NEW YORK (Real Money) -- So now that so many S&P names are down, you have a chance to set yourselves up right for an environment that is very unforgiving to those who don't move. I am talking about all the juicy stocks that are being thrown away right now that have no business being thrown away, and are only going down because they are a part of the S&P 500.
Now, don't get me started on how tired I am of these vast market downturns on some figure that hamstrings the Fed but could be weather-related, or could be strong dollar-related when the dollar has peaked, or weak oil-related as it dawns on people that energy may have bottomed. I am talking about the stocks that are clearly marked as winners no matter what, because they are domestic and because they do well precisely in this kind of environment.
In fact, it is beyond ridiculous to view of any these stocks as casualties, and I am begging you -- those of you with long enough memories -- to think back to the halcyon days of the early 1980s, before there were S&P futures, so you could just watch as the correct stocks were impacted by the macro and there was little to no collateral damage.
What's incredible is how many stocks there really are that get hammered, as if they are multinationals about to have big number cuts. In the interests of time and charts, I am just going to reel off the good ones, so you know exactly what I mean.
Oh, and just so we are clear, every single one of these companies reported excellent last quarters, and with no exceptions their charts are pretty much perfectly made for this downturn.
First, we may think that the weak employment number may, somehow, impact the following restaurants and retailers, but these are far more a play on oil and gas, easier comparisons and commodity pressure on their suppliers. You should consider buying AutoNation (AN), AutoZone (AZO), CarMax (KMX), Cracker Barrel (CBRL), Costco (COST), CVS (CVS), Darden (DRI), Dillard's (DDS), Dick's (DKS), Dollar Tree (DLTR), Dollar General (DG), Hanesbrands (HBI), Jack in the Box (JACK), Jarden (JAH), L Brands (LB), Kroger (KR), Kohl's (KSS), Macy's (M), Ross Stores (ROST), Under Armour (UA) and Urban Outfitters (URBN).
All of these companies have reported excellent numbers in the last go-around, and every single last one of them has easy comparisons. You would not be able to get into these stocks without this selloff, and all of these companies are simply not going to skip a beat because of what came out on Friday. Sure, some wayward scared analyst may downgrade them. It is possible that someone might come out, some high-level strategist, and say that it is time to get out of consumer discretionary and be more defensive. Doesn't matter, compares are compares and these companies have great ones.
You worried about too much economic sensitivity? Then here's your buy list: Actavis (ACT), AmerisourceBergen (ABC), Boston Scientific (BSX), Cardinal Health (CAH), Cerner (CERN), Cigna (CI), Edwards Life Sciences (EW), Humana (HUM), Medtronic (MDT), McKesson (MCK), Perrigo (PRGO) and United Health (UNH). All of these are in ascension, numbers are too low and their businesses are totally, and I mean totally, recession-proof.
You want a little growth and low recession woes? How about Hormel (HRL) and Smucker's (SJM), Mondelez (MDLZ), and Monster Beverage (MNST)? All are going to have terrific quarters and are rife with special situation potential.
A little more sanguine on the economy and want lower interest rate derivatives? How about Toll (TOL), Horton (DHI) and Lennar (LEN)? They are in the sweet spots, with declining commodity prices, more traffic and low mortgage rates. They are also having strong spring selling seasons, after a lot of people were cooped up by the weather.
Oh, and if you can't resist some tech into weakness, the ones you want are all either cellphone-related -- Analog Devices (ADI), Avago (AVGO), Cypress Semi (CY), Qorvo (QRVO) and Skyworks Solutions (SWKS) -- or, if you want some fliers, Cyberark (CYBR), FireEye (FEYE), Fortinet (FTNT), and Palo Alto (PANW).
I have dozens more. But I don't want to dilute things. This is THE list.
Go forth and conquer.
Editor's Note: This article was originally published at 10:40 a.m. EDT on Real Money on April 6.