Three hot sectors in portfolio managers' spotlight

CNBC met with three top portfolio managers and asked them to discuss the best deals they see ahead in the short term.

John Maloney, chairman and CEO of M&R Capital Management, said he's looking to make some buys in biotechnology firms. Maloney likes iShares Biotechnology exchange-traded funds. He finds the structure of the ETF very interesting, and he likes many of the tech stocks it holds, such as Amgen, Biogen and Gilead Sciences.

"We think over time a lot of the Northeastern regional banks will want to be in Texas." -Nick Galluccio, president and CEO of Teton Advisors

Maloney also said he likes Allergan Plc. "It's an exciting company with a diversified list of [therapeutic] products."

David Pearl, co-chief investment officer of Epoch Investment Partners, who likes large-cap firms, is looking at health-care firms and likes AbbVie.

"AbbVie is actually the cheapest 'big pharma' stock, and it's still growing over 10 percent," he said. "The company is growing in the low teens, and the valuation is something like 12 times earnings."

As for Nick Galluccio, president and CEO of Teton Advisors, he is keeping an eye on some regional banks.

He likes Legacy Texas Financial Group. "We think over time a lot of the Northeastern regional banks will want to be in Texas and that bank will be acquired," he said.

Sign Up for Our Newsletter Your Wealth

Weekly advice on managing your money
Get this delivered to your inbox, and more info about about our products and services.
By signing up for newsletters, you are agreeing to our Terms of Use and Privacy Policy.

Galluccio also likes Investors Bancorp. "It's four times overcapitalized," he said. "The bank is looking for an acquisition to put its capital to work.

"It's a very cheap stock and kind of boring," he added. "But boring is good."

Portfolio manager disclosure: The following stocks mentioned or intended to be mentioned on CNBC's Portfolio Perspective video segment:

John Maloney owns shares of IShares Biotech ETF (IBB) and Allergan (AGN).

David Pearl owns shares of AbbVie (ABBV).

Nick Galluccio owns shares of Legacy Texas Financial Group (LTXB) and Investors Bancorp (ISBC).