China Mobile Ltd. (ADR) (CHL), Petroleo Brasileiro Petrobras SA (ADR) (PBR), ArcelorMittal (ADR) (MT): Three Solid Stocks Left Behind In This Bull Market

Don’t overlook this steel giant

ArcelorMittal (ADR) (NYSE:MT) is the world’s largest steel maker by output.  Like the rest, its shares have been beaten down over the past 5 years.  Currently, its trading near a 52 week low.

The company is suffering from weakness in Europe, as a large part of its operations depend on steel demand from that region.  Worldwide steel demand has also deteriorated which hasn’t helped the shares.

Rising steel prices, increased demand, and an economic recovery in Europe are all factors that should push the stock higher.  Over the long-term, if the company can hold its market position, a recovery will be inevitable.

ArcelorMittal (ADR) (NYSE:MT) is currently trading around 40% of its book value.  It’s expected to generate $82 billion in revenue this year and $87 billion next year.  This is huge and if steel prices rise along with demand, profits should skyrocket.

Conclusion

It takes a lot of courage to buy these names right now, but generally, courage is rewarded. China Mobile Ltd. (ADR) (NYSE:CHL), Petroleo Brasileiro Petrobras SA (ADR) (NYSE:PBR), and ArcelorMittal (ADR) (NYSE:MT) seem to be solid bets, once you do your own research, maybe you’ll agree.

The article 3 Solid Stocks Left Behind In This Bull Market originally appeared on Fool.com and is written by Anthony Parsons.

Anthony Parsons owns shares of China Mobile, ArcelorMittal, and Petroleo Brasileiro (NYSE:PBR) S.A. (ADR). The Motley Fool recommends Petroleo Brasileiro S.A. (ADR). The Motley Fool owns shares of ArcelorMittal and China Mobile. Anthony is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.

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