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3 stocks to buy right now: Top value investor

As the stock market approaches fresh record highs, investors are on a hunt for stocks that won't cost them much, but will have plenty of upside in the future.

This week, the S&P 500 and Dow Jones Industrial Average traded at their highest levels of 2016, boosted by positive earnings reports. On the horizon, traders are looking to constructive remarks by Federal Reserve officials, which may yet lift stocks to all-time highs.

With markets at lofty levels, where can investors find opportunity? Sarat Sethi of Douglas C. Lane & Associates told CNBC he looks for undervalued companies poised to pop.

When hunting for value, Sethi has a formula. "Stock picks should have solid balance...


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