CNBC’s Brian Sullivan and the FMHR traders weigh in on legendary hedge fund investor, Leon Cooperman’s top picks, including Qualcomm, Wastson Pharma, and Western Union. Also, the cloud play on Intel ahead of Microsoft’s Window 8 release.
Full video and transcript below:
all right, carl. in fact, thanks so much. a special edition today of the halftime report. live from the delivering alpha conference here in new york city hosted by cnbc and institutional investor. you’re looking at a live picture of the summit where right now some of the world’s most renowned investors, including leon cooperman, blue mountain’s andrew feldstein and jim chanos are sharing some of their best ideas. we’ll hear from henry kravis when he delivers the keynote address. traders to here to analyze their best ideas and give you some of their own as well. there’s also a lot of news coming today from capitol hill where fed chairman ben bernanke is testifying on the economy for the second straight day. we’ll bring you any breaking news from his testimony. first, let’s get straight to news. leon cooperman just broke here with where he’s seeing opportunity right now. brian sullivan just gave you his top picks. let’s go through them and trade them with our group today. a1a group, capital one, express scripts, metlife, qualcomm. he did go through a large list of names. watson pharmaceuticals. western union. guys, you could certainly focus on qualcomm which is getting a nice lift today. that stock is up nearly 4%. it’s been a long-time holding of mr. cooperman, anthony. it’s a stock that a lot of hedge funds have favored for its mobile play, it’s tied to the apple ecosystem and many of the others as well. there’s a new product cycle coming for a lot of these smartphones. particularly apple. they’re going to play the earnings momentum on that stock. the one i like the most is express scripts. irregardless of who the next president is, they will do well with whatever the health care legislation turns out to be. so those are two really good high quality names. pete, what name among the many that mr. cooperman went through just a few minutes ago here at dliring alpha stands out to you the most? anthony talked about qualcomm. that one certainly sticks out. these technology names are always something you’re interested to know where the big fellas are actually shifting their money around. i’d even stick with watson pharmaceutical. great company. one of those in the generic space. we talked about big pharma. this is one of those names you sometimes forget to mention. they do an outstanding job. look at these valuations. i like this name. i’m not in this name. i’ve been in it in the past. i’d also highlight halliburton. beaten up. we’re seeing that sector see a lot of activity when you’re talking oil, gas, everything this feeds into it. on the capital one financial story that’s a stock today down 2%. leon cooperman as i said just unveiling that as one of his top picks here at delivering alpha. as i mentioned, the interesting note here is that consumer finance protection bureau takg its first enforcement action today against capital one. ordering it to refund $140 million to some 2 million customers for what it says was deceptive marketing practices. of course, richard cordray chairing that. some interesting news on a day when leon cooperman lays it out as one of his top picks. brian kelly, any thoughts on that? or some of the other names on this long list from lee cooperman? capital one is the one that really struck out to me. the first thing i thought when i saw that fine was, okay, how are they going to generate earnings now? do they have to redo their business model in a way that they can generate that extra dollar? 140 million, not a giant fine for a company — or not a giant hit for a company like capital one. but it would be interesting to see as mr. cooperman goes on whether or not he has thoughts on is — does their business model have to change? or is this just simply an annoying bit of a fly they’ve swatted away. let’s be clear. he clearly had this as one of his picks before the cfpb came out with this enforcement action today. i do wonder, perhaps we’ll catch up with him after the fact on what he still thinks of that company. mike murphy, your thoughts on some of lee cooperman’s top picks? let’s also just lay out the fact that many of the picks that lee cooperman made at last year’s delivering alpha conference were big winners. when he speaks, the market moves. yeah, scott. absolutely. leon definitely has the ability to move the markets. i think halliburton, as pete said, i think halliburton really sticks out to me because energy has been such an underperforming sector here. halliburton under 30 gets really interesting. i like that call on halliburton. also gannett. look at gannett. situation that a lot of people have written off for dead. newspaper publishing. but dividend of over 5%. i think that’s something that i think you can read into a little bit for dividend holdings into next year. a little bit of what he’s thinking there as far as taxes go. yeah. it’s good to note here that stocks are at session highs right now. that best ideas panel that lee cooperman is on continues. we’ll bring you some of the other picks from the likes of jim chanos, kathleen kelly, bob capito and andrew feldstein as well. as soon as they mention names you need to know we’ll bring them to you. let’s focus on the markets for a moment and touch the action. stocks as i said now at session highs rallying for the second consecutive day. this is chairman ben bernanke, fed chairman bernanke speaks and earnings top estimates. the hidden story here is that revenues are weak. 55% of companies that have reported missed revenue expectations. that’s well above the 30% average. pete najarian, how do you size up what’s happened with earnings thus far? you had a name like bank of america today, i heard one analyst say the quality of earnings wasn’t all that good. then you have a honeywelcome out and raise the low end of its target. everybody’s been coming on the television telling us just how bad it is in the global economy. europe is going to drag everything down. europe, of course, is going to be a drag. also slowing in the asian markets. a lot of these quality companies have managed to either move it up on the margins, some of the revenues have been