[Jerome]

Hi

Defensive stocks are supposed to perform better in a market downturn.

Indeed this stock has a low beta, however I would not say that it is what would come to mind first when talking about defensive stock. We are still in an industrial and techno sector. And then the PE ratio is really very high, while the dividends are miserable and decreasing in addition. A low PE and an average and increasing dividend is better to play a defensive role.

On the other hand, you are right to point out that the title offers a low P/B, and to that we must also add a low P/S. This is clearly better. The debt is also low, which avoids playing on a leverage effect. The P/FCF is also reasonable.

In short, profits have fallen since 2012, but the price has remained the same, so the PE has risen. It does indeed seem that the book value is playing its role as a shock absorber.

In the end, look at the graph over 30 years… it’s not really defensive. But it’s hardly moved since 2002. Maybe it won’t go down anymore, but maybe it’ll stay flat for another 10 years…

[Jerome]

and to add a little layer…

The so-called Warren Buffett ratio is at a new record.

even if it's not really yet at a new record, it's true that it's very high... it's really starting to get hot!

 

[Jerome]

I was looking for an excuse to part with some overvalued stocks…;-)

[Jerome]

I misread... I thought it was a US deposit... But we are talking about US shares...

I assume that if we separate the assets into several accounts it doesn't change anything...

[Jerome]

No information on this subject but for non-residents I don't really see the purpose of this rule... You just have to inform your spouse of the accesses or give the signature and if necessary he transfers the assets without informing of the death... Or maybe there is something I'm missing...

[Jerome]

10 euros is correct.

Indeed, some brokers agree to cover transfer fees.

[Jerome]

In this last case just check the securities transfer fees. We often forget to do this when we open an account and then we are a prisoner of our broker.

[Jerome]

IBM is taking a bit of a beating with its stock price and earnings falling.

As already said, we must be wary of falling knives. Especially since the market is clearly overheating.

That being said, it is a very nice company, very resilient and there are not many quality stocks available at the moment. From a long-term dividend-oriented perspective, it is still interesting.

I already have some and I don't have the principle of reinforcing, on the other hand I think that this title deserves to be monitored with a view to a future purchase, if one does not already have one.

Let's see what the algorithm will say this weekend.

[Jerome]

Small clarification for IB

1) no minimum fee of $10 per month if the account is over $100,000

2) if under 25 years old: minimum fee 3 USD per month

3) Fees only apply if transaction fees fall below $10

 

 

 

[Jerome]

No, I assure you, your eyes are wide open! 🙂

[Jerome]

Hello, I don't know this broker, apparently Dutch (?). It is certainly cheap, but still more expensive than Interactive Brokers whose reputation is well established. As for choosing a foreign broker, I prefer the latter. And be careful, if I read correctly, for the dividend (€1.00 + 3.00%), these are processing fees. So it would be added to the withholding taxes. In any case, you cannot escape tax, even with a foreign broker. For example, with Interactive Broker, for a US share, I have a withholding of 15% for the US tax authorities only, but I will be taxed as income for the rest by the Swiss tax authorities during the annual declaration.

So if these are dividend processing fees applied by the broker, it's far from great! Curious to have Mystik's feedback on this point.

[Jerome]

The title is interesting. It's more the market that is less. So if you want to start with that why not, but go there modestly. That will prevent you from being disgusted right away, as I was in 2000.

And then it's true, as the saying goes, you don't catch a falling knife... Even if I still do it sometimes😉

[Jerome]

Hi Felix

Welcome among us. It's nice to have music lovers here😉

Thank you for your compliments on the site.

As you say, time is your ally and since you're starting early, you're off to a good start!

Looking forward to reading you again.

[Jerome]

I always loved this guy 😉

[Jerome]

Hello

Yes, you should always keep cash.

Anyway, if you apply the principle of saving a part of your income at the moment, you can't buy much. So it goes into cash.

[Author]

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