Despite 'Once In A Lifetime Opportunity,' Investors Still Need To Do Their Homework

The coronavirus pandemic represents a "once in a lifetime opportunity" to buy stocks at "bargain prices," at least based on Sir John Templeton's philosophy of accumulating stocks during "maximum pessimism," Ariel Investments' chairman John Rogers said on CNBC.

Do Your Homework

Investors had similar opportunities to buy cheap stocks in 1987 and again in 2008 and similar to past periods of turmoil, investors should take advantage of the turmoil, Rogers said.

But investors still need to "do your homework" and pay attention to the balance sheet of companies trading at what looks like "bargain-basement prices," Belpointe Asset Management David Nelson said on CNBC's "Worldwide Exchange." Tech companies mostly stand out through a net cash position, that is those with debt have enough cash on hand to pay it off.

Industrial stocks with "reasonable" balance sheets that are well off their highs include Northrop Grumman Corporation NOC and Caterpillar Inc. CAT, he said.

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Paul Tudor Jones: Stocks Can Retest Lows But Will Rally After

U.S. stocks continued a multi-day rally Thursday, likely due to the upcoming month-end rebalancing and the market is "front-running" stocks that will need to be bought, hedge fund manager Paul Tudor Jones said on CNBC. Any near-term rally will be followed by "challenges" brought on by a potential peak of the coronavirus epidemic curve.

Stocks could retest recent lows although the peak of the epidemic could also mark an unofficial bottom for the stocks, he said. After that, there is "no doubt in my mind" stocks will rally -- as it should.