With tough legislation and changes in domestic trends, many U.S. tobacco companies are struggling Investing in the best global tobacco companies provides the safest and most profitable way to protect your portfolio against a pullback in our bull market, should the need arise.
The tobacco industry is characterized by stable revenue growth and impressive cash flows. Most of the companies operating in the industry are mature and generate substantial cash flows. As a result, a large chunk of these cash flows is distributed among shareholders. The tobacco industry has some of the best dividend payers in the market, and investors choose these stocks due to the stability of dividends. These stocks provide stable more »
Benjamin Graham is the godfather of value investing and was Warren Buffett's mentor. Unfortunately, as he is regularly cited as the reason for Buffett's success, many people try to mimic his investing style, which is set out in his book The Intelligent Investor.
But with so many trying to copy his techniques, many have misread facts, often looking for quick fixes to beat the market and get ahead more »
Medical Marijuana (OTC: MJNA.PK) is the hot penny stock the moment but it is just a passing fad? In this article we show that even if the stars align as the bulls hope for with continued legalization of marijuana, the story may not end so positively for investors in this speculative marijuana play. If Marijuana were legalized the big tobacco companies could swoop in and easily take over this more »
Investing in dividend stocks is a great way to build long-term wealth. When most investors think of dividend stocks, they usually look to large-cap blue chips like Johnson and Johnson. However, companies that have paid and raised dividends for long periods of time can also be found among the small-cap universe of publicly-traded stocks. These four companies have paid and increased dividends for at least 15 years in a row more »
Governments around the world are getting tougher and tougher on tobacco companies. Investors should demand low valuations for these industry headwinds. Oddly, many of the industry stocks trade at high price multiples:
Alliance One International
British American Tobacco
0.81 more »
Tobacco stocks have historically showcased several key characteristics that have made them attractive additions to any portfolio. The goods are created from a renewable resource, they cost pennies to make and sell for many multiples of their input costs, and garner an unmatched level of consumer loyalty. As such, players within the industry have generally enjoyed ever-increasing top lines as the worldwide population has grown, and a meaningful level of more »
“I’ll tell you why I like the cigarette business. It costs a penny to make, it sells for a dollar, it is addictive, and there’s a fantastic brand loyalty.”
Although controversial from a health standpoint, there can be no doubt that the manufacturing of tobacco and cigarette products, for reasons value investing guru Buffett outlines, can make for excellent business opportunities. Most of the attention this more »