Core Viewpoint - The article highlights the resilience of the US equity market, driven by a strong economy, solid earnings, and accommodative monetary policies, while emphasizing the potential of high-growth stocks despite premium valuations [1]. Economic Outlook - Wall Street strategists expect continued corporate earnings growth in 2026, with S&P 500 company earnings projected to rise by 15.5% in 2026, compared to 13.2% in 2025 and 12.1% in 2024, indicating a positive market outlook [2]. - Some economists predict muted economic growth in 2026, suggesting a focus on growth stocks with low valuations may be beneficial [6]. Investment Strategy - The methodology for selecting high-growth low-PE stocks involved identifying companies with over 20% sales growth and more than 10% upside potential, while focusing on those with a forward P/E of less than 15 and popularity among hedge funds [8]. Company Highlights - **Coterra Energy Inc. (NYSE:CTRA)**: - 5-Year Revenue Growth: 22.43% - Forward P/E: 13.19 - Stock Upside Potential: 11.11% - Recently announced a merger with Devon Energy Corp., creating the largest US shale operator with an enterprise value of approximately $58 billion [11][12]. - **Delta Air Lines, Inc. (NYSE:DAL)**: - 5-Year Revenue Growth: 29.96% - Forward P/E: 10.32 - Stock Upside Potential: 11.20% - The company has approved a quarterly dividend and plans to modernize its fleet with new Airbus wide-body jets to meet strong demand [15][16][18].