Building or rebalancing your portfolio and wondering what investments to consider next?
Here’s what leading experts featured on BNN Bloomberg say investors should consider adding and dropping from their portfolios today.
Michelle Connell | President, Owner, Portia Capital Management
In your opinion, what single investment should investors own right now — and why?
Technology stocks, those companies operating in domestic markets and emerging markets.
Tech stocks’ growth rates are significantly higher than the underlying economies. For example: Nvidia revenue is growing over 70 per cent versus the companies in the S&P 500 are only growing 10 to 11 per cent.
From your perspective, what is one investment investors should consider dropping from their portfolios — and why?
Cash: Have some five to seven per cent for opportunities, but timing the markets never works. Still invested.
Martin Cobb | Vice-President, Equities, Lorne Steinberg Wealth Management
In your opinion, what single investment should investors own right now — and why?
Constellation Software (CSU TSX)
One of the most compelling risk/reward stocks today. In addition to it being frankly a bit laughable that artificial intelligence (AI) is going to eat their software businesses, it also seems forgotten by the market that CSU is a serial acquirer of other software companies and that is what drives the bulk of its growth. With still anticipated solidly mid-teens revenues growth and even higher in earnings per share, the forward multiple today is a mere 15 times anticipated 2026 earnings.
From your perspective, what is one investment investors should consider dropping from their portfolios — and why?
Tesla (TSLA NASDAQ)
With Tesla today you have a seemingly mature car manufacturing business, a promising but still fairly insignificant energy storage division, an autonomous driving arm that may have backed the wrong technology, and a humanoid robots operation that barely makes its way into the top 10 players in the world. All this for the princely sum of $1.3 trillion. The emperor still has no clothes.
