- The rising probability of both cyclical and "secular" bear markets over the remainder of the decade is decidedly negative for small-cap transportation stocks.
- Most small-cap transportation returns occur because they are small caps.
- The return of the size effect in the second half of the decade will likely lead to long-term small-cap transportation outperformance.
- Cyclical risks could offset any upside long-term potential.
- History suggests it is best to wait for a broad-based market sell-off before loading up on XTN.
For further details see:
XTN: Small-Cap Transportation Stocks Have Likely Run Out Of Road