December 8, 2017

G4S - 585 000 employees and a good value

Dr. Stern's personal top 10 for England features the usual suspects: Royal Mail, Aviva, Anglo American and obviously Rio Tinto. Because it’s London, the list has a strong overweighting of financial companies and commodity conglomerates.

Naturally, we need resources and also banks and insurances. But do we also have to overweight these sectors like the index funds are doing?

There aren’t many arguments to follow this approach, especially if you’re concerned about the climate.

That’s why he's happy that a service provider is among the list: G4S, a UK company with 585,000 employees. According to our analysis, they are cheap with a value rank of 83 and are also growing fast with a growth rank of 89.

The financial side is therefore in order. And the industry as well, because there aren’t enough service providers on the stock markets, which are dominated by finance and commodity corporations.

Is it possible that the ranks are wrong?

Dr Stern does a Google search and only find positive things. Many financial institutions recommend buying G4S. He doesn't have to think about it any longer and he uses his weekly investment budget of USD 5,000 to buy 15 shares of G4S on the London Stock Exchange.

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