Market Neutral

Market Neutralblog

Investment ideas for the informed adviser.

Chart of the day: Morningstar's top 10 stock purchases

Comeback-kid AIG tops the list, which is heavily weighted toward financial services and technology

Dec 11, 2012 @ 12:01 am

By

Morningstar's senior stock analyst Greggory Warren revealed the Top 10 buys and sells for their managers for the third quarter and early fourth quarter. The list of top purchases (shown below) was heavily weighted toward financial services and technology, Warren noted, with AIG taking the top spot.

However, Warren also points out that while Morningstar analyst Jim Ryan says "shares of AIG are materially undervalued when compared to his own valuation (which assumes nothing more than mediocre results over time)," uncertainties still remain. In fact, Ryan acknowledges that AIG "has made significant strides in its recovery," but Warren adds that from an "economic moat perspective, AIG fails the test in almost all regards, [and Ryan believes] that the road to re-establishing its competitive position will be long and extremely difficult."

As for the top 10 stocks that Morningstar was selling, that list is topped by Anheuser-Busch Inbev and Wal-Mart.

For more on Morningstar's stock perspectives, click here.

+ Zoom

0
Comments

What do you think?

View comments

Recommended for you

Featured video

Events

What makes now an ideal time to talk about philanthropy?

With the end of the year approaching, advisers need to be thinking about charitable giving. Schwab's Kim Laughton and JMG's Melissa Walsh discuss some new opportunities to consider.

Latest news & opinion

Meet our 2017 Women to Watch

Introducing 20 female financial advisers and industry executives who are distinguished leaders, advancing the business of providing advice through their creativity and hard work.

Raymond James executives call on industry to keep broker protocol

Also ask firms to pay for the administration of the protocol to 'ensure its longevity and relevance.'

Senate committee approves tax plan but full passage not assured

Several Republican senators expressed reservations about the bill, and the GOP cannot afford too many defections.

House passes tax bill, focus turns to Senate

Tax reform legislation expected to have more of a challenge in upper chamber.

SEC enforcement of advisers drops in Trump era

The agency pursued 82 cases against advisers and firms in fiscal year 2017, down from 98 the previous year.

X

Subscribe and Save 60%

Premium Access
Print + Digital

Learn more
Subscribe to Print