Bloomberg Intelligence Senior Retail Analyst discusses Walmart's profit growth and changing business mix. Bloomberg News Health Care Reporter shares 23andMe's challenges. Qualcomm's Head of AI talks about on-device artificial intelligence. Drive to the Close with Hennessy Funds CIO on mid-cap investments.
Read more
AI Summary
AI Chapters
Episode notes
auto_awesome
Podcast summary created with Snipd AI
Quick takeaways
Walmart's business mix-shift boosts operating income faster than sales
Qualcomm's Head of AI discusses the rise of on-device artificial intelligence
Deep dives
Mid-Cap Stocks Selection Criteria and Strategy
The portfolio manager emphasizes the selection criteria for mid-cap stocks, focusing on companies between $1 and $10 billion in market cap. The fund looks for out-of-favor companies with valuations below 1.5 times sales, displaying earnings growth and positive stock performance. The strategy aims to identify undervalued but potentially growth-oriented companies.
Investing in Gap: Value Opportunity
The fund's top position in Gap reflects a value play with the company trading at attractive valuations. Despite facing challenges, Gap's inclusion in the portfolio illustrates the strategy of investing in undervalued companies with potential for growth and turnaround.
Retailers in Portfolio: Gap, Abercrombie & Fitch
The fund's recent additions of Gap and Abercrombie & Fitch highlight a focus on the retail sector. These investments demonstrate a contrarian approach, targeting companies that have seen positive stock performance despite being out of favor in the market.
Success with Diverse Holdings: Sprouts & Modine Manufacturing
The fund's success with diverse holdings like Sprouts, Modine Manufacturing, and Comfort Systems underscores the strategy of holding a mix of companies across sectors. Sprouts' 60% increase and Modine Manufacturing's 74% rise showcase the fund's ability to identify companies with strong growth potential.
Watch Carol and Tim LIVE every day on YouTube: http://bit.ly/3vTiACF. Bloomberg Intelligence Senior Retail Analysts Jennifer Bartashus discusses Walmart successfully growing operating income faster than sales, a trend likely to continue in fiscal 2Q as the company reaps benefits from a changing business mix. Bloomberg News Health Care Reporter Kristen V. Brown shares the details of her Businessweek Magazine cover story 23andMe's Fall Exposes DNA Testing as More Gimmick Than Remedy. Durga Malladi, Head of AI at Qualcomm, talks about the rise of on-device artificial intelligence. And we Drive to the Close with Ryan Kelley, CIO & Portfolio Manager at Hennessy Funds. Hosts: Carol Massar and Tim Stenovec. Producer: Paul Brennan.