I will post my 15 best long term stocks . also i will post monthly stock picks. This site is also for our Mad Street Addict Money Fund, Where we all can talk about stocks !
Cramer has been a bit nervous since President Obama announced his budget plans this week. Changes to Medicare immediately took down the health-care sector, and now the Mad Money host is wondering who might be next. That’s why he’s looking for stocks that don’t answer to Washington. It’s one of the few ways investors can find profits right now.
Australia is definitely out of Obama’s reach, which is one reason Cramer likes BHP Billiton [BHP 36.42 -0.72 (-1.94%).Plus, the world’s largest diversified resources company is probably the best play on China’s $600 billion infrastructure stimulus plan. And China, Cramer said, will be engine of any global economic recovery, with BHP as its supplier.
BHP is the world’s second-largest producer of iron ore, third largest of copper and nickel and number one for seaborne traded coking coal, which is used in steel production. These are all key to China’s build-out. Twenty percent of BHP’s fiscal 2008 sales came from that country, so the new stimulus should means the number will rise this year. BHP also owns some oil properties, which is another commodity China can’t get enough of.
A projected slump in iron ore sales to China is now lesser than expected thanks to that stimulus. Chinese iron ore inventories in the week ending Feb. 23 were down 6% year-over-year, 2% from the previous week and 23% from the September high. Cramer thinks they’ll reverse direction and head higher now. Already Chinese imported iron ore prices are up 25% since October. Hot-rolled steel is up 25% since mid-November, and new-home sales in China have doubled year-over-year, another sign that copper and other raw materials are in demand.
BHP did miss earnings estimates last quarter, but cash flows increased 74% year-over-year, the dividend was up 41% from last year, and the company reduced its net debt by 51%. Those cash flows lend security to BHP’s 4.5% dividend yield, and the stronger balance sheet allows for spending even during the downturn. And that’s just what BHP is doing. The company’s putting money to work to better position itself for the market’s eventual turn up.
The stock’s down to $36 from $95, but that dividend is safe – BHP is even in position to raise it – the balance sheet’s solid, the company’s capable of taking market share and this is most likely the largest beneficiary of China’s stimulus plan. Best of all: Obama can’t touch it. That’s why Cramer thinks BHP is a buy cnbc.com
Markets see more selling as recession fears grow
-
Dow plunged 890 (but above the very deep session lows), decliners over
advancers better than 3-1 & NAZ tumbled 727. The MLP index was off 1 & the
REIT i...
Ex Dividend Stocks for April 2022
-
The following is a short list of some of the many stocks going ex dividend
during the next month.
Many traders and investors use the stock trading tech...
Benefits of Using a Credit Card
-
Credit cards can provide convenience and flexibility for people who use
them in a responsible and considered way. You do not have to risk carrying
large am...
Get big Muscles with Testosteron improvement
-
Muskelaufbautraining mit Nahrungsergänzungen wie macht man das richtig?
Muskelaufbau ist nicht einfach und schnell, wie es viele Sportler erwarten
geht ...
Garage Door Opener Repair Granada Hills
-
Garage Door Opener Repair Granada Hills California
Garage Doors Residential 90201 Walnut (Federal Home Loan Bank) Repair genie
garage door opener Los Angele...
Peru en America: VotoLatino:La Batalla Final
-
Peru en America: VotoLatino:La Batalla Final: Barrio por barrio, casa por
casa, negocio por negocio, miles de voluntarios de las campañas políticas
recorre...