A portfolio of 8 stock picks from the edge

Why these 8 stocks?

After running a variety of screens, I came up with an initial list of almost 30 candidate stocks. All of the stocks in this group were down more than 50% from their 52 week highs and were under pressure for a variety of reasons. After individually reviewing each of the candidate stocks, a small group of 8 rose to the top.

Many of the stocks are consumer focused, but I believe that on the whole, the portfolio represents a variety of industries, market caps, and financial situations. Some of the stocks are admittedly higher risk, but I believe they carry a high enough reward potential to warrant the risk.

In the next several posts, I am going to give my thoughts on each of the 8 stocks. Most of them lack a specific catalyst, but the theory is that each one has been beaten down so badly that as long as they don’t go out of business, their prices will recover. Within the portfolio there may be some losers, but there should be a few big winners to make the 8 Stock Portfolio a worthwhile exercise.

All of the recent prices listed will be the closing prices from Friday. These will also be used as the basis for tracking the performance of the portfolio over time.