NEW YORK (CNN/Money) -
With the markets in waiting mode before Friday's report on the U.S. unemployment rate, two money managers appeared on CNNfn to suggest some stocks they think will benefit from a recovering economy.
Jim Glickenhaus, portfolio manager with Glickenhaus & Co., sees Enterra Energy as a good dividend stock for those looking for some income.
| Jim Glickenhaus' picks
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| Countrywide Financial (CFC)
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"It's going to take their production, and they are going to turn it into a dividend trust, and they are going to pay out a monthly dividend," he said. "They're going to split the stock as well, so, pick a number. If it's at $18, you're going to get two $9 shares and on that $9 share they're going to pay you 10 cents a month, which would be $1.20 a year, which I think would be a very nice dividend return. And I believe that's happening in the month of November."
Coutrywide Financial is Glickenhaus' second pick.
"When the stock was at $70, I said it was going to go to $150, which I still think it will, as I was predicting it to do $14 to $15 per share in earnings," he noted. "It may have $17 a share earnings this year. ...The stock, in my opinion, is really going to go higher, and the thing is, even though it's gone up, its earnings have increased and its growth of those earnings have increased."
Texas Instruments is Glickenhaus' final selection.
"They do a tremendous amount of research. They have the best chip in this space for the conversion of digital to analog and they are very well run, with no debt to speak of, and a very safe and a very honest company. They always tell you what's happening, good times and bad times," he added. "And when they tell you something, they usually perform, and that is the kind of company you want to own."
Funds under Glickenhaus' management own stakes in the companies mentioned.
Shares of Enterra (EENC: down $0.34 to $18.85, Research, Estimates) are in a 52-week range of $4.25 to $19.90.
Countrywide Financial (CFC: up $0.70 to $105.50, Research, Estimates) shares have been between $46.88 and $107.99 in the past year.
Shares of Texas Instruments (TXN: up $0.17 to $30.01, Research, Estimates) are in a 52-week range of $13.90 to $30.49.
Scott Barbee, portfolio manager of the Aegis Value Fund, believes Standard Commercial is an undervalued stock.
"This is a tobacco leaf dealer and it's trading at a slight premium to its book value of about $18.60 and right at six times, five to six times, earnings," he said. "So in a market that's trading up around 18 to 30 times earnings, depending upon whether you're looking forward or backward, and 3.5 times book, this is a very cheap stock."
Barbee's other pick is Prime Group Realty Trust.
| Scott Barbee's picks
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| Prime Group Realty Trust (PGE)
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| Standard Commercial (STW)
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"We like the company because they've got a lot of buildings that could be leased up. One was, ironically, a new building that was actually leased out to Arthur Andersen and that ended up not panning out too well. So they got to fill up and lease up some of these buildings. In a recovery economy, where these guys get a peer multiple, they could be trading significantly higher than the $6.30."
Funds under Barbee's management own stakes in the companies mentioned.
Shares of Standard Commercial (STW: down $0.20 to $19.80, Research, Estimates) are in a 52-week range of $15.25 to $20.00.
Prime Group Realty Trust (PGE: down $0.03 to $6.30, Research, Estimates) shares have been between $4.31 and $7.20 in the past year.
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