Ariel's Rogers Backs 5 Stocks as AI Craze Leaves Market Expensive
Updated
Updated · CNBC · Jun 25
Ariel's Rogers Backs 5 Stocks as AI Craze Leaves Market Expensive
1 articles · Updated · CNBC · Jun 25
Summary
John Rogers said Ariel is leaning into five names—Covista, Lazard, Carlyle, Littelfuse and Knowles—as the AI-driven rally leaves much of the broader market overpriced.
Covista, up 20% in 2026, is one of his top small-cap picks because its medical education business targets global shortages of doctors and nurses.
Lazard and Carlyle have fallen 16% and 29% this year, but Rogers said financial-services valuations at 9 to 11 times next year's earnings look historically cheap as deal activity improves.
Littelfuse and Knowles, both Chicago-area holdings, have already surged about 89% and 90% this year, showing Ariel is pairing beaten-down value ideas with smaller industrial and components winners.
Rogers said he has never seen short-term volatility like the current AI trade and warned the craze could end much like the internet bubble burst.