Dow Jones Industrial Average 17,280.83 (Way Down!) Week Ending 12-12-2014
Dow Jones Industrial Average 17,805 (Way UP!) Week Ending 12-19-2014
I can only hope that we have put in some type of bottom for a while with this drop in oil price. It will allow us some kind of baseline data to calculate how companies will do in 2015.
One company I like here with consumers having that oil savings in their pocket is Discover Financial Services (Symbol DFS, $65.09). (The price a week ago when I started writing this article was $61.81. Busy Christmas chores have delayed me.)
Discover meets my baseline investment criteria having a PEG Ratio of 1.22 and a Return on Equity of 24.09. Pretax ROE is 36%.
Annual revenue for this lesser noticed credit card company is $8.568 Billion dollars. Nothing to sneeze at. Revenue growth has been 6.1% annually.The company offers a annual dividend yield of 1.55%
The company gives off Quarterly Free Cash Flow of $1.026 Billion dollars.
On the Earnings side, the company currently has a low PE of 11.8. The 3-5 year earnings growth has been 35.6%. Earnings per share for 2013 was $4.96 per share. 2014 is projected at $5.25 per share and for 2015 it is projected at $5.53 per share.
The two year stock chart on this stock shows a nice steady and stable rise. The Year to date stock return is 12.24. The One year total return on the stock is 14.41%. the 3 Year return on the stock is 166.8%. So a good long term investment prospect for my taste. I think this would be a good investment for the "Financials" section of your diversified investment or retirement account. Don't try to be a hero in 2015. We have had 3 double digit gain years in a row, so this year you should look to stocks that have given steady returns. I would buy this one on a dip here.
Happy Holidays and eat and be well!
Merry Christmas - Freewilly
(next week we will review the Freewilly 14 for 2014 picks to see how I did).
Dow Jones Industrial Average 17,805 (Way UP!) Week Ending 12-19-2014
I can only hope that we have put in some type of bottom for a while with this drop in oil price. It will allow us some kind of baseline data to calculate how companies will do in 2015.
One company I like here with consumers having that oil savings in their pocket is Discover Financial Services (Symbol DFS, $65.09). (The price a week ago when I started writing this article was $61.81. Busy Christmas chores have delayed me.)
Annual revenue for this lesser noticed credit card company is $8.568 Billion dollars. Nothing to sneeze at. Revenue growth has been 6.1% annually.The company offers a annual dividend yield of 1.55%
The company gives off Quarterly Free Cash Flow of $1.026 Billion dollars.
On the Earnings side, the company currently has a low PE of 11.8. The 3-5 year earnings growth has been 35.6%. Earnings per share for 2013 was $4.96 per share. 2014 is projected at $5.25 per share and for 2015 it is projected at $5.53 per share.
Happy Holidays and eat and be well!
Merry Christmas - Freewilly
(next week we will review the Freewilly 14 for 2014 picks to see how I did).
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