Irish Stocks: 11 Ways to Tap Into the High Growth Nation

Did you know that the largest building in North America will be built in Chicago by an Irish developer, Garrett Kelleher, executive chairman of Shelbourne Development Ltd.? It will be spiral shaped and will look like a drill bit, with 124 stories.

Facts about Ireland that would be of interest to potential investors:

It is the largest exporter of software-related goods, and services in the world.

There is no tax on royalties from copyrighted goods.

Its GDP growth for 2005 was 4.7%.

The country has the second highest GDP per capita in the world.

It is fourth out of all countries on the Human Development Index.

Its Gross National Income per head is the seventh highest in the world.

It has the best quality of life in the world according to The Economist magazine.

It has a 99.9% literacy rate, and is tied for first in the world.

It is third in the world in terms of economic freedom.

Its unemployment rate it lower than the United States, Australia, Austria, Germany, Spain, France, and many other major countries around the world.

Here are some stocks which may have a little Irish luck attached to them:

Allied Irish Banks plc (AIB), is a Dublin-based bank holding company, with branches in Ireland, the United States, the United Kingdom, and Poland. Its price earnings ratio is a favorable 8.5, with a price sales ratio of 1.7, and a yield of 3.3%.

Bank of Ireland (IRE), is the oldest bank in Ireland, and was founded in 1783. It has branches in Ireland, and the U.K. The stock has a P/E of 8.9, a P/S of 2.3, and a relatively high yield of 5%. Its dividends have been paid twice a year for the last ten years.

C&C Group plc (CCGGY.PK), formally known as Cantrell & Cochrane Limited, is a large manufacturer, and seller of beverages in Ireland. It has the popular cider brand Bulmers, that is also known as Magners. It has a P/E of 22, a P/S of 3.7, and a yield of 2.4%.

CRH plc (CRH), formerly known as Cement-Roadstone Holdings plc, manufactures building materials, such as cement, asphalt, concrete, and lime. It recently invested in a cement factory, and eight cement production plants in China. It has a P/E of 15, a PEG of 1.8, and a P/S of 1.1.

Elan Corp. plc (ELN), is involved in the development of therapies in the areas of autoimmune and neurodegenerative diseases, and drug optimization technologies. It is working on NanoCrystal technology which reduces crystalline drugs to extremely small particles under 400 nanometers. It has had negative earnings, and has a P/S of 16.5.

Genesis Lease Ltd (GLS), is a a commercial aircraft leasing company that is based in Limerick. It has a P/E of 30.8, a PEG of 1.9, and a P/S of 6.35. It also has a yield of 1.9%.

ICON plc (ICLR), provides outsourcing services to the pharmaceutical, and biotechnology industries. It has a P/E of 29, a PEG of 1.25, and a P/S of 2.5.

IONA Technologies plc (IONA), develops distributed, service-oriented, architecture [SOA] infrastructure software, which allows the connection of diverse systems without requiring a centralized server. It has a P/E of 656, and a P/S of 2.5. This is a very low cap stock, and therefore, it should be considered to be very speculative.

Ryanair Holdings plc (RYAAY), is the famous low-cost airline that happens to be one of the largest airlines in the world, and the largest in Europe in terms of the number of passengers. It has a P/E of 20, a PEG of 1.2, and a P/S of 3.9.

Trinity Biotech plc (TRIB) , makes and sells medical diagnostic products that are used to detect autoimmune diseases, hormonal imbalances, sexually transmitted diseases, intestinal infections, lung infections, cardiovascular diseases, HIV antibodies, diabetes, liver diseases, and diseases of the intestine. It has a P/E of 42, a PEG of 0.83, and a P/S of 1.6. This is another low cap stock, and therefore, it should be considered to be speculative.

Trintech Group plc (TTPA), creates and markets financial software for the commercial, financial, and healthcare markets. It has a forward P/E of 25, and a P/S of 2.4. This is another very low cap stock, and therefore, it should be considered to be very speculative.

Disclosure: The author owns RYAAY.

Comments

[Ralph F]

Is there an Ireland ETF or closed-end fund?

[Frank Li]

The New Ireland Fund (IRL)