Hello, Friends: A Value Play Here

Two years ago, college basketball's March Madness event was one of the first major sporting--Indeed, American--events cancelled due to the pandemic outbreak. Last year's tournament was a pandemic-modified version. And this year is where we will likely a return to normal, if you will, at least normal under the circumstances. 

The event kicks off this week and lasts until the first Monday in April. CBS Sports has the rights to the lion's share of the games, especially later on in the tournament for the big ratings, and thus, big televisions ads. CBS Sports is owned by PARA, which used to trade under the ticker VIAC. 

PARA is a solid value play, albeit one which has been frustrating value players for a good while now with the stock's inept performance. 

However, as the tide continues to turn away from growth and towards value, we not only have PARA spiking higher today, but it is also doing so on the cusp of a well-defined bullish bottoming formation. On the PARA daily chart, updated below, we can see the inverse head and shoulders bottom triggering above $36.

If that holds, I think PARA can eventually work its way up to the mid-$40s this spring and summer.

To be sure, there are quite a few value plays like PARA which seem ripe for the taking here. In the near-term, we have so many variable such as Russia, the FOMC, even China now, general market sentiment, that it is anyone's guess.

However, the big picture view for me remains the same: We are still in the early stages of a long-term regime change from growth into value being favored by market players. Just as surprises in growth will mostly be to the downside (just when most are looking for the opposite), surprises in value will be to the upside.