INVEST OR DONT INVEST BUT STILL BE HAPPY
And a happy Can Things Get Any Worse In The World Day" to all you readers tonight.
Tonight Id like to put on my investor adviser hat (https://twitter.com/MurraySoupcoff) and talk about what is probably the second most interesting topic after Judge Jeanine Pirros Saturday night suggestion that Barack Obama should be
IMPEACHED (
http://beforeitsnews.com/obama/2014/05/judge-jeanine-unleashed-impeach-obama-2463070.html)
Now theres one judge who makes sense!
Anyway where was I before I referenced impeaching Americas community-organizer-in-chief?
Oh yes ... what I hope to do tonight is to offer some timely investment advice for all of us based on some pretty extensive research Ive recently done for my investment newsletter:
In my opinion U.S. stock indices appear to be
rangebound" regularly rising & then falling yet again ... enough to make any investor sea sick...
So per usual Ive been looking for reliable income & growth stocks to allow any
non-professional investor to sleep at night through these market vacillations.
Ive done my due diligence; and now heres my
PERSONAL choices (with of course
NO guarantees -- except that Ive done my very best to find the best selections for myself & Intellectual Conservative" readers).
And so in no order of priority here I go:
And please note that because Im an energy stock-sector enthusiast many of my choices are meant to benefit from
current SOARING U.S. & European oil & natural gas prices.
ENERGY STOCK BONANZA
And now heres my first selection in this category (drum roll please):
ENERGY TRANSFER PARTNERS MLP ($ETP) yielding 6.58 annually
This dividend monster (a
Master
Limited
Partnership) recently reported adjusted earnings of $1.21 billion an increase of $250 million from the same period last year (
excellent results in my opinion)
Not only that but
revenues (incoming cash) from continuing operations were $467 million (again a pretty good haul in my opinion).
And thats an increase of $65 million from last year (also very impressive).
AND the distributable cash flow (annual dividend payments) totaled $629 million up $253 million from 2013.
So my take on this potential energy-related income investment?
To me this MLP looks like a reliable generator of tasty cash dividends (6.58 annually) for the next couple of years.
Try it; I think youll like it!
ANOTHER DRUM ROLL PLEASE
And now to energy choice #2 ...
And in this case Im referring to
one of my very favorite oil/gas shale energy companies:
Please step up to the podium ENERPLUS CORPORATION ($ERF; $ERF.CA) yielding 4.39 annually.
This companys capable management has already predicted that its 2014 production and net profits will likely come in at the HIGH END of managements previous forecast.
And thats because of soaring production & revenues from its extensive Marcellus (shale) land holdings -- rich in both oil & natural gas deposits.
And why is that factoid important?
Well because I expect todays record prices for oil & natural gas to continue until at least 2018.
And hence Enerplus -- in my opinion -- is a safe and (likely) profitable energy investment for the next several years.
TIME TO LOOK AT ONE OF THE BIG BOYS OF THE ENERGY INDUSTRY
And now let forget about all of the previous energy-company shrimps.
Instead lets look at one of the biggest of the biggest global energy giants:
Please step up to the plate
KINDER MORGAN ENERGY ($KMP) yielding 5.4 annually.
The good news is that KMP plans to invest $671 million to expand its
VERY PROFITABLE Cortez pipeline which transports carbon dioxide from Colorado to New Mexico for use in enhanced oil-recovery projects.
Not only that but management recently also announced excellent first-quarter results.
In particular current net income totaled $12.1 million ($0.79 per diluted share) compared to $14 million ($0.91) in 2013.
Translation: a very nice bounce in incoming cash!
And KMPs companys direct written premiums increased 3.8 for the quarter.
To be honest I dont understand a word of the preceding energy-industry jargon (about direct written premiums") except that its evidently a very good thing.
MY CONCLUSION ABOUT KINDER MORGAN
Based on all of the above indicators heres my take on Kinder Morgan Energy:
In my prejudiced opinion this is another reliable energy-stock generator of HEALTHY DIVIDENDS (5.4 annually) ... and also a stock-market investment with great future CAPITAL-GAINS (PROFITS) too (when you choose to sell it in the future).
HOW ABOUT SOME VARIETY HERE ... AFTER ALL ACCORDING TO PROGRESSIVE LIBERALS DIVERSITY IS THE NAME OF THE GAME
But now for some variety lets look at few non-energy choices:
So first lets go shopping and peruse:
SUPER VALU ($SVU) currently paying NO dividend.
And be advised that Super Valu recently pleased retail analysts with its results for its fiscal fourth quarter:
For example net sales hit $3.95 billion; and net earnings came in at $26 million
both very impressive numbers.
And more debt was reduced through the sell-off of some of Super Valus redundant assets.
So my opinion regarding Super Valu as an investment?
Just that the preceding good news indicates that this is a retail stock with a great future with regard to capital gains (although it pays NO annual dividend).
YOU JUST CANT GO WRONG WITH THE GENERAL (IN THIS CASE GENERAL ELECTRIC)
And lets also look at one of the best-branded retail stocks on U.S. markets:
After all who wouldnt recognize the familiar
GE (General Electric) logo?
So lets open the proverbial investment refrigerator door and take a look:
And another really really big drum roll is justified for this international investment giant ...
GENERAL ELECTRIC COMPANY ($GE) yielding 3.24 annually.
This is a diversified global giant for which there seems to be no investment sector in which it currently doesnt dabble".
And in that regard GE has just announced a partnership between its healthcare division and Tesla Engineering:
The two companies will collaborate on the development of a new whole-body magnetic resonance imaging (MRI) scanner as well as on additional other
profitable hi-tek projects.
Hence in my opinion this another excellent bet on capital gains (profits) for the next several years -- accompanied by a sustainable 3.4 annual dividend payout.
And by a sustainable annual dividend I mean that GE rakes in so much cash annually it will have no problem paying its dividend -- regardless of normal global economic fluctuations.
RETAIL BANKING FOR FUN & PROFIT
And finally lets move to the now profitable retail banking sector...
And why are retail banks so profitable lately?
Because the Fed" (now under the capable management of Janet Yellin) continues to
keep interest rates historically low (because of Americas anemic GDP thanks Barack!)
All of which means near irresistible low rates for customers for loans and mortgages.
And my recommendation in this sector?
Buy
BRIDGE BANCORP INC. ($BDGE) yielding 3.8.
Bridge Bancorp Inc. is a bank holding company for The Bridgehampton National Bank (the Bank). And this banking network operates 20 profitable branches on
eastern Long Island.
Another recipe in my opinion for future capital gains combined with a generous sustainable dividend.
Phew! Well its good to get all of the preceding investment advice" off my chest.
But truth be told even I find it boring in comparison to Judge Jeanines suggestion that Barack Obama should be
IMPEACHED.
WOULD ANYONE LIKE TO HEAR WHAT I THINK ABOUT THE JUDGES SUGGESTION?
My personal thoughts on that suggestion?
Vote Republican in November and let the impeachment proceedings begin!
Murray Soupcoff is editor and co-author of
Good Buy Canada" and author of
Canada 1984".
He was a founding member (and senior partner) of Ian Sone & Associates Ltd Canadas first independent social-research company specializing in evaluations of federal provincial & municipal government projects in Canada.
He is also the publisher of the FREE Soupcoff Report" investment newsletter whose distribution is partly subsidized by paid subscriptions from former research clients.
You can e-mail Murray Soupcoff at:
[email protected]
