Meta, Kroger, Centene, L3Harris make Bernstein's top 12 stock picks list
Bet_Noire

Bernstein has picked Meta (NASDAQ:META), Hewlett Packard (NYSE:HPE), Kroger (NYSE:KR), Centene (NYSE:CNC), American Express (NYSE:AXP) and L3Harris (NYSE:LHX) as six of their top 12 stock picks for the next six months, based on their quantitative and analyst ratings.
Rounding out Bernstein's top picks were Qualcomm (NASDAQ:QCOM), Micron Technology (NASDAQ:MU), Intercontinental Exchange (NYSE:ICE), Pioneer Natural Resources (NYSE:PXD), Devon Energy (NYSE:DVN) and Global Payments (NYSE:GPN). 
To make the list, the stocks needed to rank in the best quintile of the Bernstein Alpha Model, but not in an overly crowded quintile, and be rated an outperform by a Bernstein or Autonomous fundamental analyst.
The investment research firm added that historically, stocks in the best quintile for the Bernstein Alpha Model with an outperform rating have outperformed the S&P 500 Index (SPX) (SP500) by 6.1% per year since 2004, on average.
Bernstein said Meta was still trading at a discount, despite recent gains, while Qualcomm offered a "compelling" risk-reward profile relative to its sector. American Express, which Bernstein called "a preferred place for investors to hide during times of market uncertainty and stress," was also seen as trading at a discount.
The firm was bullish on Pioneer Natural Resources, which it expects to return "around 40% of its current market cap in the form of free cash flow to shareholders over the next five years." It expects similar performance from Devon Energy, which it called "the turnaround story of the shale sector."
Bernstein was also bullish on Kroger, which it views as a steady growth story. It said the grocer's planned merger with Albertsons should make it "an even stronger player in a bigger market with better operating margins."
L3Harris was viewed as attractive for its valuation and low risk, with Bernstein seeing concerns expressed in the media and by some sell-siders about defense budget cuts as being "at odds" with views stated by congressional officials and the president's budget requests. 
As for Centene, Bernstein believes that its business transformation is still "in the early innings" and "not all priced in," leaving room for upside in the stock. The firm also sees upside for Hewlett Packard's stock, which it views as "cheap" without much risk of becoming a "value trap."