Novo Nordisk, Bridgestone Will Break Out Says Centre Fund Manager

Novo Nordisk has a strong pipeline compared to its rivals and will not need to spend big to acquire biotechs in the coming year, said Xavier Smith, Portfolio Manager for the Centre Global Select Equity Fund. Smith added that the Danish drugmaker will be able to maintain pricing on its highly profitable diabetes treatments. He is also bullish on Bridgestone, saying the Japanese tire producer has a strong balance sheet and will likely increase its dividend or buyback shares in the near future. Smith said Bridgestone will also benefit from the stronger dollar, just like Tata Motors, another one of his favorite stocks.