These 'overlooked' stocks are buying opportunities, says Jefferies

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A delivery rider wearing a protective mask picks up an order from Starbucks as signs displayed in the window announce pick up and delivery options are available amid the coronavirus pandemic on April 28, 2020 in New York City, United States.Volatility is here to stay, according to Jefferies, but there are still attractive buying opportunities that offer potential long-term upside.

"We wanted to find stocks that investors shunned in both bad times and good times but our analysts like," the firm said. "We looked up and down the market cap for those stocks that lagged in the bear market and have not participated in the upturn ... and could be the next leaders." On the firm's buy list include cyclical stocks that are sensitive to the overall health of the economy.

"Small caps and the cyclicals are still unloved and cheaper with better and broader growth coming in the back half of the year."

 

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