IITSF - Top 10 Stocks 2nd Half 2024 With Steven Cress
2024-07-11 08:00:00 ET
Summary
- Top 10 stocks for the 2nd half of 2024 from a Quant perspective shared by Steven Cress, Head of Quantitative Strategy.
- Hercules Capital the 1st BDC to make the list, followed by SPX Technologies in the industrials sector.
- General Motors' straight As.
- Why Super Micro Computer is #2 and a retailer is #1.
Listen here or on the go via Apple Podcasts and Spotify
Steven Cress , Head of Quantitative Strategy, shares his top 10 stocks for the 2nd half of 2024 from a Quant perspective (1:12). Hercules Capital, the 1st BDC to make the list (9:55). Industrials sector pick: SPX Technologies (14:40). Kirby, a Quant strong buy with mixed factor grades (19:00). Straight As for General Motors (29:20). PDD Holdings, a 2023 top stock based in China (42:05). Why Super Micro Computer is #2 and a retailer is #1 (45:09). This is an excerpt from a recent webinar.
Transcript
Daniel Snyder: Hello everyone. Daniel Snyder from Seeking Alpha here, joined by the one, the only, Steven Cress, our guide of Quantitative Strategies. And this is exciting, because we were just at Seeking Alpha’s Investing Summit last week in New York City going over this exact topic talking about these 10 stocks and now we finally get to bring it to all of you. So, thank you for taking the time to join us today or watch the replay if you are watching that here on Seeking Alpha as well. Steve, I want to go ahead and bring you on in. How you are doing?
Steven Cress: I’m doing wonderful. Thank you so much for inviting me on today.
DS: Of course. Everybody loves to hear from you. I mean, these top 10 picks that you've been doing for the last few years now seem to produce some really nice returns for the people that follow them. So, I'm excited to dive into these 10 stocks today. Maybe the people that are watching right now want to create a Seeking Alpha portfolio and throw some of the tickers in as we go along.
Steve, let's get started.
SC: Well done, Daniel. All right, so I'd like to start off with just a quick overview on Quant and what our vision is. For many investors, I'd probably say, probably 99% of investors out there, investing in stocks sometimes can be a very emotional decision. And I even know with my own mother, she inherited a stock, and she absolutely refused to sell that stock because she inherited it from her father. And I know there's a lot of individuals out there like that. They have a deep emotional attachment to stocks.
One of the things we would really like to achieve from a Quant perspective is to eliminate that emotional attachment, because that doesn't really help you become a good stock picker. What involves becoming a good stock picker, from our perspective, from a Quant world, is using a data-driven process. And what we basically like to do is, evaluate stocks based on their metrics versus the sector, or even its own five-year historical average. But for the most part, what we do with our system is, we really zone in on metrics.
The core metrics we'd like to use are value, growth, profitability, EPS revisions, and momentum. And within the context of growth, value, and profitability, there are a lot of underlying metrics, but for each metric that we're looking at per stock, we're comparing that metric relative to the rest of its sector. So, it gives us an instant idea of how that stock looks on that metric versus the sector.
And then when we total up the scores, we can get a directional recommendation to see where it ranks overall versus the sector and the entire stock universe that we cover at Seeking Alpha....
Top 10 Stocks 2nd Half 2024 With Steven Cress