The fourth generation currency manager says why the time is right on these three small small cap stocks



Investors will wake up through knee-deep earnings as potential electoral interventions layoff on rattle markets on Thursday.

Our Phone of the day Comes from a New Orleans-based fourth generation money manager. Sandy Willer, portfolio manager at Villier & Co, says his great-grandfather, St. Denis, who started the firm in 1911 and was going through the Great Depression, said at the time: “Don’t love a stock because it Won’t love you back “

With this in mind, Little Villar has avoided technology superstars who appear to favor investors with small and midcap companies that he maintains “a high margin of safety”.

Furthermore, “History does not repeat but it rhyme.” Watch from 1998, 1999, 2000, then from 2001 to 2003 did well for names that were not Darling. “

His stock pics are Ligand Pharmaceuticals LGND.
-9.20%
“Biotech is a cheap and safe way to play,” he says. Its technologies help pharmaceutical companies find and develop treatments. The big “tailwind” of the ligand is captisol, a drug delivery technology being sold to Gilead GILD.
-0.56%
They say that for its remedial COVID-19 treatment.

Willer says that with more than 120 partners and 200 programs and all of that royalty revenue, Ligand’s operating margin is “north of 60%”. He estimates earnings at $ 7.64 per share in 2021, which would trade it at 12.7 times earnings, “a major disconnect in valuations”.

EHealth EHTH,
-2.44%
There is another pick. The owner of EHealth.com has seen shares soar to more than 40% this year due to some retention issues, but the company is about to help seniors purchase Medicare insurance. Some “50000 [people] Become 65 years old every day and qualify. Villare expects the stock to climb from the current $ 82 to $ 150.

The last pick, Kaiser Entertainment CZR,
-3.70%,
“The heart is not for the faint,” Ville admits. But in a recent zoom chat with Chief Executive Tom Reig, he learned that the company had saved $ 150 million by fixing 52 different casino buffets. “It’s not even what customers want, it’s one of the things that casinos always had,” Willer says.

Even if Nevada falls under more pandemic restrictions, Kaiser should do OK and the city feels busy, the manager said. “These people are going to be more profitable than before because their margins will continue to grow due to unbelievable cost control.”

market

Stock futures YM00,
-0.19%

ES00,
-0.23%

NQ00,
-0.20%
Are under slight pressure, and European stocks SXXP,
-0.09%
Are also struggling. Bitcoin prices BTCUSD,
+ 0.12%
Are hovering below $ 13,000. Here’s why they’ve been growing lately.

The buzz

Tesla TSLA,
+ 0.16%
The shares have risen 5% since the electric-carmaker reported its “best quarter”. But, according to some notes, Tesla did not manage to sell its cars for profit.

Chipotle CMG,
+ 1.34%
Shares are down about 4%, with even Mexican-food chains posting strong results.

Dow Dow, shares of Chemical Group
-1.60%,
And telecom group AT&T are on the result. Beverage giant Coca-Cola earned from
-0.51%
And equipment manufacturer Whirlpool WHR,
-1.55%
Still to come After shutdown, chip maker Intel INTC,
+ 0.13%
And toy manufacturer Mattel Mate,
-0.79%
will report.

The US has accused Iran of being involved in threatening emails to Democratic registered voters on the battlefield, and Russia has also obtained voter registration data.

After nearly a decade as a private company, security-software group McAfee began trading on Nasdaq on Thursday.

Weekly unemployed claims, current home sales, and key economic indicators are all ahead. Meanwhile, your mobile phone is providing the most closely watched indicators of the epidemic economy.

And tonight is the last presidential debate before the November 3 election.

Chart

The Market Year Blog is smelling the “Canary in the Coalfield” among COVID-19 pandemic winners of the stock market. Videoconferencing company Zoom ZM,
-4.43%
And peloton PTON, a home gym equipment company
-5.78%,
for example.

The blog has also highlighted a chart of roundhill sports betting and iGaming ETF BETZ,
-1.21%
Vs Invesco QQQ ETF QQQ,
-0.07%,
That tracks the Nasdaq-100 index NDX,
-0.10%.

Market Cannes / Refinitiv

“Betting has been hotter than technology … The Betting ETF, BTZ, has distorted QQQ since the inception of BETZ, but note the recent pullbacks,” notes the blog. “You probably don’t trade the area, but take a closer look at it …”

Random reads

Former New York Mayor Rudy Giuliani defends a compromise form in the “Borat” sequel.

Lyricist Paul McCartney’s new lockdown album is about “freedom and love”.

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