I've been very, very active on the market these last weeks.
Here's a few interesting names in my opinion. These stocks have great growth prospects (well, when the coronavirus will be over… which may not happen before many months), have low or very low debt, hold some cash or a lot of cash and are available at a very interesting discount over their historical valuation:
1- Google
2- Facebook
3- Alimentation Couche-Tard
4- Groupe CGI
5- Edwards Lifesciences
6- EPAM systems
7- Align Technologies
8- Berkshire Hathaway
9- Visa
10- Mastercard
These are probably my favorite names on the market right now. Not a single company on that list is threatened by the crisis. Well, actually, every company is threatened by the crisis, but these will survive a long time.
Because they're solid.
Like my cock when I watch some pictures of Jason Del Vicario.
Where is Alibaba, Adobe, Match Group ?
RépondreSupprimerThey're somewhere else.
SupprimerJ'espère que tu as acheté du visa et ma quand s'est tombé! Top 10 compagnie tombe rarement autant
RépondreSupprimerBien sûr.
SupprimerVery good. Although i was thinking berkshire will continue to underperform, for obvious reasons.
RépondreSupprimerLow debt and a lot of cash, that's BRK got and all they need to do well.
SupprimerWowsers! Thank you for sharing. Those all look as excellent companies. But some look quite pricey (at ~40x PE). Are you not afraid that they might drop a lot if the economic depression will last for several years?
RépondreSupprimerI understand that you have to pay for quality. For some reason, I am still preferring to munch on a trough overflowing with rotten slop in a pigshed rather than enjoy a portion of wagyu steak at a fancy restaurant. This piggy should finally learn if it does not want to be turned into bacon. Not sure though if it is smart to try to trade my rotten slop for wagyu steak now since no body wants my slop at the moment and the steak has barely dropped in price.
According to my brokerage account, my total portfolio at the end of March is 20.18% underwater on book value and down 31.18% for the past quarter. It is currently trading at 10 P/E, 13 P/FE, 19% ROE, 1.04 beta, all Canadian companies (morningstar data).
why do you think a 40 PE stock is expensive? what is E anyways? if i can make a friendly recommendation from an internet stranger. don't even look at "earnings". look at ROIC or return on invested capital. your ROE is the right approach with low debt. look at free cash flow. in a zero interest rate environment, you should gladly pay 20-25 x operating earnings for a Facebook.
SupprimerAnd also, look at forward PE instead of current PE.
SupprimerThank you for your friendly recommendation.
SupprimerFor ROIC, do you do any adjustments to determine the invested capital?
What is your hurdle rate when screening stocks?
Which website/screener do you use?
What about different business models and companies with amortized assets or negative book value or non-comparable business models?
Wouldn't a rapidly growing company have low ROIC so won't screening with ROIC favour companies which are mostly in the slowing phase when they are returning capital to shareholders by running their obsolete assets to the ground or price gouging their customers?
I averaged down on Boyd and cae . Would you own these stocks penetrator?
RépondreSupprimerThx
I averaged down on Boyd Group too. Too much debt in a period like this.
SupprimerUnknown, we will see if patience is a virtue once this pandemic is gone . Hopefully the stocks we all own will be up in 2 years time .
RépondreSupprimerTake care