This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

10 Top Stocks Under $5 for 2012 Picked by Analysts

Stock quotes in this article: SIRI, S, MHR, PWER, HT, HERO, LCC

Content on this page requires a newer version of Adobe Flash Player.

Get Adobe Flash player

1. Magnum Hunter Resources (MHR)

Company Profile: Magnum Hunter Resources is an independent exploration and production company. The company is involved with exploratory leases, secondary enhanced oil recovery projects, exploratory drilling, and production of crude oil, natural gas liquids and natural gas in the onshore U.S.

Share Price: $4.82 (Dec. 2)

2011 Stock Performance: -33.2%

Analyst Consensus: Magnum Hunter Resources gets high marks from analysts because of the acreage it controls in the Marcellus Shale region, a hot spot for natural gas drilling. However, the stock was crushed in August, dropping from above $7 to below $5 in a matter of days, after Magnum Hunter agreed to pay $57 million to property in North Dakota. Not long after, the company said its second-quarter net loss widened from a year earlier, putting further pressure on the stock.

Analysts believe in the company's growth, with 15 of the 17 researchers following the stock recommending that investors buy up shares. The average price target of $7.30 represents upside of 51% from current levels.

Bullish Case: Canaccord Genuity analyst Marcus Talbert is among the bullish researchers following Magnum Hunter. Last month, Talbert upped his price target on the stock to $8 as he reiterated his "buy" rating on the stock, saying that results for the company continue to improve.

"At present, we believe the market does not fully appreciate MHR's rich opportunity set or relative growth potential," Talbert wrote in a Nov. 11 research report. "In addition to progressively better well results, we believe there are material catalysts (Utica developments, asset divestures and/or midstream monetization) that will drive value creation into 2012."

>>To see these stocks in action, visit the 10 Top Stocks Under $5 for 2012 portfolio on Stockpickr.

-- Written by Robert Holmes in Boston.



>To contact the writer of this article, click here: Robert Holmes.

>To follow Robert Holmes on Twitter, go to http://twitter.com/RobTheStreet.

>To submit a news tip, send an email to: tips@thestreet.com.

Disclosure: TheStreet's editorial policy prohibits staff editors, reporters and analysts from holding positions in any individual stocks.
6 of 6

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To 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.
Submit an article to us!
DOW 16,797.51 -7.20 -0.04%
S&P 500 1,939.39 -6.77 -0.35%
NASDAQ 4,409.2490 -12.8360 -0.29%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs