Barron’s summary: Positive on Kroger, CIT, Micron, Littlefuse, Teekay; cautious on shale boom impact on propane makers; discusses stocks related to Brazil election
Cover story: Highlights two fund managers at Fidelity with two separate approaches. 1 who chooses stocks he feels will double earnings in 5 years, the other who chooses stocks under $35/shr that look undervalued with strong cash flow. Discusses the environment for passive vs active investing and the potential for the pendulum to swing back to active investing as interest rates normalize and correlations among stocks start to break down.
Tech Trader: Discusses positive Credit Suisse note on NXPI. Mentions YHOO for Snapchat reports from late in the week along with activist investors becoming involved. - Cautious on the Ebay-Paypal split; sees the two as better together, and alone face strong competition from Mastercard, Visa, and Apple.
Trader: Positive on CIT as its stock has retreated to a price before its announcement of deal for OneWest. Shares have underperformed the market and there is an opportunity to take advantage of its growing assets.
Features: Discusses Kroger's approach to expand beyond food and how the stock is undervalued compared to peers. Positive on the company's push to embrace e-commerce and other formats. Positive on MU, sees increasing memory sales leading to a stock price rise of almost 50%. Notes consolidation in the space has led to stronger discipline in DRAM production; MU shares priced cheaply at 9 times earnings and at discount to peers.
Small Caps: Positive on LFUS as auto makers add more features to their vehicles. - Emerging Markets: On Brazil elections, EBR, Banco Do Brasil, PBR, and Cosan are stocks to sell on Rousseff victory, stocks to buy if Silva wins.
Emerging Markets: Positive on Teekay as a way to take advantage of global oil and gas markets along with middle class wealth in emerging markets. Sees potential for 30% upside move.
European Trader: Positive on European defense stocks as spending outside the US on defense actually rose. Notes stocks have underperformed in the face of austerity and may perform better at any slight hint of more spending.
Asian Trader: Positive on Vietnam following an embargo lift by the US regarding arm sales. Also sees positive developments from the central bank's effort to clean up Vietnam banks.
Commodities Corner: Cautious on propane makers. Sees propane companies as being hurt as supply outpaces demand.