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Stock picks by the pros
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June 25, 1999: 1:54 p.m. ET
Banking on Chase, tabbing a specialty printer, prescribing drug makers
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NEW YORK (CNNfn) - The nation's analysts and money managers continued the hunt for promising companies Friday, finding value in the nation's largest bank, a specialty printer and some prominent drug companies.
Here's what stocks the latest guests appearing on CNNfn are buying and why:
John Manley, stock strategist with Salomon Smith Barney, likes Chase Manhattan Bank (CMB), the nation's largest bank, because of the stock's relative discount.
"I think Chase is a very good story," Manley said. "I mean, at (a) 45 percent discount to the market, (it's) a very good place to be."
The strategist also sees upward potential in cellular phone maker Motorola (MOT).
"Here's a real growth story," Manley said "They have good technology and more importantly they have new technology. And as you see those parts go out the door, you'll see the earnings accelerate."
Manley likes health care products maker Abbott Laboratories (ABT) for similar reasons.
"Abbott . . . we just upgraded," Manley said. "Abbott is actually accelerating its earnings - (it's a) very strong story at a very good multiple."
John Manley, left, shares stock picks with CNNfn's Bill Tucker and Rhonda Schaffler
Dan Veru, money manager with Awad & Associates, likes specialty printer Cunningham Graphics International (CGII).
"Here's a classic case of a company that's been completely ignored," Veru said. "They're doing all the right things. Earnings revisions have been up 3 times since the beginning of the year. The stock trades at less than half of its growth rate. Very, very smart management team."
Al Goldman, chief technical analysts with AG Edwards, is looking for stocks with growth potential.
He says he's found two in semiconductor maker Applied Materials (AMAT) and computer maker Dell (DELL).
"And in the drug area, which has been under major frontal attack, Pfizer (PZE) looks very attractive for long-term investors," Goldman said.
The stock picking strategy of Rao Chalasani, chief investment strategist for Everen Securities, Chalasani's is called "growth at a reasonable price," or GARP.
He says pharmaceutical company Merck (MRK) fits the GARP bill.
"I do believe there's a lot more safety with Merck and also, it's a lot more of a proven quantity than any other companies and there aren't a lot of expectations out of Merck," he said. "That's why I feel very comfortable going with Merck at this time."
Shifting to the energy sector, Chalasani recommends natural gas firms over oil companies.
Specifically, he likes Enron Oil & Gas (EOG) (EOG), a large capitalization company. His small cap pick is Cabot Oil & Gas (COG).
And in technology, Chalasani favors Proxim (PROX), a communications equipment maker.
"Technology is going to be a bigger and bigger portion of GDP, so one should be stepping up a little bit and go(ing) to technology companies," Chalasani said.
The views presented here are solely those of the analysts quoted. They do not represent opinions of CNNfn on whether to buy or sell shares of a particular stock 
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