Barron's Picks And Pans: Bank Stocks, O'Reilly Automotive, Sarepta And More


27% profit every 20 days?

This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.


  • This weekend's Barron's takes a look at the unusual value stock picks at one off the radar hedge fund.
  • Other featured articles offer the prospects for top banks now that they have pulled back and a biotech company that is a potential takeover target.
  • The outlook for an auto parts retailer and a real estate investment trust (REIT) are also examined.

"Top Hedge Fund's Unusual Value Stock Picks" by Michael Shari takes a look at what stakes have helped put Hawk Ridge Fund in the top tier in performance. See how a cautious focus on companies that are off the radar but with share prices far below their long-term value led to picks such as Aaron's, Inc. (NYSE:AAN), eHealth, Inc. (NASDAQ:EHTH) and Fogo De Chao Inc (NASDAQ:FOGO).

In "It's Time to Put Some Money Into Banks," Andrew Bary points out that after a postelection run-up, bank stocks have fallen back to earth. Find out why Barron's believes Bank of America Corp (NYSE:BAC) and others look like a buy now. The six large commercial and investment banks featured have some of the lowest valuations in the sector, and the profit outlook is looking up.

Andrew Bary's "Drugmaker Sarepta's Stock Could Double or More" makes a case that the only FDA-approved drug for the treatment of Duchenne muscular dystrophy could attract a deep-pocketed acquirer for Sarepta Therapeutics Inc (NASDAQ:SRPT). Could this biotech company and potential takeover target become profitable by 2019? And what is the sales potential of this drug?

See also: How People Choose Hedge Funds: The Importance Of Branding

Seritage Growth Properties (NYSE:SRG) is signing on new tenants who pay substantially more rent than closing Sears stores, according to "Lampert's Seritage Play Could Lead to Long-Term Gains" by David Englander. While the woes at Sears have brought short-sellers to this Manhattan-based REIT, Barron's sees its equity value rising sharply in the next decade.

In Jack Willoughby's "O'Reilly: The Top Pick in Auto-Parts Retailing," see why Barron's thinks shares of O'Reilly Automotive Inc (NASDAQ:ORLY) could rise 75 percent in three years as the company outgrows its rivals and even fends off Amazon.com. See what sets this company apart from its peers and why with its shares looking pretty cheap the stock merits a long-term bet.

Also in this week's Barron's:

  • Morningstar's new CEO and a controversial gambit
  • What generates better yields than bonds and less volatility than other alternatives
  • The rush to gold triggers investor concerns
  • Why small town economies are thriving
  • The Burt Reynolds stock market
  • Whether the dollar is too weak or too strong
  • Payout ratios and dividend safety
  • A look at the Smoot-Hawley tariff
  • Whether the risk of a recession is fading

Keep up with all the latest breaking news and trading ideas by following Benzinga on Twitter.


27% profit every 20 days?

This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.


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Posted In: Barron'sMediaaaron'sBank of AmericaBarron'seHealthFogo de chaoO'Reilly AutomotiveSarepta TherapeuticsSeritage Growth Properties