When Should You Sell an Investment?
The stock market had a tough time of it at the end of 2018. Despite a partial recovery the tech darlings that led market gains for years have investors worried. If you have ridden the bull market for gains over the last few years, is it time to consider some changes in your investment portfolio? For most investors, the question is whether the market will come back or not this year. But there are a number of reasons to consider getting out. So, when should you sell an investment? Here are some thoughts on the subject.
When Should You Sell an […]
Pros and Cons of Infrastructure Investing
With the Democrats in control of the House of Representatives for the next two years a consensus may be reached to fund upgrades in the sorry state of US infrastructure. This issue needs to be addressed but has repeatedly been pushed back due to political fights over attempts to repeal the Affordable Care Act or fund a big wall between the USA and Mexico. Assuming that funding goes through to repairs roads and bridges, water treatment and the power grid, or rail links and airports, what are the pros and cons of infrastructure investing. And, where would the best places […]
What to Look for in Value Investing
As the bull market ages and becomes more volatile many investors are starting to hedge their bets. For some this simply means selling and holding on to cash for the time being. For others it has to do with re-balancing their investment portfolios. More and more we hear that it is time to switch over from a focus on growth and move to value investing. This is probably good advice but how do you do that? Today we consider what to look for in value investing.
Years ago we wrote about value investing for long term profits.
There is always a […]
Do Value Stocks Outperform?
Value stocks are not just big companies are not necessarily companies with a strong recent track record. Rather value stocks are priced by the market below what their forward looking earnings should dictate. Value stocks are not always immediate winners. But do value stocks outperform over the long run? After all long term growth and dividends are typically why investors look to value stocks. Forbes published an interesting article about value stocks.
Value is not, never was and can never be just about low ratios. Anybody who sorts on the basis of P/E, Price/Sales, Price/Cash Flow etc. and simply buys stocks […]
Fundamental Stock Analysis
Successful investors use fundamental stock analysis in order to determine the intrinsic value of a stock. What is intrinsic value? The dictionary definition of intrinsic stock value is its fundamental value. It is obtained by adding up predicted future income of a stock and subtracting current price. It can also be seen as actual value […]
Don’t Be Afraid to Invest in Stocks
A word to the wise: Don’t be afraid to invest in stocks. This thought comes to mind after reading an article in CNN Money, Crisis Hangover: Millennials Are Afraid to Invest. FREE: How to Consistently Target Profits in a Hostile Market. Click Here. The economic chaos of 2008, which erupted during the formative years for […]
Intrinsic Value of Stock
Successful long term investors consider the intrinsic value of stock before buying and when deciding to sell. This approach to stock investing goes back to the black days following the 1929 stock market crash which ushered in the Great Depression. Benjamin Graham taught investors that they did not need to play the market as though […]
No-nonsense Approach to Stock Investing
Do you want to reliably make money at stock investing? You will want to avoid undue risk, pursue a no-nonsense approach to stock investing, learn to pick stocks, and manage a stock portfolio. The purpose of a no-nonsense approach to stock investing is that no one wants to waste time with non-essentials when there is […]