Saturday, June 23, 2007

Dutch Stocks: Conservative Companies from a Liberal Country

Did you know that the oldest known ‘modern day’ stock certificate is from The Netherlands? It is the Dutch Vereinigte Oostindische Compaignie VOC dated 1606.

Quick facts:

1. The northeastern part of the country has one of the largest natural gas fields in the world.
2. It is number 10 of all countries in GDP (nominal) per capita.
3. It has the 16th largest economy in the world.
4. Inflation is only 1.3%.
5. It has the lowest unemployment rate of all European Union member states.
6. It is number 3 in terms of of agricultural exports.
7. 85% of the total population speak English.

Here are some Dutch stocks worth investigating, most of which trade on the New York Stock Exchange and almost all pay dividends.

ABN AMRO Holding NV ADS (ABN) is an Amsterdam based company that owns one of the largest banks in Europe. The stock has a yield of 2.9% and has a P/E of 14.3.

Aegon NV (AEG), one of the world’s largest insurance companies has a forward P/E 10.1, and a PEG is 2.2. It has paid dividends twice a year for 15 years, and yields 3.6%.

Arcelor Mittal (MT), a manufacturer of steel and steel products, carries a yield of 1.7%. The stock has a P/E of 10.9.

CNH Global NV (CNH) makes agricultural and construction equipment. They pay a small yield of 0.5% and has a P/E of 35.

Crucell NV (CRXL) is a biotech company involved in the production of antibodies and vaccines that treat and prevent diseases. The company has had negative earnings.

Head N.V. (HED) the famous maker of Head skis, manufactures and sells sporting goods relating to skiing, racket sports, and diving. The yield is a high 8.1%, based on last year’s annual dividend. Dividends have only been paid in three of the last six years, and has generated negative earnings.

Heineken NV ADR (HINKY.PK), the noted brewery, has a forward P/E of 17.4 and a yield of 1%.

ING Group NV ADS (ING) is in the business of banking, insurance and investment management services and has a yield of 2.2%. Forward P/E is 8.85.

Koninklijke Ahold N.V. (AHO) operates retail stores in Europe and. the United States. The P/E is 16.9. It hasn’t paid dividends since 2002.

Koninklijke Philips Electronics NV (PHG) produces healthcare, lifestyle, and technology electronics. It has a yield of 1.6% and a P/E of 6.

OCE ADR (OCENY), which trades on NASDAQ, develops and sells printing and document management systems. It yields 5.8%, with a P/E of 23. dividends have been paid twice a year for the last 12 years.

Reed Elsevier NV (ENL) is the publishing company that owns Elsevier, LexisNexis, Harcourt Education, and Reed Business. The yield is 3.6% and the P/E is 24.6.

Royal Dutch Shell (RDS-A) is one of the largest oil and gas companies in the world. It has a forward P/E of 10.9 and a 3.3% yield. Dividends have been paid quarterly.

Royal KPN NV (KPN) is a Dutch telecommunications company. The forward P/E is 15.3 and the yield is 4%. Dividends are paid twice a year and have been paid for the last 12 years.

TNT NV (TNTTY.PK) is an express delivery company. P/E is 14.4, with a 1.2% yield.

Unilever NV (UN) is the well known consumer goods, food, and personal care product manufacturer which yields 3.6%. It has a P/E of 14.

van der Moolen Holdings NV (VDM) is an international investment brokerage and trading company, which has a yield of 3%, based on last year’s dividend, of which has been very erratic. Earnings have been negative.

By the way, if you are looking for a resource on ADRs of countries around the world, I strongly recommend

Author does not own any of the above.


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