Leslie Alperstein leads his 12-member Washington Analysis squad to No. 3 for a fourth straight year. The analysts are “very connected inside Washington,” says one backer who focuses on financials and the insurance industry. “A lot of the stocks we own are affected by regulatory issues, and these guys seem to be closer to the actual decision makers.” Actions by the Federal Housing Administration to “shrink its footprint in the market for buyers making cash down payments of less than 20 percent by raising prices and tightening underwriting standards,” Alperstein contends, should continue to benefit private mortgage insurers. MGIC Investment Corp. in Milwaukee and Philadelphia-based Radian Group, whose stocks more than doubled year to date through August, are likely to remain among the winners. The Washington-based crew remains positive on this group because, regardless of how anticipated congressional reforms ultimately impact the FHA and reshape government-sponsored enterprises, “well-capitalized private mortgage insurers stand to play a central role in whatever system comes next.” — Paul Sweeney |
Milwaukee Paul Sweeney MGIC Investment Corp. Federal Housing Administration Leslie Alperstein
