With the European Central Bank planning to start buying bonds and asset-backed securities, cyclical stocks represent the best bet for value-oriented investors seeking exposure to the Continent’s comeback story.
The recent pullback in US equity markets reflects a perfectly healthy bout of profit-taking after an extended rally and shouldn’t be confused with something more sinister. Investors should buy the dips with confidence. Investors who focus on stocks with specific upside catalysts, as opposed to a macro-driven strategy, will outperform.
Alcoa’s big earnings surprise and a bullish outlook for regional aluminum prices puts Wealth Builders Portfolio holding Century Aluminum in the sweet spot. The small-cap aluminum smelter has gained 43 percent over the past four months, and we see the potential for another 40 percent in upside.
All our holdings in the Wealth Builders Portfolio have reported quarterly results, with most living up to or exceeding the market's expectations. We review the final five sets of earnings and revisit our investment theses for these names.
With ample exposure to the booming auto industry in the Wealth Builders Portfolio, we book a gain of almost 47 percent in BorgWarner (NYSE: BWA), a leading manufacturer of turbochargers. We also highlight our favorite sectors for the coming months.
It’s morning in America. The shale oil and gas revolution has pushed the US closer to energy independence, giving the country a huge economic advantage over Europe, as well as China and other emerging markets.
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