Info!! Cash Non All The Same Manlike Mortal Monarch When It Comes To Marketplace Performance

With the credit compaction upon us, ane powerfulness facial expression relative stock marketplace outperformance from cash-rich companies that tin finance their ain expansions, accept wages of undervalued companies for strategic acquisitions, together with ride out cyclical declines inwards business. According to Financial Times, vi publicly held U.S. companies that concur the close cash are (billions USD):

Berkshire Hathaway (BRK.A): 106.1
Exxon Mobil (XOM): 28.2
Apple (AAPL): 24.5
Cisco Systems (CSCO): 19.9
Microsoft (MSFT): 18.7
Google (GOOG): 14.4

Since Nov (chart above), these stocks equally a whole stimulate got non outperformed the S&P 500 Index (SPY; left close column on chart). Nor stimulate got they outperformed on a year-to-date basis; all, except XOM, are downward to a greater extent than than 35%, spell SPY is downward 39%.

This volition last an interesting grouping of stocks to follow going forward. While they concur an impressive stash of cash to weather condition economical storms, annotation that the entire grouping holds less than one-half of the $700 bn authorities resources allotment to TARP, mayhap obscuring the value of their financial prudence.

Interestingly, the greatest prudence belongs to China: 3 of the orbit 4 cash asset companies worldwide are Chinese banks, spell Communist People's Republic of China Mobile checks inwards at set out six.
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