Having completed the lengthy process of obtaining Rinker for $15.3 billion last week, Cemex is now reversing an earlier forecast that it would check in with a 4% revenue slide in the United States this year. In its after-earnings conference call, the company said the difference will result from the added volumes that will be generated for Cemex by Rinker, which obtains most of its revenues in the U.S.
For its second quarter, Cemex, which is the world's third-largest cement maker behind Lafarge
So here's where I come out on Cemex and its operations, Fools. While there do remain a few domestically headquartered cement producers, including Eagle Materials
On that basis, Cemex is able even to absorb U.S. declines and still grow earnings through strength in other parts of the world. I, therefore, view the company as an excellent way to participate in the robust international economy and simultaneously position oneself to benefit from a recovery in U.S. housing when it finally occurs.
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Fool contributor David Lee Smith does not have a position in any of the companies mentioned. He welcomes your comments. Cemex is a recommendation of both Motley Fool Global Gains and Motley Fool Stock Advisor. The Motley Fool has a disclosure policy.