Dow Inc. (Formerly Dow Chemical) (DOW-N) (DOW-N)

The best time to buy this is right now, at the start of rate-cutting, which will boost housing and products associating with home-building like appliances and carpets which require chemicals. Also, China's stimulus is a boost to cyclicals levered to China's economy.

Shares popped last Friday on hopes that China's stimulus plans can boost Dow, a stock that has been slumping lately.

Not the merged Dow. They're not focussing on packaging and materials. Pays a 5.5% dividend at 12x earnings. A defensive stock. He expects surprising growth. (Analysts’ price target is $60.45)

(A Top Pick Dec 13/16. Up 7%.) This has merged and is going to split into 3 pieces. The underlying metrics of the 3 different businesses are all generally improving. Generates a lot of cash.

One of the themes that is starting to play out is materials, and chemicals would be included in this. This company has lots of opportunity. The economy is growing nicely and their business is improving. You get a very nice 3% dividend. If the US economy continues to perform, the stock is going to do well. It recently pulled back to $63, which is a great opportunity to buy it.

This is a good company that is getting better. They are merging into DuPont (DD-N), and will wind up splitting into 3 pieces. The US has the lowest cost natural gas globally. In chemical companies, natural gas is the biggest cost. There are very persistent low natural gas prices because of what has happened with fracing in the US. The merging companies will likely unlock some value. They generated about a 20% dividend growth over the last 5 years. Dividend yield of 3.01%. (Analysts’ price target is $67.06.)