GAMCO Investors, Inc. is an American hedge fund that is headquartered in Rye, New York. It is one of the largest investment institutions in the world, with a total of $9.2 billion of stock market investments as of the fourth quarter of last year. The fund is managed by Mr. Mario J. Gabelli, who is its chief executive officer. Mr. Gabelli set up GAMCO, previously known as Gabelli Asset Management Company, in 1976, and has been running it since then, giving him decades of experience in the finance industry according to Yahoo Finance.
As reported on Yahoo Finance, Mr. Gabelli in an interview with CNBC, mirrored sentiments that while the first half of this year will be turbulent, investors can expect the market to take off in 2024. His research came from the proverbial horse’s mouth, as the investor outlined:
“A year from now, Joe [laughs], it’s gonna be 2024 and the opportunities a year later are gonna be terrific. But short term, what I’m learning from visiting companies, listening to meetings, reading the dynamics, one, goods are becoming more available, but more importantly, the managements have learned how to deal with pass throughs, how to deal with inflation, how to deal with currency, how to deal with the balance sheet and interest rates. And they’re learning the inelastic questions about the demand for their products.
Now from my point of view revenue’s gonna be quite okay this year in nominal terms. Gross margins are going to be challenged short term for the manufacturing sector. SG&A, kind of held in check, and then the question is taxes, we talked about, there’s a 15% tax on booked profits, that’s kinda gotta be worked out. Bottom line, I think that things are okay, but there’s going to be a lot of tension in the first half of the year in the markets.” said the GAMCO CEO.
Mario Gabelli says aerospace stocks are poised to take off. “The aerospace industry, defense, commercial aviation is extraordinarily exciting,” said the GAMCO Investors chairperson and CEO.
He told CNBC that he is buying several stocks in the space. He mentioned that names like Crane Co (NYSE: CR), Textron Inc (NYSE: TXT) and L3Harris Technologies Inc (NYSE: LHX) are all on his radar, as he sees tailwinds for those companies in the years ahead.
“We need 40,000 new planes built in the next 20 years. The population of aircraft is going to go from 20- to 40,000,” he said.
Crane manufactures components for the aerospace, defense, space and process end markets. Textron designs, manufactures and services specialty aircraft and L3Harris makes products for the global aerospace and defense industry.
CR, TXT, LHX Price Action: At the time of writing, Crane shares were down 0.84% at $91.91, Textrong was down 0.87% at $77.26 and L3Harris was down 0.03% at $187.66, per Zenger News Pro.
Produced in association with Benzinga
Edited by Eunice Anyango Oyule and Judy J. Rotich
