A star is born
Using the growth-share matrix and a simple valuation to identify star investments.
There are a million ways to skin a cat and even more ways to pick stocks. BCG, a big consultancy, tell managers to focus on dominant businesses in high-growth markets. They also suggest investors avoid dogs—firms with a small share of a low-growth market. If you don't overpay, they posit you'll do well.
Richard Koch, an ex-consultant, espouses this too. The now author and venture capitalist made a billion pounds with that method. "Take your winning from a star business, and invest in another that's still growing very fast. You'll likely multiply your money. Before long, you'll be rich." So, which ones are these?
Based on my research, the following ten stocks are worth considering:
Discover Financial Services (DFS — $29bn market cap)
Synchrony Financial (SYF — $14bn)
Ally Financial Inc. (ALLY — $8bn)
QUALCOMM Incorporated (QCOM — $130bn)
Contemporary Amperex Technology Co. Limited (300750 — $135bn)
ABB Ltd (ABBN — $72bn)
American Express Company (AXP — $128bn)
Oracle Co…