Traders Share Their Health Care Picks

On CNBC's "Trading Nation," Mark Tepper of Strategic Wealth Partners and Mark Newton of Newton Advisors spoke about opportunities in the health care sector.

Tepper likes Bristol-Myers Squibb Co BMY. The stock has been a laggard, but that's what he's looking for since the sector was one of the top performers since the beginning of the crisis. He sees the stock as a pure play on cancer, which is the top medical problem in the world. It's trading at 10 times forward earnings, with a PEG ratio of less than one and it has a strong pipeline, said Tepper.

Newton is a buyer of Merck & Co., Inc. MRK. It has been underperforming, but now it's showing some real technical strength. It broke above its downtrend line, but it's still 10% under its highs. The pullback that we have seen in the last few months has not undercut its long-term uptrend, said Newton. He expects the stock to get back up, towards $92.