Today, Gordon Reid and The Panic-Proof Portfolio (Stockchase Research) commented about whether DFY-T, ZRE-T, CGRE-T, RIT-T, MRK-N, PHM-N, GS-N, WMT-N, TOL-N, CLS-T, UPS-N, FDX-N, AMZN-Q, USFD-N, LEN-N, ADBE-Q, CRWD-Q, AAPL-Q, GOOG-Q, GM-N, CB-N, UBER-N, CVS-N are stocks to buy or sell.
Still holds. Last month brutal for homebuilders. Though interest rates drifting lower, clear that won't be going as low or as fast as the market first thought. So the interest-sensitives are being punished. Yet mortgages are going up, somewhat negative for homebuilders.
Long US mortgages cause resale market to dry up, but will eventually force home buyers to homebuilders. He's looking closely to see if this is an opportunity to increase his holding in homebuilders.
Doesn't use them. He likes to invest in the economy and currency of the stock itself, sees it as an advantage. Just look at the past 6 months to see the benefit of having USD investments that come back to investors in Canadian currency.
If you're investing in US companies, but not in its currency, you have to go back to the premise of why you're investing in an economy you don't like. He likes the US market, the biggest in the world with many investment-grade companies.
New purchase for him, using proceeds from trimming JPM. Key player in capital markets. Capital markets business in 2025 should do extremely well -- lots of pent-up demand from the tight regulatory environment, which will change under Trump. Steepening yield curve will benefit. Undemanding valuation of 1.4x book. Yield is 2%.
(Analysts’ price target is $618.04)Off highs. 2025 provides a broad opportunity in healthcare. Big cancer drug Keytruda coming off patent in 2028, but that's built into the stock price trading at 10x PE. Other drugs in the pipeline to fill in the space. Track record of successful and profitable blockbusters. Yield is 3%.
(Analysts’ price target is $126.88)
Sold in late August. Exuberance in AI quickly turned to disappointment in investors' minds. He may not have agreed with that, but you have to face reality, so he made a quick exit. Still a good company, but risks with core business. He'd look elsewhere for new money.