Got Water??? The Coming Water Conflicts and Opportunities. Back in 2005, I began to advise several of my close friends and family about precious metals, and how they would soon be exploding in value. At that time, gold stood at about 730.00 an oz. and silver at about 7-8.00 Dollars an oz. Today, as most of us are well aware, gold is over 1400.00 and silver, officially is close to 40.00. On EBay though, gold is already selling for about 1500-1600 oz. and silver can be bought and sold anywhere from 60-100.00 Dollars an oz!!! And we are not even close to where they will end up eventually. This brings me to the following point...Blue Gold, or H20. While currently we don't hear too much about it on the mainstream news, within about 5-10 years, it will be mostly what everyone will be talking about. Not only in this country, but throughout the world. With climatic changes drying up water resources throughout, massive amounts of freshwater being polluted or contaminated also throughout, water and its preciousness will very very soon be brought to the forefront of every one's attention. I have attached the following articles for further reference. I personally, viewing it through the spectrum of prophecy, do not view western Europe or North America as places to invest, as all prophecy clearly states these nations will lose WW3. Instead, I see the BRIC countries as being the go to countries for investment in the longer term. Especially Brazil. China and India would seem a bit more risky, especially taking into account the transparency issues and state controls over water utilities in that nation. But, in the future, if prophecy holds true, the Chinese will have their massive military that will secure and protect these resources for them. Brazil on the other hand, I see them as being neutral in this coming world war. They will further have massive growth economically speaking, and also currently have very strong ties with the Chinese. Investing In Water Stocks Investing in "Blue Gold" by Tony Daltorio and the Investment U Research Team http://www.investmentu.com/research/water-investing.html Despite its fundamental importance to life, water is often taken completely for granted. Too many people think the world will never run out of the commodity. But while there is plenty of water on this planet we call home, only 2.5% of it is fresh, drinkable water. And much of that is locked up in glaciers, groundwater and soil. Less than 1% of the world's supplies are easily accessible fresh water. This precious supply is under tremendous stress. Marcus Norton of the Carbon Disclosure Project said, "The effects of climate change, increasing population, urbanization, per capita demand and pollution damage to supplies will put even greater pressure on these limited resources." Consider how in 1900, the world's population was only 1.6 billion people. Today, that number has grown to about 6.5 billion and water consumption has swelled by six-fold since 1900. And by 2025, it is expected to hit 9 billion, putting even more pressure on the Earth's scarce fresh water resources. Already, about 40% of people around the globe don't have access to clean water, including 15% of Latin America. A continent away, two thirds of China faces similar shortages. Meanwhile: •The World Health Organization estimates that 80% of all sickness stems from unsafe water and sanitation. Each year, five million people – many of them children – die from water-related diseases. •The United Nations forecasts that by 2030, almost half the world's population will live in areas facing water stress or water scarcity. Already, over 80 countries are facing critical water shortages. •The Population Institute says global demand for fresh water already exceeds supply by 17%. •The International Food Policy Research Institute claims that by 2020, we will need 20% more water than is currently available. •The 2030 Water Resources Group estimates that global water requirements will soar by over 50% over the next 20 years. The price of water may be rising, but no one complains when buying the stuff, even though it costs twice as much as gasoline, which we'll gladly gripe about. That's why the current and worsening shortage is leading to an exploding bull market in the world's most precious commodity and the companies involved in the industry. Investing In Water…and Taking Advantage Of The Supply Gap The global water industry is currently a $460 billion market. And as the population grows, pollution increases, supplies become more scarce and more strain is placed on water infrastructure, it's no surprise that many have dubbed water "blue gold" because of its immense profit potential. According to Fortune: "Water is one of the great business opportunities. Water promises to be to the 12st century what oil was to the 20th century: the precious commodity that determines the wealth of nations." And it's easy to see why investors are dubbing it one of the most profitable plays out there. Demand already outstrips supply by a wide margin… and the gap is getting bigger. We've already mentioned that the population of the earth is growing at an exponential clip – 1.5% – 2%. What we haven't said yet is that our water use is growing even faster at 2.5% – 3%. When you take in household use, crops, bathing and drinking water, the average person goes through 232 gallons a day. Much of that comes from agricultural needs, which account for about 70% of all water usage. And we all know how important our crops are. Jeffrey Sachs, director of the United Nations Millennium Project, put it bluntly: "The world is running out of water. We need a radical plan to tackle shortages that threaten the ability of humanity to feed itself." It's not just agriculture… A whole range of economic activities and industries will be affected globally by water shortages. Industries from the food and beverage industry to the energy industry to high-tech industries such as pharma and semiconductors rely on blue gold in order to function properly. Fortunately, there are solutions out there… and if you invest in the companies providing those solutions, you're bound to make a tidy profit. ==================================================================================== The 3 Most Undervalued Stocks in Brazil http://www.streetauthority.com/a/3-most-undervalued-stocks-brazil-458078 In the past 40 years, not once has the United States' stock market been the best performer in the world in any given year. At best, American stocks have been finding their way into the middle of the pack, and given enough time, the U.S. stock market's results are often in the bottom 20% of all developed markets. That's why it's important for investors to allocate at least a small portion of their portfolio to international stocks. With the right strategy, the potential rewards are much greater and often carry no more risk than buying a U.S. stock. Buying shares of an overseas company isn't difficult, either; many companies have shares that trade on U.S. exchanges just like an American stock. So if you should put some of your money in international stocks, where should you look? If the forecasts are right, then Brazil's economy will be shoulder-to-shoulder with China, the United States and India by the year 2050. That's quite a growth spurt in the works, considering Brazil's economy is currently only the eighth largest in the world. But 2050 is a long way off, and the investment-worthy opportunities are presenting themselves today -- you can't sit on the sidelines with a "wait and see" approach if want to make money from them. It's not just a pipedream, either. The numbers South America's biggest country have been putting up in recent years do indeed suggest that this Latin American powerhouse will be everything it's expected to be. In fact, it's already on the way. While Brazil was bumped around by the global recession like the rest of the world in 2009, its GDP only fell 0.2% that year. By 2010 it was back on track with a growth rate of 7.8%. Its GDP is expected to grow by another 4.5% in 2011, compared with an expected growth rate of 3.2% in the United States. Vale SA (NYSE: VALE) may be one of the ideal ways to take a stake in Brazil's accelerating economy. Although categorized as a mining stock, the description doesn't quite do the company justice. Yes, it mines industrial metals -- mostly iron -- but it also operates several plants and mills to turn what it mines into marketable steel products. Moreover, the company has its own transportation infrastructure that's open to other paying customers. It even generates much of its own electricity to offset the expense and volatility of buying it from a utility company. All in all, a snapshot of Vale's operation makes for a pretty nice picture. But that's not even the compelling part for investors. What does every growing country need? Infrastructure... If Brazil is going to become a powerhouse by 2050, then Vale is going to build a great deal of the framework behind that growth. An industrial giant isn't the only smart investment play in Brazil, though. Believe it or not, consumers who are glued to their cell phones isn't an American phenomenon. It's becoming a global phenomenon, including in Brazil. Cellular phone service provider Vivo Participacoes S.A. (NYSE: VIV) is not only well aware of this, but is profiting handsomely because of it. Simply put, things went from good to better for Vivo Participacoes in 2010. The company is on pace to earn $2.33 per share for fiscal 2010, and the number is forecasted to reach $2.82 in 2011. That projected growth rate of 21.0% translates into a forward-looking price-to-earnings (P/E) ratio of about 12., compared with the current P/E of 15.6 for the S&P 500. But this doesn't even scratch the surface. The cell phone and smart phone revolution is just getting started in Brazil, with the bulk of the potential growth still ahead rather than in the past. Latin America's mobile phone market grew 28% in 2010 and is expected to grow by 76% in 2011. Smartphones were the big driver of that growth: that market swelled by 145% in Latin America last year. In other words, Vivo is in the right place at the right time. Finally, long-term investors should consider Brazilian water utility and sewage service provider Companhia de Saneamento Basico (NYSE: SBS) -- or SABESP -- as a way to tap into the growth of a country that's rapidly becoming a modernized, growing nation. Even by water utility standards, SABESP shares are undervalued. Its trailing P/E of 6.4 and the projected P/E of 6.8 are unheard of for U.S. water utility stocks. As of right now, the average P/E of the United States' major water utility stocks is a hefty 26.1 (the cheapest is American Water Works (NYSE: AWK), with a trailing P/E of 18.5). Yet, none of the major water utility names based in the United Sates have even come close to earning and growing as consistently as SABESP has in the past five years. Throw in the fact that Brazil's population is expected to grow from 200 million now to 260 million by 2050, and those people will need running water to and from their home, and you've got a big built-in growth opportunity. Action to Take --> Is Brazil poised to be the world's leader in 2011? Maybe, maybe not. Statistically speaking though, it is likely to outpace the U.S. market no matter how things shape up this year. Any or all three names would offer a smarter risk/reward ratio than most domestic stocks. =================================================================================== SABESP Announces Its 2010 Results Posted 03/29/2011 09:06 PM ET http://www.investors.com/NewsAndAnalysis/Newsfeed/Article/128955090/201103292106/SABESP-Announces-Its-2010-Results.aspx Featured Stocks SBS Comp De Saneamento Adr * Top-Rated Company SAO PAULO, March 29, 2011 / PRNewswire via COMTEX/ -- Companhia de Saneamento Basico do Estado de Sao Paulo - SABESP (bm&fbovespa:SBSP3)(SBS), one of the largest water and sewage services providers in the world based in the number of customers, announces today its results for the fourth quarter 2010 (4Q10) and full year 2010. In 2010, net operating revenue reached R$ 9.2 billion, a 7.6% growth compared to 2009. Costs and expenses in the amount of R$ 6.6 billion grew 2.2% versus 2009. EBITDA was R$ 2.7 billion in 2009 and R$ 3.2 billion in 2010, an increase of 18.2%. EBITDA margin in 2010 was 34.9% and 31.8% in 2009. EBIT grew 23.3%, from R$ 2.2 billion in 2009 to R$ 2.7 billion in 2010. Disconsidering the application of the new CPCs and IFRS and in accordance with the accounting practices in effect in 2009, net income in 2010 would have been R$ 1,468.6 million, 6.9% up on 2009, which would have totaled R$ 1,373.9 million. EBITDA would have come to R$ 3,115.2 million R$2,741.7 million in 2010 and 2009, respectively. The EBITDA margin would have stood at 42.9% in 2010 and 40.7% in 2009. The complete version of the release is available at the Company's website: http://www.sabesp.com.br/ http://www.fool.com/investing/dividends-income/2010/02/03/5-star-stocks-poised-to-pop-sabesp.aspx (stock poised to pop as in explode to the upside!!!)
Monday, April 4, 2011
Investing In 'Blue Gold!'
Got Water??? The Coming Water Conflicts and Opportunities. Back in 2005, I began to advise several of my close friends and family about precious metals, and how they would soon be exploding in value. At that time, gold stood at about 730.00 an oz. and silver at about 7-8.00 Dollars an oz. Today, as most of us are well aware, gold is over 1400.00 and silver, officially is close to 40.00. On EBay though, gold is already selling for about 1500-1600 oz. and silver can be bought and sold anywhere from 60-100.00 Dollars an oz!!! And we are not even close to where they will end up eventually. This brings me to the following point...Blue Gold, or H20. While currently we don't hear too much about it on the mainstream news, within about 5-10 years, it will be mostly what everyone will be talking about. Not only in this country, but throughout the world. With climatic changes drying up water resources throughout, massive amounts of freshwater being polluted or contaminated also throughout, water and its preciousness will very very soon be brought to the forefront of every one's attention. I have attached the following articles for further reference. I personally, viewing it through the spectrum of prophecy, do not view western Europe or North America as places to invest, as all prophecy clearly states these nations will lose WW3. Instead, I see the BRIC countries as being the go to countries for investment in the longer term. Especially Brazil. China and India would seem a bit more risky, especially taking into account the transparency issues and state controls over water utilities in that nation. But, in the future, if prophecy holds true, the Chinese will have their massive military that will secure and protect these resources for them. Brazil on the other hand, I see them as being neutral in this coming world war. They will further have massive growth economically speaking, and also currently have very strong ties with the Chinese. Investing In Water Stocks Investing in "Blue Gold" by Tony Daltorio and the Investment U Research Team http://www.investmentu.com/research/water-investing.html Despite its fundamental importance to life, water is often taken completely for granted. Too many people think the world will never run out of the commodity. But while there is plenty of water on this planet we call home, only 2.5% of it is fresh, drinkable water. And much of that is locked up in glaciers, groundwater and soil. Less than 1% of the world's supplies are easily accessible fresh water. This precious supply is under tremendous stress. Marcus Norton of the Carbon Disclosure Project said, "The effects of climate change, increasing population, urbanization, per capita demand and pollution damage to supplies will put even greater pressure on these limited resources." Consider how in 1900, the world's population was only 1.6 billion people. Today, that number has grown to about 6.5 billion and water consumption has swelled by six-fold since 1900. And by 2025, it is expected to hit 9 billion, putting even more pressure on the Earth's scarce fresh water resources. Already, about 40% of people around the globe don't have access to clean water, including 15% of Latin America. A continent away, two thirds of China faces similar shortages. Meanwhile: •The World Health Organization estimates that 80% of all sickness stems from unsafe water and sanitation. Each year, five million people – many of them children – die from water-related diseases. •The United Nations forecasts that by 2030, almost half the world's population will live in areas facing water stress or water scarcity. Already, over 80 countries are facing critical water shortages. •The Population Institute says global demand for fresh water already exceeds supply by 17%. •The International Food Policy Research Institute claims that by 2020, we will need 20% more water than is currently available. •The 2030 Water Resources Group estimates that global water requirements will soar by over 50% over the next 20 years. The price of water may be rising, but no one complains when buying the stuff, even though it costs twice as much as gasoline, which we'll gladly gripe about. That's why the current and worsening shortage is leading to an exploding bull market in the world's most precious commodity and the companies involved in the industry. Investing In Water…and Taking Advantage Of The Supply Gap The global water industry is currently a $460 billion market. And as the population grows, pollution increases, supplies become more scarce and more strain is placed on water infrastructure, it's no surprise that many have dubbed water "blue gold" because of its immense profit potential. According to Fortune: "Water is one of the great business opportunities. Water promises to be to the 12st century what oil was to the 20th century: the precious commodity that determines the wealth of nations." And it's easy to see why investors are dubbing it one of the most profitable plays out there. Demand already outstrips supply by a wide margin… and the gap is getting bigger. We've already mentioned that the population of the earth is growing at an exponential clip – 1.5% – 2%. What we haven't said yet is that our water use is growing even faster at 2.5% – 3%. When you take in household use, crops, bathing and drinking water, the average person goes through 232 gallons a day. Much of that comes from agricultural needs, which account for about 70% of all water usage. And we all know how important our crops are. Jeffrey Sachs, director of the United Nations Millennium Project, put it bluntly: "The world is running out of water. We need a radical plan to tackle shortages that threaten the ability of humanity to feed itself." It's not just agriculture… A whole range of economic activities and industries will be affected globally by water shortages. Industries from the food and beverage industry to the energy industry to high-tech industries such as pharma and semiconductors rely on blue gold in order to function properly. Fortunately, there are solutions out there… and if you invest in the companies providing those solutions, you're bound to make a tidy profit. ==================================================================================== The 3 Most Undervalued Stocks in Brazil http://www.streetauthority.com/a/3-most-undervalued-stocks-brazil-458078 In the past 40 years, not once has the United States' stock market been the best performer in the world in any given year. At best, American stocks have been finding their way into the middle of the pack, and given enough time, the U.S. stock market's results are often in the bottom 20% of all developed markets. That's why it's important for investors to allocate at least a small portion of their portfolio to international stocks. With the right strategy, the potential rewards are much greater and often carry no more risk than buying a U.S. stock. Buying shares of an overseas company isn't difficult, either; many companies have shares that trade on U.S. exchanges just like an American stock. So if you should put some of your money in international stocks, where should you look? If the forecasts are right, then Brazil's economy will be shoulder-to-shoulder with China, the United States and India by the year 2050. That's quite a growth spurt in the works, considering Brazil's economy is currently only the eighth largest in the world. But 2050 is a long way off, and the investment-worthy opportunities are presenting themselves today -- you can't sit on the sidelines with a "wait and see" approach if want to make money from them. It's not just a pipedream, either. The numbers South America's biggest country have been putting up in recent years do indeed suggest that this Latin American powerhouse will be everything it's expected to be. In fact, it's already on the way. While Brazil was bumped around by the global recession like the rest of the world in 2009, its GDP only fell 0.2% that year. By 2010 it was back on track with a growth rate of 7.8%. Its GDP is expected to grow by another 4.5% in 2011, compared with an expected growth rate of 3.2% in the United States. Vale SA (NYSE: VALE) may be one of the ideal ways to take a stake in Brazil's accelerating economy. Although categorized as a mining stock, the description doesn't quite do the company justice. Yes, it mines industrial metals -- mostly iron -- but it also operates several plants and mills to turn what it mines into marketable steel products. Moreover, the company has its own transportation infrastructure that's open to other paying customers. It even generates much of its own electricity to offset the expense and volatility of buying it from a utility company. All in all, a snapshot of Vale's operation makes for a pretty nice picture. But that's not even the compelling part for investors. What does every growing country need? Infrastructure... If Brazil is going to become a powerhouse by 2050, then Vale is going to build a great deal of the framework behind that growth. An industrial giant isn't the only smart investment play in Brazil, though. Believe it or not, consumers who are glued to their cell phones isn't an American phenomenon. It's becoming a global phenomenon, including in Brazil. Cellular phone service provider Vivo Participacoes S.A. (NYSE: VIV) is not only well aware of this, but is profiting handsomely because of it. Simply put, things went from good to better for Vivo Participacoes in 2010. The company is on pace to earn $2.33 per share for fiscal 2010, and the number is forecasted to reach $2.82 in 2011. That projected growth rate of 21.0% translates into a forward-looking price-to-earnings (P/E) ratio of about 12., compared with the current P/E of 15.6 for the S&P 500. But this doesn't even scratch the surface. The cell phone and smart phone revolution is just getting started in Brazil, with the bulk of the potential growth still ahead rather than in the past. Latin America's mobile phone market grew 28% in 2010 and is expected to grow by 76% in 2011. Smartphones were the big driver of that growth: that market swelled by 145% in Latin America last year. In other words, Vivo is in the right place at the right time. Finally, long-term investors should consider Brazilian water utility and sewage service provider Companhia de Saneamento Basico (NYSE: SBS) -- or SABESP -- as a way to tap into the growth of a country that's rapidly becoming a modernized, growing nation. Even by water utility standards, SABESP shares are undervalued. Its trailing P/E of 6.4 and the projected P/E of 6.8 are unheard of for U.S. water utility stocks. As of right now, the average P/E of the United States' major water utility stocks is a hefty 26.1 (the cheapest is American Water Works (NYSE: AWK), with a trailing P/E of 18.5). Yet, none of the major water utility names based in the United Sates have even come close to earning and growing as consistently as SABESP has in the past five years. Throw in the fact that Brazil's population is expected to grow from 200 million now to 260 million by 2050, and those people will need running water to and from their home, and you've got a big built-in growth opportunity. Action to Take --> Is Brazil poised to be the world's leader in 2011? Maybe, maybe not. Statistically speaking though, it is likely to outpace the U.S. market no matter how things shape up this year. Any or all three names would offer a smarter risk/reward ratio than most domestic stocks. =================================================================================== SABESP Announces Its 2010 Results Posted 03/29/2011 09:06 PM ET http://www.investors.com/NewsAndAnalysis/Newsfeed/Article/128955090/201103292106/SABESP-Announces-Its-2010-Results.aspx Featured Stocks SBS Comp De Saneamento Adr * Top-Rated Company SAO PAULO, March 29, 2011 / PRNewswire via COMTEX/ -- Companhia de Saneamento Basico do Estado de Sao Paulo - SABESP (bm&fbovespa:SBSP3)(SBS), one of the largest water and sewage services providers in the world based in the number of customers, announces today its results for the fourth quarter 2010 (4Q10) and full year 2010. In 2010, net operating revenue reached R$ 9.2 billion, a 7.6% growth compared to 2009. Costs and expenses in the amount of R$ 6.6 billion grew 2.2% versus 2009. EBITDA was R$ 2.7 billion in 2009 and R$ 3.2 billion in 2010, an increase of 18.2%. EBITDA margin in 2010 was 34.9% and 31.8% in 2009. EBIT grew 23.3%, from R$ 2.2 billion in 2009 to R$ 2.7 billion in 2010. Disconsidering the application of the new CPCs and IFRS and in accordance with the accounting practices in effect in 2009, net income in 2010 would have been R$ 1,468.6 million, 6.9% up on 2009, which would have totaled R$ 1,373.9 million. EBITDA would have come to R$ 3,115.2 million R$2,741.7 million in 2010 and 2009, respectively. The EBITDA margin would have stood at 42.9% in 2010 and 40.7% in 2009. The complete version of the release is available at the Company's website: http://www.sabesp.com.br/ http://www.fool.com/investing/dividends-income/2010/02/03/5-star-stocks-poised-to-pop-sabesp.aspx (stock poised to pop as in explode to the upside!!!)
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