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(a) Companies with low P / E(b) Companies with low P / BV (c) Companies with high dividend yield(d) All of above
[Note: P=Price E=Earnings BV= Book value]
I guess option d is the best answer
The value investor looks for stocks with strong fundamentals - including earnings, dividends, book value, and cash flow - that are selling at a bargain price, given their quality. The value investor seeks companies that seem to be incorrectly valued (undervalued) by the market and therefore have the potential to increase in share price when the market corrects its error in valuation
Option D is the answer................
(d) >>>>>>>>All of above<<<<<<
All of above. The idea is to buy stocks of that co. Which has potential of growth in the future and their shares are undermined due to over reaction of stock market on a single bad news. investors like warren buffet actively seeks such opportunities to cash in their investment with higher returns in the future. By the way it doesnt require any rocket science to foresee co. Performance you just have to see the co. From customer's perspective. Simple as that...
all of the above option - d ...........
ANSWER
(c) Companies with high dividend yield
correct answer is D .....
THANK YOU
I think its Option : (C) Companies with high dividend yield
How it come to invest in companies that has low price, earning and book value?!!!
d) >>>>>>>>>>>>>>All of above
(d) All of above.............................................
