Citi just named 4 new picks, including a Buffett-backed stock it says could soar 70%

Citi added the waste management company to its list of large-cap stocks recommended. It was the only new addition in this category. Citi set the price target at $180 implying an 11% increase. Citi analysts added this stock due to its exposure to communication services and after management meetings that "underscored the turnaround in place" for this retail media advertising tech play. Citi states that this stock "aligns" with the current analyst preferences. The bank said that "new management, a lower fundamental bar and improved execution" were the factors behind this addition. "Ally Financial's (ALLY) recent price correction is related to ongoing recession/consumer debt fears. The bank stated that the related valuation compression offers an interesting long-term set up in comparison to anticipated short-term headwinds. Berkshire Hathaway, owned by Warren Buffett, owns a stake of nearly 10% in the U.S. auto- and home-lending company. Chronert, Citi's chief economist, told CNBC that despite market volatility he sees some opportunities in certain sectors.

Chronert says that industrials is a sector he finds particularly attractive. He believes there is "a lot resilience in this longer-term bull case." He also likes energy, particularly after the output cuts by OPEC+, which lends a little "stability," he said. Chronert described health care as a "great defensive" trade and said he felt "pretty positive going forward." "We're basically arguing for a broad exposure across traditional defensives as well as some economic sensitives. On the growth side, the communication services industry is a strong contender." He told CNBC’s “Street Signs Asia” that he was more positive on semiconductors than software within the tech sector.