Defensive action

As regards purse, a defensive action is an action of company whose activity and benefit are affected little by the economic fluctuations, for example which provides basic services (water, electricity), current food and other basic commodities.

Stock exchange consequences

On the level of the stock exchange Profile, a defensive action is distinguished thus from a cyclic Action or a Action of growth. Its Earning per share and its Stock exchange courts tends to vary only moderately whatever the stock exchange economic situation.

Of this fact it presents a risk more limited than of other actions, and on the other hand rather weak prospects for progression. On the basis of usual criterion of evaluation (PER…) this course is generally lower than that of the action of growth and higher than that of the cyclic action.

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