NEW YORK ( TheStreet) -- Discount retailers have not participated in the Santa Claus rally. One of the nine stocks I am profiling today set its 2012 high on March 27, six topped out between June 14 and Sept. 21, another peaked on Oct. 16, and the ninth set its high recently on Dec. 5.All nine discount retailers are rated a buy according to www.ValuEngine.com, with four undervalued by double-digit percentages. Six are higher by double-digit percentages over the last 12 months and only one is lower by more than 20%. Market volatility is projected to decline over the next 12 months with projected gains between 6.5% and 11.1%, all within the 5% to 12% range of stocks rated "four-engine" or buy according to ValuEngine. The trailing 12 month price-to-earnings ratios are reasonable for eight of nine P/E between 10.5 and 17.9 with the ninth having an elevated P/E of 23.8.
Discount Retailers, From Leaders to Laggards
Check Out Our Best Services for Investors
Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.
- Model portfolio
- Stocks trading below $10
- Intraday trade alerts
David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
Every recommendation goes through 3 layers of intense scrutinyquantitative, fundamental and technical analysisto maximize profit potential and minimize risk.
More than 30 investing pros with skin in the game give you actionable insight and investment ideas.