China's stock market plunged Monday, dragging U.S. shares down with it. However, one emerging markets expert thinks people may have overreacted and believes the Asian nation's market may be near a "sentiment bottom."
That's because people are acting like China's economy has "suddenly fallen out of bed" when it has been struggling for more than two years, Tim Seymour, managing partner at Triogem Asset Management, said Monday in an interview with CNBC's "Closing Bell."
"I think people have overreacted a bit to at least news that isn't any different," he said.
While there is still risk in the market, Seymour also sees opportunity.
"I think that the opportunities on the selloff are really coming from the ADRs [American depositary receipts] that are traded here for some of the biggest and I think most well-rooted and some of the best balance sheets in China. That is Alibaba, that is China Mobile, it's Baidu," said Seymour, a "Fast Money" trader.
"You're seeing very reasonable growth at a very reasonable valuation in my view."
Stock picker Di Zhou, associate portfolio manager at Thornberg Investment Management, pointed out that the commodity trades are the ones that will see the biggest impact of the slowing of the Chinese economy.
However, the MSCI China Index, trading at nine times forward earnings, is "really cheap," she said, also on "Closing Bell."
"Even in the A-share market, some of the stocks are becoming very attractive from a valuation standpoint," Zhou said.
As for the relationship between China's stock market and its economy, JPMorgan Chase's chief economist, Anthony Chan, doesn't see one.
"If you look at the last couple of years, the economy was very robust in China and the equity market was weak. Now the economy is a little bit weaker and of course the stock market is weak," he pointed out.
However, he thinks there may be an "avalanche" of stimulus in the pipeline.
"The economy should be a little bit stronger in the second half and ... that should eventually be reflected in the equity market," Chan said on "Closing Bell."
Georgetown adjunct professor Jeremy Haft, author of "Unmade in China" and co-founder of Caracal Strategies, believes China's equity and economic woes are proof the government's engineering is not working.
"The government has made all the easy choices, pumping massive stimulus into its economy, cutting interest rates, giving huge tax rebates to exporters, etc.," he said, also on "Closing Bell." "Now they are going to have to roll up their sleeves and make hard choices about reforming its manufacturing and agriculture sectors and uncompetitive, noncommercial financial sector."
Meanwhile, JPMorgan's Chan wouldn't lose sight of the fact that the Shanghai composite is still up 15.2 percent year to date.
"Have you checked the lately? It's up less than half a percent. Can you imagine how excited we would be in the United States if our S&P 500 was up 15.2 percent on a year-to-date basis?"
Disclosures: Tim Seymour owns CHL, BABA and BIDU