My Style of Investing

My stock investing style is a mixture of the long-term investment style of Warren Buffett and Benjamin Graham with a hint of the "ring the register" investment style of Jim Cramer.

Sunday, August 8, 2010

Why should you consider buying PG and/or FTE?

Proctor and Gamble (PG)

Stats
P/E:  15.9
P/B:  2.8
Dividend Yield:  3.1%

The recent reported quarter by Proctor & Gamble caused PG's share price to drop from $62 to $59.75 on August 3rd.  The quarterly report wasn't good, but that doesn't mean the long-term outlook of Proctor & Gamble has changed.  In fact, if you listened to the earnings report you would have found that PG spent more on advertising than usual, which is a good thing for a brand based consumer company like PG.  This means that Proctor & Gamble is investing for the long-term.  They aren't trying to make a single quarter look good, which is a trait not held by most.

The company has a lot of exposure internationally, so Proctor & Gamble still could experience some substantial growth even as a Large Value company.  Furthermore, PG is constantly looking for acquisitions to expand its product line. 

Verdict:  PG has a high dividend yield, great growth potential, and a wide selection of products that is constantly being widened.   Buy PG before it gets back up to $62.  Actually, I think PG is a buy until $65.  This is a long-term investment.

For more information visit:  http://finance.yahoo.com/q?s=PG or http://www.pg.com/

France Telecom (FTE)

Stats
P/E:  12.6
P/B:  1.4
Dividend Yield:  7.1%

Look at that yield!  Enough said.  Long-term play until wireless communication ends or population growth declines.  That was a joke.

Do your research at:  http://finance.yahoo.com/q?s=FTE or http://www.orange.com/

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