Yacktman Sees Opportunities in Media Stocks

Donald Yacktman, chief investment officer of Yacktman Asset Management and one of Morningstar’s finalists for fund manager of the decade, is seeing value in an unlikely area of the market: media stocks. Yacktman says media stocks like Viacom, Comcast, and News Corp. (all of which he owns) are still good values, despite having risen significantly this year. Overall, he says the best values right now involve businesses that are “very high quality”, not the junk-type… Read More

Muhlenkamp High on Healthcare, Tech Stocks

Ron Muhlenkamp, whose fund has bounced back strong this year after a rough stretch and has now beaten 90% of funds in its class in the past decade, is high on high-quality technology and healthcare stocks. According to Kiplinger’s, Muhlenkamp is high on tech firms like Hewlett-Packard and Cisco. He’s also made a bundle on IBM in recent months, and is now scaling back on that position, Kiplinger’s says. In the healthcare sector, Muhlenkamp likes… Read More

When More Stocks Doesn’t Equal More Diversification

Diversification is a topic we often discuss on this blog, and in the video below Jason Zweig of The Wall Street Journal offers some very interesting thoughts on the topic. According to Zweig, many studies have shown that holding 20 to 30 stocks can diversify away much of the risk you’d get by picking just one stock. But, he notes, the problem is that those studies are based on computers randomly generating portfolios — not… Read More

Siegel Sees 4%-5% Growth Ahead

Wharton Professor and author Jeremy Siegel says he thinks the U.S. economic recovery will surprise to the upside, with 3.5% GDP growth in the fourth quarter and 4% to 5% growth in the first half of 2010. Siegel tells Bloomberg that he believes that by December or January the U.S. will see its first positive payroll reading. “Once that turns positive, I think that’s going to remove an element of fear” that has plagued Americans,… Read More

Bolton Eyes China

Fidelity’s Anthony Bolton, one of the U.K.’s most successful fund managers before retiring in early 2008, is putting retirement on hold as he tries to take advantage of what he says is the “opportunity of a generation” in China. Bolton is starting a new fund focused on companies exposed to Chinese consumer growth, The Wall Street Journal reports. “He points to studies that show consumers in emerging economies launch into a new phase of purchasing… Read More

Mobius: Be Ready for Emerging Market Correction

Templeton Asset Management’s Mark Mobius says investors should be ready for a 20% correction in emerging market stocks, triggered by Dubai’s attempt to delay its debt payments and compounded by the devaluation of the Vietnamese currency. “This may be the trigger to allow for the market to take a rest and pull back,” Mobius told Bloomberg. “A 20 percent correction is not unusual in such a bull market, so that’s quite possible and we should… Read More

Fisher Still Bullish, Focused on Materials Stocks

Kenneth Fisher thinks that a strong internal demand for materials and commodities in emerging market countries is part of what will continue to drive materials stocks higher. Fisher also tells Bloomberg that areas that do okay in the first part of bear markets but badly on the back half of bears — like materials in the recent bear — tend to lead in the first part of the next bull market. [youtube=http://www.youtube.com/watch?v=8FXbE9921Hk]  

Ritholtz on the Economy/Market Disconnect

Barry Ritholtz of The Big Picture blog and Fusion IQ says that, while the economic recovery is anemic, a number of other factors are making stocks continue to look attractive. Ritholtz, who called both the market crash and the recovery, tells Yahoo! TechTicker that as long as the economy remains weak, the Federal Reserve will likely keep interest rates at historically low levels, which is a bullish sign for stocks. Those low rates and the… Read More

Biggs Sees Market Moving Higher

Hedge fund guru Barton Biggs tells Charlie Rose that he expects the next major move in the market will be to the upside, and says he thinks the U.S. would be wise to add more stimulus into its recovering economy. Biggs says he’s looking for the market’s next big move to be a 10% to 15% rise. He does see the U.S. having slower growth in coming years, because of the lingering effects of the… Read More