Fisher also discusses the outlook for the U.S. stock market and his investment picks of Dow Chemical Co., Lubrizol Corp., Vivo Participacoes SA and LG Display Co.
Company Fisher Discussed:
The Dow Chemical Company (Dow) is a diversified chemical company. Fisher thinks this cyclical company will do well in this half of the bull cycle. He thinks the stock will climb another 50% this year. When asked how he valuate these companies, he stated that he extrapolate the profit margin of the company in the past cycle and apply that on an estimated company revenue to reach a earning estimate. Multiply that by a factor of 10, one gets the stock price estimate.
The Lubrizol Corporation (LZ) is a specialty chemical company that produces and supplies technologies for the global transportation, industrial and consumer markets. Fisher thinks LZ makes a good acquisition target.
Vivo Participacoes SA (NYSE:VIV) is a Brazil-based company engaged in providing cellular telecommunications services. Fisher thinks the product is a growth story at a reasonable price. He stated that the company is also expanding into other countries in the region.