Société Générale cross-asset strategist Manish Kabra says a stock-market rotation is in 'full bloom', with nine of 11 sectors delivering double-digit profit growth. Small-cap industrials EPS is up 30%, signaling stronger breadth even as technology EPS growth remains the strongest. Kabra recommends three positioning strategies: long banks, which he expects to catch up in the second half of 2026; long industrials, utilities, and materials through the cycle; and long reshoring stocks, which are up 20% year to date and consistent with five-year outperformance.
Societe Generale S.A.SocGen strategist's recommendation of banks and reshoring stocks may indirectly benefit SocGen as a bank, but the article focuses on the strategist's views, not SocGen's own performance.