Stock Markets Exposed
Im in the stock market game at my school?
Could you please tell me which companies I should invest in, especially ones that are working with greener solutions or anything that promotes the health of our environment?
Public Comments
- I've always felt that you should pick companies that you and/or your family actually do business with. What companies sell products that you think are worthy of your $$.
- The first company I have to recommend is Dow Chemical (DOW). I have previously given a detailed breakdown of my take on Dow Chemical and that can be found here. With the significant decline in the price of oil, Dow Chemical, as I suggested in my earlier post, should be doing quite well this quarter. The second company I have to recommend is AT&T (T). The company, with its strong cash flow, healthy balance sheet and absolutely dominant market position is a perfect investment in times like these. With the beating that it has taken over the last several months, the stock is currently trading at its lowest level since 2005, and with a dividend yield of over 6% and a P.E. of only 11 the stock is likely safer then Treasuries. The third stock that I really like at these levels is CBS (CBS). The company will likely have significant advertising issues going forward but like my previous two recommendations, it is an absolute steal at these levels. With a P.E. in the mid single digits and a dividend yield well above 10%, it’s hard to believe that this company is even a blue chip, but it is. With solid dividend coverage, ability to leverage up the balance sheet, and the ability to sell off numerous assets to enhance shareholder value it’s hard to see how the stock could go much lower. The final stock that I have to recommend is the defensives stalwart Reynolds American (RAI). The stock is not nearly as leveraged up as Altria (MO) giving it increased financial flexibility when it comes to share buybacks, dividends and acquisitions. With a P.E. of 8 and a dividend yield of 8 percent one is assured of above market returns for the foreseeable future. By owning these names, investors will be able to own four companies with an average P.E. of 8 and a dividend yield of nearly 8%. In addition, investors will know that they are investing in companies that make up the backbone of the economy and that provide essential services that will likely not be trimmed by consumers and businesses during a recession, even if it should be severe.
- i dont know about green but pick cabbot oil and energy (COG) it was my favorite when i was doing the stock market game. if u do find a "green one" just stick with it the whole time. its pointless to make short term descisions when its only gunna be for like 2 weeks
- google? PS: i tried it and got last place out of 4 other teams XD
- Hi, You might want to consider First Solar FSLR if I remember right. Check to see what it is doing. It might be falling fast enough that puts will work well with it, or it might be rising. Visa might not be green, but check it out. V MA is Mastercard RIMM makes the blackberries. LDK makes solar stuff ESLR is Evergreen Solar - they also make solar panels. AAPL is Apple Computer. See if you can buy puts. They are a risky way to make a extreme amount of money. If the stock is falling, then puts go up in value, but don't hang on to them for a long time, they will expire worthless in a short time frame. For puts to work, you buy them at say 3 months before expiration date, wait for the stock to fall $1, and then sell them right away. Normally the put will have gained about $0.75 on a dollar stock loss, but stock call options will gain $.75 on a stock gain. Of course the risk is that the put will lose value quickly if the stock rises, and the call will fall quickly in value of the stock goes down. MMM is 3M Corp. I don't know how any of these stocks have done in the past 18 months. In the fall of 2007, I had a much better idea of how they where doing, then I stopped tracking them. Good Luck !
