Buy low, sell high. That has been a good strategy for investors for a long time. However, finding great stocks to buy under this approach might seem difficult right now, considering that the S&P 500 is close to its all-time high.

The good news is that doing so is easier than you might think. Here are three magnificent stocks to buy that are near their 52-week lows.

1. D.R. Horton

D.R. Horton (DHI 0.95%), the largest U.S. homebuilder by volume, has taken investors on a roller-coaster ride over the last 12 months. The ride hasn't been much fun lately, though, with the stock down more than 30% from the peak it set in September and barely above its 52-week low.

The main problem for D.R. Horton can be summed up in two words: mortgage rates. They remain stubbornly high despite the Federal Reserve's cuts to its benchmark interest rate late last year. When mortgage rates are high, fewer Americans can afford to buy new homes.

Will mortgage rates decline soon? I don't know. What I do know, though, is that the long-term prospects for the U.S. housing market remain strong -- and that bodes well for D.R. Horton over the next decade.

I also know that D.R. Horton's valuation is attractive. Its shares trade at only 9.9 times expected forward earnings. Even a hint of positive news on mortgage rates could provide a nice catalyst for this beaten-down stock.

2. Pfizer

Pfizer (PFE -0.43%) stock has been on a generally downward trajectory since late 2021. That timing not-so-coincidentally roughly matches when the world was close to turning the corner on the COVID-19 pandemic. As sales for Pfizer's COVID-19 vaccines and antivirals sank, so did its share price. The big pharma stock is now near its lowest level of the last 52 weeks.

To be sure, Pfizer still faces some challenges. In particular, several of its products will lose patent exclusivity over the next few years, among them blockbuster drugs Eliquis, Ibrance, and Xtandi. The chances of COVID-19 vaccine sales returning to anywhere close to their peak levels are also slim to none.

However, Pfizer believes it will be able to deliver solid growth in the second half of this decade. How? The company's product lineup features rising stars such as migraine therapy Nurtec ODT and cancer drugs Padcev, Adcetris, and Tukysa. Pfizer's pipeline also includes 115 candidates, five of which are awaiting regulatory approvals and 32 that are in late-stage clinical testing.

Meanwhile, Pfizer stock is cheap, with a forward earnings multiple of only 8.7. The drugmaker also pays a dividend with a juicy forward yield north of 6.7% at the current share price.

3. United Parcel Service

Shares of United Parcel Service (UPS 0.50%) have plunged by roughly 20% over the last 12 months. Despite a small bounce in recent days, the stock remains within striking distance of its 52-week low.

Many investors weren't happy with UPS' decision to slash the volume of business it does with Amazon by more than 50% by the second half of next year. Some thought this move was ill-advised, considering that Amazon is the package delivery company's largest customer.

Is UPS' management team crazy? I don't think so. Moving goods for Amazon isn't an especially profitable business for UPS. Gradually decreasing shipment volumes for the e-commerce giant while simultaneously scaling back assets and resources should boost UPS' profitability despite the lower revenue. UPS will also seek to offset some of that revenue loss by expanding its business with other (more profitable) customers.

Income investors should still love UPS' forward dividend yield of 5.6%. The company has increased its payouts for 16 consecutive years. Although the hikes in recent years have been small, UPS' dividend appears to be safe.