Comeback Companies Looking Good
On a day when the market's under pressure and lots of red ink is flowing, where's a stock-market investor to go?
Bernie McGinn, founder of McGinn Investment Management, named a couple of companies he believes have already turned the corner to a comeback.
McGinn's first pick is deep in the heart of financials: AIG, which posted a record quarterly loss this month, after posting an $11 billion mortgage-related write-down.
"I would buy it right here," McGinn told CNBC. "The $11 billion write-down, it's not really an economic event, it's an accounting event."
Last week, AIG urged regulators to change controversial accounting rules on asset valuations.
McGinn's other pick is troubled carmaker Ford Motor.
"Ford is my big turnaround story," he said. "The story with Ford is, is basically it's forever and ever been a dysfunctional family business. About a year and a half ago, they hire a new CEO, and he is transforming that firm, just like he did Boeing, back a few years ago."
Disclosure: McGinn and his family own shares of AIG and Ford.