Two mega-growth plays: Potash and Freeport

By Money Matters Editors

Two stocks to get your new investing year – 2010 – off to a good start: Potash and Freeport McMoRan.

Potash (POT). Potash remains one of the preeminent fertilizer companies in the world, producing three critical, primary plant nutrients and phosphate animal feed ingredients for both developed and developing world markets. As emerging markets develop, they need more food on a per capita basis, and that’s good news for solidly-performing fertilizer companies, such as Potash. Sell/Stop Loss for POT: $57.

Freeport McMoRan (FCX). The global recovery appears to be underway, and with it demand for key commodities, such as copper, will increase. And Freeport, the world’s second largest producer of copper, is poised to capitalize. China demand (copper pipes, electric wires), in particular, will help the copper market recover from the price bust associated with the global recession.  Sell/Stop Loss for FCX: $32.

Money Matters Editors highly recommends both POT and FCX. They are, arguably, the two most promising growth plays in the U.S. equity markets.




 Disclosure: No Money Matters Editor or staff member owns shares in any stock they review.