The 1 Stock I'd Buy Before Vanguard's VTWO Right Now

Company Overview - Upbound, formerly known as Rent-A-Center, rebranded in 2023 after 50 years of financial obscurity, expanding its business model beyond its own storefronts [5] - The company operates Acima, a platform that allows other retailers to offer lease-to-own financing, significantly increasing its market reach from approximately 1,700 stores to 11,000 other retailers [6] Financial Performance - Upbound has been identified as a potential outperformer within the Russell 2000 index, particularly due to its financial stocks that exhibit low valuations and reasonable yields [4] - The company has a forward P/E ratio limited to less than 5, indicating strong earnings growth potential [4] Market Context - The Vanguard Russell 2000 index fund offers low-cost access to a diversified basket of small-cap stocks, with an expense ratio of 0.03%, making it an attractive investment option [1] - Small-cap stocks, including those in the Russell 2000, have shown resilience and outperformance in the market over the past year, despite trading at earnings multiples in the high teens [2]

The 1 Stock I'd Buy Before Vanguard's VTWO Right Now - Reportify