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Friday, February 29, 2008

Crime Fighting Stocks

With the news this week that there are more than one out of every 100 people in prison, and that the United States is the prisoner capital of the world, it appears that there may be an investment opportunity in crime fighting stocks. Here are some companies that battles crime in various ways.

TASER International Inc. (TASR), which trades on NASDAQ, manufactures product lines for law enforcement and the prison corrections market, which includes the ADVANCED TASER M26 and the TASER X26. The stock has a P/E of 50.

iRobot Corp. (IRBT), another NASDAQ stock, makes robotic products for the law enforcement and the homeland security markets. The make a product called the PackBot EOD, which is a strong lightweight robot to conduct explosive disposal, hazardous materials, and search-and-surveillance for bomb squads and SWAT teams. The stock has a P/E of 51.

Brinks Co. (BCO) is in the business of transportation and cash logistics services, and also provides electronic security systems for single-family residences, commercial properties and multifamily housing. The stock has a P/E of 23, a PEG of 1.34, and pays a yield of 0.6%.

Protection One Inc. (PONE) provides alarm monitoring services for security of residential and commercial properties. The company serves over 500,000 retail customers. For the quarter ending Sept. 2007, revenues were up 38% but earnings were negative.

The largest private prison system by both market cap and revenues is Corrections Corp. of America (CXW), which is a Nashville, Tennessee based company with over 40 facilities. They have a P/E of 12. The stock trades on the New York Stock Exchange.

The second largest prison company is Geo Group Inc. (GEO), based in Boca Raton, Florida. They have facilities in the United States, Australia, Canada, South Africa, and UK. They have a P/E of 31 and PEG is 1.16. The stock trades on the NYSE.

Cornell Companies Inc. (CRN) is a Houston, Texas prison company, which in addition to providing detention services, also provides educational services to detainees. It has a P/E of 27. It trades on the NYSE.

Avalon Correctional Services Inc. (CITY.PK) is a micro-cap stock which trades on the Pink Sheets. They operate correctional facilities in Oklahoma, Texas, and Colorado. Recently reported earnings have been negative. Because of its extremely low cap, should be considered very speculative.

Author does not own any of the above.

By Fred Fuld at Stockerblog.com

Victoria's Secret CEO says Company is too Sexy

According to an article in BloggingStocks, Sharen Turney, the CEO of Victoria's Secret, a division of Limited Brands (LTD), the company has become "too sexy." She said that the company will move its product line towards being more "seductive".

Port of NY & NJ Muni pays 20%

An interesting article in Mauldin's Outside The Box Newsletter called Tabasco and Variable Rate Munis by David Kotok, describes how the Port of New York and New Jersey paid 20% on an annualized basis on a one week municipal note! It is hard to believe that the capital lending market has become that bad.
The article goes on to state that closed end municipal bond funds will be the next investments to be hit.

Thursday, February 28, 2008

What's this about an Amero, to Compete with the Euro Currency?

There is a video on YouTube which replays a segment from CNBC in which there is a discussion about the Amero, a currency that would combine the Canadian Dollar, the American Dollar, and the Mexican Peso, all into one North American currency. This would be the currency of the North American Community (North American Union). The CNBC interview was with Steve Previs, a senior vice president with Jefferies International Limited.

Car Manufacturers

If you are looking for one of the ultimate contrarian plays, with the price of oil over $100 a barrel, with consumer confidence down, and the country heading into a recession, how about considering car manufacturing stocks.

General Motors Corporation (GM) is the largest automobile manufacturer in the United States. Its brands include the Chevrolet, Buick, Saab, GMC, Pontiac, Cadillac, Hummer, and Saturn, and outside the US, the Opel, Vauxhall, Isuzu, Holden, and Daewoo The stock has a forward P/E of 9, and pays a yield of 4.1%. GM also has some convertible bonds available, which is a safer way to invest in the company.

Ford Motor Co. (F) comes right after GM in terms of market cap. The Ford brands include Ford, Mercury, Lincoln, Volvo, Land Rover, Jaguar, and Aston Martin. The company is currently generating negative earnings, and the stock has a forward P/E of 9. Ford also has convertibles available for investing in, as alternatives to the common stock.

Toyota (TM) is the largest car company in the world by market cap, almost twice the size of the second largest. Its brands include the Prius, Corolla, Yaris, Camry, Mark X, Premio, Allion, Blade, Avensis, Lexus, Crown, Century, Toyota, Lexus SC430, Scion tC, Tacoma, Tundra, 4Runner, FJ Cruiser, Highlander, Land Cruiser, RAV4, Sequoia, Sienna, Alphard, Sienna, Estima, Hiace, Regius Ace, Noah, Voxy, Wish, Sienta, and Isis. It has a P/E of 10 and a PEG is 1.76. The stock has a yield of 2%.

The next largest car maker is Honda Motor Co. Ltd. (HMC) has brands that include Legend, Accord, Civic, City, Acura, Elysion, Odyssey, Step Wagon, Edix, FR-V, Stream, Mobilio, Crossroad, Fit, Jazz, Airwave, Pilot, Ridgeline, Element, CR-V, Acura, Life, That's, Vamos, Zest, and Acty. The stock has a P/E of 16, a PEG of 2.48, and pays a yield of 2%.

The German based Daimler AG (DAI) makes various Mercedes-Benz cars, including S-Class, E-Class, C-Class, A-Class, B-Class, M-Class, R-Class, GL-Class, and G-Class. They also make Maybach luxury sedans. The P/E is 35, and the PEG is 2.69. They pay a yield of 1.7%.

Tata Motors Ltd. (TTM) based in Mumbai, India, manufactures cars, trucks, buses, and other vehicles.Their P/E is 12, the PEG is 0.76, and they even pay a dividend of 2.1%.

Nissan Motor (NSANY), which trades on NASDAQ, is another Japanese manufacturer of passenger vehicles. The stock has a P/E of 9.5 and pays a yield of 3.98%.

Peugeot S A (PEUGY.PK), which trades on the Pink Sheets, is a Paris, France based manufacturer of passenger vehicles and light commercial trucks. Their brands include Peugeot and Citroen. The stock has a P/E of 13.2.

Author owns DCX and F.

By Fred Fuld at Stockerblog.com

Wednesday, February 27, 2008

Apple Predicts 10 Million iPhone Sales This Year

The COO of Apple Inc. (AAPL), predicted that 10 million iPhones will be sold this year. He also said that revenue growth for the latest year was up 17% year-over-year.

Author owns AAPL.

Foreclosures Hit the Rich and Famous (Infamous?)

It's not just the working class and middle class that's getting hit with foreclosures. Michael Jackson's Neverland Ranch is expected to be put up for auction next month if he doesn't come up with $24.5 million that he owes on the property. His train, Ferris wheel, merry-go-round, and other amusement park items he has on the ranch will also be sold.

Tuesday, February 26, 2008

Hack Available for Guitar Hero

SYSTM has come out with a way of hacking Guitar Hero so that you can play songs perfectly. Guitar Hero is published by Activision, Inc. (ATVI), which trades on NASDAQ.

Sunday, February 24, 2008

Search Engine Stocks

With all the hype going on about the attempted takeover of Yahoo! (YHOO) by Microsoft (MSFT), maybe it is time to take a look at several of the publicly traded search engine companies.

Yahoo (YHOO) is one of the most popular search engines on the Web based on unique visitors, topping out at about 130 million uniques per month and around 3.4 billion page views per day on average. They recently turned down a takeover offer from Microsoft at $31 per share. By the way, did you know that a Korean blog predicted a year ago that Microsoft would take over Yahoo? Latest quarter's revenues for Yahoo were up 7.6% but earnings were down 23.4%. The stock has a P/E ratio of 60.

Although it's a very small portion of their business, Microsoft (MSFT) does have their own search engine through MSN.com, which has almost 3% share of the search engine market in December 2007, according to a report by ComScore (SCOR). Microsoft also owns msdewey.com. Microsoft has a P/E of 16, a PEG of 1.32, and pays a yield of 1.6%.

Google (GOOG) is by far the largest search engine in the world, with over 62% of the market share of total searches. Earnings for the latest quarter were up 17% on a revenue increase of over 50%. The stock has a P/E of 38.

The Chinese Internet search engine Baidu.com, Inc. (BIDU), is now in third place by number of searches, according to ComScore. The company, which was founded in 2000, has a P/E of 96 and a PEG of 1.

Time Warner Inc. (TWX) owns AOL, which used to have a big market share, but in terms of search engine searches, now has less than 2% of the market. Time Warner has a P/E of 14, a PEG of 1.12, and pays a yield of 1.5%.

Ask.com is owned by the Oakland, California based IAC/InterActiveCorp (IACI). Ask has slightly over 1% of the market share of searches. IAC has a forward P/E of 12 and a 0.93 PEG.

InfoSpace Inc. (INSP) has several search engines including Dogpile.com, InfoSpace.com, Webcrawler.com, MetaCrawler.com, and Zoo.com. The stock has a P/E of 20.

Amazon.com (AMZN) owns the search engine A9.com, which utilizes Live Search. Amazon Amazon has a P/E of 64.

Author owns TWX and MSFT.

By Fred Fuld at Stockerblog.com

Jet Flies on Coconut Oil

Sir Richard Branson's Virgin Atlantic flew a jet from London's Heathrow Airport to Amsterdam partially using a biofuel made from coconut oil and babassu oil. The flight was a success and the results of the test flight are still being studied.

100,000% Rate of Inflation

One of the highest inflation rates ever is taking place in Zimbabwe, with an outrageous annualized inflation rate of 100,000% for the month of January. The government just issued a 10 million Zimbabwe dollar bill.

Why Play Monopoly when you can Wait for the Movie

Hasbro (HAS), the distributor of the famous board game Monopoly, has signed a deal with Universal Pictures, a division of NBC Universal, which is owned by General Electric (GE), to make a movie based on the game. Universal will also be making movies based on Candy Land, Battleship and Ouija.

The Vinyl Record Millionaire

A man became a millionaire, due to his extensive vinyl record collection and eBay (EBAY), which trades on NASDAQ. He put up his record collection of over a million albums and over a million singles for auction, which resulting in a high bid of over $3,000,000. This was practically an all time record for eBay.

One Dollar Investment Returns $2 million in One Day

Actually, it wasn't really a $1 investment, it was really a $1 bet, actually a 50 pence bet. A man in England bet one dollar on the results of eight horse races at eight different race tracks, in something called an accumulator bet. Every horse came in and the man won 1 million pounds, which is equal to about $1.97 million.

Thursday, February 21, 2008

Cuba Stocks

Now that Fidel Castro has stepped down as leader of Cuba, many investors are looking at Cuba being a new emerging market for investments. Here is some interesting trivia about Cuba:
1. It is the is the world's 17th largest island.
2. Private sector employment has almost tripled since 1981.
3. Tourism is the largest source of foreign income for the country.
4. Sugar is the second source of foreign income for the country.
5. Cuba specializes in medical tourism.
6. Their biggest export partners are export partners are the Netherlands, Canada, and China.
7. They have large reserves of oil in the North Cuba Basin
8. They have the second largest nickel reserves in the world.

Freeport-McMoRan Copper & Gold Inc. (FCX) is the large mining company involved in the exploration and production of copper, gold, and silver, along with other minerals The Moa Mine located at Moa Bay in Cuba is owned by Freeport-McMoRan but was confiscated by Fidel Castro in the late 1950's revolution. The stock has a P/E of 14, a PEG of 0.17, and pays a yield of 1.8%.

Sherritt International (SHERF.PK) is a Toronto, Ontario based mining and oil and gas company that is one of the largest foreign investors in Cuba. They have more business in Cuba than any other Canadian company. As significant portion of their revenues are generated by the Moa Mine in Cuba, as a joint venture with a Cuban government company.. They also operate Varadero, Canasí, Yumuri, Puetro Escondido oil and gas fields leased in Cuba. In addition, Sherritt owns the Cuban electric utility Energas. The stock trades on the Toronto Stock Exchange in Canada and on the Pink Sheets in the United States, and has a P/E ratio of 8.

Since more cruise travel should be opening up in the near future with Cuba, Carnival Corp. (CCL), which is one of the largest cruise and vacation companies in the world, should participate in that business. Their cruise lines which operate out of North America, the United Kingdom, Germany and Italy, include Carnival Cruise Lines, Holland America Line, Princess Cruises, Seabourn Cruise Line and Windstar Cruises in North America; AIDA in Germany; Costa Cruises in southern Europe; P&O Cruises, Cunard Line, Ocean Village and Swan Hellenic in the United Kingdom; and P&O Cruises in Australia. They operate a fleet of 81 ships, and will be receiving another 20 ships between now and 2011. They are headquartered in Miami, Florida and London, England. They have a P/E of 14, PEG of 0.9, and a yield of 3.8%.

Royal Caribbean Cruises Ltd. (RCL) , whichy should also participate with trips to Cuba, owns Royal Caribbean International [19 cruise ships with over 44,000 berths] and Celebrity Cruises [9 cruise ships with over 15,000 berths]. They also own Pullmantur S.A., which has five ships in Europe and Latin America. The company plans on having six more ships by the end of 2010. They also offers land tour vacations in Alaska, Canada and Europe. They are headquartered in Miami, Florida. Their P/E is 13, P/S 0.97, yield 1.6%.

Herzfeld Caribbean Basin Fund Inc. (CUBA) is a closed end fund which is a diversified way of playing the Cuba economy. It invests in stocks of the of the Caribbean Basin Countries and the United States. The stock has a P/E of 3.3 and has paid a dividend annually for the last three years.

Cuban Electric Co. (CGAR.PK) owns property in Cuba that was confiscated by Castro. The company trades occasionally on the Pink Sheets.

Sol Melia (SMIZF.PK) which is based in Spain, operates a quarter of the hotels in Cuba. Net profit margin is 10.05% and return on average equity is 13.21%.

Altadis (ALTDF.PK) of Spain, is a tobacco producer which owns half of Corporacion Habanos, a distributor of Cohiba and Montecristo cigars. Net profit margin is 6.25%. It is in the process of being taken over by Imperial Tobacco.

Trailer Bridge Inc. (TRBR) is a marine freight carrier between the U.S. and Puerto Rico which is expected to benefit from expansion to Cuba at some point in the future. The stock has a P/E of 15.

Petroleo Brasileiro (PBR) is in partnership with Cuba's government owned oil company. The stock has a P/E of 21.

Repsol YPF SA (REP) is a Spanish oil and gas company with significant operations in Argentina.. They are drilling for oil offshore Cuba. The stock has a P/E of 9, a PEG of 1.57, and a yield of 3.6%

Stocks in other countries may participate in the growth of Cuba, including Mexico, Colombia, Brazil and http://stockerblog.blogspot.com/2007/05/stocks-in-other-big-south-american.html.

Author owns CGAR.PK

By Fred Fuld at Stockerblog.com

Wednesday, February 20, 2008

Stock has 1 for 10,036,763 Reverse Split

ION Media Networks (IION.PK), which owns and operates the nation's largest broadcast television station group, has announced one of the most extreme stock splits ever to take place, a 1 for 10,036,763 reverse split.

Domain Stock Exchange Opens

The first ever Domain Stock Exchange, called Fusu, has just opened. This exchange allow holders of premium domain names to monetize a portion of their domain. The shareholders get a portion of the sales revenue at the point when the domain is sold, and the domain shareholdings, can be bought, sold, and traded just like on a regular stock exchange.

Commerce Bank Gives $5 Million to Customer, Takes It Back

Commerce Bancorp Inc. (CBH) gave a customer $5 million, told him it was his even though the customers protested it. The customer took $2 million out and now the bank wants it back.

Sunday, February 17, 2008

The Real Estate Deadline I Dreaded Seeing

I just saw the headline "Some Homeless Squat in Foreclosed Houses",and although I knew it was coming, I really didn't want to see it. Apparently, homeless people prefer living in foreclosed homes because they are in better condition and sometimes still have the utilities turned on, as opposed to boarded up homes. There is even a name for these squatters, "bandos, which are people who live in abandoned houses.

Saturday, February 16, 2008

6 Horsepower All-Terrain Skateboard

Have you ever seen a 6 horsepower all-terrain skateboard which can travel on dirt, sand, grass, weeds, rocks, and can even go over logs. It can supposedly travel faster than 35 mph. This product is produced by an Australian based company called Scarpar. Sounds like it might make an interesting gift for your teenager.

Book Review: Fast Profits in Hard Times

The book Fast Profits in Hard Times: 10 Secret Strategies to Make You Rich in an Up or Down Economy, by former Money magazine journalist Jordan E. Goodman, is a great book for new investors, small investors and investors who are looking for non-mainstream investment ideas. Chapter 1 covers investing in tax liens, an investment that has always intrigued me but unable to take advantage of because my state and the adjacent states do not offer tax liens. Returns on tax liens can provide returns from 6% to 24%.
Chapter 3 discusses the advantages and disadvantages of income trusts and master limited partnership, and compares and contrasts these two high income investments. Another chapter goes into detail about dividend reinvestment plans [DRIPS], which provide a great opportunity for investors who have limited funds available for investing. He lists ten pages of dividend reinvestment plans which allow the investor to purchase stocks at a discount from their current trading price. The last chapter is called Profit by Doing Nothing.
If you are looking for a book which can give information about investments other than just regular stocks, you should check out Fast Profits in Hard Times.

Friday, February 15, 2008

Energy Generating Clothing

Scientists at the Georgia Institute of Technology have come up with a microfiber fabric that can create electricity, enough to recharge you iPod or iPhone. The fabric utilizes a nanogenerator and zinc oxide nanowires.

Flying Casino

How about gambling while you fly? Airbus working on a deal to convert a jet into a flying casino.

If You Can't Sell Your Home, Trade It

Several web sites have cropped up recently for homeowners that want to trade their houses since they have been unable to sell their homes. This doesn't mean trading for vacation purposes, it means a permanent trade. This technique works for people who need to move to another state. Some of the sites include:

OnlineHouseTrading.com
DaytonaHomeTrader.com
DomuSwap.com
GoSwap.org

Chocolate Stocks


Now that Valentine's Day has just passed, maybe it is time to look at chocolate stocks. Here is some trivia about chocolate:
1. The earliest documented use of chocolate was approximately 1100 BC.
2. The Mayans and Aztecs made chocolate beverages.
3. It can affect serotonin levels in the brain.
4. It can lower blood pressure.
5. It has a substantial amount of antioxidants that reduce the formation of free radicals,
6. It is associated with the Mayan god of fertility and the Aztec goddess of fertility.
7. Cacao beans were often used as currency.
8. Two-thirds of the world's cocoa is produced in Western Africa.
9. 43% of cocoa comes from te Ivory Coast.
10. 50 million people worldwide depend on cocoa as a source of livelihood, according to the World Cocoa Foundation.

Hershey Foods (HSY) is a large chocolate and confectionery company, one of the largest in the world, made famous by its Hershey Bars. The stock has a P/E of 39, and a yield of 3.3%.

Cadbury Schweppes (CSG) is a London based confectionery and beverage company which was founded in 1783. Some of their products include cocoa powder and milk chocolate bars. The stock has a P/E of 24, a PEG of 2.61, and a yield of 2.5%.

William Wrigley Jr. Co. (WWY) not only makes chewing gum which it is famous for but also mints, candies, and other candy products. Last year, the company bought an 80% ownership position in A. Korkunov, a Russian premium chocolate company. The stock has a P/E of 25, a PEG of 2.66, and a yield of 2.3%.

Rocky Mountain Chocolate Factory (RMCF) is a very low cap Colorado based company which makes and markets chocolate and candy, including caramels, creams, mints, and truffles. The stock has a P/E of 15 and a yield of 3.5%.

Tootsie Roll Industries (TR) makes all kinds of candy including Tootsie Rolls, Tootsie Roll Pops, Caramel Apple Pops, Charms, Blow-Pops, Blue Razz, Zip-A-Dee Pops, Cella's, Mason Dots, Mason Crows, Junior Mint, Charleston Chew, Sugar Daddys, and Sugar Babies. The stock has a P/E of 24 and a yield of 1.3%.

J.M. Smucker’s (SJM), in addition to making preserves, also distributes dessert and ice cream toppings, such as their Chocolate-Mocha Spoonable Ice Cream Topping, Chocolate Syrup Sundae Syrup, Chocolate Fudge Spoonable Ice Cream Topping, Dark Chocolate Specialty Ice Cream Topping, Milk Chocolate Specialty Ice Cream Topping, and Dark Chocolate with Mint Spoonable Ice Cream Topping. The stock has a P/E of 16.5, a PEG of 1.84, and a yield of 2.5%.

Author does not own any of the above.

By Fred Fuld at Stockerblog.com

Thursday, February 14, 2008

NYSE and NASDAQ being Hit by Bats

BATS is the Kansas City based electronic trading network which is trying to become a full fledged exchange. Apparently, it is taking market share away from NYSE Euronext, Inc. (NYX) and NASDAQ Stock Market, Inc. (NDAQ). Is this why the NYX share price has been lagging?

Spam Emails have no Long Term Effect on Stocks

In a research study done by Michael Hankea and Florian Hauser, at the Innsbruck University School of Management in Austria found that stock promotion spam emails have no long term effect on stock performance, but they do have a strong effect on excess price returns, turnover, and the intra-day price range. They also found that continuous spamming on successive days maintains excess demand.

So what this means is that the spam scam works on a short term basis for the scammers. The article was published in the February 2008 edition of the Journal of Financial Markets.

Wednesday, February 13, 2008

Sub-prime Losses Hit Japan

Even Japan isn't immune from the sub-prime fiasco. It seems that this mortgage crisis is traveling around the world. Losses at Japanese banks due to sub prime have doubled, JUST IN THE LAST 3 MONTHS, to $5.6 billion.

Stock Market Monkeys

Here is a story that recently started floating around the Internet:

Once upon a time in a village, a man appeared and announced to the villagers that he would buy monkeys for $10 each.

The villagers seeing that there were many monkeys around, went out to the forest, and started catching them. The man bought thousands at $10 and as supply started to diminish, the villagers stopped their effort. He further announced that he would now buy at $20. This renewed the efforts of the villagers and they started catching monkeys again.

Soon the supply diminished even further and people started going back to their farms. The offer increased to $25 each and the supply of monkeys became so little that it was an effort to even see a monkey, let alone catch it!

The man now announced that he would buy monkeys at $50 ! However, since he had to go to the city on some business, his assistant would now buy on behalf of him.

In the absence of the man, the assistant told the villagers. "Look at all these monkeys in the big cage that the man has collected. I will sell them to you at $35 and when the man returns from the city, you can sell them to him for $50 each."

The villagers rounded up all their savings and bought all the monkeys. Then they never saw the man nor his assistant, only monkeys everywhere!

Now you have a better understanding of how the stock market works!!

Tuesday, February 12, 2008

Brazil Transportation Stocks

It is amazing that the Brazilian airlines have far outperformed the airlines in the United States during the last couple years. Of course, many Brazilian stocks have been performing well. See if any of these transportation related stocks from Brazil can move your stocks forward.

EMBRAER - Empresa Brasileira de Aeronutica S.A. (ERJ) is the largest exporter in Brazil, and third largest in terms of yearly commercial aircraft delivery and fourth largest workforce among all aircraft manufacturers. The company has its headquarters, production facilities and design offices in Sao Jose dos Campos, Sao Paulo. Currently, the company has maintenance and commercial sites in several countries around the world, including the United States, Singapore, China and France.
As of 2007, the company employed 23,770 people.
The company primarily develops commercial aircraft, along with being the supplier of defense aircraft to the Brazilian Air Force. In addition, the company has sold planes to the military forces of Europe, Asia and Latin America.
The commercial aviation segment of the company includes developing, producing and marketing jets for the airline industry worldwide. The company’s products are organized into the ERJ 145 family, the Embraer 170/190 family and the EMB 120 Brasilia family. In total, sales of commercial aviation amounted to 64.4 percent of the company’s business.
The company also develops defense and government planes, including the production, modification and support of military aircraft. The company has the Super Tucano for defense and the attack aircraft know as the AL-X. The AMX is a ground attack jet. In total, the company’s defense and government business sector accounts for six percent of the total sales of the company.
The executive jet segment of the company consists of the Legacy 600, Phenom 100, Phenom 300 and Lineage 1000. In total, this market for the company comprises 15.3 percent of the net sales.
The stock has a P/E of 23 and a PEG of 1.64.

GOL Linhas Areas Inteligentes S.A. (GOL) is a low cost airline which is the second largest airline in Brazil, with 38.6 percent of the domestic market in the country, and 12.2 percent of the market from Brazil to other countries.
Ir owns the Varig airline, and has its main hubs located at the Sao Paulo’s Congonhas International Airport, Rio de Janeiro’s Galeao International Airport, Brasilia International Airport, as well as operations at Rio de Janeiro’s Santo Dumont Airport, Sao Paulo’s Guarulhos International Airport and Porto Alegre’s Salgado Filho International Airport. The company currently employs 5,456 staff.
The company offers 630 daily flights to 58 destinations across Brazil, as well as destination in Argentina, Bolivia, Chili, Paraguay, Peru and Uruguay through its VRG Linhas Aereas brand. Through the Gol Transportes Aereos brand, it provides service to 12 destinations, through 120 flights, consisting of Brasilia, Belo Horizonte, Curitiba, Fortaleza, Fernando de Noronha, Florianopolis, Manaus, Porto Alegre, Recife, Rio de Janeiro, Salvador and Sao Paulo.
The stock has a P/E of 14, a PEG of 1.67, and pays a yield of 2.5%.

TAM S.A. (TAM) is an airline that provides air transportation within Brazil, as well as internationally, through its subsidiaries, TAM Linhas Aereas and Transport Aereos del Mercosur. The company currently flies to 48 cities in Brazil itself, while 26 more destinations are served through alliances with other airlines. The company also flies passengers and cargo to 12 international destinations.
In 2006, the company flew 22.9 million passengers on domestic flights, and 2.6 million on international flights. The company has a leased fleet of aircraft, which includes models such as the A330, A320 and A319.
The cargo operations of the company account for 6.3 percent of the company’s gross revenue, which includes express package, conventional cargo and special transportation delivery. The company picks up packages in 400 Brazilian cities, and transports them to 3,450 locations in the country.
The stock has a P/E of 37, a PEG of 0.84, and a yield of 2%.

Iochpe Maxion (IOCJY.PK) is an auto and truck parts and transportation equipment manufacturer. The net profit margin is 8.45% and a return on average equity of 39.5%.

Obrascon Huarte Lain Brazil (OBSJF.PK) manages highways that are located in Sao Paulo. The stock has a net profit margin of 15.98% and a return on average equity of 15.54%.

Other Brazil stock industries include the Brazil food stocks, Brazil natural resources stocks, Brazil financial companies, Brazilian telecommunications companies, Brazil Utility Stocks, and don't forget to check out the Gisele Bundchen stock index.

Author does not own any of the above.

By Fred Fuld at Stockerblog.com

Museum of American Finance

In case you missed the New York Times article on the Museum of American Finance, located at 48 Wall Street in Manhattan, you should check it out (both the article and the museum). The NY Times article shows an eleven part slide show.

Monday, February 11, 2008

9.75% Annualized Return, Guaranteed by the US Government

How would you like an investments with the following features:
1. A 9.75% annualized return on your money
2. A very short term investment
3. Guaranteed by the United States Government
4. No minimum investment
5. An easily transferable investment with no registration
6. The investment will never go down in value

So what is this great investment? It's the Forever Stamp, the stamp issued by the US Post Office that will cover one ounce of postage, no matter how high the price of postage rises, even if the price goes to $5 per ounce. Currently, the price for the first ounce is 41 cents. However, on May 12, the price will go up by one cent to 42 cents, an increase of 2.44% over the next three months. But you can lock in the price per ounce, forever, at 41 cents. So if you buy the Forever Stamps now, you will lock in a gain of 2.44% for a quarter of a year, or 9.75% on an annualized basis. If you pay a lot of bills by mail, have a small company that does a lot of mailouts, or you are part of an organization that sends out monthly newsletters, then maybe it is appropriate to load up on these stamps.

If you missed my Six Ways to Save on Postage article that I wrote last year, you should check it out.

By Fred Fuld at Stockerblog.com

Sunday, February 10, 2008

Brazil Utility Stocks

If you are looking for stability and growth in Brazilian investments, check out the Brazilian utility stocks.

CPFL Energia S.A. (CPL) is one of the largest companies that provides electric generation and distribution in Brazil is CPFL Energia. The company is composed of CPFL Brasil, CPFL Pirantininga, CPFL Paulista, CPFL Geracao and SEMESA.
The company is headquartered in Campinas, Sao Paulo, and is the 44th largest Brazilian company in terms of sales.
The distribution side of the business results in 26,679 gigawatts of electricity going out to 4.5 million customers in the state of Sao Paulo. The company’s subsidiary, Rio Grande Energia, delivers 6,787 gigawatts of electricity to 1.1 million customers in the Rio Grande do Sul state. In total, the consumer group revenues were 31.4 percent from industrial customers, 19.6 percent from commercial customers, 37.3 percent from residential customers and 3.3 percent from rural customers, along with 8.4 percent from other customers.
The company also owns 23 small hydroelectric generation facilities and one thermoelectric power plant.
The stock has a P/E of 9 and a a yield of 9.5%.

Companhia de Saneamento Basico do Estado de Sao Paulo [SABESP] (SBS) is a utility company that operates out of Brazil, providing water and sewage services to residential, commercial and industrial customers in 367 municipalities in Sao Paulo, including the City of Sao Paulo.
The services it provides are basic sanitation services, including abstraction, treatment, processing, distributing, and the collection and treatment of sewage.
The largest sector of revenue for the company is the Sao Paulo Metropolitan Regional and Regional Systems, which accounts for 74.5 percent and 25.5 percent of the sales and services for the company.
The company has 17,000 employees.
In terms of water treatment, the company has 197 treatment facilities, of which the eight largest in the Sao Paulo Metro Region accounts for 72 percent of all the water produced. All the water treated by the company receives fluoridation treatment.
The Sewage Treatment and Disposal aspect of the business collects 58 percent and 73 percent of the sewage in the Sao Paulo Metro Region and Regional Systems, or 63 percent of all the sewage collected in the State of Sao Paulo. After the water has been treated, it is discharged into inland waters and the Atlantic Ocean. Currently, Sabesp has 438 sewage treatment facilities and eight ocean outfalls.
The stock has a forward P/E of 9.

Companhia Energetica de Minas Gerais [CEMIG] (CIG) is the largest combined power generator and distributor in Brazil, Companhia Energetica de Minas Gerais, known as CEMIG, has over 50 power plants in operation, with a generating capacity of 6,000 megawatts. The company also owns cable television and internet and telecommunications services.
Over half of the stock in Cemig is owned by Minas Gerais, which his traded on the Bovespa and the New York Stock Exchange.
The power generation of the company is produced through 51 hydroelectric plants, four thermoelectric plants and one wind farm. Eight of the hydroelectric plants account for 82.6 percent of the installed electric capacity of the company.
The transmission side of the company is produced through 1,352 miles of 500 kilovolt power lines, 1,202 miles of 345 kilovolt power lines and 467 miles of 230 kilovolt lines. The company also has 33 substations, with 97 transformers that have a transformation capacity of 15,393 megavolts.
The company transmits both its own energy, and the energy that is purchased from Itaipu. The company has 12 industrial consumers, who accounted for nearly 20 percent of the total volume of electricity the company sold.
The stock has a forward P/E of 8.

Companhia Paranaense de Energia [COPEL] (ELP), also known as COPEL, is an electric power company that specializes in the business of transmission, distribution and generation of electric power in Brazil’s Parana state. The company also provides telecommunication and information technology services through services it has developed with various partnerships. The company has 17 hydroelectric plants and one thermoelectric plant that generates 4.549.6 megawatts, 99.6 percent of which is hydroelectric. As of 2006, the company had 7,210 kilometer of transmission lines and 165,757 kilometers of distribution lines in Brazil.
The company is made up of five subsidiaries, Copel Geracao, Copel Transmissao, Copel Distribuicao, Copel Telecomunicacacaes and Copel Participacaes.
The generation sector of the company is done through 18 power plants, which have a total capacity of 4,549 megawatts. In 2006, the company generated over 10,000 gigawatts per hour. All of the electrical energy generation is supervised at the generation operation center in the city of Curitiba.
The system relies on 12 substations, 11 of which are remote-operated.
The stock has a P/E of 6 and a yield of 2.1%.

Don't forget to check out the Brazil food stocks, Brazil natural resources stocks, Brazil financial companies, Brazilian telecommunications companies, and the Gisele Bundchen stock index.

Author does not own any of the above.

By Fred Fuld at Stockerblog.com

Saturday, February 09, 2008

Older Women Younger Men Speed Dating

At a club on Fifth Avenue in Manhattan, a very successful speed dating event was held called "Natural Selection Speed Date II: Sugar Mamas & Boy Toys". The even consisted of wealthy older women over 35 and good looking younger men under the age of 35. Over 5,000 men applied to be participants and only 20 were accepted.

Victim Finds Stolen Motorcycle Helment on eBay

A Pennsylvania man had his motorcycle helmet stolen, and when he went on eBay (EBAY) to look for a new one, he discovered his own helmet for sale. He reported it to the police and the seller was arrested and convicted. eBay trades on NASDAQ.

A New Use for Cialis

An Israeli study has shown that Tadalafil, the active ingrediant in the anti-impotence drug Cialis, allows people to cope with high altitudes better. A retired general said that it may be useful for pilots flying at high altitudes. Cialis is market around the world by Eli Lilly (LLY), which trades on the New York Stock Exchange.

Thursday, February 07, 2008

A Really Dead Housing Market

A London real estate agent and his prospective buyer got a real surprise when they went to look at a house that was on the market. The owner of the house was dead, hanging in the closet.

US Companies Now Accepting Euros

With all the Europeans coming to the United States with their pockets filled with Euros, American companies, especially in Manhattan, are now accepting Euros. This is the first time that there has been a significant increase in the acceptance of foreign currency in the US, other than pesos along the Mexican border and Canadian dollars along the northern border.

Wednesday, February 06, 2008

Brazil Food Stocks

Brazil is known for its natural resources and has very successful financial companies and telecommunications companies. In addition, Brazil is home to the superstar supermodel Gisele Bundchen, who is not only rich and beautiful, but is also very intelligent. But Brazil also has some interesting food companies. Here are some that may be worth taking a bite out of.

Companhia Brasileira de Distribuicao (CBD) is commonly known as Grupo Pao de Acucar, which is the trading name of the supermarket chain. This Brazilian company is engaged in the business of retailing food, electronic goods, home merchandise and other forms of goods that are sold in supermarkets and home appliance stores.
Currently, the company has 551 stores in Brazil, 496 of which are retail food stores. In total, 311 of these stores are located in the Sao Paulo State, which is where 58 percent of the sales revenue comes from for the company. The company operations distribution centers throughout Brazil, including Sao Paulo, Rio de Janeiro, Brasilia, Fortaleza, Curtiba and Recife. The company has 63,185 employees, and is headquartered out of Sao Paulo.
The company operates its stores under six different names: Pao de Acucar (164 stores), CompreBem (186 stores), Sendas (62 stores), Extra (83 stores), Extra Electro (50 stores) and Extra Perto (four stores).
The stock has a forward P/E of 31 and a yield of 0.30%.

Companhia de Bebidas Das Americas (ABV), also known as AMBEV, specializes in producing and distributing beer, draft beer, malt, soft drinks, sport drinks, ice tea and bottle water. The products are distributed throughout Brazil, as well as 14 other countries across North and South America. The company has three division, beer, carbonated soft drinks and non-carbonated.
The company sells and distributes Pepsi products throughout Latin America, as well as providing Lipton Ice Tea and Gatorade to the continent. The company also distributes Budweiser products in Canada. It distributes the drink Brahma in the United States, Europe, Asia and Africa. The company has 13 mixed plants, 12 breweries, four soft drink plants, three raw material plants, one malt plant and a farm in the state of Amazonas.
In Latin America, the company has a 91% percent stake in Quinsa, which operates in Argentina, Bolivia, Chile, Paraguay and Uruguay, as well as Equator, Guatemala, El Salvador, Nicaragua, Peru, the Dominican Republic and Venezuela. The company recently opened up a plant with a capacity to produce one million hectorliters of beer, which also created 1,350 new jobs.
Outside of the United States, AMBEV is the largest Pepsi bottler; in addition, the company accounts for 69 percent of the Brazilian beer market, while employing 34,000 employees. Currently, the company has one million points of sale in the country, hundreds of third-party distributors, 13,000 salesmen, 16,000 trucks, as well as countless boats and ferries that cross the Amazon River.
The stock has a P/E of 28 and a yield of 1%.

Perdigao S.A. (PDA) distributes food in different segments from meats, flour, dairy products, juices, animal feed, cheeses, deserts, and more. This food company specializes in poultry, pork and beef foods, with some dairy processed products. The products from the company include whole and cut chickens, frozen pork cuts and beef, processed foods, specialty meats processed meats and pastas.
Perdigao is made up of a structure of 20 industrial units spread across Brazil. Currently, the company employs 39,000 individuals and has a portfolio of 2,500 items, which are sold under the brands Perdiago, perdix, Batavo, Chester, Apreciatta, Borella, Halal, Turma da Monica, Sulina, Alnoor, Toque de Sabor, Light & Elegant, Escolha Saudavel, Confidence, Fazenda, Confianca, Unef, BFF and Nabrasa.
The activities of the company are sent out through a network of 24 distribution centers, 15 dairy-processing distributors and 35 cross-docking transit points in Brazil. In addition, the company has a distribution network in Europe and more than 100 countries around the world. The activities of the company are split into poultry, pork and beef, milk, processed food products and other items like animal feed.
The stock has a P/E of 22.

Sadia S.A. (SDA), located in Concordia, Santa Catarina, is a food producer that ranks as one of the leading producers of frozen food in the world and the main Brazilian exporter of meat-based products. The company’s name literally translates as ‘healthy’ in Portuguese, adding to the message the company has about healthy food for its customers.
In 2006, the company had 12 industrial plants producing 1.3 million tons of meat products. In total, the company has 70,000 points of sale in Brazil and 200 foreign clients around the world. The company has proven to be so influential, that the former chairman of the company, Luis Fernando Furlan, was appointed Minister of Industry and Foreign Trade by President Luiz Inacio Lula da Silva in 2003.
Currently, there are 2,500 products to choose from in the Sadia line, including poultry, pork, meats, sausages, pasta, hamburgers, soups and desserts. The operation sectors for the company include breeding farms for poultry and hog stock, hatcheries, pork breeding centers, slaughterhouses, processing units, animal feed plants and distribution centers.
The stock has a P/E of 3.

Brazil Fast Food Corp. (BOBS.OB), also known as Bob’s, is a company that operates in Brazil as a fast food hamburger restaurant chain. So far, the company has 517 points of sale, which includes 181 kiosks. In total, the company owns 61 of the restaurants, while 456 are owned by franchisees under the trade name. The company is sometimes referred to as the McDonald's of Brazil.
Over half of the Bob’s restaurants are located in the states of Rio de Janeiro and Sao Paulo, with the rest spread across Brazil. Also, there are two franchised restaurants in Portugal and Angola. The largest amount of franchise restaurants for Bob’s outside of Rio de Janeiro and Sao Paulo are in the states of Santa Catarina and Parana. The company is headquartered out of Rio de Janeiro and has nearly 4,000 employees.
The company operates on the franchise system, with franchisees paying R$60,000 for a restaurant, although that cost is lower for kiosks. The company receives five percent of all gross sales from the franchise. Franchisees also pay a four percent of monthly gross sales fee to pay to advertising to the company. Terms for the franchisees are at five years, with the agreement being renewed without interruption in the franchisee’s restaurant. There are no financial obligations for the franchisees.
Beyond the restaurants, the company also operates several gasoline retailers including Shell and Petrobas.
The stock has a P/E of 7.

Author does not own any of the above.

By Fred Fuld at Stockerblog.com

Tuesday, February 05, 2008

Ryaniar's Trashy Ads

Ryanair Holdings plc (RYAAY), which trades on NASDAQ, the discount airline, first ran ads featuring the French President Sarkozy, to Sarkozy's dismay, is now running ads which say that you can get away from all the trash in Naples, Italy by taking a trip out of the country on Ryanair Airlines. The airline is offering 250,000 free flights.

Author owns shares in RYAAY.

Feng Shui Stock Advisors Becoming Popular

Chinese investors are turning to feng shui astrologers for advice about the stock market during the Year of the Rat. Unfortuantely, most of the feng shui experts predict a bear market.

Monday, February 04, 2008

Two Billion Transistors in One Chip

Intel Corp. (INTC) just came out with a chip that has 2,000,000,000 transisters. This quad-core chip is designed for servers and is called the Tukwila.

Rwanda's First Stock Exchange

The African country of Rwanda has developed its first stock exchange, in the capital of Kigali. The exchange will initially trade in bonds, both government and corporate bonds, but will eventually start trading stocks in Rwandan mining and manufacturing companies, and possibly foreign companies.

Coal at All Time High

Coal hit $116 per ton in trading in Asia, a 25% increase, primarily due to China's excessive snow causing them to stop exports, flooding in Australia, and shortage of power in South Africa.

Sunday, February 03, 2008

New York Giants Won: Buy, Buy, Buy!!!

I recently wrote about the Stock Market Superbowl Indicator, which states that if winner of the Superbowl is from the old National Football League, now the National Football Conference [NFC], then we will have a bull market. The New York Giants won the Superbowl, so the stock market should go up, if you believe in this indicator.

By Fred Fuld at Stockerblog.com

Uh Oh! Indio! Is the Sub-Prime Mess Affecting Muni Bonds?

A few years ago, I bought a few municipal bonds that were issued by various smaller cities in California, such as Fillmore and Tracy. All the bonds had an interest rate of over 5%, and all were purchased at slightly above par. They all have maturities of 18 to 25 years. Because the bond issues were so small, no ratings were obtained from any of the rating agencies.

The bonds have pretty much held their value; however, the Indio, California Community Facilities District Terra-Lago Area bond has dropped in price from over 100 to 85.8, almost a 15% drop.

Indio is a smaller city located in the Southern California desert area of Riverside County, with a population of about 72,000. It has been one of the ten fastest growing cities in California. I've been hearing stories of huge real estate developments being built in that area, and thousands of houses going unsold.

This bond is backed by what is known as Mello-Roos taxes, which are taxes that came about through the Community Facilities District Act in 1982 to fund community facilities such as streets, water, sewage, electricity, infrastructure, schools, and parks. Mello-Roos taxes are used to get around the Proposition 13 restrictions limiting the increase of property taxes.

So without enough people to pay those taxes, it could severly limit the district's ability to cover the debt service on the bonds. Which means that even muni bonds are not immune from sub-prime.

By Fred Fuld at Stockerblog.com

Brazilian Telecom Stocks

Previously, I had written about Brazil Financial Stocks and Brazil Chemical, Energy and Mining Stocks. The fast growing country of Brazil has several telecommunications companies which are publicly traded, mostly on the New York Stock Exchange. Like the country itself, the telecom industry has also been expanding rapidly. Many of these stocks were up over 50% last year. The following companies may be worth calling on.

Brasil Telecom Participacoes S.A. (BRP) The company provides telecommunication services in Brazil, with 8.4 million lines of service throughout the region. As of 2006, the company had 277,854 public telephones. In addition, the company provides a variety of local services that include voice mail, call forwarding and caller ID.
Long-distance services are provided in the inter-region and international formats. The company also provides fixed-to-mobile services consisting of calls that start on a fixed-line telephone and end on a mobile phone. To provide international services, the company entered into an agreement with Telemar Norte Leste and Telecomunicacoes de Sao Paulo.
The network services provided by the company include data transmission services that are offered to residential and corporate clients in the form of Turbo, a high-speed internet system that runs on the ADSL technology. The company also provides other data transmission services for corporate and government customers. The data transmission services consist of point-to-point family for corporate customers, network infrastructure family which is for corporate security, internet access family, which is for corporate customers as an internet backbone and advanced services family, which is a blend of several technologies and services.
The stock has a P/E of 12 and a yield of 0.4%.

Brasil Telecom S.A. (BTM) One of the major telecommunications companies in Brazil is Brasil Telecom, which is headquartered out of Brasilia. It is one of only three land-line companies in Brazil since the break-up of Telebras. The company was originally called Tele Centro Sul, and its service covers Acre, Rondonia, Goias, Tocantins, Mato Grosso, Mato Grosso do Sul, Parana, Santa Catarina, Rio Grande do Sul and the Brazilian Federal District. The company currently has nearly 6,000 employees.
Brasil Telecom provides a vast number of services to its subscribers, including local services, installation, monthly subscriptions, public telephones, supplemented local services, long-distance services, intrastate services, international long-distance, internet, multimedia, data transmission and wireless services.
The stock has a P/E of 10 and a yield of 0.6%.

Net Servios de Comunicao (NETC) The largest cable television provider in Latin America, Net Servicos de Comunicacao has a total of 1.89 million subscribers. In addition to the television service, the company offers broadband internet services, of which 830,000 subscribers use, as well as telephone over cable under the Net Fone via Embratel name, for 257,000 subscribers.
The company is a multi-service company that provides pay-television and internet access to 1.8 million homes in 44 cities of Brazil.
The company provides high-speed internet through its NET Virtua service to 727,000 subscribers, as well as a voice service through NET Fone via Embratel service, which has 182,000 subscribers.
In 2006, the company began to work with Embratel, to begin the process of integrating Voice over IP technology to allow subscribers to make local, long-distance and international calls from any telephone.
The core of the company’s business is in the pay-television service, which includes cable and pay-per-view. This service is available in several cities in Brazil, including Sao Paulo, Rio de Janeiro, Belo Horizonte, Porto Alegre, Recife, Brasilia, Goiania, Curitiba and Florianopolis.
This service comes to customers in three major packages, digital, premium and advanced. Digital service is only available to customers in Rio de Janeiro, Sao Paulo and Porto Alegre. The digital cable service provides high quality broadcasting and video-on-demand services.
The stock has a P/E of 1.5 and a yield of 0.4%.

Tele Norte Celular Participações S.A. (TCN) Tele Norte Celular Participacoes is a telecommunications company that serves Para, Amazonas, Maranhao, Amapa and Roraima in the north part of Brazil. Currently, the company provides service in the Time Division Multiple Access [TDMA] technology sector, while its analog service runs on the Advanced Mobile Phone Service [AMPS].
Currently, the company has a series of prepaid and contract customers, as well as corporate customers. The company provides various telecom services, which include caller ID, voicemail, fax services and informational services that include accessing office e-mails, bank statements and more. Also, the company provides mobile services to subscribers of other service providers while they are in Tele Norte’s area. As of 2006, the company had 1.2 million subscribers.
Tele Norte provides its services in the form of contracts that use rate plans and prepaid cards. For the company, 22.7 percent of its service revenues come from monthly subscription plan customers.
In addition, an internet service is provided by the company called i.amazoniacelular, which includes communication, news and other internet services, including those that allow remote access to personal computers.
The company also sells handsets, accessories, calling cards and provides activation services through four distribution channels, a network of independent local distributors, company-owned stores, a direct sales force for corporate accounts, government accounts and high-volume costumers, and prepaid cards. As of 2006, the company sold prepaid cards at 16,000 point-of-sale locations.
The stock has been generating negative earnings.

Telecomunicacoes de Sao Paulo S.A. (TSP) Telecommunicacoes de Sao Paulo (Telesp), is a communications company that operates in the Sao Paulo State in Brazil. The company generates revenue in excess of $5 billion each year. The parent company for Telesp is Telefonica.
Telesp provides fixed-line telecommunication that include local services, measured service, public telephones, intraregional and international long-distance, multimedia services and network services that include interconnection and leasing of facilities.
The company also provides services that allow cellular service providers and other telecommunication companies to have the ability to use its network.
In total, the telephone network for Telesp is 14.4 million fixed lines, which includes public telephone lines. 74.9 percent of their access lines are of residential use, 20.3 percent are commercial, two percent are public telephones and 2.8 percent are for the company’s own use.
The local service of the company includes measuring service on all calls that originate or end in the local area. Also, Telesp has a telephone service concessionaire to offer local
Services to other states, including Sergipe, Espirito Santo, Rio Grande do Sul, Parana, Santa Catarina and parts of Rio de Janeiro.The company also provides local telephone services in Para, Amapa, Rondonia, Maranhao, Tocantins and Acre.
The stock has a P/E of 10 and a yield of 9.1%.

Telemig Celular Participacoes S.A. (TMB) Telemig is a provider of cellular telecom services in Minas Gerais, Brazil. It offers prepaid and contract services to subscribers, in addition to business solutions for corporate users.
Their services include real time play-by-play of soccer matches, fax reception through mobile handsets, call conferencing, caller line identification, and customized ring tones.
The stock has a P/E of 12 and a yield of 1.7%.

Tele Norte Leste Participacoes S.A. (TNE) Tele Norte Celular Participacoes is a telecommunications company that serves Para, Amazonas, Maranhao, Amapa and Roraima in the north part of Brazil. Currently, the company provides service in the Time Division Multiple Access [TDMA] technology sector, while its analog service runs on the Advanced Mobile Phone Service [AMPS].
Currently, the company has a series of prepaid and contract customers, as well as corporate customers. The company provides telecom services, which include caller ID, voicemail, fax services and informational services that include accessing office e-mails, bank statements and more. The company provides mobile services to subscribers of other service providers while they are in Tele Norte’s area. As of 2006, the company had 1.2 million subscribers.
Tele Norte provides its services in the form of contracts that use rate plans and prepaid cards. 22.7 percent of its service revenues come from monthly subscription plan customers.
The stock has a P/E of 9.

TIM Participacoes S.A. (TSU) The only company in Brazil that offers cellular service throughout the country, TIM Participacoes, uses its subsidiaries, TIM Celular S.A. and TIM Nordeste S.A., to get cellular service across Brazil.
The company is also the largest Global System for Mobile communications operate in the country, in both terms of clients and revenues. Currently, the company has 29.2 million customers and a market share that is just over 25 percent.
TIM Participacoes is a wireless provider in all of Brazil, which uses a global system for its mobile communications technology. In four of the areas it covers, TIM offers time-division multiple access technology as well as GSM. The company also has value services that include text messaging, multimedia messaging services, Blackberry services, video call and wireless application protocol.
The company also provides interconnection services to fixed line and mobile providers.
The stock has a P/E of 1.3 and a yield of 2.6%.

Vivo Participações S.A. (VIV). Vivo is primarily a cellular company that has a large presence in the wireless space In addition as providing internet services.
The largest mobile phone provider in Brazil, and South America, Vivo has 28 million subscribers to its service. The network is based on the IS-95/cdmaOne technology, with some parts of it on an analog AMPS service, or TMDA. Currently, the network is being converted to CDMA2000.
The company currently operates through its subsidiary Vivo S.A., which is the cellular operator in Brazil. Currently, the service is in 19 Brazilian states, covering 7.3 million square kilometers, or 85.6 percent of Brazil’s territory. Currently, the company provides its service in the GSM, CDMA and TDMA frequencies.
In Sao Paulo, Vivo has 10.7 million cellular lines, while in Espirito Santo, it has 4.9 million cellular lines.
The company also provides voicemail, voicemail notification, call forwarding, text messaging, data service and caller ID to its customers, using the wireless application protocol. The company also launched three services recently that are location-based. The first, Vivo Localiza Familia, allows children to be located and monitored by parents via the internet and their cell phones.
Vivo Localiza Amigos allows the user to locate friends, as well as be located by friends, while Vivo Co-Piloto, assists users in moving through Brazilian cities.
The stock has a P/E of 20 and a yield of 0.2%.

Author does not own any of the above.

By Fred Fuld at Stockerblog.com

Saturday, February 02, 2008

One Pound worth 490 U.S. Dollars

Did you know that 490 dollars equals one pound (that's a pound in weight, not British pounds). That's right, if you stack 490 dollar bills on a scale, they will weight one pound.

Thanks to the Bank Note Reporter for this Trivia.