CNBC Stock Blog

Buy These 'Competitively Positioned' Stocks: Portfolio Manager

Small cap stocks have outperformed many of the larger cap stocks over the last few months, but Eric Marshall, portfolio manager at Hodges Capital Management, said there are still opportunities for investors. He shared his best picks.

Good Things Come in Small Caps

“It’s going to be more of a stock picker’s market, but the companies that are going to do the best are probably the higher quality small caps that have the best balance sheets, and the are the best competitively positioned coming out of the recession,” Marshall told CNBC.

Although many investors have been piling into large cap multinational stocks because of the weakness in the U.S. dollar, Marshall said people can still find opportunities to benefit from globalization in small cap stocks.

Marshall’s Picks:

Kansas City Southern


The Geo Group

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Marshall and his family members own shares of KSU, KEX and GEO.