- Wolfe Research thinks the market is set up for short plays, calling the current enviroment "one of the most fertile grounds we’ve found for new short ideas."
- The boutique investment firm sets its sights on companies with weak cash flow and high capital spending that could be disrupted by policy uncertainty, although it concedes that the risky short theme is an underperformer in most markets.
- Wolfe large-cap short picks: BLL, CTAS, ED, EQT, FANG, GM, LNG, MGM, MLM, MU, NFLX, NOW, RCL, SRE, TSLA, VMC.
- Wolfe large-cap picks seen riding through a volatile market environment: AAPL, AMGN, BAC, C, CBS, DAL, GE, GLW, JPM, MCK, MS, PRU, TEL, TSN, YUM. The favorite list is heavy on financials.
- Source: Bloomberg