Our Most Attractive Stocks outperformed as a long portfolio and our Most Dangerous Stocks outperformed as a short portfolio last month. See two of the featured stocks from this month’s model portfolios.
Unlike many unprofitable tech firms whose stocks have outperformed, the stock of this high-ROIC tech firm has lagged significantly over the past year. A strong competitive position and recent roll-out of new products make the profit growth expectations embedded in this stock look too low.