My 'Market Madness' Picks

Like millions of Americans, I dutifully filled out my brackets this week for the local March Madness contest. A couple of observations came to me while I was going through the exercise. First, the No. 1 seeds are not what they have been in years past. Missing are the dominant teams from dynasties like Kentucky, North Carolina and Duke. Louisville as the overall No. 1 seed? Gonzaga as the No. 1 seed in the West? The "chalk" has rarely looked so vulnerable.

On the flip side, some very good 4-6 seeds would not shock anyone should they make the Final Four, like VCU, Michigan, Butler and UCLA. This to me is reminiscent of the market right now. The No.1 seeds, like Google (GOOG) and Amazon (AMZN), either have already had good runs or are wildly overvalued. I'd rather bet on the next tier of stocks that are either up-and-comers, like UNLV, or are former No. 1 seeds, like Michigan, that faded a bit in midseason but could still be good bets to make the Final Four. The payoff from betting these non-chalk teams to reach the Promised Land is also much higher. Here are the two stocks of that ilk worth a wager....360 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.

Read the full story and get access to the Real Money Pro trading floor.

There’s no substitute for a trading floor to get great ideas, so Jim Cramer created a better one at Real Money and blogs there exclusively. We then added legendary hedge fund manager, Doug Kass, with his exclusive Daily Diary and best investing ideas. Staffed with more than 4 dozen investing pros, money managers, journalists and analysts, Real Money Pro gives you a flood of opinions, analysis and actionable trading advice found nowhere else, and allows you to interact directly with each expert.

Already a Subscriber? Please login.

Except as otherwise indicated, quotes are delayed. Quotes delayed at least 20 minutes for all exchanges. Market Data provided by Interactive Data. Company fundamental data provided by Morningstar. Earnings and ratings provided by Zacks. Mutual fund data provided by Valueline. ETF data provided by Lipper. Powered and implemented by Interactive Data Managed Solutions.

TheStreet Ratings updates stock ratings daily. However, if no rating change occurs, the data on this page does not update. The data does update after 90 days if no rating change occurs within that time period.

IDC calculates the Market Cap for the basic symbol to include common shares only. Year-to-date mutual fund returns are calculated on a monthly basis by Value Line and posted mid-month.