Technology is the only area where companies are beating revenue estimates and it is where investors should be positioned, said Mark Demos, portfolio manager at Fifth Third Asset Management. (See his stock picks, below.)
“Most companies are missing the revenue but making good bottom line estimates. Technology companies are beating both top-line and bottom-line,” Demos told CNBC.
At the beginning of the recession, “tech companies reacted very swiftly and now they are beating expectations,” he said.