Small Cap Picks: Pipeline, Clinical Research
"They help pharmaceutical companies conduct clinical-research trials," he told CNBC. "All of the companies right now have an amazing tailwind...and currently, there is a pretty significant outsourcing trend that's occurring; pharmaceutical and biotech companies are trying to change their cost structure to be more flexible."

Two of those CROs are Parexel and Icon .

"Over the next three to six months, the stocks could need to consolidate a bit," he cautioned, but added, "Over the long-term period of time, I'm still optimistic about these stocks."

Sustersic also likes Ansys .

"Ansys makes (simulation) software used by engineers in product designs," he said. "They have a subscription model, so about 70 percent of their revenue base is recurring via subscription or licensing and maintenance."

(Contd.)

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CNBC Stock Intelligence:

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He's also enthusiastic about Willbros Group , a producer of large-diameter pipeline for natural-gas and oil companies.

"They recently got some big contract wins up in Canada," he noted. "They're probably sold out for the next year or so."

Rounding out his list -- and maybe, saving the best for last -- is Deckers Outdoor , maker of the popular UGG brand boots.

"Very controversial, very volatile stock," he said, "It still looks like fantastic visibility going forward."

He said an informal survey of department-store buyers revealed that UGGs was the only apparel or shoe product that really sold well during the last holiday-shopping season.

"If anything, they regretted not ordering more," he said.

Disclosures :

Disclosure information for Frank Sustersic was not immediately available.

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