Against my broker's advice, I bought a bunch of Yahoo shares at $26.3 today. Are they a good bet at this time

Answer 1

Unless you are using your broker for advice which you follow, you are better off with an account at any internet brokerage company. Personally, I use Scottrade. But, there are several. Do your due dilligence. As far as that trade (Yahoo), I think it is O.K. Not a grand slam, in fact, not a home run. But a hit nonetheless. Again, personally, looking at the developing world economies, I like materials. My recommendations should mean nothing to you. That said, any global uranium play is a good move going forward. The same is true of construcion/material metals (non-precious) and obviously coal. There are any number of good companies in this sector. And, do not fail to look overseas. I've done alright looking abroad. You can too. REASEARCH is the key. Good luck.

Answer 2

Hmm..!! here's what's going on with YHOO. Yesterday, it was upgraded by Merill Lynch. As a result, it rose to 26 range from 25 range.

There're few reasons that this stock could rise. First, Yahoo is working to introduce new product, Panama search. When (early 1st quarter of next year) this goes live, its stock is expected to go up. Second, there're some rumors (today) that Yahoo is entering a talk with Time Warner to buy AOL. If this is true, its stock could initially slip a bit; then gradually rise as the merge completes. And if the talk fails, Yahoo would consider to offer itself to Microsoft. If this is the case, its stock could take off.

Making $$ is not EZ, and answering your own ? is a sure way to succeed (at least it's true in the stock market.) The above info should be sufficient to you to start your homework and answer your own ?!

Answer 3

The stock seems expensive. but you should invest in products that you use and enjoy - and here we are at yahoo, the world's most visited website. My only fear here is if the economy slows down, yahoo is going to get knocked down a lot.

why use a broker? I do all of my trading myself through Scottrade.com.

For investment ideas I go to http://www.top10traders.com - this is a free site that lets you create a portfolio of stocks with $100,000 in "play" money. Each day the site ranks the best performing portfolios, so you can see how your picks perform compared to other investors. You can also read posts on investing from the best traders, as well as share your own investing ideas.

Here are this month's best traders:

http://www.top10traders.com/Top10Standings.aspx

Good luck!

Answer 4

"Betting" in the stock market is a fools game. How does this fit in with your "asset allocation". Are you prepared to lose 2/3rds of your money in a short period of time? Is it money you don't need?

I'm almost 85% in the market. So I am somewhat "aggressive". But I don't place bets. There's an excellent reason for everything that I own.

BTW: asking this question on Yahoo Answers is a ridiculous place to look for this type of "advice". I'm not a big fan of stock brokers... but your guy sounds like they have your best interest in mind.

Answer 5

Yahoo! is selling at a forward P/E of about 40. Although it looks expensive it is still not too bad because the company is growing revenues at around 20%. Although one worry is that the income is not growing as fast at the revenues. I would not buy too much right now because Yahoo! has had a good run these last 2 weeks.

Answer 6

First of all, congradulations for doing the first part right. You should dump your broker if he tries to give you advice on what to trade.

Second, we don't know if you looking long term, short term, day trading.

I am not touching yahoo right now though, as the current situation doesn't fit into my entrance condition.

Answer 7

I bought Yahoo today as well so I guess I'd have to say you made a smart move.

Answer 8

No it's overvalued at this time.

Answer 9

yes it is good