I recently returned to CNBC “Closing Bell” to discuss what’s going on in the market. At Fort Pitt, we think it pays to have a value-oriented philosophy, and our long-term investment strategy allows us to see how the market plays out with current economic volatility.
What we like to do is look for companies that either have an internal issue that we feel can be fixed, or that are in an “unloved” area of the market. As long as you continually check in on those companies and make sure your thesis on why you hold the stock is still applicable, the company should come back into favor whenever business cycles change.
At a macro-level, the missing link for a lot of firms is productivity. Focusing on efficiency and improving their business is key. When companies spend their money, they are going to have to make improvements towards productivity and efficiency, which can pay off for shareholders over time.
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