Stock Market Cafe
  • Home
  • Trading News
  • Email Whitelisting
  • Privacy Policy
  • Home
  • Trading News
  • Email Whitelisting
  • Privacy Policy
No Result
View All Result
Stock Market Cafe
No Result
View All Result
Home Trading News

Morgan Stanley Says Time Ripe for ‘Bottom Fishing’ Stock Losers

by
January 4, 2022
in Trading News
0
0
SHARES
0
VIEWS
Share on FacebookShare on Twitter

(Bloomberg) — U.S. stock investors can “add some more spice” to their choices as a new year begins and the pressure of keeping up with indexes eases, according to Morgan Stanley strategists.

Most Read from Bloomberg

RELATED POSTS

Stocks stage big comeback Tuesday with S&P 500 finishing slightly higher after erasing 2% loss

Don’t be duped by doomsayers, JPMorgan says — the S&P 500 will rebound to 4,900. Here are 3 stocks it’s using to bet on a bounce

Police Pinpoint Starting Point of Historic Colorado Wildfire

Ivanka Trump, Donald Trump Jr. Subpoenaed in Asset Probe

Property Stocks Sink After Demolition Order: Evergrande Update

U.S. Catches Kremlin Insider Who May Have Secrets of 2016 Hack

The Next Video Game From BioShock’s Creator Is in Development Hell

“As we enter 2022, the key question for investors is to decide if they want to stay with the relative winners, or is it time to start bottom fishing the losers,” strategists led by Michael Wilson wrote in a note to clients on Monday. “While we continue to favor the large cap defensive tilt that has been working, we recommend creating a barbell with stocks that have already been hammered but offer good prospects at a reasonable valuation.”

Following a year of blockbuster gains and earnings growth for U.S. stocks, most strategists now expect more muted returns in 2022.

That’s because they see the post-pandemic economic rebound as past its peak, while the Federal Reserve hits the brakes on stimulus measures that fueled the rally. Beating benchmark indexes has also become more challenging as the rally narrows, with most of the gains concentrated in a handful of mega companies in the S&P 500.

“We still recommend a large cap defensive bias given tightening financial conditions and decelerating growth,” Morgan Stanley’s strategists said on Monday, singling out real estate, healthcare and consumer staples as potential winners against the emerging macroeconomic backdrop. Opportunities also exist elsewhere, such as small and medium-cap value stocks, they said.

“Despite the quality bias since March 2021, small cap value has outperformed small cap growth by 25 percentage points–the mirror image of large,” the strategists wrote. “That is some serious alpha, and we think it’s related to our other key view–valuation matters.”

Most Read from Bloomberg Businessweek

What Really Happens When Workers Are Given a Flexible Hybrid Schedule?

How to ‘See’ Time: The Secret to Peak Entrepreneur Productivity

Stop With the Covid Excuses, Already–Customers Have Caught On

The Mannequin Fascination That Spurred a Sustainable Business

The Super League Debacle Forced Manchester United’s American Owners to Listen to Fans

(C)2022 Bloomberg L.P.

ShareTweetPin

Related Posts

Stocks stage big comeback Tuesday with S&P 500 finishing slightly higher after erasing 2% loss

by
July 5, 2022
0

Stocks staged an afternoon rally on Tuesday as concerns about a possible recession in the U.S. weighed on investor sentiment...

Don’t be duped by doomsayers, JPMorgan says — the S&P 500 will rebound to 4,900. Here are 3 stocks it’s using to bet on a bounce

by
July 5, 2022
0

TipRanks Micron’s Outlook Misses the Mark, but the Stock Is a Buy, Says Raymond James Everyone is reeling from the...

Stocks stage big comeback Tuesday with S&P 500 finishing slightly higher after erasing 2% loss

by
July 5, 2022
0

Stocks fell on Tuesday as concerns about a possible recession in the U.S. weighed on investor sentiment. The Dow Jones...

Ray Dalio is having a good year with Bridgewater’s flagship fund gaining more than 30% so far

by
July 5, 2022
0

Bridgewater's flagship hedge fund has returned more than 30% through the first half of 2022 as elevated volatility created a...

30-Year Mortgage Rates Decrease to 5.50%

by
July 5, 2022
0

by Calculated Risk on 7/05/2022 03:56:00 PM Today, in the Calculated Risk Real Estate Newsletter: 30-Year Mortgage Rates Decrease to...

Next Post

Dow rises for a second day to new record, broader market weighed down by tech losses

A record 4.5 million workers quit their jobs in November

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

email

Get the daily email about stock.

Please Enter Your Email Address:

By opting in you agree to our Privacy Policy. You also agree to receive emails from us and our affiliates. Remember that you can opt-out any time, we hate spam too!

MOST VIEWED

  • Crocs sees fourth-quarter sales up 42%, CEO Andrew Rees says 2021 was ‘exceptional year’

    0 shares
    Share 0 Tweet 0
  • Buying a car from the factory sounds expensive, but it can actually save you money. Here’s how to do it.

    0 shares
    Share 0 Tweet 0
  • Roth TSP vs. Roth IRA: How Do They Compare?

    0 shares
    Share 0 Tweet 0
  • The states that won’t tax military retirement in 2022

    0 shares
    Share 0 Tweet 0
  • Allbirds stock has plunged 50% in two months, now one top analyst says buy it

    0 shares
    Share 0 Tweet 0
  • Home
  • Trading News
  • Email Whitelisting
  • Privacy Policy
All rights reserved by www.stockmarket-cafe.com
No Result
View All Result
  • Home
  • Trading News
  • Email Whitelisting
  • Privacy Policy

All rights reserved by www.stockmarket-cafe.com