Investing Wisely: Stock Picks for the 2024 U. S. Presidential Election

Elections can shake up stock markets, and the upcoming Trump vs. Harris race is no exception. Value investors are always on the lookout for bargains. Let's dive into some promising companies to consider adding or avoiding in your portfolio. Remember, investing is a marathon, not a sprint. Always start by looking at the fundamentals. Low Price-to-Book (P/B) and Price-to-Free Cash Flow (P/FCF) ratios are great indicators of potential value. Companies like Schlumberger (SLB), Halliburton (HAL), and Baker Hughes (BKR) in the energy sector have been attracting attention. But don't just take the ratios at face value; earnings growth should also be on your radar. Some big names like ExxonMobil (XOM) and Chevron (CVX) might seem steady, but is their growth keeping up with their stock price? You need to ask these questions before making any investment decisions. Tech giants Amazon (AMZN) and Meta Platforms (formerly Facebook, META) need special mention. They've been innovative powerhouses, but are their valuations justified? A critical look at their earnings growth versus their stock performance is crucial. Index tracking is another smart strategy. Using the Dow Jones Industrial Average as a guide, along with Joel Greenblatt’s Magic Formula, can help make your investments tax-efficient. Instead of buying ETFs, you can own the actual shares of the companies in the index. Diversification is key, and it’s not just about different sectors. Consider dividend ETFs like Schwab U. S. Dividend Equity ETF (SCHD) and Vanguard Dividend Appreciation ETF (VIG). They provide steady income while you wait for your other investments to grow. Remember, past performance doesn't guarantee future success. Your историkal performance might be great, but tomorrow could be a different story. Keep a close eye on economic indicators and geopolitical trends. They can clue you in on what's next for your stocks.