Librarian Capital's Monthly Top Buys And Price Moves - May 2021 (Preview)

Portfolio Strategy

Summary

• Microsoft and Alphabet have moved up among our Top Buys even after significant gains, after Q1 results led us to raise our forecasts.

• Tobacco stocks had a mixed month after rumours of new FDA proposals; we are Buy-rated on 4 names, with Philip Morris the most preferred.

• PayPal is now #11 in our Top Buys, with a potential high-teens annualized return if management achieves its 2025 targets.

• In U.S. Banks, we have raised our estimates for Bank of America but downgraded our rating on JPMorgan to Neutral.

• Overall, April was a good month for our Buy-rated stocks, with 28 out of 33 gaining. Two stocks highlighted last month gained 10% or more.

This is part of a monthly series where we highlight the most attractive opportunities, notable share price moves and rating changes in our research coverage. The last edition, published on April 4, was "Librarian Capital's Monthly Top Buys And Price Moves - March 2021". From this month on, we will be naming our newsletter after the month during whic…