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While extreme market volatility can give even the most patient investors a headache it can also provide unforeseen opportunities. One way to identify these potential opportunities is to look for companies that appear undervalued by their P/S Ratio and oversold for the year but have recently reversed their poor performance. The Price/Sales ratio shows how much Wall Street values every dollar of the company's sales.

We ran a screen for firm’s with a low P/S Ratio (X<1) that had underperformed the S&P 500 so far this year. From this narrowed pool we then screened for stocks’ that had outperformed against the S&P500 in the last week.

The list is ranked from highest to lowest by Price/Sales Ratio.

1. PHH Corporation (NYSE:PHH)

Sector

Financial Services

Industry

Credit Services

Market Cap

$992M

Beta

1.63

The company is an outsource provider of mortgage and fleet management services. The firm’s P/S Ratio is 0.34. The stock’s 1-Month Return is -8.42%. The stock’s 1-Week Return is 8.84%. The short interest is 13.70% as of 08/15/2011.

2. KT Corporation (NYSE:KT)

Sector

Communication Services

Industry

Telecom Services

Market Cap

$ 8,517M

Beta

1.01

The company offers telecommunications service & various other services including leased line service & other data communication service. The firm’s P/S Ratio is 0.43. The stock’s 1-Month Return is -11.21%. The stock’s 1-Week Return is 7.36%. The short interest is N/A as of 08/15/2011.

3. SK Telecom Co., Ltd. (NYSE:SKM)

Sector

Communication Services

Industry

Telecom Services

Market Cap

$ 10,069M

Beta

0.90

The Company is a wireless telecommunications services provider that focuses on the commercial development and provision of wireless data and Internet services. The firm’s P/S Ratio is 0.73. The stock’s 1-Month Return is -1.69%. The stock’s 1-Week Return is 6.50%. The short interest is N/A as of 08/15/2011.

4. Logitech International S.A. (NASDAQ:LOGI)

Sector

Technology

Industry

Computer Systems

Market Cap

$ 1,705M

Beta

1.84

The Company offers personal peripherals for personal computers and other digital platforms. The firm’s P/S Ratio is 0.72. The stock’s 1-Month Return is -10.84%. The stock’s 1-Week Return is 5.35%. The short interest is 8.30% as of 08/15/2011.

5. Wal-Mart Stores Inc. (NYSE:WMT)

Sector

Consumer Defensive

Industry

Discount Stores

Market Cap

$ 181,233M

Beta

0.37

The company is the largest retailer around the world. The firm’s P/S Ratio is 0.44. The stock’s 1-Month Return is -3.60%. The stock’s 1-Week Return is 4.42%. The short interest is 1.50% as of 08/15/2011.

6. Target Corp. (NYSE:TGT)

Sector

Consumer Defensive

Industry

Discount Stores

Market Cap

$ 34,492M

Beta

0.95

The country’s second-largest discount chain that strives to be more upscale than rivals. The firm’s P/S Ratio is 0.53. The stock’s 1-Month Return is -2.82%. The stock’s 1-Week Return is 3.99%. The short interest is 1.50% as of 08/15/2011.

7. Telecom Corporation of New Zealand (NZT)

Sector

Communication Services

Industry

Telecom Services

Market Cap

$ 4,275M

Beta

1.07

The company offers telecommunications services in New Zealand. The firm’s P/S Ratio is 0.99. The stock’s 1-Month Return is -2.88%. The stock’s 1-Week Return is 3.15%. The short interest is N/A as of 08/15/2011.

8. Photronics Inc. (NASDAQ:PLAB)

Sector

Technology

Industry

Semiconductor Equipment & Materials

Market Cap

$375M

Beta

3.49

Manufacturer offers high precision photographic quartz plates containing microscopic images of electronic circuits. The firm’s P/S Ratio is 0.88. The stock’s 1-Month Return is -26.67%. The stock’s 1-Week Return is 3.07%. The short interest is 13.60% as of 08/15/2011.

9. Home Depot, Inc. (NYSE:HD)

)Sector

Consumer Cyclical

Industry

Home Improvement Stores

Market Cap

$51,398M

Beta

0.82

The company is the largest home-improvement retailer. The firm’s P/S Ratio is 0.78. The stock’s 1-Month Return is -11.61%. The stock’s 1-Week Return is 2.61%. The short interest is 2.10% as of 08/15/2011.

10. Ultrapar Holdings Inc (NYSE:UGP)

Sector

Energy

Industry

Oil & Gas Refining & Marketing

Market Cap

$9,429M

Beta

0.97

The company distributes LPG in Brazil, produces of ethylene oxide, and more. The firm’s P/S Ratio is 0.33. The stock’s 1-Month Return is 0.45%. The stock’s 1-Week Return is 2.49%. The short interest is 0.97 as of 08/15/2011.

We hope this list helps as investors look for stocks that appear undervalued and oversold.

Source: 10 Undervalued, Oversold Stocks Regaining With The Momentum To Go Higher