Rendino said he is “overweight” the technology sector, adding that investors should buy the stocks when everyone thinks they’re cyclical and sell when everyone thinks they’re growth stocks.
“I think in 2010, we’re going to see a shift away from PC improvements, which we’ve seen this year, and more to the enterprise,” he said. “And so we’re focusing on the companies that spend most of their time on enterprise like IBM, Hewlett Packard, and LSI Logic. We got paid for cost cutting, but we haven’t gotten paid at all for potential revenue growth.”
Meanwhile, he said companies such as Apple are “extended.”
“We think we’ve underspent in terms of the wireless [sector] over the last 3 or 4 years and then we’ve had recessionary spending as well, so there’s ways to play the PC and the consumer in different ways other than buying Apple or buying Rimm ," he said. "And those are focused more on PCs and semiconductor names like Maxim, LSI and Analog Devices on the industrial sides.”
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Rendino and his firm BlackRock own shares of LSI, APPL and HPQ.