< The 2014 All-America Research TeamC. Stephen
Tusa Jr.J.P. MorganFirst-Place Appearances: 1

Total Appearances: 8

Analyst Debut: 2007Although C. Stephen Tusa Jr. slips one rung to third place, the J.P. Morgan analyst continues to win praise for “providing thoughtful analysis of trends,” as one fund manager puts it. Tusa reports on 20 companies in the sector and is currently enthusiastic about what he calls “late-cycle” stocks, particularly those that boast “an attractive, growing end-market, with margin improvement potential.” As a case in point, he cites Pentair, a U.K. diversified industrial manufacturer of valves and controls. The analyst launched coverage in August 2013 with an overweight rating, at $61.62, owing to management’s operational improvements and Pentair’s solid performance track record. In April, when the share price had leaped to $77.65, climbing 26 percent while the sector advanced 11.4 percent, he declared the stock “due for a pause,” largely on valuation. Tusa did not, however, downgrade it, and by mid-September, Pentair had settled to $67.33, for a life-of-call gain of 7.7 percent that eclipsed the sector by 2 percentage points. His price objective for the stock is $79.

RUNNER(S)-UP
Steven Winoker
Sanford C. Bernstein & Co.