Financial advisors say buy tech stocks during the dip

Mark Zuckerberg, founder and chief executive officer of Facebook Inc., smiles during a news conference at the company’s headquarters in Palo Alto, California, U.S., on Wednesday, Oct. 6, 2010.

But some value investors, such as Christian Bertelsen, are using the opportunity to add more tech stocks to their portfolios.

“Facebook is getting into my range,” Bertelsen, CEO of Aviance Capital Management, said on “Closing Bell” Monday.

“They’ve got two billion eyeballs,” he said. “People are continuing to use these social media stocks.”

He recommended that investors “wait until you get your valuation levels that you like, and you buy them.”

Bertelsen said he would buy Facebook any time it was close to 19 or 20 times below earnings.

“That’s pretty good for a stock that’s growing like that,” he said. “A lot of the sell-off is due to the managers and the tyranny of benchmarks. They’re all tied to these benchmarks. [Investors] see one hiccup, and the next moment you know, they say, ‘Ah, I gotta go.’ And you know, I think you take advantage of other people’s mistakes.”