Why Cott May Bubble Up

The fireworks in Dow stocks--as the market climbs to new highs--have masked the compelling values in some mid-cap plays, grouses money manager Forrest Mervine. Take Cott (COTTF), the world's fourth-largest soft-drink company and the largest maker of private-label soft drinks in Britain, Canada, and the U.S. The stock has been practically lifeless, slumping from 12 3/4 in mid-October to 8 1/8 on Feb. 17--in spite of rumors that several big companies, including a major beverage maker, are eyeballing Cott for a buyout.

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