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Snap-On, Centene and Qlik Tech Will Shine in 2016 Says Palisade’s Veru

Investors should stay focused on domestically-based companies like Snap-on, Centene and Qlik Technologies to get more gearing to a growing U.S. economy.

Investors should stay focused on smaller, domestically-based companies like Snap-on (SNA), Centene (CNC) and Qlik Technologies (QLIK) to get more gearing to a growing U.S. economy, said Dan Veru, CEO of Palisade Capital. 'We continue to believe that the U.S. economy remains in good shape with reasonable growth that should continue through the year,' said Veru. 'Expectations for corporate profits are low so the bar is quite low at this point in time.' Snap-on, up almost 28 percent in 2015, is a defensive industrial company that makes tools and software diagnostics to repair cars. Veru said the business revolves around the number of miles driven which continues to rise due to low gas prices. 'Snap-on has also moved into the more technological aspects of repairing automobiles,' said Veru. 'A car is basically a hybrid of a machine and a computer these days and they have moved into the software aspects of it to repair those components of the car as well.' Veru is also bullish on Centene, one of the largest Medicaid HMO's in the United States. Shares of Centene surged 25 percent last year, and Veru expects membership to grow as states shift more lives to these plans.