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Stick With Stocks — And Try Tech

Eric Thorne of Bryn Mawr Trust Wealth Management says stocks haven't vanished from his firm's portfolios, and he has a few recommendations for stock-market investors.

"We've just gone through a period where stocks have underperformed bonds for the last ten years," he told CNBC. "That's extremely rare; we don't expect that to repeat itself, and we still think that equities have a prominent place in client portfolios."

He's careful about dividend plays, and warns investors to look out for yields that only look high: "A lot of times, the 'high yields' are because stocks have fallen so much," he pointed out. "Go beyond the dividend yield; go to what these companies' cash flows look like; see if they have any topline growth."

Thorne says the top line is often more reliable than other figures.

"It's easier to fudge earnings — you can do that a lot of different ways," he said. "It's tough to fudge the top line, and it's tough to fudge the cash flow figures."

Recommendations:

So what if any stocks look like good buys to him right now?

"We're not buying aggressively; we're certainly not selling what we have," he said. "There are some of these technology companies, IBM, for example, and Hewlett-Packard, we think will be really big beneficiaries of a bounce-back, once we start to see some stabilization in the economy later this year."

Disclosures:

Disclosure information for Eric Thorne was not immediately available.

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