This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Cramer's Action Alerts PLUS - See his portfolio and get alerts BEFORE every trade. Learn more NOW!

4 High-Yield Emerging-Market Stocks

Content on this page requires a newer version of Adobe Flash Player.

Get Adobe Flash player

2. Companhia Energetica de Minas Gerais (CIG)

Yield: 6%

Brazil is one of the few countries in the world that is self-sufficient in oil, a leader in alternative energy and a major producer of commodities such as iron ore. The country offers particularly attractive investments in its commodities and infrastructure sectors.

Companhia Energetica de Minas Gerais (CEMIG) is one of Brazil's largest integrated electric utilities, with more than 6,896 megawatts of installed generation capacity. The company gets about 97% of its electricity from hydroelectric power. CEMIG is well-positioned to benefit from Brazil's increasing demand for electricity -- sales improved 9.0% in 2010 to 66,255 gigawatt-hours as a result of higher demand across all consumer categories.

CEMIG recently announced plans to participate in the construction of a gas pipeline connecting Sao Paulo and Uberaba. The pipeline will primarily serve an ammonia plant being built by Petrobras (PBR - Get Report), the Brazilian oil giant. CEMIG distributes natural gas through a subsidiary, which serves the majority of Minas Gerais state.

CEMIG reported encouraging 2010 results with net income improving 6% year-over-year to $1.3 billion and 1.6% growth in total installed capacity. Cash flow improved 35% year-over-year to $2 billion and capital spending rose 15% to $1.5 billion. Management plans to spend about $1.3 billion on facility expansion and upgrades in 2011.

CEMIG has $1.8 billion in cash and pays a $1.10 dividend, which currently yields 5.7%. Debt is modest at about one-third of equity, and shares are affordable, trading at only 8.8 times projected 2011 earnings.

3 of 5

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
CIG $4.07 -0.97%
HNP $46.11 -2.00%
PBR $5.96 -2.00%
TEO $22.99 -0.82%
YPF $26.50 -2.00%

Markets

DOW 17,856.78 -278.94 -1.54%
S&P 500 2,071.26 -29.78 -1.42%
NASDAQ 4,927.37 -55.4390 -1.11%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs