Defensive Stock Opportunities Excluding Healthcare

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 |  Includes: ABX, BP, CHK, DTEGY, DUK, E, MCD, MDLZ, MO, MON, NOK, NSRGY, ORAN, PG, PM, PWND, SCMWY, SSL, STO, T, TLSYY, UST, UUP, VWDRY, VZ, WMT
by: Mike Havrilla

As a follow-up to the top rated companies highlighted from the ETF Innovators (ETFI) healthcare and transport indexes, below are some top rated companies from other sectors and industry groups.

From the Global Tobacco Index, Altria Group (NYSE:MO) is a top rated stock with a dividend yield near 8% which is set to acquire smokeless tobacco maker UST Inc. (NYSEARCA:UST) early next year and is poised to capitalize on a strong U.S. Dollar (NYSEARCA:UUP) compared to the international operations of Philip Morris (NYSE:PM).

In the Nordic Region, Nokia (NYSE:NOK) is yielding around 6% since losing about two-thirds of its market value over the past year and is trading at a forward PE below 10 as a turnaround, large-cap ($48B) value play. Scandinavia also offers a leading wind energy company in Vestas Wind Systems (OTCPK:VWDRY), which is down sharply from its peak and is a major holding in Wind Energy ETFs such as those from First Trust (NYSEARCA:FAN) and PowerShares (NASDAQ:PWND). StatoilHydro (NYSE:STO) is an oil & gas company from Norway which recently signed a deal with Chesapeake Energy (NYSE:CHK) for the development of unconventional gas reserves in the Marcellus Shale in the Appalachian region of the U.S.

The Global Telecom Services Index offers U.S. giants Verizon (NYSE:VZ) and AT&T (NYSE:T), which are both yielding around 6%, while many foreign large-cap telcos are yielding even more such as France Telecom (FTE), Deutsche Telekom (DT), Swisscom (OTCPK:SCMWY), and Telstra (OTCPK:TLSYY).

From the defensive indexes, Wal-Mart (NYSE:WMT) offers a play on the trade-down effect and all-in-one discount retailer of choice for an increasing number of people while McDonalds (NYSE:MCD) offers a similar option in the area of fast food and coffee as a trade-down from Starbucks (NASDAQ:SBUX) and higher priced restaurants. Defensive high-yielding stocks to consider include utilities such as Duke (NYSE:DUK) and Progress Energy (PGN) as well as large cap integrated energy companies such as Eni (NYSE:E), Sasol (NYSE:SSL), and British Petroleum (NYSE:BP).

Some consumer staples and food companies to consider include Kraft (KFT), Nestle (OTCPK:NSRGY), and Procter & Gamble (NYSE:PG) while Monsanto (NYSE:MON) is attractive as an agri-biotech growth play which is down by more than 50% from its highs since momentum trade ended for fertilizer stocks such as Potash (NYSE:POT). For diversification and exposure to gold, Barrick Gold (NYSE:ABX) provides a low-risk, large-cap option trading at a forward PE around 10.