This Day On The Street
Continue to site
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

Top 5 Bargain Stocks in the S&P 500


Photo-copy equipment maker Xerox (XRX - Get Report) may seem like a dinosaur in a world of digital documents, but a 2010 acquisition of Affiliated Computer Services for $6.4 billion gives Xerox exposure to a side of the business that has much more stability. ACS provides document management and business process outsourcing services under long-term contracts.

The net result: Xerox's sales don't grow much, but it is a remarkably profitable business. Consider that Xerox generated more than $1 a share in free cash flow in 2011, with that figure expected to rise to $1.40 by 2013, according to Goldman Sachs. That means book value is likely to keep building at a solid pace.

At some point -- soon -- investors are going to realize the disconnect between the current $7 stock price and book value which is in track to exceed $10 a share some time in 2013.

To see these stocks in action, visit the Top 5 Bargains in the S&P 500 portfolio.


Follow Stockpickr on Twitter and become a fan on Facebook.

At the time of publication, author had no positions in stocks mentioned.
Stockpickr is a wholly owned subsidiary of
6 of 6

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

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
Stocks Under $10

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

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free

Check Out Our Best Services for Investors

Dividend Stock Advisor

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
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
C $54.08 -0.18%
CLF $2.30 -2.95%
SEE $44.93 -0.18%
TSN $49.85 1.55%
XRX $10.59 -0.19%


Chart of I:DJI
DOW 17,813.39 +1.20 0.01%
S&P 500 2,088.87 -0.27 -0.01%
NASDAQ 5,116.1430 +13.3350 0.26%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs