Should Investors Think About Dropping The Leaders And Picking Up The Laggards With A Rate Cut On The Horizon? Ivan Feinseth, CIO, Tigress Financial Partners
Benzinga's Premarket Prep team had Ivan Feinseth, CIO and Director of Research at Tigress Financial Partners to talk about rate cuts and undervalued stocks that could be worth picking up.
Transcript
00:00Obviously, you know, we've got a lot of stocks that have participated, we've had a lot of
00:03stocks that haven't participated in this rally.
00:06Just this talk overall, you know, obviously there's been an underperformance, you know,
00:10in the small caps, there's been an underperformance in a lot of interest rate sensitive names.
00:15Do those names start to show life here finally, because we are indeed probably going to get
00:20interest rate cuts starting in September?
00:22Would you be moving money maybe from some of the leaders to the laggards?
00:26Or do you just stay in everything?
00:28Well, I mean, you know, I think, you know, there's an old saying that if you have a football
00:35player on the field and he scores one touchdown after another touchdown after another touchdown,
00:41you don't pull him off the field and replace him with the player with the broken leg.
00:45I mean, the thought of buying stocks that haven't participated, you know, by selling
00:51the ones that have led, I think you keep your leaders, as I say, you know, you water your
00:55flowers and you pull the weeds.
00:58So you stick with what works.
01:01And we've also...
01:02So let's talk the weed of all weeds, Intel.
01:04And you know, Maxwell are stuck in this stock.
01:06Should we just pull this weed and throw it out and burn it?
01:09Is there a turnaround story for Intel?
01:12I believe there is.
01:14And unfortunately, it will be a longer time than we want to coming.
01:18I really do like the CEO, Pat Gelsinger.
01:23I think that he has undertaken a major endeavor that will just take a long time to be one
01:33of the world's leading foundries to manufacture semiconductors.
01:39But there's a lot of moving parts there.
01:42And the build out, you know, it's dependent on government participation on, you know,
01:50government investment, state investment, tax incentives.
01:54So there's a lot of moving parts.
01:59And you know, you want to go with really what works.
02:02And the best way to play this is some of my other favorite semiconductor company, which
02:06had a great run, pulled back here is Qualcomm.
02:09I think Qualcomm will be on the mobile device with AI of what NVIDIA is in the data center.
02:16And this recent pullback in Qualcomm.
02:18So number one continues in semiconductors continues to be NVIDIA.
02:24Number two is Qualcomm.
02:25Unfortunately, I've kind of had a bench Intel for a while.
02:29It needs to, you know, get some firm footing.
02:33It just maybe this last sell off was the final washout, give up, sell off.
02:38But we have seen that a few times.
02:40But you know, Intel is going to take a while to return.
02:43And investors, mostly everybody wants immediate gratification.
02:48They want to go with what's working now.
02:50And that will continue to be, I mean, even AMD, Taiwan semiconductor, beyond NVIDIA and
02:58Qualcomm.
02:59I still also like Corvo and Skyworks because communication semiconductors are an important
03:07part of the connectivity and AI and edge computing infrastructure.
03:13But you know, you go with what works and Intel, sadly, is going to be on the bench
03:18for a while.