Searching for a springtime bargain stock? The Profit Scanner powered by Recognia has uncovered five stocks under $5 whose technical setups suggest they could move 15% or more before summer arrives.
Bargain Stock #1
Founded in 1990, Warren Resources (WRES) is an independent energy play that deals primarily with onshore crude oil and gas reserves, particularly exploration and development of waterflood oil recovery in the Los Angeles Basin of California and coalbed methane properties located in the Rocky Mountain region. Its cache of properties is located throughout California, Wyoming, New Mexico, and Texas. It focuses primarily on the; and on the exploration and development of.
At the April 9 close, WRES’ chart indicated a bullish Diamond Continuation pattern had formed, which could take the stock from the $4.89 close to an upside target of $5.70 to $5.90 in approximately 26 trading days.
For options traders, the series is relatively thinly traded, but there is some open interest at the May $5 strike, though the better bet for this bargain stock may be to simply buy the shares.