Should You Buy The Stocks Of Governmental Companies?

[Good-Person]

There are many companies that are owned by the government. Such kind of companies are also listed in the stock exchange as well. So, you can buy the shares of such kind of companies as well. So, should you buy the shares of governmental companies?

 

[Busybee]

Government stocks, also known as government equities or government shares, are issued by national governments to raise funds for public projects and operations. Investors who purchase government stocks become part owners of the government and are entitled to dividends if the government generates a profit. However, government stocks are relatively rare and are typically only available in certain countries.

 

[DigitalNomad]

In my home country, most of the companies owned by the government are not doing well. There are two reasons, one, the government is not geared towards making profits, and two, there is corruption.

 

[hastral45]

It is expected that investing in governmental companies should be profitable, but due to poor management in running the companies as a result of corruption, some of those companies don't recorded success. There are some of them that have become liquidated as a result of government influence on them.

 

[Joy123]

It's more beneficial to buy private company. PS USA generally do create wealth for investors. There is alot of interference of the government. The government keeps on changing the policy decisions. The key menagerial personnel keeps on changing. There are better options available in no-government sector.

 

[Mostee501]

Governmental companies can have certain advantages and risks. On the positive side, these companies may have stable cash flows, government support, and a lower risk of bankruptcy. It is crucial to conduct thorough research and analysis before making any investment decisions. Consider factors such as the financial health of the company, its competitive position, industry trends, and the overall economic and political environment.

 

[tray59]

It is expected that investing in governmental companies should be profitable, but due to poor management in running the companies as a result of corruption, some of those companies don't recorded success. There are some of them that have become liquidated as a result of government influence on them.

Buying a stock with governmental companies is not bad but due to poor management I will prefer to buy stock with private company which yield better return and safe for years

 

[riberet19]

I don't like governmental companies to invest in, they are generally financed with public money and they have no real incentive to do work above expectations that could bring future returns because they know that whatever they do they will continue to be financed, on the other hand, private companies need private capital and if they don't prove their worth, the capital will go where it came from and they need to work hard and demonstrate that they are capable of generating returns and progress.

 

[akinlolu99]

hmmm, me I don't trust stock worst of all I don't even trust my countries in stock. My country is not doing very well financially and having to invest in government stock I don't see it as a smart month right now with the way the country is currently.

 

[Grant]

I think I would only invest in governmental companies or things that can help benefit others or the community. I think that's what I would strive for.