These Dog Stocks Are Going Straight Up - TheStreet

These Dog Stocks Are Going Straight Up

Here are some beaten-up stocks that should be on the rise soon.
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Updated from 2:55 p.m. EDT

Sometimes stocks are so beaten-down that they only have one direction: up.

How does a stock get beaten down? Lets say a company is about to report bad earnings. The management team might decide: "Listen, we're going to get crushed anyway. Let's write down every number we can. Let's get all the bad news out there so our comps for the foreseeable future will be enormously positive."

The earnings come out, and the investors panic and hit the sell button. Then the selling feeds upon itself. The stock goes down 20% to 30% or more until there are no more shares left to sell.

So we have several things going for us all of a sudden:

    1. No more shares left for sale.

    2. The company lied. Things aren't so bad. In fact, things are going to be pretty darn good for the next few quarters because the stock took the massive hit already.

    Here are my two favorite stocks that are back doors on wind power:

    To read the rest of the story and for the four losers that I think got beaten too badly and are on their way up, please click here.

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