Stockpickr
5 Stocks Set for a Short-Squeeze Pop
R.R. Donnelley & Sons
Meanwhile, the highest yield on our list is coming from commercial printing firm R.R. Donnelley & Sons (RRD). The firm currently sports a 7.42% dividend yield. R.R. Donnelley is the world's largest commercial printer, producing everything from business forms and books to catalogs and direct mail pieces. As a result, the firm is very exposed to the general level of economic activity in the U.S., which accounts for around 75% of sales. The firm is also beholden to serious competition from a slew of companies that offer commercial printing services -- while R.R. Donnelley has scale that many other printers can't compete with, most medium-sized peers can handle larger jobs without too much adjustment. Those two factors are the biggest reason why short sellers have pushed the firm's short ratio to 10.8. Still, history is on R.R. Donnelley's side. The firm boasted pretty solid operations during the depths of 2008's recession, and continued to pay out its dividend throughout. At the same time, it's important to remember that a big part of R.R. Donnelley's 7.42% payout is the 20% haircut that share prices have taken in 2011. With shorts looking overblown, this stock could easily see a squeeze this year. R.R. Donnelley shows up on recent lists of Top-Yielding Diversified Services Stocks. To see these plays in action, check out the High-Yield Short-Squeeze portfolio at Stockpickr. And to find short-squeeze plays of your own, be sure to check out the Stockpickr Answers community for insights and investment ideas.RELATED LINKS:
Follow Stockpickr on Twitter and become a fan on Facebook. -- Written by Jonas Elmerraji in Baltimore. At the time of publication, author had no positions in stocks mentioned.
TheStreet Premium Services
Jim Cramer's Action Alerts PLUS:
Trade right alongside a Wall Street pro — enjoy access to his Charitable Trust portfolio and be sent trade alerts BEFORE he makes a move. Learn More
OptionsProfits:
Get 50+ trade ideas a week from the industry's top options experts. Plus — exclusive commentary on market trends and essential trading tools. Learn More
Real Money:
Our team of professional Wall Street Pros — including Jim Cramer, Doug Kass, and Nicholas Vardy — delivers intelligent analysis, timely trade ideas, and colorful commentary. Learn More
Stocks Under $10:
Break into the market with small- and mid-cap stocks... all $10 or less! David Peltier tells you exactly which low-priced stocks he's buying and selling. Learn MoreTo begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
blog comments powered by Disqus
| Dow Jones | S&P 500 | NASDAQ | 10-Year Note |
|
|---|---|---|---|---|
| 12,454.83 | 1,317.82 | 2,837.53 | 17.45 |
Oil *
107.26
|
|
DOWN
74.92 |
DOWN
2.86 |
DOWN
1.85 |
DOWN
0.14 |
10 Yr
1.74%
SPDR Gold
152.68
|
|
-0.60%
|
-0.22%
|
-0.07%
|
-0.80%
|
Data delayed 20 minutes |
Connect with TheStreet