Sentences with phrase «growth cyclical businesses»

Not exact matches

But remember that commercial aircraft is still a cyclical business (generally trailing corporate earnings growth by 12 to 18 months).

The low beta, or relative risk and performance to the market, will show that these stocks tend to either perform better - or at least not as poorly - as cyclical stocks in bad times and will usually not be most investors» focal points during the boom part of the business cycle when investors are busy chasing technology stocks and high - growth companies.

IR's objective to sell off cyclical, low margin businesses and to buy businesses with faster, steady growth is working well thus far.

The chart below shows illustrates this with the consumer staple companies (Coke, Pepsi, Colgate, and Procter & Gamble) having much larger payout ratios than cyclical business (Dow and Deere) and growth companies (Visa and Roper).

They are looking for companies that they believe are «reasonably priced, and have strong fundamental business characteristics, sustainable earnings growth and the ability to outperform peers over a full market cycle and sustain the value of their securities in a market downturn, while [trying to] avoid investments in companies that it believes have low profit margins or unwarranted leverage, and companies that it believes are particularly cyclical, unpredictable or susceptible to rapid earnings declines.»

When a company has a consistent track record of raising its quarterly payouts even under circumstances in which its industry is facing challenges, investors can take confidence that the company knows how to navigate the cyclical nature of its business and still foster long - term growth.

But the main thing is that we want this to be an upward trajectory growth business, not a cyclical business.