Power Play: Betting on satellite

This undated photo provided by Iridium Communications shows the Iridium AxcessPoint.
Iridium Communications | AP

As volatility returns, many Wall Street strategists say this will be a stock picker's market.

One stock on fire over the past year is satellite operator Iridium Communications, up 46 percent.

But there's more upside, Jeffrey Saut, chief investment strategist at Raymond James, told CNBC's "Power Lunch" on Tuesday. Saut believes you have to buy the stock now because "cash flow will explode."

Raymond James has a strong buy rating on Iridium, citing "the stock should easily trade at a 10x multiple on 2017 EBITDA, implying a stock price of $16."

Iridium shares are trading down on Tuesday.