Non-bank stocks diversify your portfolio

Article Excerpt

Most investors limit their U.S. Finance-sector holdings to big banks like J.P. Morgan. That’s mainly due to the high dividends of those industry leaders. However, the American market offers a variety of non-banking stocks in the Finance sector such as the three we analyze below. While they don’t pay dividends, they have above-average growth prospects. We see two of the three as suitable for new buying. EBAY INC. $28 (Nasdaq symbol EBAY; Aggressive Growth Portfolio, Finance sector; Shares outstanding: 962.8 million; Market cap: $27.0 billion; Price to-sales ratio: 2.7; No dividends paid; TSINetwork Rating: Above Average; www.ebay.com) operates e-commerce websites where sellers pay fees to auction items or offer them at fixed prices. The company also operates several other websites, including StubHub (ticket sales). These services are in addition to its local websites (among them Kijiji in Canada); it, in fact, sells classified ads in over 1,500 cities. In the three months ended September 30, 2018, the company earned $554 million, up 8.4% from $511…

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