By Chloe Lutts, editor of Dick Davis Digest
As an investor, you can take advantage of the growth of our new economy by investing in innovative companies in growth industries. Technology and Green are two of my favorites.
One interesting stock in the technology area is Red Hat (RHT), which was recommended in the most recent Dick Davis Digest by Kevin Kennedy, Editor of the Coolcat Technology Plus Report. I know Red Hat for its free, open-source Linux operating system (an alternative to Windows and Mac) but the company also provides paid enterprise-level services (NYSE Euronext is a client). Of the stock, Kennedy wrote:
“Red Hat (RHT) provides open source enterprise software solutions. The company has reported sales gains for eight straight years and has 30 straight profitable quarters to its credit. It has also recorded year-over-year quarterly revenue gains for 28 straight quarters. It has no debt and more than $800 million in cash. The steady growth has attracted a premium valuation as it’s valued at more than seven times sales and has a PE of 64. The stock broke out of a four-year base to barely set a new all-time high in June, but has since pulled back about 6%.”
To learn more about Red Hat and other top stocks featured in Dick Davis Digest, click here!