The Federal Reserve’s September meeting kicked off yesterday and continues today. Investors are hoping for a significant rate cut. Trump appointee Stephen Miran was sworn in as Fed governor on Monday; he’ll have a vote on the rate cut. It should be an interesting get-together.
This cut should affect the new 52-week highs and lows going forward.
In yesterday’s action, 121 and 352 stocks hit new 52-week highs on the NYSE and Nasdaq, respectively, on Tuesday. On the downside, the NYSE had 32 new 52-week lows, while there were 73 on Nasdaq.
These numbers, which include ETFs and preferred shares, are extremely bullish, suggesting that the markets remain overvalued.
That said, it doesn’t mean you can’t still find some value from both the NYSE and Nasdaq; you have to look more closely.
To get a sampling from the 52-week new highs and lows on both the NYSE and Nasdaq, I’ll recommend four stocks worth considering for your portfolio–two from each exchange, with one 52-week high and one low from both.
If you do buy any of them, I would wait until after the rate cut’s been announced, and details of the decision are fully digested and understood.
The Conductor Global Equity Value ETF (CGV) hit its 26th new 52-week high of the past 12 months on Tuesday at $14.90. It was also an all-time high for the nine-year-old ETF.
Value stocks have been unloved for so long that it’s hard to imagine investors would be interested in CGV. The MSCI World Value Index through Aug. 29 has a 10-year annualized return of 9.58%, 264 basis points less than the MSCI World Index.
I see value and global stocks outperforming in the next 12-24 months as the U.S. stocks lose some of their shine.
CGV is an actively-managed ETF that turns its portfolio approximately 100% each year. Managed by IronHorse Capital, it focuses on small to mid-cap stocks, although it can invest in all cap sizes.
Using fundamental screening criteria such as price-to-book, enterprise value to free cash flow, high Altman Z-Scores, and above-average return on invested capital, it diversifies across 40 to 90 names.
It currently owns 81 stocks, with its top 10 holdings accounting for 21% of its $125 million in net assets.
Admittedly, this is a contrarian recommendation. Given current valuations, I see active management as necessary to achieve above-average results over the next 24-36 months.
Constellation Brands (STZ), best known for owning the U.S. rights to Corona, Modelo Especial, and other Mexican beers, hit its 40th new 52-week low of the past 12 months on Tuesday at $133.84. It also happens to be its five-year low.
Constellation Brands took a big detour in 2017 when it acquired 9.9% of Canadian cannabis producer Canopy Growth (CGC). It upped the stake to 38% in 2018 with a $4 billion investment. It made the investments to diversify away from beer. In hindsight, we know that the strategy failed miserably.
Fortunately for Constellation, it acquired the U.S. rights to the Modelo brands of beer in 2013 for $2.9 billion. That acquisition created a cash flow gusher that enabled it to invest in Corona in the first place.
Eleven years later, its stock is up about 210% despite the numerous bumps in the road, including current issues such as tariffs and reduced alcohol consumption by younger drinkers.
One of the reasons I like Constellation’s stock is that Berkshire Hathaway (BRK.B) owns 7.6% of the company, accounting for 0.6% of the holding company’s equity portfolio.
Although Berkshire’s been a net seller for most of the past year or two, it doubled down on Contellation in Q1 2025. That’s as good a sign as any; it’s a value play for patient capital.
Picking one stock out of 352 new 52-week highs is like finding a needle in a haystack. But here goes.
High Tide (HITI) hit its 17th new 52-week high of the past 12 months on Tuesday at $3.99. It also hit a new 3-year high. It hasn’t traded this high (no pun intended) since April 2022.
This is also a contrarian selection.
High Tide is a Calgary-based retailer of cannabis. It has 207 Canna Cabana locations in Canada and is on track to open close to 30 stores by the end of 2025. It is the country’s largest cannabis retail brand.
It has two loyalty programs: Cabana Club (free) and ELITE (paid), with 2.15 million and 115,000 members, respectively, across Canada.
As the company points out in its Q3 2025 press release, the average Canna Cabana store generates 2.1 times more revenue than its peers in the five Canadian provinces where it operates.
Its free cash flow through the first nine months of 2025 is CAD$10.7 million ($7.8 million) on CAD$430 million ($312.6 million).
As cannabis businesses go, this one is worth considering as the industry continues to mature.
Horizon Technology Finance (HRZN) hit its 27th new 52-week low of the past 12 months on Tuesday at $6.56. It also hit a new 5-year low. It is down considerably from its November 2021 all-time high of $19.08.
Horizon provides secured loans to venture capital and private equity-backed companies operating in innovative industries such as life sciences, technology, and health care.
It generates revenue from the loans it makes, as well as capital gains from warrants received from its debt investments. It pays investors a monthly distribution of 11 cents. The annual rate of $1.32 yields a high 20.1%.
The share price has fallen 40% over the past year. Much of the concern revolves around the credit quality of its portfolio companies.
Of the 46 investments as of June 30, five were internally rated a 1 out of 4, indicating a high likelihood of non-repayment.
One more negative–at the end of the second quarter, its net asset value per share was $6.75, down 20% from $8.43 a year ago, and 40% from $11.20 at the end of Q2 2021, around the time of its all-time high.
On the upside, the merger announced in August with Monroe Capital (MRCC) will see Horizon increase its net asset value to $446 million from $283 million, while integrating the private credit asset manager and its $22 billion in assets under management.
Horizon shareholders will own 63% of the merged entity, with Monroe shareholders owning 37%.
As I see it, the increased scale provided, along with the cost synergies, should put a floor under Horizon’s share price.
If you’re patient and are willing to absorb a potential cut to the monthly distribution, I don’t see why it can’t return to double digits in the next 12-18 months.
On the date of publication, Will Ashworth did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on Barchart.com
