How do you make final determination to buy your stock?

Question

Some people pick names, some do fundamental analysis, some buy short term, some buy long term, some like volatility, some don't....how do you do it? What charachter do you look for in your stocks.....cause we all know stocks go up eventually...

Answer 1

1) Only invest money in individual stocks you would otherwise burn
2) Thoroughly research the entire industry you wish to invest in
...a) Who are the leaders?
...b) What are the industry averages (profit, cash, sales, etc)
...c) Where does your chosen company fall in the industry?
.......1) Why?
...d) What are the industry trends?
........1) Why is the industry trending that way?
3) Read the last 5 years worth of 10-k. Know everything in them.
4) Does anything in the 10-ks not make sense...
5) Perform whatever technical analysis you think is pertinent. I look at only three things: sales growth, net profit growth and cash. Everything else is bunk.
6) Realize that picking individual stocks for the untrained and initiated is the equivalent of burning cash. Pick a mutual fund or spider and let pros do all the above (and more) for you.

Answer 2

When you have figured out a company, you will get an innermost urge and freedom to own the stock. Pick such stocks. If you buy in haste you will most probably be wasting. Haste is waste you see. You should choose a method that delivers, the result of that method lead to the kind of ecstacy one feels in owning such shares.

Answer 3

Dont assume a stock will go up.
Most people here use Paid investment services.(touts)
I do it the old fasion way.
I research, verify and confirm on any investment I make.

I have 2 years DD and research in on ticker PBLS
It is an "AMEX stock in penny clothing"
Watch this stock over the next few months and it will show you what hard work can give you.
http://pbls.biz/pressrelease_content.asp?prid=82

Always research any stock you invest in. "Golden Rule"


Jockee