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Dennis Gartman doesn't see froth in stock market

Investor Dennis Gartman told CNBC on Tuesday that he's staying away from high tech and big pharma because he thinks they may be in bubble territory.

"But in the simple things of economic growth, I don't think there's forth whatsoever." he said in a "Squawk Box" interview. The publisher of The Gartman Letter said he likes things like aluminum and coal—echoing themes he's outlined in recent days.

Also on Squawk Box, Ed Keon, portfolio manager at Quantitative Management Associates, said he thinks the pace of returns will slow down next year and will be driven more by earnings.

"We're not cheap anymore. We're definitely not cheap," he said. "We've been overweight in stocks for a long time. But I think it's reasonable to think that after a 25 percent-plus run, trees don't grow to the sky."

Talk that the stock market may be getting ahead of itself intensified Monday, when activist investor Carl Icahn said stocks are too expensive based on earnings and could see a big drop. Those comments dampened the enthusiasm after the Dow Jones Industrial Average pierced 16,000 and the S&P 500 cracked 1,800 for the first time before closing just below those levels.

(Read more: Was Carl Icahn right to put a damper on markets?)

In a quarterly letter published on Monday, Ben Inker, co-head of global asset allocation at GMO, argued that fair value for the S&P is about 40 percent below current levels.

By CNBC's Matthew J. Belvedere. Follow him on Twitter @Matt_SquawkCNBC.

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