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PAST TOP PICK
(A Top Pick Apr 06/21, Up 25%) Cybersecurity is a big secular growth area. Lots of pressure to make sure telecommunications are secure, especially as people work remotely. He'd buy it here.
computer software / processing
PAST TOP PICK
(A Top Pick Apr 06/21, Up 13%) Couple of tough years with Covid. Huge backlog, demographic tailwinds, improve people's quality of life. Pre-eminent company in this area. Can upsell new products coming out.
biotechnology / pharmaceutical
BUY
Good chance to buy with the pullback. Not expensive at 11x earnings. Will suffer from slower fees on banking side, IPOs and M&As are down. Great job of growing retail franchise, especially in US. Dividend will increase. Yield is 3.7%.
banks
BUY
Benefits from prices going up. Same store sales have done well. Not a cheap stock. Very effective operators. Buy on pullbacks, but he's buying here as well.
department stores
BUY
Strong, long-term organic growth. Skin care and makeup are the sweet spot. China has been a strong part of their growth and will continue to be, especially as middle class grows. Online has grown to about 28% of sales. Incredible brand recognition. Not a cheap stock, but it never is.
Consumer Products
BUY
Wait to add until after earnings? AWS continues to grow. E-commerce growth will continue to be impressive. Will continue to do well over the next several years. Hard for him to tell what impact an earnings miss might have, that's too granular for him. He'd buy here, and if it fell, he'd buy more.
specialty stores
DON'T BUY
Though fuel costs have gone up, ticket prices have gone up a lot to compensate. They make a lot of money on business class. So, initially, there might be a bump in travel, but the world has changed due to Zoom, etc. It's a really difficult environment.
Transportation