In this clip from The Call @ Hedgeye, Keith McCullough and veteran Health Care analyst Tom Tobin delivered a masterclass on how the Hedgeye process won’t handcuff you to losing positions (like Old Wall valuation and multiple narratives).
“I’m going to suffer crazy pain if I hold on to my fundamental case too tightly,” said Tobin regarding his long HCA Healthcare (HCA) in the current Quad 3 economic environment, where growth is decelerating while inflation is set to reaccelerate.
The Hedgeye approach transcends fundamental narrative-based investing, incorporating macroeconomic signals to enhance conviction in investment decisions.
“HCA is a very good operator, but they are held captive by the environment that they live in,” he added. “I’m looking for reasons to dump longs, and I’m looking for reasons to add shorts.”
Watch the full video to hear his in-depth rationale for deciding whether to maintain positions or go short.
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