In part 1 I looked at the most reasonably valued 10 stocks out of the 30 Dow Jones Industrial Average Constituents. In this part 2, I examine the second tier of 10 Dow stocks that are overvalued generally to illustrate how richly valued the market is.
It is important to point out that the 30 Dow Jones Industrial Average stocks represent some of the highest quality companies on the planet. However, it is also important to recognize and accept the undeniable reality that even the best companies can become overvalued from time to time.
But even more importantly, in the long run, fundamental values reign supreme. The point is to avoid initiating investment when valuations are high and patiently wait for your favorite companies inevitably returning to intrinsic value. The rewards will be worth the wait.
In this video I will be going over Cisco Systems (CSCO), Johnson & Johnson (JNJ), 3M Co. (MMM), UnitedHealthcare (UNH), Caterpillar (CAT), Procter & Gamble (PG), Walmart (WMT), Home Depot (HD), American Express (AXP), Coca Cola (KO).
FAST Graphs Portfolio Review Dow Jones
FAST Graphs Analyze Out Loud Video
— Chuck Carneval
Experts predict this industry could grow to $15.7 trillion by 2030. You don't want to wait on this one.
Source: FAST Graphs