At first glance, the thought of acquiring discretionary retail plays – even the ones labeled as the best consumer cyclical stocks – may seem daunting. Sure, the May jobs report came in much hotter than anticipated, which on the surface bodes well for sentiment. However, some nuances shouldn’t be ignored. Yes, hiring jumped but so did the unemployment rate. Further, the average hours worked and the pace of wage growth both declined. As well, investors shouldn’t ignore that it’s taking longer for
While common sense dictates that a healthy portfolio should be geared toward large-capitalization equities, the best small-cap stocks to buy offer something that big boys usually can’t: a favorable “ratio.” Allow me to explain. Basically, with large caps, you have to put in a lot of money to (hopefully) accrue a lot of money. These entities represent low-risk, low-reward affairs. In other words, investors pay for the underlying predictability with rather pedestrian return potential. On the flip