Two Energy Infrastructure Plays

With Standard & Poor's predicting earnings to be down year over year for the first time since the end of the recession in 2009, as well as growing concerns about slowing worldwide growth and demand, investors should look to areas where growth is likely to remain strong. One of those areas is companies involved in the worldwide build out of energy infrastructure. North American energy production is expanding faster than it has in a generation. In addition, the Middle East and Africa are predicted to plow $740 billion into new energy projects over the next five years after putting off development during the financial crisis. Not only do these regions need new infrastructure to increase exports, they must satisfy the energy needs of their increasingly energy-hungry populations. Here are two companies that are likely to be in the middle of this robust demand. Their stocks have reasonable valuations and these companies have solid balance sheets, as well as growing backlogs.

KBR (KBR) is a global engineering and construction services company. It is involved in heavy construction projects such liquefied natural gas and gas-to-liquids facilities....280 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.

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