Industrials are our favorite sector now, says Manulife John Hancock's Matt Miskin

Watch on YouTube ↗  |  January 23, 2026 at 19:23  |  4:07  |  CNBC
Speakers
Matthew Mish — Head of Content, CoinDesk
Kelly Evans — Anchor, The Exchange (CNBC)

Summary

Matt Miskin of Manulife John Hancock Investments says quality/value is the firm's mantra and industrials are their favorite sector, supported by higher return on equity, legitimate 16% earnings growth, accelerated depreciation, and strong aerospace/defense demand. He is cautious on metals after a FOMO-driven rally and would trim into strength, sees tech 2026 earnings estimates as rich, and prefers industrials over regional banks despite regional banks' double-digit earnings growth and M&A activity. He also describes a macro backdrop of good growth with less inflation, not stagflation.

  • Matt Miskin favors quality/value and calls industrials their favorite sector.
  • Industrials are backed by higher ROE, 16% earnings growth, capex incentives, and aerospace/defense demand.
  • He is cautious on metals and would trim into strength after a FOMO-driven rally.
  • Tech 2026 earnings estimates look rich to him at 20-30% growth.
  • Regional banks have strong fundamentals but regulatory/headline risks; industrials are preferred.
  • Macro view: growth is accelerating modestly while inflation stays in check, not stagflation.
  • AI data center buildout and onshoring are cited as industrial demand drivers.
Ideas
Matthew Mish Head of Content, CoinDesk 0:24
Quality value over rich tech estimates
Matt favors quality/value now, with tech 2026 earnings estimates looking rich at 20-30% growth after 20% last year, so he prefers the value side over tech.
Value stocks HIGH
Matthew Mish Head of Content, CoinDesk 0:24
Quality value over rich tech estimates
Matt favors quality/value now, with tech 2026 earnings estimates looking rich at 20-30% growth after 20% last year, so he prefers the value side over tech.
XLK HIGH
Matthew Mish Head of Content, CoinDesk 0:28
Industrials favorite on earnings and capex
Industrials is their favorite sector now because return on equity is rising, solid companies are seeing demand pull-through, and 16% 2026 earnings growth looks legitimate after a tough year. Industrials should also be a major beneficiary of the One Big Beautiful Bill's accelerated depreciation, which spurs capex, while aerospace/defense demand is strong.
XLI HIGH
Matthew Mish Head of Content, CoinDesk 1:00
Aerospace and defense demand remains strong
Within industrials, aerospace and defense is humming and ready to take flight, with demand still strong and support from geopolitical risk and defense spending.
ITA HIGH
Matthew Mish Head of Content, CoinDesk 1:29
Trim metals into strength on FOMO
Miskin is cautious on metals amid a FOMO-driven rally, with gold and silver having surged. He thinks trimming into strength may be a better idea than chasing the move.
GLD SILVER HIGH
Matthew Mish Head of Content, CoinDesk 2:32
Small/mid-caps offer broader earnings momentum
Small and mid-cap trades offer broader earnings momentum outside mega-cap tech and are more tilted toward industrials and regional banks, which are showing strong fundamentals.
Small/Mid-Cap Equities MED
Matthew Mish Head of Content, CoinDesk 2:41
Regional banks strong but headline-riskier
Regional banks are coming in strong with double-digit earnings growth, nice M&A activity, a steeper yield curve, and a healthy wealth management business. However, they face headline/regulatory risks and market sensitivity, and Miskin thinks industrials may be a better spot.
KRE MED
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This CNBC video, published January 23, 2026, features Matthew Mish discussing Value stocks, XLK, XLI, ITA, GLD, SILVER, Small/Mid-Cap Equities, KRE. 7 trade ideas extracted by AI with direction and confidence scoring.

Speakers: Matthew Mish  · Tickers: Value stocks, XLK, XLI, ITA, GLD, SILVER, Small/Mid-Cap Equities, KRE