How to Find the Profitable Stock for Your Investment

A stock is a proof of ownership of a company, so by buying shares of a hotel, for example, only 1 sheet although you can not buy shares only 1 sheet because the smallest unit of stock purchase is 1 lot of 100 sheets then you automatically become the owner of part of the hotel the. You can learn more about five percent stocks before. Because with you buy shares of banking companies, insurance, hotels, media, television, and others, then immediately you are the owner. When you buy a stock, then the real profit occurs when the company is making a profit, right?

Then, of course, you need to know that the company you are buying is good outside and inside so that your shares provide the profit. This is known as profit sharing or in financial language is dividend. So the first strategy for you is the desire and curiosity to learn about what it feels like to be a profitable company owner, is to look at the company’s performance through its existing financial statements, in its financial language known as the fundamental analysis of the company. Profitable company shares usually have two characteristics: the company splits its profits more than once a year, and the company’s products have competitors in the market. Does it make sense?

Well, if we all shareholders benefit, do you want to sell the shares? The answer, yes and no. However, do you want to sell cheap shares from a profitable company? What if at the same time, everyone thought to buy and sell shares with the same number? Yes, that’s what is known as the rise in stock prices. For one of these reasons, stock prices can move up and of course also go down. There is a group of actors in the stock market who take advantage not from dividends distributed, but by taking advantage of rising and falling price movements. In everyday circumstances, you will find the term stock trader or trader.

Richard T. Starkey

Author: Richard T. Starkey

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