Fox Business
Expand
Browse All Video
Watch Live

You're watching...

Must-Buy Stocks for 2012

Details

  • Description

    CenterState Bank CIO Joe Keating on the stocks investors should consider for their portfolio this year.

  • Duration 3:59
  • Date

Clips

Also in this playlist...

Latest Video

Auto-advance: ON

Auto-advance
View All

Transcript

This transcript is automatically generated

Anybody's are right after a flat performance last year we've got a money manager who is predicting -- at least seven to 9% returns of the S&P 500 this year and he's here now with his must buy stocks of 2012.

Joseph Keating his executive vice president chief investment officer for centerstate bank.

Has more than one billion dollar -- and assets under management gonna see Joseph thanks for being here thank you let's get right to with let's get right to the stocks that people want to know what to buy was talking to Tom about apple a lot of people think.

Okay it's it's in a -- range right now.

What is not reach that price you bring -- still apart while we're we're dividend investors we've been doing it for nine years now that's all the we invested.

Dividends dividend paying stocks -- the best way to consistently build wealth over time by reinvesting -- dividend.

There's also 76 million baby boomers are gonna turn 65 between now and 2029.

They're gonna be moving into these stocks -- the next couple years and are less volatile than the overall market sells big branding companies is what we really like.

For Google.

-- Oracle has grown their dividend by 38% over the past four years they look to grow by 50%.

Over the next four years so just about being a stock that's yielding roughly 3%.

And that dividend payout is gonna grow by 50%.

Heck a lot better than being in under 2% ten year treasury.

How -- a company like Verizon slower and slower growing but of five point 2% dividend yield.

Abbott labs well diversified health care company.

With -- yield -- bit over thirty.

-- 3% -- increased a dividend for 39 consecutive years just like Coca-Cola.

The best place to be -- -- pipeline companies master limited partnerships.

-- talk about pipelines today was with the with keystone project these -- this -- these are in place pipeline companies.

Two that are favors what one would be Energy Transfer Partners yielding seven and a half percent right now.

Looking to increase at distribution by about 20% over the next four years and -- resource partners about six point 3%.

Dividend yield looking to date they've increased their dividend -- their distribution payout by 70% over the past four years looking for -- -- the 40%.

Over the next four years.

If -- -- some solid name some great names but let's just warn people that the stock itself may go down may go meandering -- possibly up after locking it.

So they shouldn't be shocked yet they're still getting paid with a dividend but these stocks aren't necessarily go straight to the amount they -- not go straight to the -- but but they are less volatile so well in in it like when you take -- dip we had last summer when we I think we felt peak to trough about 16% on the S&P 500.

These stocks in an ever you were probably down about eight to 9% at that time if it feels better when you're down less than a dollar mark and still get -- okay as the opening day at exactly -- executed dividend pay as you wanna -- company's big brand -- companies that can really pay that dividend.

Now talk about catch -- falling knife natural gas everybody's looking for the bottom and that's gotten it doesn't seem to be one -- but you think may be now it's finally gotten cheapen up to get in.

Pipeline companies have nothing to do with the commodity.

Pipeline companies -- like -- -- wrote in fact the lower natural gas prices go the better it is for the pipeline because that means there's and be more demand for natural gas at a lower price and more going through the pipeline it's like a toll road so.

I I don't care what happens to the price of the commodity or the refined product.

What we're we're taking a -- -- matter what get paid no matter what -- an -- Isa is better than a toll road because they oftentimes have fixed contracts was cited by the drink.

It's they get paid no matter what.

Isn't this just it just to play devil's advocate a little bit of a crowded traded with a dividend paying stocks meaning it's been -- its got such momentum over the past year everybody was piling into stocks and pay dividends -- -- couldn't count.

On the actual market.

Well you know me -- and into -- -- for nine years.

It is kind of the flavor of the month -- a year on Wall Street it doesn't matter and that's what we do.

Because we -- with where we invested in dividend payments -- -- for you yes sir mr.

-- Thank you so much -- -- -- I did activity and if there okay.

Load More