Mario Gabelli Barron’s Roundtable Picks – Federal Mogul.

Readers of Barron’s annual Roundtable know that Mario Gabelli always has plenty of stock picks. And this year is no exception.

Gabelli said that it is time to look at the auto industry again. The original-equipment makers that supply the industry will benefit from the second- and third- tier suppliers going out of business.

“In the U.S., there has been a substantial drawdown of cars on dealers' lots. OEMs will enjoy three or four years of steadily rising production globally. I am focusing on Federal Mogul (NYSE: FDML). The company was forced into bankruptcy proceedings related to an acquisition tainted by asbestos, and came out in December 2007. Carl Icahn owns 75 million of the 99.6 million shares.”