Eric Bolling Reveals His Infrastructure Stock Picks

Eric Bolling loves the infrastructure sector, and thinks this is a good time to jump into the sector as long as the stock picks are selected carefully.

The co-anchor of FOX Business’s Happy Hour show, who has been an active trader of equities, commodities and more for years, recently shared his thoughts on how to invest in infrastructure, declaring that a downturn in the sector over the last seven months “is an opportunity to buy into the infrastructure play at a low price.”

His enthusiasm doesn’t come from the stimulus package now going through the U.S. Congress -- “it doesn’t hurt, but I don’t hang my hat on” a $1 trillion plan -- but rather the global growth story coming out of places such as China, India and Latin America.

Bolling recommends companies with a global presence, and suggests avoiding companies with big debts, credit arms or those that “aren’t reacting well” in the market. He says the best way to get into the sector is to build a position slowly.

Bolling’s infrastructure stock picks are:

Companhia Vale do Rio Doce ADRs (RIO: 14.52, -0.364, -2.45%)

“This is probably my all-time favorite stock” Bolling said of the Brazilian metals and mining company, noting that it’s “the most global” of the miners.

FMC Corp. (FMC: 45.43, -1.39, -2.97%)

FMC is a leading producer of lithium. Bolling likes it because the lithium goes into batteries for all sorts of devices and other things that power the world.

Chevron (CVX: 68.22, -1.62, -2.32%)

Chevron is “by far my favorite energy play,” Bolling said, noting that the company has a high share of the West Coast energy market, which has high margins.

Google (GOOG: 357.92, -9.95, -2.7%)

“This is the Mac Daddy” in the Internet space, Bolling said. “It’s the leader, the innovator -- the one to own.”

Fluor (FLR: 37.06, -1.7, -4.39%)

Fluor, which serves companies globally in a number of industries, is “a great global engineer,” Bolling said.

Jacobs Engineering (JEC: 40.83, -1.93, -4.51%)

Bolling thinks this company is another good bet among engineering firms.

US Steel (X: 23.5975, -1.5725, -6.25%)

This is “my sleeper,” Bolling said. He mentioned that it traded at nearly $200 over the summer, and “at $33 a share I think it’s a bargain.”

Bolling’s infrastructure stock pans are:

General Electric (GE: 10.675, -0.475, -4.26%)

GE may be an infrastructure play, but the fact that its credit unit is such a big part of the company means it should be avoided for now, Bolling said.

Caterpillar (CAT: 29.63, -1.64, -5.24%)

Caterpillar’s stock “is reacting poorly in an environment where you’d think it would be doing well” and is at five-year lows, Bolling noted. “If it’s not acting well, don’t own it.”