Our 6 Best Nasdaq Stock Picks: Chief Investors
CNBC.com Writer
With the Nasdaq making its comeback since the March 2009 lows, here are the top names to check out within the tech stock index, said Jerry Castellini, president and chief investment officer of CastleArk Management, and John Merrill, founder and CIO of Tanglewood Wealth Management.
“These companies in the Nasdaq—Apple included—have been to the moon in the dot-com bubble. And when the bubble burst, they’ve been in a downward spiral of relative valuation and P/E ratios ever since,” Merrill told CNBC.
“But that’s the past, and in our view, they’re past the point of fair valuation and entered the realm of significant undervaluation as a group, as a whole.”
Merrill's stock picks include Microsoft , Oracle , Cisco and Research In Motion .
Looking Beyond Tech
In the meantime, Castellini said investors don’t necessarily have to stick to the tech-related firms to benefit.
“Look at Paccar , which is at the bottom of an almost 8-year up-cycle in class-A truck engines right now, with a lot of momentum coming,” he suggested.
Castellini also recommended Charles Schwab .
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Scorecard—What They Said:
- Castellini's Previous Appearance on CNBC (Jan. 7, 2011)
- Merrill's Previous Appearance on CNBC (Dec. 31, 2010)
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More Market Opinion:
- 2010's Laggards Will Be Next Big Winners: Stock Pickers
- 6 Value Plays For Investors: Strategists
- US Markets Called the 'Place to Be' This Year
- 6 Value Plays For Investors: Strategists
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CNBC Slideshows—FYI:
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CNBC Data Pages:
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Disclosures:
Castellini and CasteArk Management own shares of PCAR, ORCL, ISRG, QCOM and SCHW.
No immediate information was available for Castellini or Merrill.
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