Our call of the day is from a fund manager who is seeking out the hidden qualities in companies that others may overlook. He's got three stock picks to share.
A four-day winning streak for the S&P 500 SPX, +0.31% could be on the line Thursday, with some regrouping by investors after a hectic couple of weeks .
Murphy provides our call of the day, with some stock picks in the value space that meet his “hidden value” criteria. They hail from a new mutual fund he headed up 15 months ago — Easterly U.S. Value Equity Fund, up 58% and besting the S&P 500 by nearly 8% since inception. Murphy’s bread and butter is all about buying “hidden stories inside of companies that attract valuations,” kicking off with General Motors GM, -1.22%, which he likes over Tesla TSLA, +1.64% as an electric-vehicle play. One of GM’s growth qualities is its automated driving business, an example of a “hidden” story that he hunts down.
His next pick is nVent Electric NVT, -1.36%, “a play on the electrification of everything. They make enclosure tech, grid hardening, 5G rollout. These things are going to hook up to the grid so you’re going to have to put more power to electrical wires,” he said. The buzz The omicron variant is 4.2 times more transmissible than the delta one, according to a study from Japan.
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