Hello Guys!
Today I will talk about the most important thing - Make your own research! Don't blindly trust others!
For stocks, it's easy! Go on Finviz , search your stock, read all the news about it, see the numbers of the company and see what the CEO and others are doing.
For example, I search TSLA (Tesla):
Here are the numbers of the company:
If you don't know much about this number, don't worry, you should look at Employees, if you have doubts on the credibility of the company. If it's a scam company, it will have just a few employees comparing with other companies in the same business.
After that, you should look at PEG. 12.97 (tesla's PEG) it's a BIG one, this means it's overvalued in this moment. This doesn't mean you shouldn't buy that company, you should ask "why is it overvalued?". For Tesla, the answer is simple: Everyone expects that Tesla will be BIG in 10-20 years. So, if you plan to hold your shares for years, don't worry so much about the PEG if it's justified. The companies with PEG of 1 are not overvalued.
After that, you have this:
Those are price predictions from experts. For example, Mizuho and Canaccord Genuity says it's good to buy and they expect bigger prices in the future ($820 - $974). Wells Fargo says it's a fair price and he expects it will be $590 in the future.
If you scroll a little more, you have the most important part, the news:
There are a lot of news daily here! Pick the most intresting titles for you, read the article and draw your own conclusions. I usually come here when the price goes down for 10-20%. Are there bad news? If not, then it might be a good day to buy. If you find bad news, you should think about it. The news might impact the price for the moment, so it's a good day to buy, again. Or the news are bad for the company and it will go down even more in the future, and it's a good day to sell.
Let me give you an example! I saw the Bitcoin price fall badly after some news about how bad for environment it is. So, basically, nothing changed in the Bitcoin's project, the news impacted the price for the moment so, it was a good day to buy!
Finviz also got a chat!
If you want to go here and read the other's opinions, be careful! Most of the guys here just want to impact the price in their own good. Read and inform yourself if it's true what they say, they can just make a fake news post that Elon Musk was arrested, drop it here and you can bite it and sell every share, the price drops and he's going to buy the dip.
The last thing on this page is the list of Directors, CEO, CFO etc who sell or buy shares.After that, if you scroll a little more, there's the income statement. If you're good at it, you can read it and draw your own conclusion. Personally, I go on youtube and watch others doing their analysis on it and I either agree or disagree with them and draw my own conclusions.
Here, you can see if Elon Musk really trusts his company. He's not selling any shares and he only bought more over the last months, maybe years. So, he really trusts his company. There were moments when Tesla sold shares and everyone tought it's bad news. Actually, the price was good and Tesla wanted to secure some money for the "bad days" and for future investments, so it was a smart choice for the company. It is, indeed, bad news when some company sells shares because usually they use the money to pay debts, just not in this case.
There are also some CEO's that sell their shares constantly, for example Jeff Bezos, the CEO of Amazon sells a lot of shares monthly. He uses part of the money to invest in his space company but also he spends good amount of money for himself. Is this a really bad thing for the company? Not really, he enjoyes his life and he's not as dedicated as Elon Musk but there's not a real impact on the company.
I think this is already a long enough post, so I will come back with another post for Crypto!
If there are any questions, please ask.
Thanks for reading-To the moon!
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