Ryan Savitz

Johnson & Johnson: Is It Too Late?

Sharon,

I agree that you need to position your portfolio to capture the upside on a recovery. However, I do not feel that a full recovery is in the near-term and you must diversify your portfolio. With that being said, you should have JNJ to make you more tied to the benchmark and have protection on the downside. When looking for those stocks to outperform on the upside, I would look to Biotech (DNA, CELG, GILD) or possibly some CRO's (ICLR, CVD, PPDI). Still, I am a little uncomfortable buying into any small caps, or SMIDs. Diversify with some larger cap companies with still high growth rates.