Three stocks Assignment Example | Topics and Well Written Essays - 500 words

Three stocks - Assignment Example These companies outstanding performance throughout the past five years in the stock market make them the most preferable investment option. Microsoft Corporation deals with the development, licensing, marketing, and supports software, services, and devices globally. It is based in Redmond, Washington and was founded in 1975. Apple Inc. deals with the designing, manufacturing, and marketing of mobile communication and personal computers, media devices, and portable digital music players across the globe. Its headquarters are in Cupertino, California and was founded in 1977. General motors deals with the designing, building, and selling of cars, trucks, crossovers, and automobile parts across the globe. Its headquarters of operation are in Detroit, Michigan and was founded in 1897. Microsoft has since the past 3 years been experiencing a huge gross profit year after year. Similarly General Motors and Apple have also had huge gross profits throughout the last 3 years. This strong financial record of the three companies is an assured well thought investment. This financial statements are summarized in the table below. Also, from the S&P 500 index the three companies show good trends from the past 5 years. The S&P is an important tool when it comes to investment since it depicts the free-float value of the major 500 corporations in the US equity market. The S&P 500 is constantly updated daily and can be used to track a company’s high and low stock prices for a period of 5 years. Hence, an important tool when evaluating the risk or returns of a particular investment. Data from the S&P index project a significant earnings growth in the three companies by over +30%. The S&P data index forecasts summary is shown in the table below. The three companies’ financial records with good profit margins and generated revenue have sustained the continual existence and profitability of the companies for decades. They have remained at the top despite the presence of