3 Stocks Hitting Low Notes

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When a stock hits a fresh low, it can either signal a dirt cheap dream stock or a dreadful stock to avoid. Separating the wheat from the chaff is difficult, but finding well-run companies at bargain-basement prices is a great way to accumulate a fortune over the long run.

With that in mind, we'll use the aggregate intelligence of the 110,000-plus investors participating in Motley Fool CAPS to see what the community is saying about stocks hitting 52-week lows yesterday. The community's approval (signified by four- and five-star ratings) could indicate that further research is in order.

Here are three such stocks:

Company	Yesterday’s Low	Industry	CAPS Rating (out of 5)	Fools Saying Outperform
Aracruz Celulose S.A. (ADR) (NYSE: ARA)	$56.19	Paper & Paper Products		228 of 240
CryptoLogic Limited (USA) (Nasdaq: CRYP)	$8.75	Business Software & Services		1407 of 1464
China Techfaith Wireless Comm. Tech. Ltd (Nasdaq: CNTF)	$1.51	Diversified Communication Services		213 of 244

Source: Motley Fool CAPS, as of Aug. 25, 2008.

Five-star paper & paper products companies:

• Votorantim Celulose e Papel S.A (ADR) (NYSE: VCP): Stock price has fallen 3% since last year.
• Kadant, Inc. (NYSE: KAI): Stock price has fallen 14% since last year.

Five-star business software & services companies:

• Ebix, Inc. (Nasdaq: EBIX): Stock price is 109% higher than last year.
• NAVTEQ Corp (NYSE: NVT): Stock price is 72% higher than last year.

Join us on CAPS to learn more about these and countless other interesting stock ideas.