The Gurus Go Drilling for Oil (and Gas)

In his latest column for Forbes.com, Validea CEO John Reese takes a look at several stocks from the oil and gas industry. “When it comes to big oil and gas companies and their stocks, it’s hard to look past the negatives,” Reese says, citing BP’s huge 2010 spill, and political and environmental pressures. “But whether you like it or not, big oil companies are likely here to stay for quite a while. While alternative fuels have… Read More

Guru-Inspired Picks from the Ripening Farming Industry

Profits in the agriculture industry are reaching all-time highs, and in his latest Forbes.com article, Validea CEO John Reese offers some ideas for how investors can profit from the surge. “This year, the Department of Agriculture is forecasting record profits for the farming industry, with net farm income topping the $100 billion mark for the first time ever,” Reese writes. “The projected $103.6 billion in income would be a 24.5% increase over 2010, with big… Read More

The Lynch Approach: GARP, PEGs, and Profits

Every other issue of The Validea Hot List newsletter examines in detail one of John Reese’s computerized Guru Strategies. This latest issue looks at the Peter Lynch-inspired strategy, which has averaged annual returns of 6.4% since its July 2003 inception vs. 2.1% for the S&P 500. Below is an excerpt from the newsletter, along with several top-scoring stock ideas from the Lynch-based investment strategy. Taken from the September 16, 2011 issue of The Validea Hot List Guru… Read More

Five Guru-Inspired Bargains for Any Market

In his latest article for Forbes.com, Validea CEO John Reese looks at the range of opinions about the broader stock market’s current valuation. Reese notes that some, like Yale Economist Robert Shiller, say the market is more than 40% overvalued based on the 10-year P/E ratio. Others, like hedge fund guru Leon Cooperman, say stocks are trading well below historical norms based on projected earnings. “So, who’s right?” Reese asks. “Well, they both are, in… Read More

Reese: Top Picks from the Rebounding Healthcare Sector

In his latest column on Seeking Alpha, Validea CEO John Reese says his Guru Strategies are finding some intriguing picks in the healthcare sector. “For much of the two-year-plus stock market rally, the healthcare sector has been left far behind the rest of the market,” Reese writes. “That’s changed recently. While the rest of the market has stumbled amid the turmoil in the Middle East and the tragic earthquake and tsunami in Japan, many healthcare… Read More

A Guru-Inspired Look at Top Canadian Stocks

In Canada’s Globe and Mail, David Parkinson takes a look this week at Validea Canada’s guru-inspired investment strategies. “One of the problems with pursuing a specific investing strategy — even one supported by the proven successes of one of the most revered investing minds on the Street — is that it rarely works best in all circumstances,” Parkinson writes. “Depending on the market conditions, it may be more profitable to be a growth investor, in… Read More

Reese on How to Dig Up Hidden Gems Like Lynch

Many investors are drawn to stocks of companies that come from exciting, booming industries or that have catchy names and flashy new products. But mutual fund legend Peter Lynch prized a much  different set of qualities in his investments, and in his latest article for NASDAQ.com, Validea CEO John Reese takes a look at some of them. Reese notes that Lynch is known for his “buy-what-you-know” advice — the notion that individual investors can find… Read More

Global Value Picks Buffett, Graham & Lynch Might Like

In his latest article for Forbes.com, Validea CEO John Reese says the high levels of fear in the market are creating a variety of opportunities around the globe for disciplined value investors. “A double-dip recession, tax hikes, a U.S. budget crisis, a European debt contagion — these are just a few of the fears now dogging investors, many of whom are still reeling from the 2008 financial crisis and market crash,” writes Reese. “But for… Read More

Guru Strategy 7-Year Report Card: Ben Graham Still on Top

More than three decades after his death, Ben Graham is still beating the market. At least, Graham’s strategy is still handily beating the market, according to Validea.com’s guru-inspired portfolios, the original 10 of which recently hit the 7-year mark in terms of performance tracking. And the results show that Graham, known as “The Father of Value Investing”, is still king. From its July 15, 2003 inception through July 15 of this year, Validea’s 10-stock Graham-inspired… Read More

Ellison on Small Banks, Lynch Lessons

David Ellison, the financial sector fund manager who sidestepped much of the 2008 and 2009 market plunge by moving to a heavy cash position, is now seeing plenty of opportunity in financials — particularly in smaller banks. “We’re in the process of going from ugly to OK in banking,” Ellison, whose two funds have handily beaten the market over the long haul, told Bloomberg. “If you ride the right horses, you will do all right.”… Read More