Mexico Now Has the Highest Quality Debt in Latin America: Time to Look at Mexican Stocks

President Enrique Pena Nieto of Mexico has championed policies to move economic growth forward in this country south of the border, including allowing American investments in Mexico. These pro-business moves have caused an increase in the country's debt rating to A3 and the cost to protect the country's debt has dropped to almost the level of Chile, and the price of credit-default swaps dropped below those of Chile.

The iShares MSCI Mexico Capped Investment ETF (EWW) is only up around 3% for the last twelve months, whereas the S&P 500 is up over 16%. Maybe this is an opportunity for a turnaround. The list of Mexico based stocks at WallStreetNewsNetwork.com show over a couple dozen that trade in the United States, and many of which pay dividends.

America Movil (AMX), the telecom company, trades on the New York Stock Exchange, at 18.2 times trailing earnings and 13.8 times forward earnings. For the latest quarter, the company reported an incredible 32.7% increase in earnings on a 4.0% rise in revenues. The stock pays a yield of 1.6%.


Grupo Televisa (TV) has a great stock ticker. This media company has a trailing price to earnings ratio of 35.4 and a forward PE of 28.5, with earnings rising 21.1% for the latest quarter on a 7.1% boost in revenues. The stock sports a small yield of 0.3%.


The airport company, Grupo Aeroportuario del Pacifico (PAC) has a 19.4 PE with a 1.7% yield. Quarterly earnings spiked 24% for the latest quarter with an 11.4% b ump up in revenues.

There are many other Mexico stocks to choose from, which can be found on the free list at WallStreetNewsNetwork.com.  Maybe you can make some profits by crossing the border.

Disclosure: Author did not own any of the above when the article was written and has no plans to do so in the next 72 hours. 

By Stockerblog.com

Mexico Stocks, Sí

Mexico Bolsa (stock exchange)

With the change in the natural resource laws of Mexico to allow foreign investments in the production of oil and gas, through production-sharing contracts with Petroleos Mexicanos, also known as Pemex, investors are taking a close look at Mexican stocks.

The publicly traded Mexican companies should benefit from an improving economy, with an influx of investments from other countries. There are in excess of more than 30 Mexican stocks available for trading in the United States, either on the New York Stock Exchange, the NASDAQ, or OTC, based on the list of Mexico stocks at WallStreetNewsNetwork.com.

Investors looking for diversification in Mexico stocks should consider an ETF, such as the iShares MSCI Mexico Capped ETF (EWW), which trades on the NYSE and has a PE of 17. The fund has had an average annual return of 20.44% over the last five years.

Here are some non-resource stocks which pay dividends.

Fomento Economico Mexicano (FMX), which trades on the NYSE, is a bottler and marketer of Coca-Cola along with other beverages. It also owns the OXXO chain of convenience stores, and is involved in transportation logistics. The stock trades at 21 times forward earnings. Revenues for the latest quarter were up 8.2%, yet earnings dropped by 48.8%. The stock generates a yield of 3.3%.

America Movil (AMX), the telecom company, trades at 12 times earnings and yields 1.6%. Earnings for the latest quarter were up 14.8%, on a 3.1% rise in revenues. The yield is 1.7%.

Grupo Televisa (TV), the stock with one of the most popular stock symbols,  is a television programmer and broadcaster, headquartered in Mexico City. The stock has a forward price to earnings ratio of 25, and pays a dividend of 0.4%. Latest quarterly revenues were up 8.3%, with earnings down 17.8%.

 For a list of about three dozen Mexico stocks, which includes the PE ratio, yield, and business sector, go to WallStreetNewsNetwork.com.

Disclosure: Author didn;t own any of the above at the time the article was written.

By Stockerblog.com

Change in Mexico Law will be a Huge Benefit for the Mexican Economy

Mexico Bolsa (stock exchange)

The Mexican government has voted to make a major change in its natural resource laws to allow foreign investments in the production of oil and gas, through production-sharing contracts with Petroleos Mexicanos, also known as Pemex. This change is expected to make the continents of North America a leading producer of petroleum and natural gas.

So who will benefit from this? First, the economy of Mexico will benefit greatly. With an influx of investment capital into the country, an increase in oil and gas production, and an increase in jobs, both the citizens and the Mexican government will be the beneficiaries of this windfall.

Second, the major U.S. integrated oil companies, such as Exxon Mobil (XOM), will reap the gains of having the opportunity to do joint ventures with Pemex.

Third, the publicly traded Mexican companies will also reap the benefit of of an improving economy. American investors have over 30 Mexican stocks available for trading in the United States, either on the New York Stock Exchange, the NASDAQ, or OTC, according to the list of Mexico stocks at WallStreetNewsNetwork.com.

Fomento Economico Mexicano (FMX), which trades on the NYSE, is a bottler and marketer of Coca-Cola along with other beverages. It also owns the OXXO chain of convenience stores, and is involved in transportation logistics. The stock trades at 26 times forward earnings. Revenues for the latest quarter were u 7.2%, however, earnings dropped 5.2%. The stock pays a yield of 1.6%.

Grupo Televisa (TV), the stock with the great stock symbol,  is a television programmer and broadcaster, headquartered in Mexico City. The stock has a forward price to earnings ratio of 28, and pays a small yield of 0.5%. Latest quarterly revenues were up 8.1%, with earnings down 16.5%.

Maybe the easiest way to invest in Mexico is through an ETF, such as the iShares MSCI Mexico Capped ETF (EWW), which trades on the Big Board and has a PE of 16. The fund has had an average annual return of 19.8 over the last five years.

 For a list of around three dozen Mexico stocks, which includes the PE ratio, yield, and business sector, go to WallStreetNewsNetwork.com.

Disclosure: Author didn;t own any of the above at the time the article was written.

By Stockerblog.com

Jim Cramer Thinks Mexico is a Great Buy: Top Mexican Stocks

On March 1 on Jim Cramer's Mad Money TV Program, Cramer said "I think Mexico is a great buy." He even mentioned that the iShares MSCI Mexico Index ETF (EWW) is a buy and he owns it in his charitable trust. Mexico has the 11th largest nominal GDP by purchasing power parity. According to Goldman Sachs, Mexico will have the 5th largest economy in the world by 2050.

If you are an investor interesting in investing south of the border, there are plenty of Mexican stocks to choose from that trade in the US, with more than half a dozen paying dividends, according to the free list at WallStreetNewsNetwork.com.

One example is Industrias Bachoco (IBA) which was founded in 1952. It is involved in the in breeding, processing, and marketing of chicken, eggs, swine, and animal feed. The stock trades at 9 times earnings and pays a yield of 1.5%. Revenues for the latest reported quarter were up 25%. The company has $400 million in cash amounting to $8 a share, and $214 million in total debt.

América Móvil (AMX) provides telecommunications services primarily in Latin America, the United States, and the Caribbean. The stock trades at 11 times earnings and sports a yield of 1.4%. Earnings for the latest quarter were down 9.4%, however, revenues were up 8.7%. The company was founded in 2000.

Grupo Televisa (TV) has a great stock ticker symbol. It produces television programming and broadcasts through several channels in Mexico and the United States. It trades at 24 times earnings and pays a small yield of 0.4%.

Of course, if you want diversification, in addition to EWW, you can also invest in closed end funds such as The Mexico Fund (MXF) and Mexico Equity & Income Fund (MXE).

For a list of all the Mexico stocks that trade in the US, which includes the PE ratio, yield, and business, go to WallStreetNewsNetwork.com.

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

By Stockerblog.com

Pictured is the Bolsa Mexicana (Mexican Stock Exchange)

Top Mexico Stocks

It is interesting to note that Mexico has a higher credit rating than the US from Weiss Ratings, according to a report released a few months ago. In addition, the Bank of Mexico, the country's central bank, purchased 100 tons of gold earlier this year.

Mexico is one of the twelve largest economies in the world, and is the ninth largest holder of US debt. With a growing economy and an expanding middle class, investors are taking a look at companies below the border. Many Mexico stocks pay dividends, and most of those trade on the New York Stock Exchange, according to WallStreetNewsNetwork.com.

One high yield Mexican stock is Grupo Aeroportuario Centro Norte (OMAB), which participates in the growth of the travel industry by operating airports in the central and northern regions of Mexico. The stock, which trades on NASDAQ, has a 4.3% yield, and a forward price to earnings ratio of 14.

Telefonos de Mexico (TMX), also known as Telmex, pays a high dividend of 2.6%. The company, which owns 90 percent of the telephone lines in Mexico city, trades at 13 times forward earnings.

Fomento Economico Mexicano (FMX) is a beverage distributor of Coca Cola brands in Mexico along with several other Latin American countries including Guatemala, Nicaragua, Costa Rica, Panama, Colombia, Venezuela, Brazil, and Argentina. The stock sports a yield of 1.8% and sells for 16 times forward earnings.

If you want to see a free list of all the major Mexico stocks that trade in the United States, several of which have yields greater than 3%, go to WallStreetNewsNetwork.com. The list can be downloaded, sorted, and updated.

Disclosure: Author did not own any of the above at the time the article was written.

By Stockerblog.com

Top Yielding Stocks from the Country of the Richest Man in the World

Accordng to Forbes Magazine, the chairman and CEO of Telefonos de Mexico (TMX) and América Móvil (AMX), Carlos Slim Helu, is the richest man in the world, at least as of March of last year. He has an approximate net worth of 74.5 billion dollars now, more than $15 billion more than last year. Slim was born in Mexico City in 1940 to the son of a dry goods store owner.

Mexico has one of the fastest growing economies in the world, with a growing middle class. The per-capital income has been rising, and inflation has been dropping over the last several years. Mexico is the 9th largest holder of US debt, and is one of the twelve largest economies in the world.

Investors looking for investments in the birth country of Carlos Slim can find several Mexico stocks that pay dividends, all but one of which trades on the New York Stock Exchange, according to WallStreetNewsNetwork.com. One of Carlos Slim's stocks, Telefonos de Mexico (TMX), also known as Telmex, pays a high dividend of 4.4%. The company, which owns 90 percent of the telephone lines in Mexico city, trades at 12 times forward earnings.

Fomento Economico Mexicano (FMX) is a beverage distributor of Coca Cola brands in Mexico along with several other Latin American countries including Guatemala, Nicaragua, Costa Rica, Panama, Colombia, Venezuela, Brazil, and Argentina. The stock sports a yield of 1.2% and sells for 19 times forward earnings.

Another high yield Mexican stock is Grupo Aeroportuario Centro Norte (OMAB), which participates in the growth of the travel industry by operating airports in the central and northern regions of Mexico. The stock, which trades on NASDAQ, has a 3.8% yield, and a forward price to earnings ratio of 22.

To access a free list of all the major Mexico stocks that trade in the US, some of which have yields close to 5%, go to WallStreetNewsNetwork.com. The list can be sorted, updated, and downloaded.

Disclosure: Author did not own any of the above at the time the article was written.

By Stockerblog.com

High Yield Stocks South of the Border

The drug wars in Mexico make great headlines, such as the news that drug cartel leader Ezequiel "Tony Tormenta" Cardenas was killed by the Mexican marines at the US/Mexico border yesterday. But what isn't being mentioned is that first, the drug violence is confined to only certain areas, and second, the Mexican economy is improving, with the peso rising to the highest level since April, and 850,000 new jobs have been created so far this year. One of the wealthiest people in the world is from Mexico, billionaire Carlos Slim, the chairman and CEO of Telefonos de Mexico (TMX) and América Móvil (AMX).

Mexico has one of the fastest growing economies in the world, with a 7.6% GDP growth rate. The middle class has been growing, per capital income has been rising, and inflation has been dropping over the last several years. Mexico had a positive trade surplus of $55 billion last year, and interestingly, has become the 9th largest holder of US debt. Based on gross domestic product in purchasing power parity, Mexico is the 11th largest economy in the world.

Investors looking for opportunities south of the border can find ten Mexico stocks that pay dividends, all but one of which trades on the New York Stock Exchange, according to WallStreetNewsNetwork.com. As a matter of fact, one of the Carlos Slim stocks, Telefonos de Mexico, also known as Telmex, pays a healthy dividend of 4.8%. The stock trades at 11 times forward earnings.

Another high yield Mexican stock is Grupo Aeroportuario Centro Norte (OMAB), which participates in the growth of the travel industry by operating airports in the central and northern regions of Mexico. The stock, which trades on NASDAQ, has a 3.7% yild, and a forward price to earnings ratio of 19.

Fomento Economico Mexicano (FMX) is a beverage distributor of Coca Cola brands in Mexico along with several other Latin American countries including Guatemala, Nicaragua, Costa Rica, Panama, Colombia, Venezuela, Brazil, and Argentina. The stock sports a yield of 1.1% and sells for 16 times forward earnings.

To access a free list of all the major Mexico stocks that trade in the US, some of which yield near 5%, go to WallStreetNewsNetwork.com. The list can be sorted, updated, and downloaded.

Disclosure: Author did not own any of the above at the time the article was written.

By Stockerblog.com

Marijuana, LSD, and Cocaine are now Legal in Mexico: Will it Help the Mexican Ecomony?

Now that Mexico has decriminalized marijuana, LSD, heroin, methamphetamine, and cocaine in small quantities, investors are taking a closer look at companies that may benefit from the increased Mexican tourist trade. On Monday, August 24, laws were passed in Mexico to very little fanfare which eliminated crimes for possession of small amounts of these substances. Now individuals can possess up to a half-gram of cocaine and 40 grams of marijuana. The reasoning behind this change was that crackdowns didn't seem to reduce the violence and deaths from the war on drugs.

Back in January of this year, we featured an article about all the various publicly traded companies that are involved in the marketing of marijuana or its cannabinoid-based pharmaceutical products. Since that time, a couple of new publicly traded stocks have appeared on the horizon with marijuana or cannabis in their name. These may be interesting yet speculative very low cap plays if California and other states change their laws to legalize or decriminalize marijuana.

One stock sector worth checking out might be the Mexico based companies. An example would be Fomento Econmico Mexicano, S.A.B de C.V (FMX), also known as FEMSA, which is the largest beverage company in Mexico, and for that matter, all of Latin America. They produce many popular beers including Carta Blanca, Tecate, Tecate Light, Superior, Sol, Dos Equis Lager, and Dos Equis Ambar.

A more general way to play the Mexico stock market is through an ETF, iShares MSCI Mexico Investable Market Index Fund (EWW). There are also a couple of closed end funds such as the Mexico Fund, Inc. (MXF) and the Mexico Equity & Income Fund Inc. (MXE).

However, the stock play from this change would probably be in the travel industry, stocks that might take advantage of the "Spring Break" effect. For example, there are a couple of cruise lines with trips to Mexico that include Carnival Corp. (CCL) and Royal Caribbean Cruises Ltd. (RCL). The Mexican airline industry might benefit also, especially if fuel prices soften, since there seems to be recovery taking place from the swine flu outbreak. A couple companies in that sector include Grupo Aeroportuario del Centro Norte S.A. de C.V. (OMAB) and Grupo Aeroportuario del Pacifico (PAC).

It will be interesting to see how this significant change in Mexico's laws will affect travel and the economy south of the border.

Author does not own any of the above.

By Stockerblog.com