Despite Turmoil, Some Israeli Stocks Are Strong.With so much turmoil in the Middle East, should any U.S. investor in their right mind consider buying Israeli stocks now? The shares are plunging plunge v. plunged, plung·ing, plung·es v.tr. 1. To thrust or throw forcefully into a substance or place: . For people with the nerve to buy during bad times, my answer is, yes, and there are about 60 Israeli companies The top 10 Israeli companies by sales are[1]:
Historically, Israel has been a good place to invest. Certainly, the recent violence has undermined hopes for peace in the Middle East, sapped the confidence of investors in Israel, and threatened prospects for economic growth there. Still, there are some Israeli stocks that represent good value and have potential for long-term Long-term Three or more years. In the context of accounting, more than 1 year. long-term 1. Of or relating to a gain or loss in the value of a security that has been held over a specific length of time. Compare short-term. growth, in my opinion. And they are selling at depressed prices Depressed price In the context of stocks, stock whose market price is low in comparison to stocks in its sector. . Since the latest round of fighting erupted between Palestinians and Israeli forces Sept. 28, the benchmark for Israeli stocks, the Tel Aviv Tel Aviv (tĕl əvēv`), city (1994 pop. 355,200), W central Israel, on the Mediterranean Sea. Oficially named Tel Aviv–Jaffa, it is Israel's commercial, financial, communications, and cultural center and the core of its largest 25 Index, has dropped 16 percent, compared to a 6.8 percent decline by the Standard & Poor's 500 Index of U.S. stocks. Over the almost nine-year history of the Tel Aviv 25, the Israeli benchmark has outperformed the S&P 500. The Tel Aviv 25 has climbed 385 percent since Dec. 31, 1991, its starting date, compared to a gain of 219 percent for the S&P. Six Israeli stocks I like are Magic Software Enterprises Ltd., Formula Systems Ltd., Elbit Systems Elbit Systems Ltd. NASDAQ: ESLT is one of Israel's largest defense electronics manufacturers and integrators. Established in 1967, and based in Haifa, Israel, Elbit has over 8,000 employees. Ltd., Nova Measuring Instruments Ltd., Taro Pharmaceutical Industries Ltd. and Koor Industries Ltd. I recommend buying the U.S. shares of these companies, even though in some cases they sell at a slight premium to the shares traded in Israel. |
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