NEW YORK (TheStreet) -- In an article that hit TheStreet Monday, I made a case against low-priced stocks, noting that potential diamonds in the rough exist.
I pointed out that I am long Nokia (NOK) on optimism regarding the company's turnaround plans as well as investment from and potential M&A with Microsoft (MSFT). I suggested selling Sirius XM (SIRI) until a more aggressive and forward-looking management team, specifically from Liberty Media (LMCA), is in place.
In this article, I consider another stock from the sub-$5 world: Wendy's (WEN). I am long WEN and consider it a sensible speculative play for the aggressive section of long-term investors' portfolios. Wendy's actually pays a small dividend ($0.08 per share for a yield of about 1.7%). That helps ease the pain of the stock's pullback to below $5 and the boredom often associated with scaling into a relatively stagnant position. I would not be surprised to see WEN trade range-bound for some time.
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