Quick, What do Hewlett Packard (HPQ), Best Buy (BBY) and Leap Wireless (LEAP) have in common? If you guessed (A) they were some of the poorest performers in the market in 2012, (B) investors had given up on these companies until recently or (C) these stocks have been some of the strongest performers in the market over the past six months; you would be correct.
This is a solid example of why contrarian investing done right can lead to substantial returns for patient value investors who are good at spotting when sentiment has turned too negative on a stock or sector and are willing to wait for that sentiment to turn....
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