Second, those in stock picking who doubt the economic power of 86 million millennials will do so at their own risk. It is very difficult to have anything but a good Main Street economy when that many Americans get into the 30-45-year-old age bracket. We continue to like retailers (Target Corp., TGT), homebuilders (NVR Inc., NVR) and financial institutions (American Express, AXP; Bank of America, BAC; and JPMorgan Chase, JPM), which could prosper from this 10-year secular tailwind.
In conclusion, well-known facts give us insight into extremely popular and unpopular common stocks. Thank you for your attention and Happy Thanksgiving to all.
William Smead is CIO and CEO of Smead Capital Management.