AK Steel Holding Corporation (AKS), Coca-Cola Bottling Co. Consolidated (COKE), Monster Beverage Corp (MNST): 3 Stocks Near 52-Week Lows Worth Buying

But the above hasn’t dissuaded me from taking a bullish stance on CYS Investments Inc. (NYSE:CYS) . CYS invests solely in agency-backed loans (those covered in full faith by the U.S. government in case of default), which means it usually deals with low-interest spreads — in this case an adjusted 1.5% interest-rate spread net of hedge for 2012 — but it can often lever itself to the brim without too much risk. Of particular interest is the sweet spot for mREITs — which is the period between when the Fed winds down its MBS purchases and when it finally raises its target lending rate — that I suspect is right around the corner. I figure that mREITs like CYS have a good three years of double-digit yields still to come before they pare back to a 6% to 8% range.

With CYS trading well below its net asset value of $13.31 per share, I’d say this appears to be a safe double-digit dividend and a company that could return in the neighborhood of 50% to 60% (cumulatively) to shareholders by 2016.

Foolish roundup
This week was all about digging deep for bigger trends. Whether it’s finding the sweet spot for mREITs, expecting steel demand to rise due to exports to China, or relying on Coca-Cola’s brand value to save the day, all three companies look primed for a rebound.

The article 3 Stocks Near 52-Week Lows Worth Buying originally appeared on Fool.com.

Fool contributor Sean Williams has no material interest in any companies mentioned in this article. You can follow him on CAPS under the screen name TMFUltraLong, track every pick he makes under the screen name TrackUltraLong, and check him out on Twitter, where he goes by the handle @TMFUltraLong. The Motley Fool recommends Coca-Cola and Monster Beverage. The Motley Fool owns shares of Monster Beverage.

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