Compania Cervecerias Unidas S.A. (ADR) (NYSE: CCU)

After reading "The Warren Buffet Way", the theme that really stuck with me was the comparison of buying stocks to counting cards in blackjack. When the odds are strongly in your favor, put down a big bet. You want to make a large enough bet to really make a significant impact to your portfolio if the bet works out. That bet for me was Compania Cervecerias Unidas S.A. (ADR) (NYSE: CCU) or United Breweries Company, Inc.

I like this stock over other choices for 3 specific reasons:

1. The dividend yield currently sits at 6.68%, which doubles what bank interests were paying me, and it had a depressed stock price only due to stock market momentum in my opinion because this company has produced a positive cash flow since 2005.
2. It's an international beverage company that operates in Chile and Argentina. The company's diverse product line includes wine, beer, mineral water, and soft drinks.
3. It owns licensing agreements with many familiar names such as Pepsi, Anheuser-Busch, and Heineken.

I mainly wanted a company that was internationally concentrated so that it would be some what immune to the US economy recession. I also wanted to own a conservative industry that, in my opinion, will never die out and alcohol fits that description nicely. Besides, what do people do when they have problems and are losing money? They drink!