What sector to invest in now and at the start of 2021? That’s a question that many of us ask ourselves in preparation for the new year. Let me therefore inspire you a bit, because today I will share with you 3 undervalued stocks from a sector which I find undervalued.
I will do this via a new video which I have published on YouTube. I’m trying to build my channel over there a bit, because I find it an interesting way to publish content and it allows me sometimes to explain some topics better with some visuals.
Therefore, if you enjoy my content, may I then ask you to subscribe to me on YouTube? I’m trying to see if I can grow my channel to 1000 subscribers in the upcoming month and I will publish a video at least once a week. Thanks a bunch already!
Back to the content of this video 😉
In this video I will explain to you why I think the specific sector is undervalued right now and I will provide you a high-level analysis of the 3 stocks.
Hence, the video includes:
- A brief introduction to the Cyclically Adjusted Price to Earnings (CAPE) ratio also known as the Shiller ratio
- A brief look at which sector I find undervalued
- A look into the metrics of 3 different undervalued stocks.
- 10 year dividend history
- Payout Ratios
- 5 Year overview of revenue, net income, Earnings per share (EPS) and Free Cash Flow
- My favorite metrics, i.e. ROIC more than WACC, Chowder Rule, Return on Equity
- A fair value estimate based on a slightly modified Discounted Cash Flow template from Sven Carlin.
To conclude, I hope you enjoy this video and that you have some additional inspiration in what sector to invest in now.
Did you miss my other videos? Have a look here:
Recent Purchase: Enagas SA – A high-yield European Utility
30 European Dividend Stocks – An introduction to the Noble 30 index
Yours Truly
European Dividend Growth Investor
Disclaimer
I’m not a certified financial planner/advisor nor a certified financial analyst nor an economist nor a CPA nor an accountant nor a lawyer. I’m not a finance professional through formal education. I’m a person who believes and takes pride in a sense of freedom, satisfaction, fulfillment and empowerment that I get from being financially competent and being conscious managing my personal money. The contents on this blog are for informational and entertainment purposes only and does not constitute financial, accounting, or legal advice. I can’t promise that the information shared on my blog is appropriate for you or anyone else. By reading this blog, you agree to hold me harmless from any ramifications, financial or otherwise, that occur to you as a result of acting on information provided on this blog.
What a magnificent overview, well done EDGI! NN Group is actually my 5th largest holding and I am very pleased with it. In the dutch dividend blogger community Polliesdividend is a shareholder and Mooidividend started a position a few days ago. The funny thing is we mentioned Allianz as well as a top pick in Europe. Both have strong fundamentals. When I added NN group in May (see my monthly update) I noticed that they accelerated their stock buyback program buying on low prices and anticipating measurements from the Dutch Central bank (which happened). This creates value for shareholders and… Read more »
Thanks for stopping by DKK!
You are right and Polliesdividend made some really great purchases there. I had a different opinion back then, but I flipped 180 degrees. He was right, I was wrong. He made money on it, I didn’t 😉
I hope to see NN Group back in the 20’s and You might see my starting a position around that time.
Thanks for the Ping An suggestion, will check them out!
PS: love your stock overviews, i.e. https://dekleinekapitalist.nl/hoogdividend/