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Wharton's Jeremy Siegel: Another 500-point drop on the Dow is a buying opportunity

  • Jeremy Siegel sees the Dow falling an additional 500 points as a moment to buy in.
  • "People who buy this morning a year from now are going to say, 'OK, I think I've got a good price,'" the Wharton Business School professor tells CNBC.

If the Dow continues its plunge, it could represent an opportunity for investors, longtime market bull Jeremy Siegel told CNBC on Tuesday.

Siegel sees the Dow falling an additional 500 points on Tuesday as a moment to buy in.

"The market went up too far, too fast," the Wharton Business School professor told "Squawk Box." "There's a saying on Wall Street: Up the staircase, down the elevator."

Siegel predicted on Friday the market's sell-off could turn into a 10 percent correction. He cited the stronger-than-expected January jobs report and traders overplaying the impact of tax cuts.

Stocks futures were sharply lower Tuesday, with Dow futures down more than 500 points at one point.

Monday was the worst day for the Dow and S&P 500 since August 2011 as well as the biggest single-day point drop for the Dow in history. The Dow broke below 25,000 and erased its 2018 gains.

There's no "puzzle" for the market's decline, Siegel said Tuesday. People were worried about rising interest rates and inflation and they "jumped off the train," he said.

"The market worked extremely well, and we're getting down to reasonable levels now," Siegel said. "People who buy this morning a year from now are going to say, 'OK, I think I've got a good price.'"

Richard Turnill, chief Investment strategist at BlackRock Global, also doesn't see the skid as an end to the bull market. Like Siegel, he says it's an opportunity for investors to buy into attractive areas after January's record highs.

"These periods of volatility are common in bull markets, Turnill said Tuesday on "Squawk Box." "Focus on the longer term. Focus on the strong fundamentals. Valuations remain reasonable and are getting cheaper particular outside the U.S."

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