(Nasdaq: MEOH Archive
Jim Cramer, You’re Right… Dow Chemical Will Shine in 2013
by Mike Kapsch, Investment U Research
Thursday, January 24, 2013
Jim Cramer has one of those personalities you love to hate.
He’s wildly entertaining. Yet he’s so manic that he talks faster than he can move his lips.
His show, however educational, is on television a lot… And he pumps too many stocks as a result. Despite having previously managed a hedge fund, Cramer seems to make a lot of bad calls.
It probably sounds harsh. But I’m not actually writing today to point out Cramer’s faults. Just the opposite, in fact.
You see, when it comes to stocks in 2013, regardless of any shortcomings, I believe Cramer will be spot on about one thing… Dow Chemical (NYSE: DOW) is going to have a great year.
Cramer says Dow is a “Buy” this year, because the company is taking advantage of cheap natural gas feedstock.
Simply put, natural gas isn’t just used for fuel. Companies like Dow also use it to make other products, such as plastics and fertilizers. Cheap gas prices today are making the production costs less expensive. And that’s leaving extra cash around for firms to reward shareholders.
Investment U readers may recall, I wrote about three industries that would thrive from cheap natural gas prices (plastics, methane and biofuels) back in January of last year.
To continue reading, please click here...Upstream MLPs: Yet Another Way to Play the Natural Gas Boom
by Mike Kapsch, Investment U Research
Thursday, September 20, 2012
I hope you’ve been doing more than just watching America’s shale natural gas and oil revolution.
That’s because not only is it changing our energy future, it’s creating a slew of opportunities for investors to make money.
For example, in January, I reported on a number of companies set to gain from the natural gas boom in the chemical industry.
Believe it or not, 70% to 90% of natural gas is methane. And companies that produce methanol, like Methanex (Nasdaq: MEOH), can now do so at much lower prices today thanks to cheap natural gas prices.
Methanex is up 24% so far this year. Other chemical companies I mentioned have gone up over 30%, even 40%.
In June, I talked about another company that has a virtual monopoly on a certain type of sand that’s used for nearly 75% of all fracking jobs in America.
The company is U.S. Silica Holdings (NYSE: SLCA). Since writing about it in Investment U, it has ticked up 50%.
But I’m not telling you this just to toot my own horn.
To continue reading, please click here...
