BOSTON ( TheStreet) -- At the start of the year, the Goldman Sachs ( GS) Conviction Buy List contained more than 50 stocks, which the bank expected to outperform. Since stocks have fallen to a five-week low, it's worthwhile to consider which Conviction Buys have led and which have lagged indices in 2011. Here's a look at the best- and worst-performing Conviction Buys.

2011 Conviction Buy Top Performers:

Starbucks ( SBUX), +13%
Viacom ( VIA.B), +14%
Nasdaq ( NDAQ), +14%
Lyondell ( LYB), +14%
Juniper ( JNPR), +15%
Cigna ( CI), +17%
Teradyne ( TER), +20%
Blackstone ( BX), +22%
Alexion ( ALXN), +22%
SuccessFactors ( SFSF), +23%

Now here's a look at five of the worst-performing Conviction Buys, all still rated "buy", which offer significant upside based on Goldman's targets.

5. Broadcom ( BRCM) makes semiconductors for wired and wireless communications products, including consumer electronics and mobile devices. Its stock has fallen 8.7% in 2011. It is down 14% in the past three months. Fourth-quarter adjusted earnings more than quadrupled to 47 cents a share, but missed analysts' consensus estimate by 19%, sending shares down 5.6%. Quarterly revenue grew 45% to more than $1.9 billion, beating consensus by 2.5%. The gross margin fell from 55% to 52%, but the operating margin widened from 12% to 17%. Broadcom has $2.7 billion of cash and $697 million of debt, converting to a quick ratio of 2.7 and a debt-to-equity ratio of 0.1.

Broadcom's stock trades at a forward earnings multiple of 13, a 12% discount to its semiconductor peer average. Its book value multiple of 3.6, sales multiple of 3.1 and cash flow multiple of 15 are near parity with industry averages. Of analysts covering Broadcom, 25, or 61%, advocate purchasing its stock, 12 recommend holding and four advise selling it. Jefferies has the highest target, at $60, implying 53% upside. Goldman expects a rise of 31% to $52. Deutsche Bank is the most bearish, rating Broadcom "hold" and forecasting that it will hover around $40 for 12 months.

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

Get Adobe Flash player

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

Get Adobe Flash player

4. Ford ( F) is the most profitable U.S. carmaker. Its stock has dropped 16% in 2011. It has gained 20% over a six-month span. Ford's fourth-quarter adjusted earnings decreased 31% to 30 cents, missing the consensus target by 38%. Sales, down 6.9%, exceeded expectations by 14%. Ford's gross margin widened from 18% to 19% and the operating margin expanded from 6.4% to 6.6%. Ford held $29 billion of cash and equivalents and $104 billion of debt, a 21% year-over-year drop, at quarter's end. It is running a shareholders' deficit of roughly $673 million.

Ford's stock sells for a trailing earnings multiple of 8.8, a forward earnings multiple of 7, a sales multiple of 0.4 and a cash flow multiple of 4.6, 43%, 74%, 45% and 21% discounts to automobile industry averages. Its PEG ratio, calculated by dividing the trailing P/E by analysts' terminal earnings growth forecast, of 0.6 signals a 40% discount to estimated fair value. Of researchers evaluating Ford, 11, or 61%, rate its stock "buy", six rate it "hold" and one ranks it "sell." Goldman forecasts that Ford will rise 42% to $20. Barclays, rating Ford "overweight", and JPMorgan, rating Ford "neutral", also have $20 targets. In contrast, Citigroup expects a rise to $17.

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

Get Adobe Flash player

3. Sapient ( SAPE) provides business and technology consulting services, offering multi-channel marketing and commerce solutions. Its stock has fallen 9.6% in 2011. It has dropped 12% in three months. Sapient's fourth-quarter adjusted earnings plummeted 78% to 11 cents, missing the consensus prediction by 2.7%. Its sales grew 27% to $233 million, narrowly missing consensus. The gross margin fell from 35% to 34% and the operating margin contracted from 10% to 9.5%. Sapient held $230 million of cash and no debt at quarter's end, for a quick ratio of 2.3.

Sapient's stock trades at a forward earnings multiple of 17 and a cash flow multiple of 17, slight premiums to technology services industry averages. But, its book value multiple of 3.4 and sales multiple of 1.8 reflect discounts of 59% and 44%. Of equity analysts covering Sapient, seven, or 64%, advise purchasing its stock, three recommend holding and one advocates selling the shares. Stifel Financial is most bullish, expecting a gain of 55% to $17. Goldman forecasts a rise of 37% to $15. Piper Jaffray, ranking Sapient "neutral", predicts that it will fall to $10.

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

Get Adobe Flash player

2. Cummins ( CMI) builds diesel and natural gas engines, electric power generation systems and related components. Its stock has surged 64% in the past 12 months, outperforming indices. It has corrected 11% in 2011. Cummins' adjusted fourth-quarter earnings advanced 34% to $1.84, beating analysts' consensus estimate by 7.4%. Sales, which rose 22%, exceeded consensus by 5.1%. The gross margin widened from 25% to 26% and the operating margin rose from 9.3% to 11%. Cummins has $1.4 billion of cash and $843 million of debt.

Cummins shares sell for a trailing earnings multiple of 19 and a forward earnings multiple of 11, 21% and 32% discounts to machinery peer averages. Yet, its book value multiple of 4.1 and cash flow multiple of 19 represent premiums. Of stock researchers following Cummins, nine, or 53%, rate its stock "buy" and eight rank it "hold." None rank it "sell." Credit Suisse is the most bullish bank on Wall Street, predicting that Cummins will rally 42% to $139. Goldman expects a rise of 39% to $136. JPMorgan, ranking Cummins "neutral", still expects an advance to $112.

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

Get Adobe Flash player

1. Crown Castle ( CCI) owns, operates and leases wireless infrastructure and towers in the U.S. and Australia. Its stock has dropped 10% in 2011 and 15% in the past four weeks. Crown Castle's adjusted fourth-quarter earnings more than doubled to 12 cents, outpacing the consensus estimate by 45%. Its sales, up 12% year-over-year, outgrew consensus by 1.5%. The gross margin extended from 67% to 69% and the operating margin climbed from 28% to 33%. Crown Castle has $334 million of cash and $6.8 billion of debt, for a high debt-to-equity ratio of 2.5.

Crown Castle's stock trades at a forward earnings multiple of 50, a book value multiple of 4.1, a sales multiple of 6.0 and a cash flow multiple of 19, 255%, 17% and 166% premiums to wireless telecom industry averages. Of equity analysts evaluating Crown Castle, 16, or 70%, advise clients to buy its stock, six recommend holding and one advocates selling the shares. Deutsche Bank offers the highest target, at $57, suggesting a 12-month return of 45%. Goldman expects a rise of 37% to $54. Piper Jaffray more conservatively forecasts a 15% advance to $45.

-- Written by Jake Lynch in Boston.

RELATED STORIES:

Become a fan of TheStreet on Facebook.

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

If you liked this article you might like

TheStreet Podcast: Go Inside the Goldman Sachs Tech & Internet Conference

TheStreet Podcast: Go Inside the Goldman Sachs Tech & Internet Conference

This Is the Perfect Time to Buy Dividend Stocks

This Is the Perfect Time to Buy Dividend Stocks

Women Control Over 50% of Household Wealth, Says Schwab's Liz Ann Sonders

Women Control Over 50% of Household Wealth, Says Schwab's Liz Ann Sonders

Video: 5 of the Biggest Losers From the New Tax Code

Video: 5 of the Biggest Losers From the New Tax Code

Inside Goldman Tech Conference: Key Takeaways on Bitcoin, Ethereum and ICOs

Inside Goldman Tech Conference: Key Takeaways on Bitcoin, Ethereum and ICOs