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It may be said that we are in the era of growth stock. These companies, which focus on technology often and with amazing assessments, are many of the best purchases in the stock market in the current millennium.
Amazon and Apple fell into this category once at one time, and made price ratios to profits in the triple numbers, making them expensive on some standards. However, both equivalent shareholders have long -term revenue.
Compare this type of shares with the valuable investment approach that Warren Buffett defended, as inhaling shares in the companies denominated with less than their value was a way to succeed.
The fact is that in the modern era at least, some of these shares with the very high P/E ratios are the crop cream. Armed with this positive mindset of stock, I asked my old friend to help me discover the next big winner.
Q and
My question: “Some shares of price rate to high-evaluation profits-what are you thinking at the time you should buy? Give examples of US and UK shares please.”
Chatgpt: 🧭 Summary: stocks to watch
US Options: Apple, Amazon, Alphabet, Nvidia, AMD
UK’s choices: Rolls-Royce, GSK, Babcock, Lseg, Endava “
Initially, I was disappointed by giving the names of two for example stocks. After that, I began to decode what appeared to be a lazy set of high stock P/E. The American unit consists of home names technology companies with a strong focus on artificial intelligence. The British contained strong British industries such as defense, radar and technology.
What’s more, both lists were filled with clear names and huge institutions. These hidden gemstones are definitely not. Among my bold irritation, one name jumped in the British list for me.
Striking
I looked at him Babakuk (LSE: BAB) shares two years ago and a fan came out. The evaluation was also high. But if I had not already been subjected to another defense company, it might have taken. If I took a position in the Higher P/E share, I saw my triple share within two years.
There is a good lesson there. There is more than any company more than cheap or expensive. In the case of Babcock, the attractive details of the investment issue are the world’s leading military technology.
Anyone who monitors the sad state of the Ukraine war has noticed how the technology of drones has become vital. Well, Babakuk in the foreground, with innovations like Swarmcore In managing great drones.
One of the negative aspects of investing in any defense shares is its association with the conflict. I am sure that we all hope to get fewer wars around the world and the end of continuous wars as well.
Well, if this happens, the demand for defense industry products will decrease. Nevertheless, I think Babkok is worth taking a look at it.