Most stocks have been thoroughly shaken and stirred since early October, and a long-overdue corrective move finally took shape. Not even the bluest of the blue chips have been immune. The Dow Jones Industrial Average still is off its record high from a couple months ago, and several Dow stocks still are vulnerable to more selling.
The initial shellshock has started to fade, however, the smoke is clearing and some stocks are recovering. Smart investors are now weighing the impact and searching for opportunities. Some Dow Jones stocks may have more downside to dish out, but a handful of these iconic names are looking oversold, undervalued and ripe for a rebound sooner than later. Remember: Corporate earnings have never been better, and consumer confidence is as high as it’s been in years. Clearly something is going right.
Here’s a look at five Dow stocks that may have more ground to give up before they hit bottom, and two industrial-average components that may already be buys at current prices. But a note: Most of these “stocks to sell” are merely in short-term trouble. A sizeable pullback from any of them could ultimately turn into a buying opportunity.