I'm planning to add some new stocks to my portfolio but I can buy only 3 companies. The ones I'm thinking about are:
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BNP Paribas – cheap like all European banks, made good earnings even during peak COVID (unlike many other EU banks), pays high 6 % dividend and recently started stock buybacks,
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CVS Health – had constant growth in the past years and it is projected to still grow in future despite low P/E of 10,
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Mercedes-Benz – luxury automaker that already sells 19 % EV's, and it's cheap (current and forward PE of just over 4, still less than 8 if we look at 10Y average); also it has okay level of debt (interest coverage of 19); I've been also considering BMW,
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Comcast – growth is projected (though slower than in the past) and P/E is low (11, forward 9),
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Warner Bros. Discovery – I'm not sure about this one as it has negative earnings but free cash flow is strong.
How would you rank these companies as investments? I'd especially like to hear bear cases for them.
As of now I'm leaning towards buying at least Mercedes and CVS.
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