{"id":26145,"date":"2011-12-21T10:10:03","date_gmt":"2011-12-21T15:10:03","guid":{"rendered":"http:\/\/countingpips.com\/fx\/2011\/12\/21\/the-10-best-stocks-for-2012\/"},"modified":"2011-12-21T10:10:03","modified_gmt":"2011-12-21T15:10:03","slug":"the-10-best-stocks-for-2012","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2011\/12\/21\/the-10-best-stocks-for-2012\/","title":{"rendered":"The 10 Best Stocks for 2012"},"content":{"rendered":"

By The Sizemore Letter<\/a><\/p>\n

Charles Sizemore, the winner of InvestorPlace’s “10 Stocks for 2011″ contest, offers his favorite stock for 2012.\u00a0 Read about Charles’ pick and the other contestants below.<\/em><\/p>\n

Wondering what the best stocks to buy<\/a> for next year are? Well, look no further than the 10 Best Stocks for 2012<\/a>.<\/p>\n

This InvestorPlace<\/em> feature lists 10 long-term investments from a group of money managers, market experts and financial journalists. The 10 Best Stocks for 2012<\/a> is meant to provide buy-and-hold picks you can purchase now and sit on for a year \u2014 ideally, winding up richer on the other side.<\/p>\n

The buy list this year is a diverse group of stocks \u2014 from banks to technology, from emerging markets to Dow components, from old favorites to a stock that went public just a few months ago.<\/p>\n

Throughout the year, the writers will regularly offer updates on the good, the bad and the unexpected as it relates to their best stock for 2012. We\u2019ll find out in a year who had the best pick \u2014 but first, let\u2019s examine each writer\u2019s recommendation and what made them pick their stock as the best investment for the New Year:<\/p>\n

Best Stock for 2012: Turkcell<\/strong><\/h3>\n

\"Turkcell<\/a>Money manager and stock picker Charles Sizemore<\/a>, CFA, picked Visa<\/strong> (NYSE:V<\/a>) as the single-best stock to buy and hold for all of 2011 \u2014 and thanks to market-trouncing returns of 40% year-to-date, his Visa pick<\/a> was the winner among 10 picks in our similar contest last year.<\/p>\n

This year, Charles gets a purer play on emerging markets with telecom stock Turkcell Iletisim Hizmetleri AS <\/strong>(NYSE:TKC<\/a>), a mobile phone operator more commonly known just as \u201cTurkcell.\u201d<\/p>\n

Yes, there is unrest in the Middle East and in the euro zone right now. But as Charles writes, this means you can buy a great company at a fire-sale price.<\/p>\n

\u201cIf you believe, as I do, that Turkey has one of the brightest futures of any country on the planet, then the crises on Turkey\u2019s borders should be viewed as a phenomenal opportunity to buy shares of some of Turkey\u2019s finest companies,\u201d Charles writes. \u201cAnd my choice for 2012 is Turkcell.\u201d<\/p>\n

Read Charles\u2019 complete recommendation on Turkcell<\/a>.<\/p>\n

Best Stock for 2012: Caterpillar<\/strong><\/h3>\n

\"Caterpillar<\/a>Investor and CBS MoneyWatch<\/em> columnist Dan Burrows<\/a> picked industrial giant Caterpillar<\/strong> (NYSE:CAT<\/a>) as his best stock for 2012<\/a>.<\/p>\n

His reasons? Dan says CAT stock was oversold during the summer volatility, has good fundamentals (including retail sales that grew 31% in October) and a bargain valuation with a forward price-to-earnings ratio of about 10.<\/p>\n

\u201cWall Street\u2019s mean (and median) price target for Caterpillar currently stands at $114.50, according to Thomson Reuters data. Add in the 2% yield on the dividend, and the stock offers an implied return of 28% in the next 12 months or so,\u201d writes Dan. \u201cNot too shabby for a company with a market cap of more than $58 billion.\u201d<\/p>\n

Read Dan\u2019s complete recommendation on Caterpillar<\/a>.<\/p>\n

Best Stock for 2012: FedEx<\/strong><\/h3>\n

\"FedEx<\/a>CNNMoney\u2019s Paul R. La Monica<\/a> said, \u201cWhen I was asked to pick one stock to write about for InvestorPlace<\/em> <\/em>that I was confident would do well next year, I immediately started thinking of companies that should benefit from a steadily improving U.S. economy.\u201d<\/p>\n

At the end of his deliberation, Paul settled on FedEx<\/strong> (NYSE:FDX<\/a>).<\/p>\n

Don\u2019t think this is just a play on a broad-based recovery, though. A discounted P\/E ratio vs. rival UPS<\/strong> (NYSE:UPS<\/a>), a strong dividend history, recent rate increases and the lack of competition from a U.S. Postal Service in disarray<\/a> are all reasons to be bullish on FedEx.<\/p>\n

\u201cFedEx may not be flashy. But that\u2019s kind of the point,\u201d Paul writes. \u201cIn a market where volatility seems to be the new black, you could do a lot worse than a stable blue chip with steady earnings growth.\u201d<\/p>\n

Read Paul\u2019s complete recommendation on FedEx<\/a>.<\/p>\n

Best Stock for 2012: Hershey<\/strong><\/h3>\n

\"Hershey<\/a>Renowned trader, journalist and money manager Jon Markman<\/a> has a sweet play for you in 2012: confectioner Hershey<\/strong> (NYSE:HSY<\/a>).<\/p>\n

Why this consumer stock? Well, because in the short-term Jon is decidedly bearish on just about all corners of the market. The euro zone debt crisis will continue to rock Europe and subsequently affect nations that export goods there or rely on plush government subsidies from the content.<\/p>\n

In fact, Jon thinks that in the short term, \u201cthe simplest trades next year will likely be short iShares Europe<\/strong> (NYSE:IEV<\/a>), short iShares Emerging Markets<\/strong> (NYSE:EEM<\/a>) and short solar energy equipment producers like First Solar <\/strong>(NASDAQ:FSLR<\/a>).\u201d<\/p>\n

But what does this mean for buy-and-hold investors? Simply put, get defensive with consumer staples stocks.<\/p>\n

For those who think that chocolate is discretionary, Jon adds, \u201cWell, try explaining to my daughter that chocolate isn\u2019t a household staple.\u201d<\/p>\n

Read Jon\u2019s complete recommendation on Hershey<\/a>.<\/p>\n

Best Stock for 2012: Capital One<\/strong><\/h3>\n

\"Capital<\/a>Banks aren\u2019t exactly super popular right now, so it might surprise you to see senior analyst Philip van Doorn<\/a> of TheStreet<\/em> picking Capital One Financial<\/strong> (NYSE:COF<\/a>) as his best best for 2012.<\/p>\n

But a closer look at the stock shows a lot to be bullish about, even as the rest of the financial sector melts down. Namely, strong fundamentals and a historically low valuation and book value.<\/p>\n

Capital One also has two very important mergers in the works that will provide future growth beyond its generally well-run banking operations.<\/p>\n

Philip is adamant that this is not just a dumpster dive, saying \u201cthe most important factor in Capital One\u2019s strong performance this year is its outstanding earnings performance.\u201d Compared with the big banks on Wall Street, COF is in a class of its own.<\/p>\n

Read Philip\u2019s complete recommendation on Capital One.<\/a><\/p>\n

Best Stock for 2012: Mako Surgical<\/strong><\/h3>\n

\"Mako<\/a>David Gardner<\/a> knows a thing or two about picking stocks. As co-founder of The Motley Fool<\/em>, he is the brains behind the innovative Motley Fool CAPS<\/a> rating system. And from his own research and what other investors are saying, David thinks he has a quite a pick for 2012 in Mako Surgical <\/strong>(NASDAQ:MAKO<\/a>).<\/p>\n

What makes Mako special? It\u2019s an innovative medical device company that has revolutionized joint replacement. It\u2019s not profitable yet, but the potential is huge, and stories of treatments and recovery are quite dramatic.<\/p>\n

\u201cIt\u2019s a long way from here to there, but for the speculative portion of your portfolio, MAKO could richly reward a little patience,\u201d David writes.<\/p>\n

If you don\u2019t mind taking a little risk with your investments in 2012, consider this up-and-coming medical company.<\/p>\n

Read Dave\u2019s complete recommendation on Mako<\/a>.<\/p>\n

Best Stock for 2012: Microsoft<\/h3>\n

\"\"<\/a>Blogger, author and founder of Stockpickr<\/em> James Altucher<\/a> joined a similar InvestorPlace.com<\/em> feature in the beginning of 2011, picking one stock to buy and hold all year. Back then, he picked Microsoft<\/strong> (NASDAQ:MSFT<\/a>) \u2014 and his choice is the same a year later.<\/p>\n

Similar to his previous write-up<\/a>, the highlights of this year\u2019s recommendation include:<\/p>\n