Nestle (NSRGY)

Well run and diversified company. They don’t have a lot of manufacturing in Switzerland for export. Last week their short debt was trading at a negative yield. It is going to get more expensive.

This is a global large cap based in the safe haven of Switzerland. It gradually grows its dividend. Has a very good mix of developed and emerging markets. More recently they have been trying to cut costs out of their working capital, and as they bring that cost down, that should start to show up in higher dividends.

This is a massive company. They are looking to decrease the working capital consumption and pay some special dividends.

Stock has had a couple of things working against it. The strong Swiss franc has really clipped its profit. Outlook going forward is not really that great. Could be flat for another year.

This is a massive company. Fairly recently, the new CFO has adopted a strategy where he is going to try to manage down the cash that is involved in working capital. This company is going to continue chugging along. Buy it on a dip if you can. Anyone can put this in their portfolio and if they have a long enough time frame, they’ll make money on it. Best-of-breed company.

This has more sales than some companies have GDP. A massive, massive company. Dividend is very safe. Recently the company changed management and are looking now to streamline their working capital. His understanding is that this will ultimately lead to Return of Capital which will be used in forms of increasing dividends, buybacks, etc. With a longer view timeframe, you won’t be disappointed.

More of a global play to Kraft. Growth not up much. Outlook is fine but a slow growing company. 18 times earnings. Currencies in emerging markets are hurting their profits. Prefers UL-N.

(Swiss exchange) Fantastic company. Had a phenomenal run in growth in the last couple of years. This growth has been largely driven by new product introductions and, obviously, through some of emerging-market growth. For a company this size, it is very difficult to be a high growth story, so if you are looking for high growth, this is not for you. He prefers Unilever (UL-N). Danone (BN-FP) is the one that is on sale. The other 2 are expensive.

Had a pretty decent run over the last little while. Pretty good defensive company. Likes the mix of revenues that come from emerging markets. Given the run-up it has had, he would recommend watching it and trying to get it a little cheaper or put only 50% in and add to it when the opportunity arises.