Wall St running out of steam

CRAIG Hodges, who runs one of the best-performing US mutual funds, is preparing for the next leg of America's almost five-year-old bull market.

After his holdings of Yelp Inc and Pandora Media Inc doubled earlier this year, the 50-year-old manager is adding a new stock: Gogo Inc, an unprofitable provider of in-flight WiFi that's up 63 per cent since its June public offering.

"We've got another two or three years of a good stock market," said Hodges, whose Dallas-based Hodges Fund is beating 99 per cent of its peers with an increase of 55 percent. "We're coming up with new areas all the time. When things get crazily stretched, there are new emerging names out there to get in."