Brazil's second-largest steel maker Companhia Siderurgica
) has a high dividend yield, low short float and strong
technicals, offering an opportunity for emerging market investors
to buy at a low price.
The company depends heavily on exports to China, and is suffering
from the economic slowdown there. Over the last 52 weeks, SID has
fallen 41.07%. The iShares S&P Global Materials ETF (
), is also down by 18.32%, resulting in
very attractive buys in the market group.
At this price, SID's numbers have plenty of appeal for growth,
value, and income investors.
On a quarterly basis, SID's earnings-per-share growth is up by
84.30%. Over the next five years, earnings-per-share growth is
projected to be 13.89%. The forward price-to-earnings ratio
is only 5.26, far below the average of 15 for a stock on the
Income investors will like the company's healthy profit margin
of 26.9%, and its dividend yield of 7.12%. That is about
three times as high as Apple's (
Analysts and investors seem confident in Companhia Siderurgica
National, which is currently trading around $8.95 per share. The
short float is only 1.43%, and the mean analyst target
price over the next year is $18.50.