Hodges Capital Management’s CEO Favors Commercial Metals

The video discusses current stock market trends, highlighting the disparity between small caps and the S&P 500, suggesting a potential economic slowdown. It reviews the earnings season, noting management's cautious strategies amid tariff concerns. The speaker critiques the high valuation of defensive stocks, advocating for investments in undervalued growth companies. Recommendations include Commercial Metals, a rebar manufacturer poised to benefit from infrastructure projects. For defensive strategies, larger blue-chip stocks and certain retailers are suggested as having limited downside and significant upside potential.

What growth rates does the speaker mention for certain companies compared to their earnings multiples?

Can you name a company that the speaker believes is mispriced in the market?