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TheStreet Open House

5 Big Losers Ready to Bounce

Stocks in this article: RIMMCTBJNPRPPCSKX

MINNEAPOLIS ( Stockpickr) -- There is a perception among some casual observers of the market that all stocks are created equal. They are not.

Since the end of April, stocks have been in decline, with the major market indices flirting with the established definition of a market correction being down nearly 10%. Within that construct, there have been huge losers that have lost substantially more than 10% of their market value.

At the moment, the S&P 500 is down about 5% since the end of April. After an impressive two-year rally from the perilous bottom reached in the spring of 2009, it was only natural for stocks to take a bit of a breather. Helping seal the pessimistic tone of the last month or so is an economy that remains tepid in its recovery.

Employment -- and, as a result, consumer confidence -- is weak. So, too, is business confidence. At the same time, commodity prices are on the upswing. Add in the debt crisis in Europe and it is easy to see why investors are skittish about stocks.

Related: 10 Stocks With Huge Rebound Potential

Current losses on the major indices present few opportunities. For those companies that have lost substantially more, there is blood in the street. For contrarian investors, these are the names that I would focus on today. Historically, buying stocks that are substantially lower relative to the rest of the market can be a rewarding investment strategy.

Considering the strong operating performance of many publicly traded companies, the time to buy is now. Here are five big losers that I expect to bounce back in the very near future.

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