3 stocks people are buying now

June 17, 2013: 7:57 AM ET
lululemon5day
Lululemon's stock tumbled nearly 19% after the company annnounced its CEO will be stepping down.
NEW YORK (CNNMoney)

Three of the most popular stocks this past week had one thing in common: They all recorded steep declines, making them hot bargains.

Investors swooped in, hoping to pocket quick gains if they recover this week.

First Solar, lululemon and Facebook -- all had harsh news to contend with during the week, sending their stocks spiraling down. The low prices attracted investors, making them last week's most-bought stocks, according to data from online broker TD Ameritrade.

"People are playing them not necessarily as a long-term holding, but for a bounce," said JJ Kinahan, chief derivatives strategist at TD Ameritrade. "They'll get the bounce early next week."

First Solar

The trigger: The solar panel maker's shares sunk almost 16% last week, after First Solar (FSLR) said it planned to sell 8.5 million shares in a secondary offering.

The secondary offering should have been a positive for investors: The company swung a profit in the first quarter, and the stock has rallied nearly 70% this year to $44.71. These are prime conditions under which the company should raise more capital.

But a company's stock often falls after a second offering because more shares mean that ownership gets watered down.

Lululemon

The trigger: The trendy yoga-wear maker announced last Monday that CEO Christine Day is stepping down. The move followed a controversy earlier in the year in which lululemon (LULU) was forced to pull certain yoga pants from stores, because they were see-through.

The stock was down nearly 19% for the week at $66.15.

Facebook

The trigger: The social media giant held its first meeting for shareholders on Tuesday. Chief executive Mark Zuckerberg faced a barrage of angry questions from investors, many of whom aren't happy with the performance of the company since it went public last year. Facebook's (FB) stock, at $23.63, is trading nearly 40% below the price of last year's initial public offering.

Join the Conversation
Markets
Sponsored by
Index Last Change % Change
Dow 17,051.73 -48.45 -0.28%
Nasdaq 4,424.70 0.00 0.00%
S&P 500 1,973.63 -4.59 -0.23%
Treasuries 2.47 -0.01 -0.40%
Data as of 4:00am ET
Company Price Change % Change
Bank of America Corp... 15.52 0.03 0.19%
General Electric Co 25.98 -0.48 -1.81%
EMC Corp 28.33 1.35 5.00%
Facebook Inc 69.40 2.99 4.50%
Apple Inc 93.94 0.85 0.91%
Data as of Jul 21
Overnight Avg Rate Latest Change Last Week
30 yr fixed4.26%4.24%
15 yr fixed3.27%3.31%
5/1 ARM3.45%3.66%
30 yr refi4.23%4.32%
15 yr refi3.25%3.23%
View rates in your area
 
Find personalized rates:
Rate data provided
by Bankrate.com