Google Inc. qualifies for Enterprising Investors but not for Defensive Investors. The Defensive Investor is concerned with the lack of dividend payments and the high PEmg and PB ratios, while the Enterprising Investor is concerned about the lack of dividends.
Adobe Systems Inc. is no longer suitable for either the Defensive Investor or the Enterprising Investor at this time. The Defensive Investor has concerns with the low current ratio, lack of dividend payments, lack of sufficient earnings growth over the last ten years and the high PEmg and PB ratios.
CA Inc. qualifies for Defensive Investors and thus also qualifies for Enterprising Investors. The Defensive Investor’s only concern is the low current ratio, and even though the Enterprising Investor has concerns with the level of debt relative to the current assets, the Enterprising Investor is satisfied because the company is suitable for Defensive Investors.
Autodesk qualifies for the Enterprising Investor but not the Defensive Investor. The company fails the Defensive Investor’s requirements due to the lack of consistent dividend payments or sufficient earnings growth over the last ten years, and the high PEmg and PB ratios.
Microsoft Corporation is an excellent company for Defensive Investors and Enterprising Investors alike. The company passes all of the requirements of the Enterprising Investor and only fails the PB ratio requirement of the Defensive Investor.