Jeff Layman, of BKD Wealth Advisors, and William Lefkowitz, of V-Finance, shared their best stock and sector plays for the dog days of summer.
“We’ve come off a strong July,” Layman told CNBC. “We’ll have to start seeing new flow, showing improvements in various parts of the economy and not just the rate of the decline slowing—and we’re seeing that in some areas.”
Layman advised investors to take a more international focus, but said his favorite sector within the U.S. is the technology area.
“Valuations are very reasonable relative to growth rates and these companies have low debt loads,” he said of the tech sector.
“Most of these companies have more than 50 percent of sales coming from abroad, which we think the [international] theme plays out very well—that’s going to be where the net incremental growth will come from."
Additionally, Layman said he sees opportunity in the energy sector, while he told investors to avoid cash and short-term treasurys.
In the meantime, Lefkowitz told investors that there are a lot of exciting opportunities and this is a chance to make “a ton of money.”
“Options are still showing that people are fearful out there, but you can take advantage of them,” he said. “If you take a look at Apple for example, it’s been coming back—they didn’t see the recession that everyone’s talking about.”
Lefkowitz said companies such as Caterpillar and MasterCard should also continue to go up as the economy starts to get better.
Cisco’s options are also relatively cheap, added Lefkowitz, “so there’s another place for a person to take a shot at,” he said.
No immediate information was available for Layman or Lefkowitz.