4 Stocks To Buy In 2012

January 3rd, 2012 | Filed under: Editor's Pick, Stock Recommendations, , , ,

It is hard to believe it is already another year, but, after a dismal 2011, I am looking to get back on track with my 4 stocks to buy in 2012. Hopefully this year sees returns like 2009 and 2010.

I strongly believe 2012 will be the year of the “big names.” I think we will begin to see clear separation between the losers and winners of certain sectors. While many stocks were beaten in 2011, many of these stocks were just victims of the environment, so if we strategize accordingly the best names in most sectors should outperform the year.

Below are my 4 stocks to buy in 2012:

Haliburton (HAL)

I was thinking long about going with Haliburton or sticking with Schlumberger  (SLB) has I have had for the last 3 years; however, at the current price I think Haliburton is positioned better for higher returns. Currently both hedge funds and analysts love this stock, and has the price of oil continues to rise, so should the demand for this company’s service. Based on the chart, my price target is around $50.

Ford (F)

Dare I choose an American car company for one of my stocks for 2012? I guess I am. Many thought that 2011 would be the year of Ford, but it was not. At the current price, the upside is much higher than any possible downside to this company, which is already fundamentally sound. If we can finish the year somewhere between $14 and $16 it will be a good year.

Alcoa (AA)

The leading aluminum manufacturer may just be too cheap to pass up. While the company performed relatively well in 2011, the stock was beaten my global economic fears. With the stock currently sitting at levels not seen since 2+ years ago, one has to think aren’t we better situated this time around? The upside for this stock is well into the teens.

Caterpillar (CAT)

I have loved this stock for a while, and I think I am ready to pull the trigger on it as part of my 4 stocks. Retail sales for the company grew 31% in October and we should experience a more intense run on any sign of an improved economy. From a technical perspective the stock has a price target of $115.

Some other notable stocks for 2012 include: JPM, VMW, HD, SLB

Check out the 2012 stock recommendations from these other bloggers: