1 Bruised Dividend Stock to Buy While It's Cheap, and 1 to Avoid
Sometimes quality companies that have fallen on hard times can make for great investments. The market usually sells off their stocks to levels more than warranted when the underlying business hits a lean patch, or fails to meet the market's baked-in expectations, over the short term. But if the long-term prospects are fundamentally intact, such market actions merely make the stocks cheap, making them ripe pickings for value investors.
However, it's also true that many investors have lost their shirts by betting on fallen winners from yesteryear in hopes of a recovery that never arrived.
Undoubtedly, it's hard to distinguish which stocks are in which of the two categories above. So, let's examine one example of each.
Source Fool.com
