04-22-2015, 08:44 AM
Very good question, I really don't know if there is anything that sets them apart. None of these companies are really relying on any single product line and their income comes from thousands of different products, like you said it's futile to try and understand all of that in details. In the end it's about their management and how good they can be at creating new high margin products.
Valuation seems to be roughly the same with all 3 of those, MMM being the only one that jumps over P/E 20. With my super low fees I guess I could just aswell grab shares in all 3 of those, and throw GE in the mix just for fun. Wouldn't make a noticeable difference commission wise but I think it's easier to keep track of what's going on if I don't own a million different companies.
I'll take a deeper look at some of the other similar ones, HON does look good but of course there are many similar options available.
Valuation seems to be roughly the same with all 3 of those, MMM being the only one that jumps over P/E 20. With my super low fees I guess I could just aswell grab shares in all 3 of those, and throw GE in the mix just for fun. Wouldn't make a noticeable difference commission wise but I think it's easier to keep track of what's going on if I don't own a million different companies.
I'll take a deeper look at some of the other similar ones, HON does look good but of course there are many similar options available.