The bottom for energy stocks will come when investors feel they can't own them at any price—and that point is close at hand, Tom Lee, founder of Fundstrat Global Advisors, said Monday.
Fears about the energy sector's debt exposure and the oil-linked debt of countries around the world is currently fueling selling, he told CNBC's "Squawk Box."
"I think in people's minds this is becoming so scary, they've got to sell everything at every cost, and I think that's how you get close to a bottom," he said.
Lee reiterated his belief that oil could surprise to the upside next year after the selloff.
Conversely, Merrill Lynch sees oil prices remaining low for an extended period as U.S. producers continue to pump. That will add to oversupply, translating into a tough year for the energy sector, said Christopher Wolfe, chief investment officer at Merrill Lynch's private banking and investment group.