Swing Trading Strategies & Stock Picks Since 2003

"John McCain has said that nuclear power must be part of plan to address cllimate change and reduce our dependence on foreign oil," says Paul Tracy.

In his Street Authority Market Advisor, he states, "To benefit from this plan, buy Shaw Group (NYSE: SGR), which constructs and maintains power plants."

"Today, nearly half of U.S. electricity is created via conventional coal-fired plants. This made sense for us for decades - coal is so cheap and plentiful here that the United States is often referred to as the Saudi Arabia of coal.

"However, in the past few years, the tide of public sentiment has shifted against the energy source. Primarily this is due to the emissions created by burning coal for electricity.

"In addition to the well known release of carbon dioxide, coal emissions also contain traces of mercury. On top of that, the rise of China and other emerging markets has led to higher costs for coal.

"So with a public that is increasingly interested in alternative sources of electricity and a president who is committed to increasing nuclear power usage, the companies that build and maintain nuclear plants sit in the perfect position to benefit.

"In particular, I think Louisiana-based Shaw Group is a stock to watch. SGR's largest end market is the construction and maintenance of power plants, including both plants fired by fossil fuels and nuclear facilities.

"The company also owns a 20% stake in Westinghouse Electric, one of the world's leading designers and builders of nuclear power plants.

"Given strong global growth in power demand, the power plant construction business continues to look strong, particularly in emerging markets such as China and India. Shaw reported year-over-year revenue growth of 57% in its fossil and nuclear plant construction business.

"The company has already received awards or letters of intent covering several planned new reactors in the U.S., and more awards are likely over the coming year.

"And outside the U.S. growth prospects are even stronger - a likely new nuclear deal between the U.S. and India will propel growth in Indian nuclear plants.

"China and South Africa are two other likely growth markets. So even if John McCain isn't elected, the current demand for Shaw's services looks to keep the company busy for years to come."