It's not too early for investors to start putting money in European stocks as the values of some of the continent's biggest high-quality companies are trading at valuations much cheaper than those of their U.S. peers. The prospects for some European-based companies are strong as they continue to make money and are sure to survive a reshuffle of the euro. What's more, some of them are paying hefty dividends and their revenue base includes such a large component of international sales that the playing field is leveled with their U.S.-based peers.
One way to come up with solid stock ideas is to check out what the smart guys are buying by reviewing the holdings of the top international mutual funds. The Tweedy Browne Global Value fund(TBGVX_), up about 1% this year, favors the world's largest food and beverage company in consumer staples leviathan Nestle(NSRGY_), making the Swiss firm its top stock pick at 4.2% of the highly rated $4.6 billion fund. And the $7.5 billion Oakmark International I Fund(OAKIX_) has the international financial services firm Credit Suisse Group(CSGN) as its top pick at 4.2% of the fund, although it's shares are off about 16% this year.
Source: The Street
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Posted by D4L | Monday, June 25, 2012 | ArticleLinks | 0 comments »________________________________________________________________
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