Worst Performers For 2011 With Upside Potential

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Last week I took a look at stocks that have outperformed this summer. Now I want to look at the opposite end of the performance spectrum - down and out stocks. Very often stocks that are way down are down that much for very good reasons. Typically they have fundamental problems associated with their business model or financial condition. However, sometimes stock are down heavily yet present opportunities. I want to highlight some of those stocks that have the ability to rebound from huge declines so far this year.

I began by looking at the S&P 500 (SPX) from the beginning of the year through the close of business September 12, 2011. Of the 500 stocks in the large capitalization index, 314 have declined.

So which stocks do have a potential for a rebound? Here is a list that I have put together in a Stockpickr portfolio.

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