This Day On The Street
Continue to site
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

5 Stocks to Buy on Emerging-Market Weakness

China Life Insurance

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

Get Adobe Flash player

The best way to describe China Life Insurance (LFC) is as the MetLife (MET) of China -- only bigger. In fact, China Life is five times larger than MetLife in terms of market capitalization.

The Chinese economy continues to grow at a rapid pace, of about 9.5% -- albeit at a much slower rate than it experienced over the past few years. As more Chinese purchase automobiles, the need for insurance will increase. Chinese savings will be poured into annuities and life insurance products.

>>5 Life Insurance Stocks With Up to 64% Upside

China Life, which was founded in 1949 and is well-established throughout the country, has a very strong balance sheet with very little debt. I first bought shares of China Life when shares were publically issued in the ADR market in 2004 and have followed it ever since. I sold shares over time, liquidating the last small amount at just under $47 earlier this year.

With the stock now selling at $35, below price levels of the financial crisis of 2008-2009, I am seriously considering re-entering a position in the stock.

>>Practice your stock trading strategies and win cash in our stock game.

Telefonos de Mexico

If China Life is the MetLife of China, then Telefonos de Mexico (TMX), commonly referred to as Telmex, is the AT&T (T) of Mexico. And at its helm is the Warren Buffett of Mexico, Carlos Slim, who also controls America Movil (AMX), the Latin American wireless communications company. Telmex provides telecommunications services such as long distance and broadband services throughout Mexico and in Latin America.

Telmex declined 5.35% last week, excluding its quarterly ex-dividend of 23 cents. Most of that decline was forex-related; the Mexican peso fell 4.8% last week. Just as AT&T is a low-growth high-yielding stock, so is Telmex, with a dividend of about 6%.

>>20 Top-Yielding Telecom Stocks

Of all the stocks I have placed in this portfolio, Telmex is the one that offers the most consistent long-term stock price stability with excellent income generation. Please note for those of you who look at charts that the company issued a one-time special $17 dividend in June 2008.

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

Get Adobe Flash player
2 of 4

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
Only $9.95
14-Days Free

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
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
ARCO $4.63 -3.50%
MCD $129.79 0.36%
LFC $10.99 -0.72%
PBR $7.12 -2.70%
AAPL $93.07 -0.59%


Chart of I:DJI
DOW 17,705.19 +53.93 0.31%
S&P 500 2,057.39 +6.27 0.31%
NASDAQ 4,738.7260 +13.0870 0.28%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs