technics on stock market 1. Which stock would you prefer to buy and why?Acme Rotisserie Oven (ARO); Rigamarole Cell Phon

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answerhappygod
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technics on stock market 1. Which stock would you prefer to buy and why?Acme Rotisserie Oven (ARO); Rigamarole Cell Phon

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technics on stock market
1. Which stock would you prefer to buy and why?Acme Rotisserie Oven (ARO); Rigamarole Cell Phones (RCP); or Gotham City Waste Management (GCM).
Acme Rotisserie Oven (ARO)
Acme Rotisserie Ovens produces three types of rotisserie for consumers, which can be used in the kitchen to cook many different types of food. The deluxe rotisserie costs $49 while lowest price version runs $29. ARO pays an annual dividend of 20 cents per share on earnings of $1.00 per share. The company also has grown earnings at a rate of 8% a year for the past six years. ARO makes $4 of profit on every high priced rotisserie and $3 on the other types. ARO has many competitors but has the most widely known brand name in the industry. In fact “Acme” has become rotisserie the same way Kleenex has for tissue. ARO currently trades at $10 per share.
2. Rigamarole Cell Phones (RCP)
Rigamarole Cell phones makes basic cell phones with internet-enabled technology. RCP sells its phones to companies like Verizon and ATT who in turn package them for customer use. Company pays no dividend, instead preferring to invest all of its money back in the business for growth. The company has grown earnings at a rate of 15% a year for the past two years. RCP is not currently making a profit on its cell phones but expects to within three years against a background of enormous projected future growth in earnings. RCP has many competitors, none of which however, possesses the novel chit-chat technology which displays a hologram of the caller’s face when the phone rings. RCP is beloved by its users. RCP currently trades at $40 per share.
Gotham City Waste Management (GCM).
Gotham City Waste Management collects garbage at 12,000 retail locations throughout the United States. Gotham not only collects garbage but cleans in front of each retail location on every trash-collection. Since public garbage collection in Gotham does not exist, GCM is able to have many clients. GCM pays a dividend of $1.00 per share on earnings $2.00 per share. The company has grown earnings at a rate of 7% a year for past 20 years. GCM makes $1.00 of profit of every $3 it takes in. GCM is often hated as a company because everyone looks at it as a money-grubbing quasi monopoly. GCM currently trades at $20 per share
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