< The 2014 All-America Research TeamSunil (Nik) ModiRBC Capital MarketsFirst-Place Appearances: 0
Total Appearances: 7
Analyst Debut: 2008Slipping one position to third place is Sunil (Nik) Modi, who joined RBC Capital Markets from UBS in September 2013. The researcher also marks his debut appearance on the Cosmetics, Household & Personal Care Products lineup, at runner-up. In November, Modi issued a buy call on Greensboro, North Carolina’s Lorillard, whose brands include Kent and Newport, the top-selling U.S. menthol cigarette. The stock was trading at a discount, he advised, because of the threat that the U.S. Food and Drug Administration would restrict or ban the use of menthol in cigarettes, which Modi thinks is unlikely to happen. “We do not believe the FDA has the supportive science to regulate menthol cigarettes in a draconian way,” he explains, and so far, he has been correct. By mid-September, Lorillard’s shares had leaped 17.4 percent, to $59.03, pacing their peers by 11.7 percentage points. Modi “does a good job of differentiating his opinion from consensus and has a very strong understanding of the fundamentals driving the industry and the management teams,” one investor remarks.