How to choose a company for investing ?

Question

I want to know how to choose a company to do an investment. ie knowledge to invest.

Answer 1

How to invest depends on what you already know. We'll assume that you're beginning.

A good primer is How to Make Money in Stocks by William O'Neil. You can get it cheap just about anywhere. It’s widely available new or used.

Another good one is one of Jim Cramer's books.

But books will only get you so far. At some point, you'll also want to get at least a little training. There are some great education companies if you want to make the investment. Investools.com or optionetics.com are both very good companies as is tmitchell.com

For free, you can start by visiting thestreet.com. That'll get you a pretty good primer so at least you'll understand what the markets are and what a stock is, etc. If you get a chance, watch Mad Money on CNBC. Don't trade any of his picks. Just use the show to get you to understand some basics and get a feel for the market itself.

Next, subscribe to something like investorsbusiness daily or something like that that can help you identify good stocks.

Do a quick search (at the top of the page) on ROTH IRAs. You’ll want to put some money in there.

Once you understand stocks, go to 888options.com. It's a website that'll help you understand options (what they do, how they work, etc). You don't need to trade them, but the more you know, the more you'll see how options can really be the safest way to invest (once you're educated).

As you get more advanced, you might want a technical analysis book like Murphy's Visual Investor or A Technical Analysis Course by Meyer.

If it's discipline (which is crucial to successful trading), probably Trading in the Zone by Mark Douglas or Mastering the Trade by John Carter

I know that’s a LOT to absorb. Just take it one step at a time for now. Start slow, then as you figure things out, move out of mutual funds into ETFs and/or stocks.

Congrats on getting started. If you have any questions, please let me know.

Hope this helps!

Answer 2

Are you looking to buy stock or find a company that you can place money through? My company does real estate placement for investors.

1. Determine what your financial goals are for your investments.
2. Determine your risk tolerance.
3. Identify how long you wish to invest. Are you going to need the money in 2 weeks, a year, 10years? This will place limits on what you can invest in.
4. If you don't feel comfortable. Don't do it. Trust your instinct

Answer 3

hi there,

its simple yaar. i would suggest you to invest in companies that are traded daily i.e. blue chip companies.

no doubt the share prices of some companies are very high but the rewards too are good.

you can earn rich dividends + bonus shares ( when they are doing extremely well) and so on.

but you need to hold these shares for a minimum period of 3-5 years inorder to have a fair idea of how the value of your stock grows..

all the best

do well

Answer 4

Invest in companies that you are interested in... things that you and people around you use every day... then jump in !

If you mean as in a financial institute with a financial planner then asking here to get peoples opinions on their planners was a good move ! I have been happy with "American funds group" go online here and search for the nearest one to you. See what they have to offer !

Answer 5

Supply and demand for their product or service. Have suppliers saturated the market yet? Is there still more demand for the product than suippliers in the sector can provide? If so, that keeps prices and profit margins up. If prices, for the companies product, are falling then demand is probably also or competition among suppliers have saturated the market.

Answer 6

buy business newspaper or go on interner and do reserch about the concerned party and find out what is companies possibilities are for next 5-10 years

Answer 7

Look at its financial ratios...and how much earning per shares they have