Deep Dive: 20 stocks that have been ‘so bad that they’re good’

Just because a stock is being pummeled doesn’t mean it’s a loser.

Carter Worth, a technical analyst at Cornerstone Macro, a broker-dealer based in New York and Washington, D.C., calls some that have been hammered recently “so bad that they’re good” — not simply because they went down, but because the heavy selling came despite having strong businesses overall.

Worth’s idea is not simply to find stocks that are selling cheaply. “It is important to note that a stock in an established one-to-two year downtrend or in an even longer downtrend is NOT a ‘so bad, it’s good’ circumstance. Such a stock is a stock that is dying, [and the company] is perhaps going out of business,” he warned in a report published Monday that lists 20 of his picks.

>>> Original Source <<<