.
DON'T BUY
Bond yields have been one of the biggest stories in the past several months. 10-year yields in the US continue to move higher. Be careful about buying it here. Opportunity for long rates to move higher.
BUY
Generally, likes the emerging markets. They'll lead the way in the vaccine recovery, and benefit from a weaker US dollar. Its largest weighting is in China, with lots of very strong tech names. EM is probably underowned right now. A good hold for the next 2-3 years.
PAST TOP PICK
(A Top Pick Feb 27/20, Up 40%) Still really likes it, though it's gone sideways. Long-term, makes sense. Advertisers love it. Not expensive. Trades at 23x earnings, with a 21% EPS growth rate.
PAST TOP PICK
(A Top Pick Feb 27/20, Up 58%) He took profits because of valuation. Future growth depends on China and EM. That's where the valuation going forward gets foggy. Excellent brand.
PAST TOP PICK
(A Top Pick Feb 27/20, Up 9%) Does well in tougher environments. But the market's strong right now. When we get into trouble again, he may look at the name once more.
WAIT
He took profits. Makes sense long-term. Valuation is getting heavy at 36x earnings, for an EPS growth rate of 11-12%. A lot of money has gone into biotech, so this has suffered. If the valuation came down, he'd revisit.
COMMENT
Healthcare names. Likes the healthcare space with names like AbbVie, Teladoc, and UnitedHealth in his portfolio. Teladoc has done well, despite its volatility.
WAIT
Fantastic pandemic winner. With vaccines, has now fallen below 200-day moving average. Technically, doesn't look good. Death cross. Earnings expectations are OK, not fantastic, with its more lofty PE. Wait on the sidelines for better news.
DON'T BUY

Consumer staple names have fallen off, with trades into cyclicals. Tough to own given the valuation relative to what the growth rates are. You're paying 24x PE for 5-6% growth rate, a bit pricey. Prefers Costco in this space; not cheap, but growth rate is better. COST is doing things well in the e-commerce space.

HOLD

Consumer staple names have fallen off, with trades into cyclicals. Tough to own WMT given the valuation relative to what the growth rates are. You're paying 24x PE for 5-6% growth rate, a bit pricey. Prefers Costco in this space; not cheap, but growth rate is better. COST is doing things well in the e-commerce space.

BUY ON WEAKNESS
Continues to like it. Might be a bit overbought. 6-12 months out, as US vaccinations increase, this name should do really well. A recovery story. Low vacancy rate, premium locations and malls. Higher beta, so watch out. Pretty decent dividend at 4.5%.
DON'T BUY

Covered calls give you a boost in the distribution. Not a bad strategy when market is flat or slightly negative. If market continues to go higher, you're better off owning the underlying securities. Consider XEI instead, no covered call. Owns the securities outright, and so you won't get as high a dividend, but you might get more performance. In last 6 months, XEI returned17-18%, whereas ZWC returned 10.68%.

BUY

Covered calls in ZWC give you a boost in the distribution. If market continues to go higher, you're better off owning the underlying securities. Consider XEI instead, no covered call. Owns the securities outright, and so you won't get as high a dividend, but you might get more performance. In last 6 months, XEI returned17-18%, whereas ZWC returned 10.68%.