NEW YORK (TheStreet) -- Now that the new year has arrived, I've been on the lookout for stocks that have taken a beating but may still rise enough from current low levels to make savvy investors some money.
Here are my top three selections.
Even so, I'm willing to consider that today's version of the company is more about steady streams of cash flow and less about steady product cycles, much to the dismay of Wall Street. The stock is not sexy, as its recent earnings report proved. When it reported 2013 fiscal first-quarter results, Microsoft missed by top- and bottom-line estimates. That came after Microsoft reported its first-ever quarterly loss as a public company, in the fourth fiscal quarter of 2012. There have been plenty of disappointments, and they are all priced into the stock. Things can't possibly get any worse. And given the company's cash hoard, there seems to be minimal risk to the downside. I'm placing my bets here at $26 a share. The stock should be able to reach $30 by the end of the second quarter. Intel (INTC) It's only fitting that Intel follows Microsoft as both remain leaders in a dying PC industry. However, Intel has all of the makings of a successful turnaround story. The company earned $2.83 billion in its most recent quarter, enough to beat analysts' estimates. The company has been reinvesting heavily in its business, including R&D in core capabilities such as security while extending its process technology leadership. Unfortunately, nobody cared. Investors have grown impatient with the company's slow response in the mobile race. But it may be time to believe.
According to a recent TechCrunch article, investors should expect LTE-compatible chips from Intel sometime in 2013, which will allow the company to power more smartphones and seek more growth opportunities in tablets.
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