Today's stock pick is near and dear to my heart.  I've owned stock in Terra Nitrogen for nearly a year.  It was a good stock then and it's a good stock now.  After a year that saw all manner of market chaos, Terra still has no negative values anywhere on the fundamentals sheet.  The P/E and P/S are still good, and the annual dividend is a sustainable 6.7%.

TNH quadrupled since last Christmas, but the value has nothing to do with speculative overinflation.  The company has increased its earnings and built itself up on a solid foundation.  The fact that the dividend kept up with the rising price is proof of that.  Many dividend-heavy stocks that multiply in share price lose their value as income investments, but not Terra.  This one doesn't die.

TNH is a long term investment that may scare away some investors, because it has moments when it may fluctuate severely over a couple days or a week.  Also, its high price makes it a bad choice if you're intending to sell in the future.  On the other hand, if it does this coming January what it did at the turn of 2007, it may split and start rising rapidly yet again.  A stock split with Terra would be exceptionally good, and if it happens and you don't own any yet, get on that boat right away.