In Jubak's Journal, Jim Jubak believes the markets will recover before the larger economy does. He provides 5 picks for the beginning of the year and 5 for later, with lots of caveats. His 5 best stocks for the first half of 2009:
- a farm machine producer that tracks the price of agricultural commodities.
- a natural-gas and oil pipeline company that has a 3.8% yield.
- reviewed July 7, 2008] the world's best integrated oil company for the current environment. [
- It makes pumps and valves for moving everything from water to oil and has a yield of 2%.
- a producer of wood products and an owner of timberland. Yield: 7.2%.
- the world's low-cost producer of gold.
- the dominant Internet search company just gets more dominant.
- the best banking franchise left standing in Asia.
- The Brazilian national oil company has dozens of new fields under development. It was added to Jubak's Picks on Aug. 26, 2008.
- the second-largest private producer of molybdenum in the world.
- Yum! Brands (YUM) - a quick service restaurant with over 35,000 units in more than 100 countries and territories.
- PepsiCo (PEP) - a global snack and beverage company. [reviewed ]
- Coca-Cola (KO) - a manufacturer, distributor and marketer of nonalcoholic beverage concentrates and syrups. [reviewed
- Philip Morris International (PM) - an international tobacco company.
- Kinder Morgan Energy Partners (KMP) - a pipeline transportation ad energy storage company in North America.
- Enterprise Products Partners (EPD) - a North American midstream energy company.
- Altria (MO) - is the holding company of Philip Morris USA Inc. (PM USA) and John Middleton, Inc., which are engaged in the manufacture and sale of cigarettes and other tobacco products.
- Annaly (NLY) - a real estate investment trust (REIT) that owns and manages a portfolio of mortgage-backed securities.
- Dell (DELL) - a technology company, which offers a range of product categories, including desktop personal computer.
- Devon Energy (DVN) - an independent energy company engaged primarily in oil and gas exploration, development and production.
- Diamond Offshore (DO) - provides contract drilling services to the energy industry worldwide.
- Fluor (FLR) - a holding company that, through its subsidiaries, provides engineering, procurement and construction management.
- Johnson & Johnson (JNJ) - is engaged in the research and development, manufacture and sale of a range of products in the healthcare field. [reviewed ]
- Medco Health Solutions (MHS) - a pharmacy benefit manager.
- Pfizer (PFE) - a research-based, global pharmaceutical company. [reviewed
- Potash Corp. (POT) - an integrated fertilizer and related industrial and feed products company.
- 75 consecutive years of sales increases.
- 24 consecutive years of adjusted earnings increases.
- 46 consecutive years of dividend increases.
We are all looking for the perfect stock. Over the years I have evaluated several of the above stocks as potential dividend investments, most did not pan out. Dividend investors are looking for stocks that will perform well over the long run, not just 2009. Of the stocks mentioned above, I am actively buying JNJ, KO and PEP.
Full Disclosure: Long JNJ, KO, PEP and PFE
Tags: [DE] [DELL] [DO] [DVN] [ENB] [EPD] [FLR] [FLS] [GG] [GOOG] [HBC] [JNJ] [KMP] [KO] [MHS] [MO] [NLY] [PBR] [PEP] [PFE] [PM] [POT] [RYN] [TC] [XOM] [YUM]