How do you know which to choose the parent company or the subsidiary??

Discussion in 'Stocks' started by Cabin111, Feb 27, 2023.

  1. Cabin111

    Cabin111

    I'll just make this quick. Was looking at JBSAY vs PPC. I do not intend to invest in either. But was wondering, one is the parent (Brazil) vs subsidiary Pilgrim's Pride (US).

    How do you put value on each? Do you look at the bond rating more closely of the parent? Just general thoughts please...
     
    murray t turtle likes this.
  2. maxinger

    maxinger

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    Business2122 and Peter8519 like this.
  3. Simply put, which entity to invest in depends on your purpose for investing in said corp. If you’re looking for solid existing cash flow value to exist on your books or in your portfolio for transient purposes then yea fixed or and current instruments may make sense when an entity piques your interest

    If you’re looking to gain directly from an entity at face value then you’re going to have focus on surface data, like charts, historical etc
     
  4. Cabin111

    Cabin111

  5. %%
    NOn US stocks tend to be more risky;
    basket of them= doing better than SPY this year, as educational example VEA+ such.
    In other words for a single stock\ even if you get all 500 things right, you will not know Brazil like the natives do.
    Good trade on semi-liquid Franklin Brazil ETF, not a long term investment..........