"Well managed, dominant firms use downturns to become more powerful -- and that's definitely what Telefonica (NYSE: TEF) is up to," says Roger Conrad in The Utility Forecaster.

"Incorporated in 1924 as a unit of US-based ITT, the Spain-based company now serves 47 million customers in its home country, 150 million in 14 Latin American nations and 45 million elsewhere in Europe.

"Thus far in the recession, diversity and dominance of fast-growing markets has kept Telefonica growing. Overall global customer rolls increased by 15.2% through the third quarter 2008.

Continue reading Hola: Call on Telefonica (TEF)

Hola: Call on Telefonica (TEF) originally appeared on BloggingStocks on Thu, 05 Feb 2009 13:25:00 EST. Please see our terms for use of feeds.

"Wealth building is about buying quality on the cheap; and you're not going to find the best water industry stocks at better prices than they sell for now," says utility sector specialist Roger Conrad.

In his The Utility Forecaster, the advisor reviews the three water stocks that earn a place among the core holdings in his growth portfolio: Aqua America (NYSE: WTR), Consolidated Water (NASDAQ: CWCO) and Southwest Water (NASDAQ: SWWC).

"All three of these water stocks posted disappointing first quarter earnings for very different reasons. However, all remain tapped into long-run, wealth-building opportunities.

"Aqua's first quarter results were by no means a disaster. But they lagged both last year's total and Wall Street estimates.

"Management blamed the slowing economy's impact on housing starts in what had been fast-growing systems, rising bad debt, lower commercial sales, delays in fully digesting acquisitions in the South and longer-than-expected timetables needed to win rate increases.

Continue reading Tap into water utility stocks

Tap into water utility stocks originally appeared on BloggingStocks on Wed, 18 Jun 2008 14:03:00 EST. Please see our terms for use of feeds.

Each year, Steven Halpern, editor of TheStockAdvisors.com, surveys the leading financial newsletter advisors asking for their favorite stocks for the coming year. This article is part of his 24th annual Top Stocks Report.

Verizon Communications (NYSE: VZ) is the top conservative pick for 2007 from Roger Conrad. The editor of The Utility Forecaster says, "The company continues to excel in all areas, except the stock market. Verizon Wireless remains the best network in cellular, and continues to prove it every quarter with rising margins, higher sales, and very low customer cancellation rates.

"Now the company is reporting expectation-beating progress with its construction of the nation's best wireline network, which will run fiber optic cable to more than 20 million homes and businesses within the next five years. The price tag is not inconsequential at $18 billion. But the company has been able to finance it with cash flow, even while reducing debt.

"Critics continue to focus on the loss of local copper phone connections at the company to wireless and cable television rivals. That's like faulting a Super Bowl champion because its punter doesn't see enough action. Buy VZ, which yields a little less than 5%, up to 38."

To see Roger's favorite speculative idea for 2007, click here.

Top Picks 2007: Roger Conrad calls up Verizon originally appeared on BloggingStocks on Sat, 30 Dec 2006 08:30:00 EST. Please see our terms for use of feeds.

Each year, Steven Halpern, editor of TheStockAdvisors.com, surveys the leading financial newsletter advisors asking for their favorite stocks for the coming year. This article is part of his 24th annual Top Stocks Report.

Precision Drilling (NYSE: PDS) is the favorite speculative stock for 2007 from utility specialist Roger Conrad. The editor of The Utility Forecaster notes, "Precision converted to a Canadian income trust last year and its shares were immediately off to the races, riding enthusiasm about its big dividend and growth of activity in North American drilling.

"The second half of 2006 has been 180 degrees different, due to a slump in energy patch activity in Canada and the government's proposal to tax income trusts beginning in 2011. As a result, the stock is yielding 13%, a level usually reserved for Wall Street basket cases.

"Precision, however, is far from it, holding more than 40% of the fast-growing deep drilling market in Canada and rapidly expanding on both sides of the border. Cash flow continues to cover the dividend by a generous margin, and with energy patch activity picking up in North America at the end of 2006, it should do so by an even wider margin in 2007.

"Being taxed again as a corporation would almost surely mean a lower dividend. But in the meantime, the trust will continue to pay out big, and the shares should benefit from faster energy patch activity.

"Also, the income trust tax changes are priced in, so there's no real additional risk on that front, and a possibility the ultimate change by the government will be considerably more favorable. A further slowdown in energy patch activity is also priced in to the shares, so all the potential surprises are positive and will bring upside. Buy Precision up to 30."

To see Roger's favorite conservative stock for 2007, click here.

Top Picks 2007: Roger Conrad drills into Precision originally appeared on BloggingStocks on Sun, 24 Dec 2006 08:30:00 EST. Please see our terms for use of feeds.