What is the best stock to buy?

Question

Is Johnson and Johnson one of them?

Answer 1

Don't buy a single stock, ever. There was a time when "the best stock to buy" was Enron, or "anything with 'dot-com' in the name."

Start out in mutual funds.

edit: People keep recommending mutual funds because it isn't hard to look at their ten year track record and see which ones regularly outperform the market year after year after year, even considering the fees, which not all of them even have. The reason they came into being in the first place is because people who had too little of their own to diversify still wanted the advantages that diversifying brings.

Remember every time you buy a stock, someone else is selling it because they think it's going to go down. If that doesn't give someone new to the stock market pause, I don't know what would.

Answer 2

Don't buy mutual funds. There are too many fees. Why do ppl keep recommending them?

The problem is the mutual fund managers all have to get paid and all their employees, this cuts into your earnings. As a result, they're less attractive, so they pay advisers to recommend them, further cutting into your earnings. Let's look at the ppl who get paid before you.

The managers
The employees
your adviser
and finally, you.

I thought investing was about growing your own wealth, not someone else's?

Do research and find good companies to buy stock in, if you do your research, you won't have to worry about picking a bad company. Don't worry about the price after you've bought it, look at the company itself, if the company is doing well, you have a good investment.

As for Johnson and Johnson (JNJ), the company looks good statistically, so they could be a good buy.

Answer 3

I am a long term holder of JNJ. It has been a fairly decent performer and appears to be well managed. It is a very big company in relatively mature markets so growth is constrained by demographics and macroeconomic issues. In other words, unlikely to be a stellar performer but should track or perhaps beat the market in the long term.

For a more speculative play, consider PCU or CONN. I own CONN stock and am evaluating PCU.

Answer 4

You could do worse than invest in JNJ. At least they pay a dividend. So WHILE you read and learn about investing, you could go to www.sharebuilder.com and park your money in JNJ and other dividend paying stocks, at a good price. But only invest money that you won't be needing for at least five years.
Read Motley fool guides, IBD, Wall Street Journal...all and everything. Library is a good place..www.investopedia.com is good. Many online sights with "simulators" that you can try out your ideas with. good luck

Answer 5

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Answer 6

Read & learn about investing...... If you did you'd never ask that question on a forum like this (to complete strangers).


BTW: I'd stay away from vectorvest.com...............