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Tickers in this Article: MFA, D, CCU, TU
There's certainly not a lack of alarmism right now. Between Bob Janjuah (of RBS) suggesting we'll see deflation within six months, and Anthony Fry's (of Evercore Partners) recommendation to buy land - and guns and barbed wire - it's no wonder investors are freaking out. No big deal, as everyone's entitled to their opinion. The problem is: (1) pundit opinions tend to be unnecessarily extreme, and (2) the investor response to those outlooks can be equally overboard. As evidence, just look at the market over the last few days - Friday's and Monday's late sell-offs in particular. (Learn more about sell-offs; check out Sympathy Sell-Off: An Investor's Guide.)

Are Hungary and Spain problems? Sure. Are they significant, new or surprising problems? In the grand scheme of things, no, not really. It doesn't matter, though. As long as investors think they are game-changing ticking time bombs, those same investors will sell stocks - indiscriminately - sending all of them lower whether they deserve to move lower or not.

In other words, there's almost nowhere to hide. And notice I said 'almost'.

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The Worse It Gets, The Pickier I Get
To be clear, I don't hold the same apocalyptic opinion that Fry, Junjuah and several other commentators hold - the kind from which no stock can escape.

On the flipside, I'm not wearing rose-colored glasses either. I do think stocks' vulnerabilities will start showing now, which will make for a tough summer. I don't think every single stock is destined to lose ground indefinitely, though.

And which stocks make up that latter group? Glad you asked.

Like it or not (and whether you want to admit it or not), there's more to a stock's progress than fundamentals. I can find lots of great companies with pitifully performing stocks - especially right now.

In times such as these, if you want to stay in the game (i.e. stay invested) but avoid the risk of having your head handed to you, you've really got to look for great fundamental stories from stocks that have exhibited long-term and short-term stock price strength, aka bullish momentum. And yes, some come to mind.

Picks Of The Litter
MFA Financial
(NYSE: MFA) - Any valuation of a mortgage REIT is going to be a bit dubious, so I won't even open that can of worms. I'll just mention that MFA is back around its April 23 price (when the market started to disintegrate), while the market itself is still a good 10% below that level. The reason MFA Financial stock is holding its ground is the same reason I like it for most portfolios this summer - the dividends have been reliably strong.

Granted, the 24-cent dividend last quarter was under the recent norm, but we've seen two years of quarterly dividends above 20 cents now. With a yield in the 13% range and a share price that's flat, I'll take that in a bearish environment any day.

Telus Corp. (NYSE: TU) - While the dividend yield from this Canadian telecommunications company is an attractive 5.6%, that's not the reason I'm drawn. No, I'm impressed by the fact this chart has managed to shrug off the surrounding weakness and gain 14% this year. Like I said above, momentum can be huge in a nasty environment.

Compania Cervecerias Unidas SA (NYSE: CCU) - Another ADR? Yep, and don't think it's a coincidence. While all markets have been volatile, the developed markets of the U.S. and its economic peers/partners have been far more volatile than emerging markets. Chile is no exception.

Cervecerias Unidas is an undercovered beverage company. If it were better covered, you might know that it's spending over $100 million to expand its capacity over 2010. You might also know that CCU didn't tumble like the rest of the market did in May, and it has recovered quite nicely - again.

Dominion Resources (NYSE: D) - Yes, it's the equity market's cure for insomnia. It's also back in the black for the year, and it's just coming off a low point in what has become a predictable bullish trading range. It may be the tortoise from the story of the tortoise and the hare, but do you recall who won the race? (It beats money market rates anyway.)

Bottom Line
Four off-the-beaten-path names? Yes, but that's the point. If a stock is on the radar this summer, odds are good it'll get caught in the media's bearish melee. I'll stick with the obscure until the coast is clear.

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