In his latest column for Canada’s Globe and Mail, Validea CEO John Reese takes a look at the resurgent auto industry.
Reese says that the auto industry, which not too long ago was in dire straits, has made a striking comeback. And, he says, things continue to look up. “The combination of pent-up demand caused by the Great Recession, growing wealth among consumers in emerging markets like China, and rising fuel prices — which are leading drivers to trade in older cars for newer, more fuel-efficient models — makes the future look not too bad for auto makers,” he writes. “And considering where things were a few years back, ‘not too bad’ is pretty darn good.”
Reese looks at a handful of auto stocks that get high marks from his Guru Strategy computer models, each of which is based on the approach of a different investing great. Among them: General Motors Co., which gets a 90% score from his Kenneth Fisher-based model. To read the full article and see all the picks, click here.