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Mexico Stock Recommendations================== Recommendation 1 ================== ============================================ Wal-Mart de Mexico Symbol: WMMVF.PK Current Share Price As of 1/1/08 : $2.98 ============================================
If mom and dad would have invested in McDonalds in the 1960's, my life would be so much easier. Having the economic vision to see which stock securities are going to rise to much higher levels, is rare. However, because we can look at the past to help our present, we can isolate companies that have the potential for very large gains. Does the above scenario interest you? When investors think about Wal-Mart, they think of one of the USA's largest corporations. However, most Americans are not aware that Wal-Mart de Mexico trades as an ADR in the over-the-counter market under the ticker symbol WMMVF.PK. Wal-Mart de Mexico, affectionately known as WalMex by many, is currently the largest private employer in Mexico, with 997 stores and over 150,000 employees. As of Nov. 30, WMMVF had a market cap of nearly US $31 billion and yearly sales of $19.9 billion, equal to 1.75 percent of Mexico's gross domestic product. The company controls about 30% of all Mexican supermarket food sales and approximately 6% of all retail sales. Wal-Mart de Mexico continues to expand and introduce new business segments, with 104 new store openings through November. It has averaged double-digit net income growth of 33.7 percent over the past three fiscal years. Even same store sales grew at an impressive 9.8 percent rate during the latest fiscal year, 2006. Despite healthy net sales and net income increases again during the first three quarters of the fiscal year of 2007, Wal-Mart de Mexico stock plunged by more than 19 percent, as US investors have been scared away by ongoing domestic economic problems. However, the future appears bright for Wal-Mart's Mexican subsidiary. Is this one of those rare opportunities? Please do your own research and decide for yourself. ============================================= Disclaimer: I am not a registered investment advisor. Everything on this website is my opinion and put her for the enjoyment of my readers. I do not recommend making financial decisions based upon my opinions. I advocate doing your own research and making an informed decision. All information put forth on this website was obtained freely via the internet, radio and television. I do not have any contracts or deals with any financial newsletter of any kind. Income generated from this site is done through advertisements. I will always let my reader know if I hold any position on a recommendation I make. ============================================ ================== Recommendation 2 ================== ============================================ Cemex S.A.B. de C.V. (CX) Current Share Price as of 1/1/08 : $26.17 ============================================
CEMEX, S.A.B. de C.V.,through its subsidiaries, engages in the production, distribution, marketing, and sale of cement, ready-mix concrete, aggregates, and other construction materials worldwide. It sells its products to distributors in the construction industry. It operates primarily in the Americas, Europe, Africa, the Middle East, and Asia. With a low PE of 8.98 and a PEG Ratio of 2.09, the company is a good value. Analysts have given this strong company an estimated price of $40 per share in 2008, up from the current level of $23. The fundamentals appear to be very solid with Cemex, giving it in my estimation, more upside potential than downside risk. I cannot say with any degree of certainty that it will come anywhere close to the estimated target price set for 2008. However, I do believe it will deliver double-digit gains this year. The company was founded in 1906. and was formerly known as CEMEX, S.A. de C.V. CEMEX is headquartered in Garza Garcia, Mexico. ================================== Current Dividend Yield: 2.70% 52 Week Range: $21 - $41 Please do your own research ================================== Mexico Stocks List |