Lets focus on the positive. The DOW is down below the 9000 level, but that is not our concern today. We are going to look at some international stocks that are a good value right now.
Our first big pick is is Unibanco which is the third largest privately-owned bank in Brazil. Unibanco stands for União de Bancos Brasileiros (Brazilian Banks Union). Brazil is a place where, unlike America, the citizens are not over collateralized. They do not own homes and cars that they can not afford. So that means, Brazilians need loans, and they are willing to pay them back.
The second company is one that is paying a double digit dividend: CEMIG. CEMIG stands out among other Brazilian utilities because of its green energy initiatives and vision for the future. The bulk of its electricity is generated from 56 hydroelectric plants, a definitive advantage in a time of volatile energy prices. It has also been a leader in experimenting with renewable energy sources; its engineers have been actively testing the implementation of new solar and biofuel-based generators.
Recently management has announced plans to grow through the acquisition and development of more power plants. Expect to see more deals such as CEMIG’s recent bid for Companhia Brasiliana de Energia, or the possibility of participating in the building of the new 6,450 megawatt Rio Maderia hydroelectric plant.
CEMIG has also been growing its transmission and distribution network. They are constructing a transmission line to Chile, a move hailed as CEMIG’s first steps towards international development. Within Brazil, the “Light for Everyone” program promises to deliver power to an untapped market of 2.5 million low income rural homes
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment