Ned Riley Group Quotations

I believe the group is going to be able to grow at least 8 to 10 percent in the future and I think the S&P earnings are going to slow down to maybe 7 or 8 percent, ... So this group could have actually a premium growth rate and yet a discount to the market that's, at least, 50 percent, if not lower.

Some of the negativity is lessening, but we've got to take small steps before we run as far as this type of investor is concerned. The retail investor is not usually the leader of the pack. This is not a group that's going to be waving the green flag in front of the bull and saying 'Let's go!'.

These companies are actually growing, ... The whole group is growing somewhere between 10 and 13 percent relative earnings growth and the price-earnings ratios are about 13 to 14 times. It's one of the few groups out there that are actually selling at their growth rate in terms of price-earnings ratio. And, right now, it's strange -- people don't like the group. It isn't a hot group.

This is an opportunity, ... You can find some health care stocks with price- earnings ratios, ironically, more cheap than they are in the cyclical area. The health care group of stocks that I like sell about 28 times earnings and have growth rates of 14 percent.

I do think that there are a group of investors that have changed their opinion about interest rates and that is extremely positive for the market. We clearly do better in a falling interest rate environment.