Hilary Kramer Thinks That EVR And GEOY Are Undervalued

Hilary Kramer said on CNBC's Fast Money that she sees a pullback coming, and to avoid it, she is trying to find stocks that are currently undervalued. She is looking for revenue growth, revenue momentum and some kind of catalyst that would make earnings sustainable. She thinks that Evercore Partners Inc. (NYSE: EVR) and GeoEye Inc. (NASDAQ: GEOY) match this criteria and recommends them as a buy.

Evercore Partners (EVR) is a boutique investment bank and its CEO is BlackRock's (NYSE: BLK) co-founder Ralph L. Schlosstein. Hilary Kramer likes this stock because M&A activity is up 12% this year and Evercore Partners (EVR) was the best ranked in M&A among the boutique investment banks. The key issue for EVR is its assets management, and Ms. Kramer believes that EVR could make significant breakthrough in this area. She also likes its valuation and thinks that EVR could jump to $40. Hilary Kramer believes that Evercore (EVR) is able to compete with Lazard Ltd (NYSE: LAZ), Greenhill & Co., Inc. (NYSE: GHL) and Jefferies Group, Inc. (NYSE: JEF). Evercore (EVR) didn't have a good trading session today, it fell 1.30%.

Jon Najarian commented that he owns this stock, because he also believes in EVR's asset management.

GeoEye (GEOY) is a satellite imagery company and she likes it because it could play a great role in national security and anti-terrorism. Hilary Kramer thinks that GEOY could easily become a takeover target and she especially likes GEOY's 80% revenue growth quarter over quarter.

Tim Seymour likes this stock because it is a good global play, but it was trading like on a roller coaster recently. Hilary Kramer explained that this is a great entry point because the company had a glitch with the satellite and investors started to sell. GEOY fell 0.58% today and closed at $29.30.