Google not a buy right now
- Thread starter eagle488
- Start date
Yep, they dont live forever. However, there are some companies that will live a lot longer then any person reading this post. Those companies that will have a very long life are easy to spot.
Goldman Sachs is one example. It is a bulletproof entity that can resist just about everything except nuclear war. Many of their former employees are at high levels within the government and in the corporate world. They have been in existence since 1869. I can say with confidence that this company will last for a few hundred years.
Large insurance companies are another good example. The concept of insurance has been around since 3000 BC. In 1750 BC, some of the first insurance contracts were written by the Babylonians. The only way the need for insurance will cease is the extinction of the human race.
Coca cola, Pepsi and McDonalds. Human beings love that sugar high and the taste of the cheap fatty foods. These companies are in every part of the world and they just keep expanding as the population increases.
Proctor and Gamble- Been around since 1837. Their products can be seen in any store around the nation. There is always a need for their products and few companies compete with them.
Google, Yahoo, etc. are examples of companies that will most likely have a short life. I dont mean a few years, but maybe 20 or so years. I can imagine a time when Google and Yahoo probably will merge operations. The enthusiasm for Yahoo was great in the late 90s and then Google took over. Who is going to take over in 2010? At this very moment, someone is programming a better search engine or a better website.
Another reason why I believe that Google and Yahoo will have short lives is that when I look under the dividend section I see the words "N/A".
When Warren Buffet says he doesnt understand tech companies, he doesnt mean that he doesnt understand computers. He means he doesnt understand how a company can exist without a dividend. Why would I place a stock in my long term portfolio that doesnt have a dividend reinvestment program? It does not make any sense at all. What would be the reward for me to hold these types of companies?
Those companies that will be around almost forever are easy to spot. They are the large cap dividend producing companies that have been around in your life since you were born.
What about Ford and General Motors? Nope they wont go bankrupt. They are so big and employ so many people that the government would not allow it. In fact, the governments pension company cannot afford to take on the pensions of these large organizations. They are going to shimmy around for just a bit more, but they will survive and, in a few years, they might once again power forward. I would like to see GM and Ford merge together though.
Why is that pumpee and dumpee manchester thread still on here at elite trader?
At first it seemed funny..now it is getting ridiculous with all these sudden new users
posting pumpee trash..
I'm ignoring that stupid thread now and BTW, what does it have to do with GM and Ford?
NOTHING
GM and Ford could merge and call themselves:
Patriot Motors
At first it seemed funny..now it is getting ridiculous with all these sudden new users
posting pumpee trash..I'm ignoring that stupid thread now and BTW, what does it have to do with GM and Ford?
NOTHING
GM and Ford could merge and call themselves:
Patriot Motors
I observe GOOG price increasing above historic record high price.
that sounds so cheap ... kind of a yugo of american brands.
very fitting