Of all insight I've heard over these few crazy months, the
most telling came from an investor who appeared on CNBC last
fall and, being entirely serious, advised, "There're only two
positions to be in right now: cash, and fetal."
I get it. Even with the recent rally, the economy remains
wrapped in failure. Big failure. Many companies that
overleveraged their balance sheets are permanently impaired
and will never fully rebound. We had an unprecedented boom;
now we're crawling out of an unprecedented bust. That's how
markets work.
Even so,Â
history tells us time and time again that the
good gets out with the bad in times like
these. Using the wisdom of our
140,000-member-strong
CAPScommunity, I've hunted down a few dirt cheap,
high-quality companies. Have a look:
Company
Recent Share Price
Forward P/E Ratio
5-Year
Expected Growth Rate
TTM Return on Equity
Dividend Yield
CAPS
Rating  Â
(out of 5)
Berkshire Hathaway
(NYSE: BRK-A) (NYSE: BRK-B)
$101,530
18.62
5%
2.52%
N/A
*****
Verizon
(NYSE: VZ)
$29.10
11.64
4.65%
11.77%
6.5%
****
Consolidated Edison
(NYSE: ED)
$40.95
12.41 Continued... |