By Paul Goodwin, Analyst and Editor of Cabot China & Emerging Markets Report
From Cabot Wealth Advisory, 3/11/10. Sign up for free Cabot Wealth Advisory e-newsletter
In honor of the Oscars (of which I watched every minute and loved it all), I'm going to point you in the direction of a cinema-related stock.
Cinemark (CNK) is a movie theater operator with 424 theaters and nearly 5,000 screens in the U.S. and Latin America, which makes it the world's second-largest motion picture exhibitor (Regal Entertainment is #1).
Revenue growth has been steady, advancing even during the Great Recession. CNK has been outperforming the broad market since the stock's correction ended in August 2009. The steady price appreciation, together with the generous dividend and good outlook for theatrical movie distribution makes Cinemark a good choice for the aggressive growth portion of your stock portfolio.
My interest in Cinemark comes from the company's Latin American exposure, which accounted for more than 20% of 2008 revenues. China may be the engine of global growth and the home of many of the stocks featured in the Cabot China & Emerging Markets Report, but nothing in stock investing is written in stone.
Brazil is a giant market that keeps moving in the right direction and the rest of Central and South America have enormous potential, but they need their biggest trading partner to healthy up. Once the U.S. economy gets its mojo back, the region will begin to spawn stock winners again.
Editor's Note: If you'd like to know what the leading emerging market stocks are now, and follow the new leaders as they emerge, you should consider a subscription to the Cabot China & Emerging Markets Report. The Report is the #1 newsletter for the last five years, according to Hulbert Financial Digest. And a no-risk trial subscription can put your portfolio on the fast track. First time subscribers can click here to get started today.
Paul Goodwin
Emerging Markets Specialist, Analyst and Editor of Cabot China & Emerging Markets Report
A researcher and writer for over 30 years, Paul Goodwin has been a member of the Cabot investment team and editor of
Cabot China & Emerging Markets Report since 2005. Under Paul’s stewardship, Hulbert Financial Digest rated Cabot China & Emerging Markets Report the number-one-rated newsletter of 2006 with a 78.6% gain for the year, the number-one-rated newsletter of 2007 with a 74.1% return, and the top-performing investment adivsory for five years with a 17.9% annual return.