Here are my 10 stocks for this portfolio (with dividend yields as of May 23):
● Bradken (BRKNF), which trades as BKN:ASX in Australia; 9.42% dividend yield. Rather than making the big diggers produced by Caterpillar (CAT) or Joy Global (JOY), Australia's Bradken produces things like spare parts for grinding mills and slurry pump consumables, as well as providing services such as dragline refurbishment. (About 52% of sales are consumables, the company says.) The company, which has been around since 1922, grew revenues by 28% in the first half of its 2012 fiscal year and saw EBITDA (earnings before interest, taxes, depreciation, and amortization) climb by 11%. The company raised its dividend 5% in 2011.
● CorpBanca (BCA); 7.71% yield. Chile's fourth-largest bank by loans took a big step outside that country's borders with its April purchase of the Colombia banking assets of Spain's Banco Santander (STD). I'd let this one settle a bit, since CorpBanca has just announced that it will sell $550 million in new shares to help finance that acquisition.
● GrainCorp (GRCLF), which trades in Australia as GNC.ASX; 4.57% yield. Australia's GrainCorp is one of the last remaining independent grain-trading companies in a sector that is consolidating quickly. I think it's a good candidate for acquisition sometime in the next 18 months. In the meantime, the company is projected to grow earnings per share by 13% in the fiscal year that ends in September.
● Keppel Land (KPPLF), or KPLD.SP in Singapore; 7.09% yield. With Singapore's Keppel Land, you get a piece of high-profile Singapore projects such as Ocean Financial Centre, Marina Bay Financial Centre and One Raffles Quay. You also get commercial and residential projects in Vietnam, Indonesia and China. About 33% of assets are in China, with 18,000 homes sold to date and an additional 43,000 in the pipeline. Keppel Land also owns 400,000 square meters (nearly 100 acres) of commercial space in Vietnam, Indonesia and China. Keppel uses revenues from its property management unit to offset the cyclicality of property development. That 7% yield is a good payout while you're waiting for the eventual turn in China's real-estate market.
● Northern Property Real Estate Investment Trust (NPRUF), or NPR-U.CN in Canada; 5% yield. Northern Property concentrates on residential properties (66% of its holdings) with a big focus on Alberta (31% of properties).That makes this REIT a high-yield, low-risk way to play the boom in Alberta's oil sands region. More development means more workers who, along with their families, need housing. Revenue grew by 13.5% in 2011 from 2010.
● Seadrill (SDRL); 9.31% yield. What you're buying when you invest in Norway's SeaDrill are drilling rigs. Lots and lots of deep-water drilling rigs. The company owned 11 rigs in 2005 and closed 2011 with almost 50. And it has 13 more under construction. As you might imagine, you don't get to be that big that fast without leverage: The company uses debt to finance new rigs and pays out the highest dividend it can. (In crunch times, Seadrill would cut that dividend.) That will work as long as the amount day-rate oil companies are willing to pay keeps increasing. Seadrill went ex-dividend on Tuesday, so you'll have to wait a quarter for the next payout. (The stock is a member of my Jubak's Picks portfolio.)
● SIA Engineering, which trades as SIE.SP in Singapore; 5.28% yield. Somebody has to keep the airplanes flying for Asia's fast-growing airline industry, and that somebody is frequently SIA Engineering. And we're not talking just Singapore. About 50 airlines use that country's Changi airport, but SIA Engineering provides services to 80 airlines around the world
● Svenska Handelsbanken (SVNLY); 4.77%. Svenska Handelsbanken is one of the most conservatively run banks in the conservative Swedish banking sector. (Skirting disaster, as Sweden did in 1991 and 1992 after the country's own real-estate bubble, tends to make a banking sector conservative. At least for a while.) Right now, the bank's United Kingdom unit is taking in more money than it is lending in that market, which has the effect of reducing the bank's low cost of funding even more. By the end of 2014, Svenska Handelsbanken will show a capital ratio (Basel III core equity Tier 1 ratio, to get technical) of 15%, Credit Suisse projects. That would leave the bank overcapitalized and able to increase dividend flow.
● Statoil (STO); 4.85% yield. Norway's Statoil is one of the few big oil companies that I think is almost certain to deliver a steady increase in production over the next decade. In the first quarter, production was up 12% from the first quarter of 2011. (I added the stock to Jubak's Picks on May 10.) Given the company's recent exploration success in the Gulf of Mexico, Tanzania and the Norwegian continental shelf, production seems likely to increase at a faster rate after 2016.
● Westpac Banking (WBK). 8.3% yield. One of four banks that dominate the Australia/New Zealand banking sector, Westpac Banking showed a low bad-debt-to-average-loan ratio of 0.36% in 2011. The AA-rated bank is projected to show essentially flat earnings in 2012 before growth picks up to 5.2% in 2013. (I moved Westpac Banking to my Dividend Income portfolio from my Jubak's Picks portfolio on Feb. 3.)
More from MoneyShow.com:
VIDEO ON MSN MONEY
I searched high and low for some answers and I now follow the strategy of selling puts to get into stocks at a discount and then I sell covered calls to get assigned and out. I read about on a site at www.fullyinformed.com and went through all his put strategies at http://www.fullyinformed.com/put-selling-index/ and I have for the first time made really good money and it cost me nothing but my time to read all the articles. The person behind that site has my thanks. There is no charge and I learned plenty about how to invest for the long haul and the horrible markets we have been in.
I now hold Johnson and Johnson, Clorox, Exxon, Microsoft, Kraft, Pepsico and KO thanks to what I learned and I am up 25% in real money over the course of two years. So I say no thank you to facebook, bradken, and chile banks and singapore. I would rather hold big blue chip companies that I can understand and are here in America but trade around the world. Buy American.
Before investing in a foreign stock research the tax rates. Example Australia has 30% tax rate on foreign investors. This then reduces the above reported 9.42% to roughly 6.5% or the .2095 cents that is paid SEMI annually to .1466 cents. which translates to Bradken's annual yield (current price is 6.05) to 4.8%. Seekingalpha dot com forward slash article forward slash 24809-witholding-tax-rates-by-country-for-foreign-stock-dividends give a pretty comprehensive list of foreign taxes charged to US investors. Not all the sparkles yellow is gold. Hope this helps.
SDRL is Bermuda based, and I don't get taxed at all on my shares. I bought more at $38,$36, and probably more at $34, if it falls that much. I got in at $26-$32, so ahead of the game and love those divys. SDRL just increased their divy from .80 to .82 cents, and also a one time .15 cent extra dividend for this quarter. So, this quarter was .97 cents a share divy. granted the stock has slumped, but,just about everything else has to.
A couple of these maybe even a few are fine or at least reasonable......
But I kinda think we can locate/find just as many good companies that are Domestic...
That are International or Global players....With pretty much as good of a dividend averages...
Foreign investing just isn't always as good as it seems.
vitually all the stocks mentioned have tanked in the last few days wiping out whatever dividend
you thought might be available...these stocks are bad values and will be the first to plummet
in a global meltdown....which we are now seeing...the retail investor is at a complete disadvantage
and will get hammered time and time again....keep your money in an fdic account and wait
Ironic how many of these stock picks are outside of the U.S. of A. What's Jimmy Boy up to? How much did he lose on Facebook? When a big colored guy tells you he has a pretty girl who wants to meet you, that big colored guy is called a PIMP.
Copyright © 2013 Microsoft. All rights reserved.
Quotes are real-time for NASDAQ, NYSE and AMEX. See delay times for other exchanges.
Fundamental company data and historical chart data provided by Thomson Reuters (click for restrictions). Real-time quotes provided by BATS Exchange. Real-time index quotes and delayed quotes supplied by Interactive Data Real-Time Services. Fund summary, fund performance and dividend data provided by Morningstar Inc. Analyst recommendations provided by Zacks Investment Research. StockScouter data provided by Verus Analytics. IPO data provided by Hoover's Inc. Index membership data provided by SIX Financial Information.
[BRIEFING.COM] The major averages ended higher across the board as the S&P 500 advanced 0.8%.
Equities climbed steadily since the opening bell as investors prepared for tomorrow's policy decision from the Federal Reserve. Although chatter in recent weeks has included speculation the Fed would look to taper its asset purchases, today's broad gains suggest investors expect mostly reassuring words from Chairman Bernanke at tomorrow's press conference.
All ten sectors ended with ... More
More Market News
|There’s a problem getting this information right now. Please try again later.|