 Good day fellow investors. Now, why do I talk about the DEX index when I just recently said in a video that Europe is toasted? I still agree with my opinion that Europe is toasted, but I always like to keep an eye on what's going on in every country, in every sector, in every environment, valuations, comparisons, finding undervalued gems in Europe will also lead to positive returns, no matter what happens in Europe. So therefore, I want to share in this video my research, my view on the German DEX index. As we all know, German is the motor of the European economy, the most stable, the most productive, the most everything country in Europe, and I think you everybody agree, especially if you're German. So if you're German, click like on the video. Apart from the jokes, let's go into the DEX index. You can see here that the DEX index is up 50% since 2007, which is much less than the SAP 500, that's up 112%. So perhaps there might be something undervalued there, especially for those who invest only in the stocks of the top indices around the world. The best way to analyze an index is to analyze it individually, stock by stock, valuation by valuation, cap ratio, dividend yield, price to book value, stock by stock. So here you have the DEX index analyzed stock by stock, price of the stock, price earnings ratio, 10 year average earnings per share, cap ratio, dividend yield and price to book value. You can see how Edidas is very expensive, 35.1 Nike has a price earnings ratio of 23, so current trends in fashion, current feds, but nevertheless, I would prefer to buy Nike, I'm sorry. Then we have cheaper stocks marked with green, Allianz, insurance company, didn't dig into that, but perhaps in another video, Basf, chemical company, very interesting. You have the car manufacturers that are cheap, Deutsche Lufthansa, another insurer, I wouldn't dare to say that in German, Münchener, Ruckwerke, Wonovia, again probably I said it wrongly, and Volkswagen. If we look at the average, the average price earnings ratio is 23, however the average psychically adjusted price earnings ratio is 43. So that's a very, very high cap ratio. So I would avoid investing into companies which have such a high cap ratio. However, there are companies with much lower cap ratios and those are the ones we are going to look at. Price to book value is also very high at 3.24. So in general, the German market is expensive, perhaps not overvalued when you compare it to interest rates in Germany and those kind of things, but in general from a value perspective, I prefer much cheaper investments that offer better potential earnings and business returns. Nevertheless, let's look at the cheap companies in the DAX index. Let's start with Daimler or the German big free car manufacturers, they're all cheap. They're all cheap because people expect terrible car sales. However, those companies are not that dependent on Europe and they are exposed to growth in Asia. Here we can see the sales growth of Mercedes-Benz cars in China and you can see how it more than doubled in the last four years and it's still extremely big in the first six months. Daimler also released very good results, high earnings, high dividends for a very low PE ratio. When you compare Daimler, which is a powerhouse, history, technology, perfect cars, whatever you want, and they are getting into electrical vehicles with all they have investing 10 billion in electrical vehicles, shortening the time that they hit the market with those. And their price earnings ratio is 6.5 with the CAPE ratio, so cyclically adjusted over 10 years of 11. So even when calculating in the great recession in 2009, their CAPE is still at 11. So when you compare that, they are also building factories, they also will be producing electrical vehicles and you compare it to Tesla, then you understand how crazy this market is. If you own Tesla, buy Daimler. Logical. Another company that I want to talk about is Bass Chemical Company. Again, you see how sales are all around the world. As chemicals are more demanded in China, in India, Philippines and so on, there will be more business for Bass, especially when you have this scale, when you're the largest company in the world. What is also positive is the dividend yield of 3.7%. Daimler has also dividend of 5.4%, which I expect to be there seeing how the company is continuing to grow. Another interesting company is Lufthansa, very low price earnings ratio, and people forget that Lufthansa is the big company played by Strikes and everything, but is also owning Eurowings, which is a low-cost operator that grows 4.5% organically year per year. You can see here how sales around the world for Lufthansa have been improving in the last year, so very positive outlook. Of course, you need to do your own due diligence and dig deeper, but it's an interesting play. It's an especially interesting play as Lufthansa is still cheap, but one year ago American airlines were still cheap, and then Buffett bought in because he thought they were too cheap. Lufthansa is still too cheap, so if you held American airlines, now they are much more expensive, three times more expensive than Lufthansa, you might want to diversify with Lufthansa, buying the cheaper stock out there in order to rebalance your portfolio. Another company, another interesting company is Vonovia. It will be a REIT. It has 355,000 apartments across Germany, and what's interesting about that company is that it's a real estate company, and what I like about that company is that it gives you protection against inflation, because if inflation goes up, in every contract with tenants, it says that the rent will be adjusted by inflation, so they give you protection from inflation, your own real estate, and then on top of it, their debt is fixed. If we look at their debt rate, the average debt maturity is 6.7 years with a very low interest rate, so if inflation hits Europe, they will rise prices, and only later will they have to borrow at higher costs, so that's a benefit from Vonovia and from companies like that. The free funds from operation is 1.88, so in comparison to the current price of 45 euros, the yield is around 5.5%. Nevertheless, the company looks attractive in comparison to the rest of the market, and I prefer real estate in Europe than anything else, especially with the money printing going on. It could be a very, very good long-term investment, because real estate, the number is relatively fixed, so if you're interested, you can dig deeper into this company. So by looking at the decks, it's easy to conclude, okay, you can say overvalued. However, if you have a very well diversified portfolio across the world, you can really find some interesting investments in the decks, which are relatively cheap, in comparison to what they have been doing in the past 10 years to their global presence, and to the fact that they can borrow at low interest rates. They can borrow at negative interest rates from the ECB, which gives them a global advantage. If you have any other European investing ideas, please leave them in the comments. I'm happy to look at them. I thank you for sharing your research and information. I hope I help you with my research. Click like if you like the content, don't forget to subscribe if you haven't, and I'll see you in the next video.