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Subject:  Values or Traps? Date:  4/22/2013  11:31 AM
Author:  notehound Number:  421183 of 536725

I just did a quick stock screen for high yields, drops in share price over 52 weeks, low P/B and moderate P/E ratios, and found that there are a lot of recognizable names trading at what, at first glance, appears very cheap prices.

3 groups I have owned before that are showing up among the "best values" are the following (in no particular order):

Gold Miners
Royalty Trusts

There are a number of apparently "value-priced" names in each sector to choose from. No matter how poor the outlook for the group as a whole, each of these sectors will still be around for years.

If one were to pick 2 from each group and buy them soon (or after the market "sells in May,") one would have to ask ones' self:

Are these values or are these traps?

(I'm not personally looking to buy right now, because I'm still hoping there will be a -20% move on the S&P sometime between now and September/October so I can back up the truck.)
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