Mark Grant, chief global fixed income strategist at B. Riley FBR, is generally focused on the bond market, but he had an interesting suggestion for long-term investors that he shared with Stuart Varney on Fox Business:
After quoting the adage “You buy when there is blood on the streets”, Grant suggested that for “appreciation games”, investors look “in technology”, where there are “good names” without any debt … you can make money on it, with a little patience. “
The S&P 500 Index
United States: SPX
fell 27% from its February 19 closing high, while the S&P 500 information technology sector fell 25%.
A tech-stock screen
The information technology sector S&P 500 has 70 companies. However, the sector excludes several companies that the typical investor would consider to be technological players. So we added social media companies, video game developers and Internet service companies to bring our list of “technologies” to 80 companies.
Here are the 20 companies on the list with the lowest long-term debt ratios, according to their latest financial reports, according to FactSet:
|Company||Teleprinter||Long-term debt / equity||Total return – February 19 to April 1||Total return – 2020||Total return – 2019||Date of last financial report||Industry|
United States: FTNT
|IPG Photonics Corp.||
United States: IPGP
|Arista Networks Inc.||
|Skyworks Solutions Inc.||
United States: SWKS
|Jack Henry & Associates Inc.||
|3.8%||-15%||1%||16%||12/31/2019||Information technology services|
|Take-Two Interactive Software Inc.||
United States: TTWO
|Alphabet Inc. Class A||
|6.8%||-28%||-18%||28%||12/31/2019||Internet software / services|
|Alphabet Inc. Class C||
United States: GOOG
|6.8%||-27%||-17%||29%||12/31/2019||Internet software / services|
|Paycom Software Inc.||
|Facebook Inc. Class A||
United States: FB
|8.9%||-27%||-22%||57%||12/31/2019||Internet software / services|
|Cognizant Technology Solutions Corp. Class A||
United States: CTSH
|11.5%||-38%||-31%||-1%||12/31/2019||Information technology services|
United States: SNPS
United States: ANSS
|Micron Technology Inc.||
United States: MU
United States: CRM
|Electronic Arts Inc.||
|Accenture Plc Class A||
United States: ACN
|14.1%||-28%||-26%||51%||02/29/2020||Information technology services|
United States: INTU
|F5 Networks Inc.||
United States: FFIV
|Cadence Design Systems Inc.||
United States: CDNS
United States: NVDA
You can click on the tickers to learn more about each company, including news coverage.
Scroll down to see all the data.
The table actually includes 21 shares, with the two ordinary share classes for Alphabet
United States: GOOG.
The stock screen is just a starting point for further research. The debt / equity ratios are on the dates indicated in the table on the right. A business may have issued more debt since that date or made other important announcements to investors.
If you see companies that interest you here, you should not only make sure that you are aware of the most recent announcements, you should also consider the strategy of the company and make your own opinion about its ability to remain competitive in the market. over the next decade.
Grant said there are opportunities in the tech space for investors “with a little patience,” but these are really long-term games. What does “a little patience” mean to you? If you get discounted stocks now, you may have to wait a few years to earn money.
Do not miss:These 60 large American companies are “sensitive to a dividend cut”, says Jefferies