A Bear Picks Bullish Internet Stocks
"Even bears celebrate Christmas, or at least I think they do," Jordan Rohan, RBC Capital Markets managing director, told CNBC.
Although Rohan describes himself as a bear, and says that so many negative catalysts have rarely appeared on the macro front, he's found some promising Web stocks.
He believes that when one plays the bearish side exclusively, one tends to miss out on some stocks that are "very well positioned, gaining share, improving profitability, and have otherwise uncorrelated revenues."
On Rohan's "buy" list, the common thread is the Internet.
"Everybody knows Amazon and Google," he said. "Those are two of the very important Internet bellwethers."
Then there are the hidden gems. "Liquidity Services is a reverse supply chain that uses the power of an option model to sell goods from the Department of Defense and from various retailers," explained Rohan.
"MDC Partners is a leading ad agency holding company," he said.
Finally, there's GMarket, which Rohan described as "a leading e-commerce player in Korea."
"When I focus on e-commerce, when I focus on markets outside the U.S., I'm counting on a fourth-quarter rally for some of these names," he said. "People realize that consumers will be buying gifts one way or another, and these important market-share gainers should have a pretty good fourth quarter."
Full disclosure: Rohan's employer, RBC Capital Markets, owns a stake in MDC Partners and provides investment banking services to Liquidity Services.