Let’s hear it for retail investors, who don’t get enough credit for taking care of business.
Citing Vanda Research, the Wall Street Journal reports that the average individual-investor stock portfolio is up 150% since the start of 2014, versus around 140% for the S&P 500’s SPX during the same period.
All that is largely thanks to love for tech biggies like Apple and Tesla, as savvy investors picked up on their importance. And who wouldn’t want to hop on the next big theme and be sitting on big gains in a decade or two.
That brings us to our call of the day, from JPMorgan, which is flagging a “$100 billion plus opportunity” from emerging weight-loss drugs, or GLP-1s — glucagon-like peptide-1 gut hormones that can help control blood sugar levels and lower appetites.
“We forecast U.S. sales for the GLP-1 category to exceed $100 billion in annual sales over time, split roughly 50/50 in diabetes and obesity. Our global market estimate is [more than] $140 billion by 2032,” said a team led by analyst Nicholas Rosato, whose estimates crush the $77 billion in sales by 2030 predicted by Morgan Stanley this summer.
His team is bullish on U.S. and Europe picks Eli Lilly LLY,
Laying out other beneficiaries, they tamp down worries over medtech device makers — they are bullish views on Insulet PODD,
In life sciences, they like Thermo Fisher TMO,
JPMorgan analysts then address the hot-button topic — how those drugs will cut into the American love for snack foods and drinks.
Echoing this, JP Morgan analysts say the impact is “real and potentially not small,” and share a survey showing GLP-1 users prefer meat, produce and dairy to snacks, sugary drinks and high carb items. Some caveats here, just under 500 people were surveyed and they say it’s hard to tell if those category shifts will persist, they say:
To this effect, Rosato and the team are bullish on protein drink maker BellRing BRBR,
What else? Within U.S. food delivery they are prefer the more global player Uber UBER,
Stock futures ES00,
Earnings are rolling out from big names on Tuesday — GE GE,
The S&P flash U.S. manufacturing and services purchasing managers indexes are due at 9:45 a.m.
Global demand for fossil fuels will peak before the end of the decade, as geopolitics hasten the move to renewable energy, says the International Energy Agency.
Best of the web
These were the top-searched tickers on MarketWatch as of 6 a.m.:
Skeletal, Taylor Swift-inspired Halloween lawn décor goes viral.
That 40 million year-old moon.
“Siren battles” blaring Céline Dion songs plague this New Zealand town.
Need to Know starts early and is updated until the opening bell, but sign up here to get it delivered once to your email box. The emailed version will be sent out at about 7:30 a.m. Eastern.
Listen to the Best New Ideas in Money podcast with MarketWatch financial columnist James Rogers and economist Stephanie Kelton.