67 WALL STREET, New York - March 20, 2014 - The Wall Street Transcript has just published its current Investing Strategies Report . This special feature contains expert investing recommendations through in-depth interviews with highly experienced Money Managers. The full issue is available by calling (212) 952-7433 or via The Wall Street Transcript Online.
Topics covered: Secular Growth Themes - Small Cap Investing - Upside in Small-Cap Stocks - Value Investment - Balanced Investment Approach - Global Growth Equities - All-Cap Investing - Value and Growth Investing
Companies include: Geo Group Inc. (GEO), Internap Network Services Corp (INAP), Amazon.com Inc. (AMZN), eBay Inc. (EBAY) and many others.
In the following excerpt from the Investing Strategies Report, a small cap growth portfolio manager discusses his investing methodology and top picks for investors:
TWST: Could you please begin with an overview of ASTON/LMCG Small Cap Growth Fund?
Mr. Morey: The ASTON/LMCG Small Cap Growth Fund is a three-and-a-half-year-old small-cap growth mutual fund that follows our investing philosophy of unrecognized growth potential. Specifically, we're looking for companies that have growth in revenues and earnings and cash flow, either currently or in the future, and have that growth coupled with a lack of recognition by the outside investing community. These factors provide not only an opportunity for growth in revenue and cash flows, but also an expansion in the valuation multiple, and we as investors would benefit from both.
TWST: What is your process like for evaluating and adding a company to the portfolio?
Mr. Morey: There are several steps to our process. Initially we do some screens to narrow down the small-growth universe. We only aim for 65 stocks in the portfolio, so we want to start with a relatively narrow slice of the universe. Those screens are based on revenue growth, margin expansion, and the company's potential to surprise and revise upward on those revenues, earnings and cash flows.
Secondly, we do an extensive due diligence and fundamental research process. This involves meeting with the management teams, talking to the competition, and gaining a deep and thorough understanding of the key investment drivers that will drive the stock price up or down. At this point our focus on unrecognized growth acts as a catalyst...
For more of this interview and many others visit the Wall Street Transcript - a unique service for investors and industry researchers - providing fresh commentary and insight through verbatim interviews with CEOs, portfolio managers and research analysts. This special issue is available by calling (212) 952-7433 or via The Wall Street Transcript Online.