Updated from 10:16 a.m. EDT

When a stock has these characteristics:
  • analyst expectations going up
  • lots of cash and no debt
  • low P/E ratios
  • solid revenue and earnings growth
  • the winds of demographics at its back
it's usually a great bargain. Why do bargains like this exist? Because everyone has blindly kept their fingers on the sell button.

I spoke to a friend of mine who is a young trader at a multibillion-dollar mutual fund family. "When we get redemptions," he said, "we have to sell everything we can. We need to raise cash that day."

So it isn't about price, and it isn't about dividends, P/E ratios, growth -- if it moves, kill it. Consequently, some very good stocks have been cut in half or more.

Well, the market has gotten too cheap, the mutual fund redemptions will stop, and these solid companies will recover their ground lost and then some. Also, what I like about these stocks is that they are not as widely followed as a Dell ( DELL), Fannie Mae ( FNM), Sohu.com ( SOHU) or Solarfun ( SOLF).

Baidu ( BIDU) might be a great company, for instance, but everyone knows every little nuance of the stock. Apple ( AAPL), as another example, will probably go up because of this 3G iPhone, but every hedge fund in the world is already gaming it.

It's time to find the stocks that are a little under the radar but are solid doubles over the next six months.

For the rest of the story, and to find out which three stocks I think will double by year-end, please click here.

Every weekend I send an email to Jim Cramer and several hedge fund managers about the most interesting portfolios posted on Stockpickr that week. Usually those portfolios not only list stocks according to a theme but also offer significant analysis as to why the stocks are cheap.

Here are some examples:

Here's the challenge: Build a portfolio at Stockpickr.com with great analysis, and send me the link. Each great portfolio (with analysis) will get posted on TheStreet.com with your byline (as a "Stockpickr Guest Columnist") and will be included in my email I send to Jim and the other hedge fund managers on my list.
At the time of publication, Altucher and/or his fund had no positions in stocks mentioned, although positions may change at any time.

James Altucher is president of Stockpickr LLC, a wholly owned subsidiary of TheStreet.com and part of its network of Web properties, and a managing partner at Formula Capital, an alternative asset management firm that runs a fund of hedge funds. He is also a weekly columnist for the Financial Times and the author of Trade Like a Hedge Fund, Trade Like Warren Buffett and SuperCa$h. Under no circumstances does the information in this column represent a recommendation to buy or sell stocks. Altucher appreciates your feedback; click here to send him an email.

TheStreet.com has a revenue-sharing relationship with Trader's Library under which it receives a portion of the revenue from purchases by customers directed there from TheStreet.com.

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