Ten Shining Arizona Stocks

Did you know that Arizona has helium? In fact, Arizona is home to some of the richest helium containing gas in the world. A recent increase in the value of helium caused great interest in the quest for this gas.

However, there is much more in Arizona than helium. Currently Arizona produces 200 barrels of oil and one million cubic feet of gas everyday from wells around the state. Additionally Arizona produces the most non-fuel minerals in the country.

Other interesting facts about Arizona are:

1. Arizona produced more than 60% of copper mined in the U.S in 2007.
2. Arizona’s copper industry generated a combined revenue for the state of $4.719 Billion in 2006.
3. The mining industry employs 22,000 people.
4. Arizona’s 2007 total gross state product was $247,028 million.
5. Arizona has passed legislation requiring that 15% of its energy come from renewable sources by the year 2025.
6. Sun shines in the state 85% of the time, which makes it very appealing to solar energy.
7. One of Arizona’s major crops is lettuce; it produces over one million metric tons per year.
8. Arizona does not observe Daylight Savings Time
9. The Grand Canyon is one of Arizona’s major touristic attractions.
10. Arizona’s estimated population is six million.

The following 10 stock companies are headquartered in Arizona with market caps of over $1 billion:

• Freeport McMoRan Copper & Gold (FCX) explores, and mines properties in North America, South America, Indonesia, and Africa. The stock has a P/E of 10.69, PEG of 0.83, and pays a yield of 2%.
• Southern Copper Corp, (PCU) is engaged in the production, and sale of copper, molybdenum, zinc, silver, lead and gold. The stock has a P/E of 9.86, PEG of 8.41, and it pays a yield of 9.60%.
• First Solar Inc. (FSLR) designs, makes and markets solar electric equipment. The stock has a P/E of 90.87, and a PEG of 1.24.
• Apollo Group Inc. (APOL) and its subsidiaries are in the business of providing educational programs at levels from high school to university. The stock has a P/E OF 31.08, and a PEG of 1.57.
• Microchip Technology Inc (MCHP) makes and sells semiconductor products for multiple applications. The stock has a P/E of 23.3 and a PEG of 1.53. It pays a yield of 4.10%.
• Allied Waste Ind. (AW) is a waste management company , providing the following services from collection to recycling and disposal of nonhazardous waste. The stock has a P/E of 17.99, and a PEG of 1.21.
• Avnet Inc (AVT) is in the business of distribution of computer software and different electronic components. The stock has a P/E of 9.45, and a PEG of 0.61.
• ON semiconductor Corp. (ONNN) makes and sells power and data management around the world. The stock has a P/E of 17.95 and a PEG of 0.96.
• Pinnacle West Capital Corp. (PNW) is in the business of producing, transporting and delivering electricity in the United States. The stock has a P/E of 10.34, a PEG of 3.39 and pays a yield of 6.10%.
• Petsmart Inc. (PETM) sells foods and goods for animals. It also provides different services. The stock has a P/E of 16.77 and a PEG of 1.04. It pays a yield of 0.50%.

Disclosure:  The author does not own any of the above.

Comments

[firboy4:]

Although I own FCX and PCU, I thought that this article might have more information in it. But it seems to simply be an advertisement for Arizona and a waste of my time.

2008 Aug 24 11:27 AM

[Steven Ward:]

I like New Mexico,how about some touting there.

2008 Aug 24 11:55 AM

[DRich:]

Brought to you by the Arizona Chamber of Commerce.

2008 Aug 24 12:03 PM

[jjason:]

Your articles are useless for making an investment decision because you do not give enough information. If I read one more article like this on SA, I will put you on ignore. If you want to read a good analysis, read some of the articles that Davy Bui writes.

Also, you seem to NOT own any of the companies that you write about.

2008 Aug 24 01:22 PM

[resourceman:]

Your article brings to mind my latest investment speculation--Enhanced Oil Resources,Inc. They are the company holding the Helium & CO2 reserves you mention . A small Canadian co trading on the Venture ex. under the symbol : EOR.V ( using the Yahoo quote ) . They have leased & control most of the St. Johns Helium/Carbon Dioxide Field in Apache Co. Az. & Catron Co. NM. The co has completed 15 wells of 36 drilled & has tested flow rates as high as 6.5 million cubic feet per day. Latest reserve calculations suggest a recoverable 8 trillion CF of CO2 + 33 billion CF of Helium with field life of 40 years.Now here,s the interesting part--they plan to pipeline ( yet to be built ) the CO2 east into the Permian Basin of SE NM & W Tex. where it will be sold for enhanced oil recovery in mature oil fields. There is a HUGE demand for such CO2. Third parties will build the pipeline & I believe they have already signed a deal with the Federal Gov,t to buy all their Helium ( since the Gov,t is the only buyer ). The co is well capitalized by equity offerings & several private placements. Now the real payoff --they have started buying smaller, mature oil fields in NM which will be subjected to CO2 injection for ehanced recovery of remaining oil. Their staff of Geologists& Pet. Engineers are constantly looking for potential mature oil fields to purchase. To date they have purchased 2 oil fields : Milnesand & Chaveroo and are reworking the wells to maximize current oil production. There,s a big oil company that,s doing this same thing; Denbury Resources Inc., only they don,t own their CO2--they have to buy it. This co , EOR.V, could grow into something huge. I,m in on the ground floor . Long EOR.V.

2008 Aug 24 05:46 PM

[BxCapricorn:]

Um, are there editors at Seeking Alpha? I've got this story I wrote about a cow that got all tangled up in a barbed wire fence in Putnam County, NY. Seems it got scared from a recent lightning strike, and ol' Mr. Gantry didn't notice it was missing from the herd until afternoon milking time. I'll save the "twist" for when I get the full story gets published by this "folksy website".

2008 Aug 24 07:39 PM

[tessant:]

Def some good companies coming out of AZ...FSLR is the breadwinner so far..

2008 Aug 25 11:21 AM

[novice inve...:]

I found lots of good info. that I needed,
in this article and on one blog.
Thanks again Seeking Alpha and
Stockerblog.

2008 Oct 10 06:09 PM