The Eye of BRIC: Top India Stocks

Actually, the title of this article should have been the I of BRIC, since I stands for India. The B is Brazil, the R is Russia, and C for China.

India is the most populous democracy in the world and the fourth largest economy in the world is by GDP purchasing power parity. India's automobile industry is the world's second-fastest growing, and it has increased domestic sales by 26% during the 2009 to 2010 time frame. Speaking of cars, did you see the $4.6 million Tata (TTM) Nano automobile? It is covered in gold.

Tata Motors trades at 27 times forward earnings and sports a yield of 2.5%. It has an extremely low price to earnings growth ratio of 0.14. Revenues for the latest quarter were up 24% with flat earnings. Tata also makes and markets utility vehicles, trucks, buses, and defense vehicles. It produces gasoline, electric and hybrid vehicles.

There are several other India stocks that provide dividends. They can be found on the free list of Indian stocks developed by WallStreetNewsNetwork.com. For example, ICICI Bank Ltd. (IBN), the second largest bank in India and the largest private sector bank in India based on market capitalization, yields 1.6% and has a forward price to earnings ratio of 16. Quarterly earnings jumped 16.9% on a revenue gain of 16.8% for the latest quarter.

Wipro Ltd. (WIT) is a semi-conglomerate, which sells software services, computer hardware such as computers, servers, and laptops, and personal care products, and lighting products. It has also invested in renewable energy projects. The stock has a yield of 1.9% and a forward PE of 16. Earnings for the latest quarter were up 1.2%.

To access a free recently updated list of the India stocks that trade in the United States, almost half of which pay dividends, go to WallStreetNewsNetwork.com.

Disclosure: Author didn't own any of the above at the time the article was written.

By Stockerblog.com

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The Benefits of Monthly Dividend Stocks

Would you like your capital returned faster, and have your compounding happen more quickly? How about less volatility? You can get all that from monthly dividend stocks. According to the database list at WallStreetNewsNetwork.com, there are almost 200 different companies that pay dividends monthly, many of which have fairly high yields. Although these investments are often referred to as stocks, that term is used loosely. These investments are real estate investment trusts, oil income trusts, closed end bond funds, and closed end income stock funds, which pay dividends every month.

The Advent Claymore Convertible Securities & Income Fund (AVK) sports a yield of 6.0%, sells at about a 3% discount to net asset value, and carries a 0.92% management fee. This closed end fund, founded in 2003, invests approximately 60% of its portfolio in convertible securities and 40% in lower-grade non-convertible income securities.

Another example is Gas Natural Inc. (EGAS), previously called Energy, Inc., It is a distributor of natural gas in Montana, Wyoming, North Carolina, and Maine. It was founded in 1909. The stock pays a yield of 5.0% and sports a forward price to earnings ratio of 13.

If you think that real estate is due for a refund, you might want to take a look at LMP Real Estate Income Fund Inc. (RIT). It is an exchange traded fund that invests in real estate related companies including real estate investment trusts. It sports a yield of 4.4%, and has paid dividends since 2002. It is trading at a slight discount to net asset value. The management fee is 0.61%.

The MFS Multimarket Income Trust (MMT) pays a yield of 7.9%. The stock trades at a 6% discount to net asset value. The company, which has been around since 1987, has a management fee of 0.85%.

Pengrowth Energy Trust (PGH) is a Canadian oil royalty income trust that yields 8.3%. the company was founded in 1988. The company explores, develops, and produces oil and natural gas reserves in western Canada.

Realty Income Corp. (O), one of the few stocks with a single letter stock ticker symbol, yields 5.0%. This real estate investment trust which specializes in commercial retail real estate, has been around since 1969. The stock trades at 16.3 times forward earnings.

The monthly dividend investments you should avoid are:
1. the ones with high management fees
2. the ones with limited liquidity and which trade very few shares each day
3. the ones that trade at a premium to net asset value
4. the ones using excessive leverage
5. for municipal bond closed end funds, beware of the Alternative Minimum Tax

To see the list of almost a couple hundred monthly dividend stocks, including many that have yields of 6% or more, go to WallStreetNewsNetwork.com. Remember, very high yields may not be sustainable.

Disclosure: Author did not own any of the above at the time the article was written.

By Stockerblog.com

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China Puts the Squeeze on Rare Earth Metals: Top Rare Earth Stocks

China, producer of 95 percent of the world's rare earth metals, is cutting way back on the production of these elements by nationalizing and shutting down the producers. China's excuse is reducing pollution, but the extended consequence is higher prices on fluorescent light bulbs. Rare earth metals, also known as rare earth minerals or rare earth elements, are used for such applications as superconductors, magnets, electronic polishers, car batteries, luminescent materials, lasers, optical-fiber communication systems, welding, night vision goggles, rangefinders, and radar.

The rare earth metals include:
Scandium
Yttrium
Lanthanum
Cerium
Praseodymium
Neodymium
Promethium
Samarium
Europium
Gadolinium
Terbium
Dysprosium
Holmium
Erbium
Thulium
Ytterbium
Lutetium

Other metals and elements are often (incorrectly) referred to as rare earth metals such as lithium and manganese. However, many of the companies involved in the mining of the rare earth metals are also involved in mining some of the other scarce elements.

Rare Element Resources Ltd. (REE) is a Vancouver, Canada based company involved in the exploration and development of rare earth mineral and gold properties mostly in Canada and the United States. The company, which was founded in 1999, is debt-free with 1.68 in cash per share. However, it has recently generated negative earnings.

Another example is Molycorp, Inc. (MCP), another company involved in the rare earth industry, based in Greenwood Village, Colorado. The company has $200 million in debt, and over $680 million in cash, with $8.11 in cash per share. The stock trades at 13 times forward earnings.

Neo Material Technologies, Inc. (NEM.TO) (NEMFF.PK), is a processor of rare earth metals, and trades on both the Pink Sheets and the Toronto Stock Exchange. This Toronto, Ontario based company processes rare earths, magnetic powders, and other metals. The company distributes cerium, lanthanum, europium, neodymium, dysprosium, yttrium, and other materials. The stock has a price to earnings ratio of 9 with a forward PE of 6. It also has an extremely favorable price earnings growth ratio of 0.33. Earnings for the latest quarter were up an incredible 229% on a 172% revenue increase.

A more conservative and diversified approach to rare earth investing is through the Market Vectors Rare Earths/Strategic Metals Exchange Traded Fund (REMX).

To see a free list of over 25 rare earth metals stocks, which can be downloaded, sorted, and updated, go to WallStreetNewsNetwork.com. This site also has a list of lithium stocks, which are not technically rare earth stocks, by are often included in the same investment arena.

Disclosure: Author did not own any of the above at the time the article was written.

By Stockerblog.com

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