3 Stocks Near 52-Week Lows Worth Buyinghttp://www.fool.com/investing/general/2012/02/14/3-stocks-near-52-week-lows-worth-buying.aspx Sean Williams
February 14, 2012
Just as we examine companies each week that may be rising past their fair value, we can also find companies potentially trading at bargain prices. While many investors would rather have nothing to do with companies tipping the scales at 52-week lows, I think it makes a lot of sense to determine whether the market has overreacted to the downside, just as we often do to the upside.
Here's a look at three fallen angels trading near their 52-week lows that could be worth buying.
Seriously, it's time to buy natural gas
In November, EXCO alluded to production cuts similar to those that Chesapeake just announced. EXCO forecast $710 million in capex spending in 2012, which is a 30% drop from 2011. But don't think that has deterred EXCO insiders from being bullish on the company's various shale oil and gas deposits. Insiders have made 13 separate purchases over the past six months totaling 9.2 million shares. To top this off, EXCO is trading at just 87% of its book value and yields north of 2%. I think investors would be foolish (small "f") to turn down EXCO.
Is this the year of the junior miner?
Just last week, Claude projected that it would produce 50,500 ounces of gold in 2012, which would represent a 13% increase over its 2011 output. A lot of investors took this figure with a grain of salt because Claude has missed Wall Street's EPS estimates in four straight quarters, but I think the groundwork has been laid for a real surprise in 2012. Claude s