Stockpickr: The Top Contrarian Plays

That said, two weeks ago Goldman Sachs upgraded RadioShack to a buy. Goldman Sachs analyst Matthew Fassler called RadioShack "a classic turnaround opportunity." He expects the company to earn $1.20 a share, significantly higher than the average estimate of 91 cents a share. More upgrades should follow, and I wouldn't be surprised to see RadioShack hit $30 this year. Analysts have been bullish on the earnings prospects for RadioShack, with earnings per share expected to go from 75 cents in 2006 to 91 cents in 2007, a 20% increase.

RadioShack is also owned by a hedge fund that specializes in retail chains called Hayground Cove, which is run by former Bear Stearns analyst Jason Ader. Hayground recently had success with Denny's(DENN Quote). Another fund I've written about previously that owns RadioShack is the Olstein Fund, run by Robert Olstein. That fund was an activist on Jo-Ann Stores (JAS Quote) and did very well. RadioShack also appears on Fortune's top 10 stocks to own for 2007.

A few of the other stocks that made the portfolio include Navistar (NAV Quote), Rite Aid (RAD Quote) and Amkor Technology (AMKR Quote). Check out the full list of stocks that are part of the contrarian-plays portfolio on Stockpickr..

Stockpickr tip of the day: Money manager Mebane Faber has set up two very interesting portfolios on Stockpickr. One is called the Activist Consensus portfolio, made up of stocks that the top activist hedge funds have been accumulating. The other is called the top Hedge Fund Consensus portfolio, made up of stocks owned the most by value-oriented hedge funds.