Wednesday, October 15, 2014

Israeli Stocks for Contrarians

Over the last six months, the Market Vectors Israel ETF (ISRA) was down over 5%, yet the S&P 500 is actually up slightly from where it was six months ago. For contrarians looking for stocks that may snap back the strongest, Israeli stocks may be the way to go. There are over ten Israeli stocks available to American investors, many of which are dividend payers, based on the list at

A high yield stock in the electronics company is Elbit Systems Ltd. (ESLT). The company pays quarterly dividends, and sports a yield of 2.1%. The company is in the business of defense systems and products, with a trailing price to earnings ratio of 14. Diluted earnings per share attributable to the company's shareholders for the latest reported quarter were down 12% on flat revenues year-over-year.

The largest generic drug manufacturer in the world is Teva Pharmaceutical Industries (TEVA), which pays a dividend rate of 2.4% with dividends paid quarterly. It trades at  16.5 times trailing earnings and 10.2 times forward earnings. The company reported a  revenue boost of 2% and an earnings per share increase of 2.5%.

In the software sector, Magic Software Enterprises Ltd. (MGIC), with a trailing PE of 15.3 and a forward PE of 11.8, with a dividend yield of 2.9%. Latest quarterly earnings were up 10.7% on a 16.9% rise in revenues.

If you want to access a free list of dividend paying Israeli stocks, which includes the PE, forward PE, PEG ratio, yield, and business, go to

Disclosure: Author didn't own any of the above at the time the article was written.


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