The Globe and Mail attempts to identify Canadian stocks that appear undervalued, but may not be as attractive as they seem in its Tuesday edition. The Globe's guest columnist Emily Halverson-Duncan writes in the Number Cruncher column that while most investor look for stocks to invest in, it also important to consider which stocks to avoid. One common hazard is investing in currently undervalued stocks that one expects to increase (otherwise known as value stocks), but that instead continue to decline in price (commonly referred to as "value traps"). Value traps are both difficult to discern, as well as potentially dangerous for your portfolio. Even after they begin losing money, investors may continue to hold on to them in the hope that they will eventually rise, thereby potentially increasing their total loss. Ms. Halverson-Duncan searched for "value traps" by screening a pool of 702 stocks to find shares that have a perceived low valuation, as well as positive price momentum, but with no additional risk/quality controls added on top, such as return on equity. Bargains that might backfire are Major Drilling Group International, Cardinal Energy, Pan American Silver, Valeura Energy and Home Capital Group.