Brian Marshall, senior analyst at Broadpoint AmTech and Gene Munster, senior research analyst at Piper Jaffray shared their insights on the tech sector and where investors should be putting their money. (See their stock picks, below.)
“The seasonality that you typically see in September—Dell talked about that returning,” Munster told CNBC.
“So the fact that we’re getting seasonality returning is a sign that consumers are returning back to their typical behavior, which is good news.”
Munster said the tech sector is starting to show signs of stabilization.
“The enterprise environment, while it was down year over year, it wasn’t down as much people had expected,” he said.
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In the meantime, Marshall said the second half of 2009 will benefit companies such as IBM, Hewlett-Packard and Dell with the new server upgrade cycle.
“We think that’s going to continue and gain traction in 2010 and 2011,” he said. “The best single way to play that new server cycle is through VMWare.”
Apple —“There’s a lot of upside to the stock,” said Munster. “There’s a fundamental shift to what’s going on to how people are viewing their cellphones…Apple’s going to get broader distribution in the U.S. and they’re going to create more content deals with Apple TV in the future.”
Apple—“We think the iPhone is starting to penetrate the enterprise,” said Marshall. “It’s been a consumer-electronic-driven drive—we think it’s the Trojan horse for Apple to enter the enterprise.”
Marshall does not own shares of Apple, EMC or VMWare. Munster does not own shares of Apple, Amazon.com or LogMeIn.