Stock Picker: Dollar Stores are Thriving
Richard Sparks of Schaeffer's Investment Research admits the current market environment is a tough one, but he still has some suggestions about where a stock investor's money should go.
"It's a very difficult market, there's a lot of volatility, there's a lot of downside risk," he told CNBC — but added, "It doesn't seem like there is enough pessimism here to put in a true market bottom."
"We're seeing a lot of optimism, a lot of 'It's an attractive market here,' a lot of 'The market is at a low P/E.'"
So where is he steering investment dollars?
"With the economy slowing, the for-profit education-services companies, like Strayer Education or Apollo Group, their profits continue to rise, and the stock charts are reflecting that," he said.
Sparks also likes shares of the so-called "dollar stores:" Dollar Tree, Family Dollar Stores, and 99 Cents Only Stores.
Disclosure information for Richard Sparks was not immediately available.