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Which Credit Card Rewards Does the IRS Care About?"Who will gain from the ongoing troubles at the Big-3 automakers in the US?" asks growth stock specialist Brandon Clay.
In his Invest with an Edge, the growth stock advisors takes a look at Tata Motors Ltd. (NYSE: TTM) which is expected to launch the world's cheapest car. Here's the advisor's review.
"Tata Motors is part of one of the largest manufacturing entities on the planet, will soon release the world's cheapest automobile in the United States.
"Debuting at $2000, the Tata Nano is set for a July 2009 delivery. Tata already has 1 million reservations for their mini-car. If they could deliver, it would easily become the best-selling car this year.
"Keep in mind, only 13.2 million cars were sold in the nation last year. With this sort of demand, Tata will make waves when their vehicles start shipping.
"What's so special about the Tata Nano? For one, it's cheap. Cash-strapped consumers don't want to fork over $10-12K for a new economy vehicle. All they need is reliable transportation to and from work.
"In addition, the Nano's rear engine and small tire frame gets an amazing 61.1 highway miles per gallon, making it one of the most fuel-efficient mass-produced cars in the world. (The 2009 Toyota Prius gets 45 highway miles per gallon.)
"So the Tata Nano is cheap, green, and efficient - just what the auto buying public wants right now. Good demand is a solid foundation for any business. That's why we like Tata.
"TTM jumped in recent weeks after falling in last year's melt-down. In January 2008 it was trading near $20. At the beginning of March, it fell to just above $3. Then Tata rebounded fiercely, closing at $7.62 today. A close above 8 would be extremely bullish.
"We think the uptrend will continue. Detroit's market share is eroding for many reasons, but it seems almost certain to continue. To get a piece of the next winner, go with TTM."
Steven Halpern's TheStockAdvisors.com offers a free daily overview of the favorite stock picks and investment ideas from the nation's leading financial newsletter advisors.
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