The public operator of gambling, FDJ has seduced me since its privatization in 2019. Result! I did not hesitate to acquire its share as soon as it was listed on the stock market. Personally, my investment was rather interesting. Indeed, like thousands of satisfied traders, I managed to reap huge capital gains thanks to FDJ shares. But that’s not all ! I also bet on a profitable investment. I’ll tell you the reasons.
Before my investment, I first inquired about the price of FDJ shares. After my research, I was surprised at the enthusiasm of some traders. Indeed, those who bought it at 19.50 euros are currently getting a huge capital gain, since the price is now set at 35 euros.
According to a financial analyst, the FDJ stock managed to outperform the CAC 40 in terms of performance. Since the opening of its capital, that is to say its privatization, it has climbed 33%, while the CAC 40 has only increased 2%. In just 1 year it has been so successful.
However, like any business, the operator faces difficulties. Take the example of the effects of the March 2020 crash, where the company experienced a drop in activity. This situation slightly reduced its turnover.
Despite the crisis, FDJ has bounced back well. As proof, the share price soars during the deconfinement of May-June. Currently, we can say that its value is stable.
Before buying FDJ shares, I based myself on its price, but not only. I also referred to the price of the dividend. After all, the latter remains an important criterion for the acquisition of a title. In this case, I therefore inquired.
After my research, I knew that the proposed dividend is down. If the main shareholders planned to pay 0.64 euro at the time of the IPO (entry on the stock exchange), they finally decided to reduce to 0.45 euro per share. Personally, this drop disappointed me slightly, but after consulting the benefits of the action, I changed my mind.
If I am interested in the FDJ share, it is because it has many advantages. The most interesting is certainly his financial situation. According to its balance sheet, the company has very little debt. Its cash flow is therefore in good health, despite some difficulties.
Beyond its financial aspect, the company also has a rather interesting independence from the economy. Did you know why? Because its activities are independent of the economic cycle.
And above all, the company is also very reputable. Its popularity is part of its asset, as it attracts thousands of customers.
However, like all stock market transactions, the purchase or sale of FDJ shares always presents risks. Let’s take the example of the fall in the price that could happen because of the new health crisis. Otherwise, the company may also face many competitors who try somehow new strategies to attract customers.
In any case, the best way to make your investment profitable is to find out about the evolution of the price regularly.