12 Fundamentally Sound Stocks Fit For a Bear Market

When the market gets rough and you are investing for the long haul searching for strong companies that can outlast the market turmoil is essential.

So I conducted a search for stocks with the following criteria: strong earnings per share (EPS), good institutional accumulation and current sponsorship (meaning well performing funds are currently holding the stock), and debt less then 25%. All stocks had to have a market capitilization of atleast $200 million as well.

The result? 12 fundamentally fit stocks that could be a great fit for any long term portfolio. (Note: stocks in alphabetical order via ticker symbol and one year stock charts are included for each.)

1. Barrick Gold Corp (ABX) - 07/01/08 Closing Price $46.36.

2. Aecom Technology (ACM) - 07/01/08 Closing Price $33.18.

3. Agrium Inc (AGU)- 07/01/08 Closing Price $104.82.

4. Yamana Gold (AUY) - 07/01/08 Closing Price $16.25.

5. C T C Media (CTCM) - 07/01/08 Closing Price $24.74.

6. Deckers Outdoor Corp (DECK) - 07/01/08 Closing Price $137.56.

7. E O G Resources (EOG) - 07/01/08 Closing Price $131.54.

8. Mantech International (MANT) - 07/01/08 Closing Price $47.47.

9. Morningstar (MORN) - 07/01/08 Closing Price $69.99.

10. Mindray Medical (MR) - 07/01/08 Closing Price $36.98.

11. Potash Corp (POT) - 07/01/08 Closing Price $222.68.

12. Wuxi Pharmatech (WX) - 07/01/08 Closing Price $18.98.

Comments

  1. Posted by Brandon on July 2, 2008 at 10:53 am

    Blain, what are your thoughts on AGU & POT?

  2. Posted by kanerd on July 2, 2008 at 3:26 pm

    POT has been a machine, and interesting to see both those gold stocks make the list as well. Some of these stocks actually have bullish looking charts. Nice post Blain

  3. Posted by Phi on July 2, 2008 at 10:32 pm

    The reason I am posting this is because I read a post else where Blaine said expect higher-higher, since we are in a bear market I will say this 'expect lower-low'. By now everyone has a good sense where the market will go--my strategy for this market is to chase the most over price stock. Stocks that are trading 10x or more its earning such as Ipi, Isrg, Pot and Rimm.

    I have tried this in a virtual account and it works pretty well. I might even try with my real money.

  4. Posted by Phi on July 2, 2008 at 10:49 pm

    I mean chase over price stock and buy put. The last put I bought was IPI 'aug put 70 @9.90 and the price is 13 now. Very good and I am expect it to go lower.

  5. Posted by Brandon on July 3, 2008 at 10:54 am

    sounds like a solid investing strategy Phi.