< The 2014 All-America Research TeamChristopher HorversJ.P. MorganFirst-place appearances: 0
Total appearances: 6
Team debut: 2009J.P. Morgan’s Christopher Horvers advances from No. 3 on this list to No. 2, notching his best showing to date. The analyst has been telling clients to be selective and focus on those hardline retailers that boast significant company-specific sales and earnings drivers. “We believe there will be a time later this year or early next to look at underperforming, value names,” adds Horvers. “Being early in retail often does not pay, given the momentum orientation of the sector and competitive headwinds.” One name he does recommend buying is Advance Auto Parts, which is based in Roanoke, Virginia. In February 2013 he elevated the stock from neutral to buy, at $77.14, on the back of management’s efforts to optimize earnings as well as commercial share opportunities. In January, Advance Auto closed its acquisition of General Parts International, a Raleigh, North Carolina–based privately held replacement products producer operating under Carquest Auto Parts and WorldPac brands. The deal had been announced in October, and following a period of restriction, the researcher picked up right where he had left off, citing the same strong factors plus what he dubbed the “transformative nature” of the acquisition. By mid-September the shares had traded up to $133.99. Horvers offers “nice feedback about positive and negative catalysts for each stock,” remarks one money manager.