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Finally, investors could try and invest in the company’s building or operating the plants. But while U.S. companies like Fluor Corp. do international power construction work, most of this business is going to names that just are not investable. Related: Ongoing Security Concerns In Kurdistan Have Oil Companies On Edge Instead, investors should consider a little known equipment manufacturer whose shares have been hammered by the global commodities slump. Joy Global is a less-diversified and smaller version of Caterpillar. The company makes mining equipment and has significant exposure to the coal markets. Coal miners figure prominently among the firm’s biggest customers. As a result, the stock has been slammed this year recently falling below $30 a share to rival the same price levels the stock sold for at the height of the Great Recession. Joy is a profitable company that even pessimistic analysts think will earn $2.12 per share in 2016 at the trough of the commodities market. The firm has low debt, and earned more than $7 a share in 2012. Times have clearly changed since then, but even if the firm continues to earn at trough levels, the valuation here is very cheap. Further, Joy has starting to diversify its business, and the firm generates more than enough cash to pay a healthy 3 percent dividend. The company has also bought back about 5 percent of its outstanding share float in the last few years. Related: 9 Reasons Why We Should Be More Worried About Low Oil Prices Joy definitely carries some risk, but the firm is a well-known entity in mining circles and makes specialized equipment that few competitors offer. The coal mining slump is not going to last forever, and as long as Joy continues to be prudent with its cash, the company should emerge from the other side just fine. At this valuation, investors with a long-term outlook who believe in the growth of Asian economies (and their need for power) should carefully consider JOY. By Michael McDonald Of Oilprice.com More Top Reads From Oilprice.com:
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Joy Global est une société d’exploration minière basée aux Etats-Unis D'Amerique. Joy Global est cotée aux Etats-Unis D'Amerique. Sa capitalisation boursière aujourd'hui est 1,2 milliards US$ (1,2 milliards €). La valeur de son action a atteint son plus bas niveau récent le 12 février 2016 à 10,26 US$, et son plus haut niveau récent le 05 avril 2017 à 28,30 US$. Joy Global possède 43 700 000 actions en circulation. |