{"id":44308,"date":"2013-11-19T07:20:25","date_gmt":"2013-11-19T12:20:25","guid":{"rendered":"http:\/\/countingpips.com\/forex-news\/?p=44308"},"modified":"2013-11-19T07:20:25","modified_gmt":"2013-11-19T12:20:25","slug":"two-proven-wealth-creators-top-investors-wish-list","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex-news\/2013\/11\/19\/two-proven-wealth-creators-top-investors-wish-list\/","title":{"rendered":"These Two Proven Wealth Creators Should Be at Top of Investors\u2019 Wish List"},"content":{"rendered":"

By Mitchell Clark, B.Comm.<\/a><\/span><\/p>\n

Being a buyer in this stock market<\/a> is increasingly difficult as the main indices continue to push new highs and a lot of companies are fully priced.<\/p>\n

While there are lots of corporations whose outlooks are improving going into 2014, expectations for earnings growth combined with dividends offer little in the way of value. That\u2019s why a major stock market correction would be so healthy and helpful for those who wish to be invested in equities.<\/p>\n

The Colgate-Palmolive Company (CL) is a blue chip company that\u2019s proven to be an excellent long-term wealth creator for shareholders. The stock\u2019s trailing price-to-earnings (P\/E) ratio is currently around 27 and its forward P\/E ratio is approximately 21.<\/p>\n

The stock just broke the $65.00-per-share level after trading around $53.00 at the beginning of this year and $45.00 at the beginning of 2012. That\u2019s a 44% gain in less than two years without including dividends.<\/p>\n

Then there is NIKE, Inc. (NKE), another strong but mature brand that keeps hitting new record-highs on the stock market.<\/p>\n

The company\u2019s latest quarterly sales revealed an eight-percent gain to $6.97 billion, while net earnings grew a whopping 38% to $780 million. The company gave a rosy outlook for the next few years and its share price reflects this. About this time last month, the stock was trading around $70.00 a share. Now it\u2019s right close to $80.00.<\/p>\n

An institutional investor is paid to play the stock market, and while considering earnings growth potential, valuation, and general stock market conditions, a fund will often buy a stock just because it is going up. The quarterly window dressing of an equity portfolio accentuates the stock market\u2019s top performers. Along with countless other names, Colgate-Palmolive and NIKE are prime examples. (See \u201cProven Wealth Creator Delivers Again; Earnings, Sales Growth Surge<\/a>.\u201d)<\/p>\n

Even though it seems so unrealistic to see many blue chip, dividend paying stocks pushing new highs, I think they can keep on going right into 2014, given current information.<\/p>\n

The Federal Reserve is the ruler of capital markets and extreme accommodation remains policy. With this backdrop, institutional investors can still drive the share prices of growing blue chips higher, simply because there is nowhere else to go. There is still an appetite for \u201csafer\u201d names that pay dividends and have reliable earnings visibility.<\/p>\n

Of course, traders can chase stock market momentum; investors don\u2019t need to. But attractive investment opportunities are diminishing, and investment risk for the brand-name blue chips is going up commensurately with their share prices.<\/p>\n

Now is a great time for making a list\u2014a wish list, that is\u2014of some of the stock market\u2019s best performers and dividend payers in anticipation of a much better entry point. These should be the names you\u2019d love to own (or own more of), if only prices were more reasonable.<\/p>\n

This article These Two Proven Wealth Creators Should Be at Top of Investors\u2019 Wish List<\/a> is originally publish at Profitconfidential<\/a><\/p>\n

 <\/p>\n","protected":false},"excerpt":{"rendered":"

By Mitchell Clark, B.Comm. Being a buyer in this stock market is increasingly difficult as the main indices continue to push new highs and a lot of companies are fully priced. While there are lots of corporations whose outlooks are improving going into 2014, expectations for earnings growth combined with dividends offer little in the … <\/p>\n

Continue reading “These Two Proven Wealth Creators Should Be at Top of Investors\u2019 Wish List”<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-44308","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex-news\/wp-json\/wp\/v2\/posts\/44308","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex-news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex-news\/wp-json\/wp\/v2\/comments?post=44308"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/forex-news\/wp-json\/wp\/v2\/posts\/44308\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex-news\/wp-json\/wp\/v2\/media?parent=44308"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex-news\/wp-json\/wp\/v2\/categories?post=44308"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex-news\/wp-json\/wp\/v2\/tags?post=44308"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}