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The following is a list of stocks with bearish momentum, based on moving average trends. For this article, we'll focus on the convergence between the 50-day and 200-day moving averages. All of the stocks mentioned below have seen the SMA50 move below the SMA200 in recent sessions, a bearish momentum indicator known as the "Death Cross".

Additionally, all of the stocks mentioned below are deeply undervalued, when comparing the current price to the average analyst target price (used as a proxy for fair value).

We'll be the first to admit that this is a very naive way to find undervalued companies. Analysts don't always have the best track record, and price targets may not reflect the latest information on a stock. But the goal here is to give you a starting point for your own analysis.

Is this a list of value traps, or is the market too bearish on their prospects? Full details below.

Price target data sourced from Finviz.

The list has been sorted by the discount to analyst target price.

1. Universal Corp. (UVV): Tobacco Products Industry. Market cap of $978.52M. SMA50 at $39.66 vs. SMA200 at $39.96 (current price at $41.71). Price at time of writing at $41.71 vs. target price of $65.0 (discount of 35.83%). Short float at 11.95%, which implies a short ratio of 9.08 days. The stock has lost -19.45% over the last year.

2. Dendreon Corp. (DNDN): Biotechnology Industry. Market cap of $4.88B. SMA50 at $36.0 vs. SMA200 at $37.47 (current price at $33.79). Price at time of writing at $33.79 vs. target price of $52.29 (discount of 35.38%). Short float at 10.88%, which implies a short ratio of 5.74 days. The stock has gained 2.99% over the last year.

3. Republic Bancorp Inc. (RBCAA): Regional Bank. Market cap of $359.33M. SMA50 at $21.34 vs. SMA200 at $21.72 (current price at $17.16). Price at time of writing at $17.16 vs. target price of $26.0 (discount of 34.0%). Short float at 6.24%, which implies a short ratio of 14.84 days. The stock has gained 3.69% over the last year.

4. AutoChina International Ltd. (AUTC): Diversified Investments Industry. Market cap of $425.88M. SMA50 at $25.46 vs. SMA200 at $25.46 (current price at $21.64). Price at time of writing at $21.64 vs. target price of $31.75 (discount of 31.84%). Short float at 1.99%, which implies a short ratio of 1.78 days. The stock has lost -45.63% over the last year.

5. Radian Group Inc. (RDN): Surety & Title Insurance Industry. Market cap of $981.1M. SMA50 at $7.99 vs. SMA200 at $8.09 (current price at $7.38). Price at time of writing at $7.38 vs. target price of $10.81 (discount of 31.73%). Short float at 14.1%, which implies a short ratio of 3.08 days. The stock has lost -13.89% over the last year.

6. Northgate Minerals Corp. (NXG): Gold Industry. Market cap of $869.74M. SMA50 at $2.89 vs. SMA200 at $2.97 (current price at $2.98). Price at time of writing at $2.98 vs. target price of $4.35 (discount of 31.49%). Short float at 3.73%, which implies a short ratio of 2.76 days. The stock has gained 12.45% over the last year.

7. PROLOR Biotech, Inc. (PBTH): Biotechnology Industry. Market cap of $313.94M. SMA50 at $6.42 vs. SMA200 at $6.44 (current price at $5.9). Price at time of writing at $5.9 vs. target price of $8.5 (discount of 30.59%). Short float at 1.92%, which implies a short ratio of 6.88 days. The stock has gained 124.33% over the last year.

8. Pantry Inc. (PTRY): Grocery Stores Industry. Market cap of $372.32M. SMA50 at $17.98 vs. SMA200 at $18.35 (current price at $16.23). Price at time of writing at $16.23 vs. target price of $23.0 (discount of 29.43%). Short float at 2.94%, which implies a short ratio of 3.43 days. The stock has gained 19.96% over the last year.

9. Xyratex Ltd. (XRTX): Data Storage Devices Industry. Market cap of $385.35M. SMA50 at $14.60 vs. SMA200 at $14.63 (current price at $13.17). Price at time of writing at $13.17 vs. target price of $18.59 (discount of 29.16%). Short float at 4.51%, which implies a short ratio of 2.87 days. The stock has lost -3.37% over the last year.

10. Mobile Telesystems OJSC (MBT): Wireless Communications Industry. Market cap of $18.56B. SMA50 at $20.11 vs. SMA200 at $20.85 (current price at $19.37). Price at time of writing at $19.37 vs. target price of $27.25 (discount of 28.92%). Short float at 3.68%, which implies a short ratio of 0.88 days. The stock has lost -6.06% over the last year.

11. Longtop Financial Technologies Limited (LFT): Business Software & Services Industry. Market cap of $1.83B. SMA50 at $34.80 vs. SMA200 at $35.41 (current price at $32.0). Price at time of writing at $32.0 vs. target price of $44.13 (discount of 27.49%). Short float at 13.73%, which implies a short ratio of 11.07 days. The stock has lost -1.48% over the last year.

12. Delta Air Lines Inc. (DAL): Major Airlines Industry. Market cap of $9.61B. SMA50 at $12.25 vs. SMA200 at $12.34 (current price at $11.5). Price at time of writing at $11.5 vs. target price of $15.81 (discount of 27.26%). Short float at 1.55%, which implies a short ratio of 1 days. The stock has lost -9.66% over the last year.

13. Valassis Communications Inc. (VCI): Marketing Services Industry. Market cap of $1.52B. SMA50 at $31.99 vs. SMA200 at $33.03 (current price at $30.59). Price at time of writing at $30.59 vs. target price of $42.0 (discount of 27.17%). Short float at 11.05%, which implies a short ratio of 8.29 days. The stock has gained 23.95% over the last year.

14. Premiere Global Services, Inc. (PGI): Diversified Communication Services Industry. Market cap of $398.98M. SMA50 at $6.55 vs. SMA200 at $6.74 (current price at $6.61). Price at time of writing at $6.61 vs. target price of $9.06 (discount of 27.04%). Short float at 1.91%, which implies a short ratio of 4.15 days. The stock has lost -20.55% over the last year.

15. Hanesbrands Inc. (HBI): Apparel Clothing Industry. Market cap of $2.44B. SMA50 at $24.87 vs. SMA200 at $25.83 (current price at $25.35). Price at time of writing at $25.35 vs. target price of $34.14 (discount of 25.75%). Short float at 6.95%, which implies a short ratio of 5.09 days. The stock has gained 3.17% over the last year.

16. Medifast Inc. (MED): Specialty Retail Industry. Market cap of $418.65M. SMA50 at $26.89 vs. SMA200 at $27.55 (current price at $27.15). Price at time of writing at $27.15 vs. target price of $36.33 (discount of 25.27%). Short float at 25.04%, which implies a short ratio of 10.77 days. The stock has gained 27.11% over the last year.

17. Central European Distribution Corp. (CEDC): Wineries & Distillers Industry. Market cap of $1.63B. SMA50 at $23.78 vs. SMA200 at $24.5 (current price at $23.05). Price at time of writing at $23.05 vs. target price of $30.84 (discount of 25.26%). Short float at 2.7%, which implies a short ratio of 2.34 days. The stock has lost -30.74% over the last year.

18. Orthofix International NV (OFIX): Medical Appliances & Equipment Industry. Market cap of $544.13M. SMA50 at $29.26 vs. SMA200 at $29.86 (current price at $30.69). Price at time of writing at $30.69 vs. target price of $40.5 (discount of 24.22%). Short float at 3.1%, which implies a short ratio of 4.24 days. The stock has lost -11.25% over the last year.

19. PAETEC Holding Corp. (PAET): Diversified Communication Services Industry. Market cap of $607.66M. SMA50 at $3.98 vs. SMA200 at $3.99 (current price at $4.2). Price at time of writing at $4.2 vs. target price of $5.53 (discount of 24.05%). Short float at 2.53%, which implies a short ratio of 7.77 days. The stock has gained 6.06% over the last year.

20. Griffon Corporation (GFF): General Building Materials Industry. Market cap of $788.13M. SMA50 at $12.17 vs. SMA200 at $12.31 (current price at $12.6). Price at time of writing at $12.6 vs. target price of $16.5 (discount of 23.64%). Short float at 3.99%, which implies a short ratio of 7.48 days. The stock has gained 0.48% over the last year.

Source: Value Traps? 20 Most Undervalued Stocks With Bearish Crossover Signals