Ken Fisher’s Price-to-Sales Ratio and Super Stock Picks

While investors and the media focus on a stock’s PE ratio, investing guru Kenneth Fisher affords more attention to the price-sales ratio as a valuation measure, writes Validea CEO John Reese in a recent Forbes article. Reese outlines the Fisher investment philosophy and related criteria that inspired one of his stock screening models. Using this model, Reese identifies the following five high-scoring picks: Steelcase (SCS) provides an integrated portfolio of furniture settings, user-centered technologies and interior architectural products. The company has a favorable price-to-sales ratio as well as long-term earnings-per-share growth. Manpower Group (MAN) is a provider of workforce solutions […]

Ken Fisher’s Wish List

In last week’s Forbes, money manager Ken Fisher offers a list of things he is grateful for as well as a wish list for the year ahead. He is grateful that: the election “noise and nonsense” is fading away; America’s stocks hit new highs as what he calls our “joyless bull market trudged on;” the global economy grew, albeit slowly “despite the endless stupid policies and regulations that governments and central banks keep spewing;” China didn’t “implode, as so many feared.” His hopes are that: Fed raises short-term rates several times, “so we can overcome our fear of that;” short-term […]

Fisher: The “Fog” of Uncertainty Good for Stocks

Ken Fisher, Forbes Magazine columnist and successful investment manager, explains why the uncertainty that investors are fearful of will subside with time and why this is good for stocks. He identifies a number of issues investors are wrestling with – China’s growth, the US presidential election, falling oil, Brexit, negative interest rates and a profits recession. These concerns, according to Fisher, could all be largely priced into the market and as we move through each of these with time, the “fog” of uncertainty will lift, and that should be good for equity investors. For instance, when it comes to the […]

Fisher: Parallels with the 1990s

  Long-time Forbes contributor and Fisher Investments CEO Ken Fisher opines that “the most stunning unnoted market phenomena right now are parallels between the past eight years and the period between 1988 and 1997,” which he suggests could mean that “this bull cycle may last longer than anyone imagines – maybe the longest ever.” Fisher analogizes the S&L crisis to the home mortgage crisis, as well as the government programs to address them and the impacts on Wall Street. He also notes political parallels in the U.S. and Europe, plus suggests possible causal similarities in emerging markets yield-curve spreads, corporate […]

Fisher: Market Correction Mirroring 1997. Bull Will Resume.

Ken Fisher, Fisher Investments chairman & CEO, says this correction looks very similar to that of 1997, which was referred to as the Asian Contagion. Like then, this correction has been influenced largely by uncertainty around currencies. Also similarly to 1997, the most recent correction is during a period of low interest rates, falling commodity prices and has come after a long period of time without the market seeing a 10% pullback. In addition, according to Fisher, this correction and the one in ‘97 come roughly about the same amount of time (6-7 years) after major real estate declines (1990 […]