New investor tips needed

I am very new to investing and would like a few tips on which companies would be relatively safe option and also the ones that have the potential to rise quickly?

Maake sure Dividends are not too high (above 7%)

Ensure they have good Cash flow and the Assets to Debt Ratio is not too high.

Payout Ratio should never be above 50%

Also ensure you look into their Investor Relations to ensure nothing is hidden in their profits and costs.

Personal opinion, but generally ensure the Company doesn’t have any hidden problems.

Not an advisor, just posting my own opinion on the matter.

Not necessarily true in my opinion. Refer to my payout ratio matrix to see how I would analyse a dividend stock on this

F.A.N.G + Microsoft Personally I’m not a big fan of Netflix

Then you prefer FAAMG :trolleybus: as N represents Netflix.

@CavanHaganInvesting haven’t noticed mention of REITs and MLPs, as basically they have much higher payout ratio.

Again I would say ratio should be looked per industry average. Not just magical number to look under :slight_smile:

Cheers

Welcome to the community @Jbart - hopefully you can get some constructive help out of it.

Using the criteria “relatively safe” and “potential to rise quickly” in the same sentence feels a bit contradictory to me, as stocks with potential to rise quickly tend (not always mind) to have a higher volatility to them, ie. not overly safe.

What’s your goal? Are you looking for a few set and forget stocks that you don’t have to keep too much of an eye on, perhaps checking back once a week?

Or are you part of the ‘stonks only go up’ brigade who just wants uber growth in as little time as possible for a quick cash in?

Because again, if you want both of these things, this is another contradiction. If you want high, rapid growth, you need to keep a closer eye on things.

I think you need to give a bit more info on what you’re trying to achieve before anyone here can start to provide you with any tips.

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Fair enough, although I personally prefer it to be around there!!!

Empty your entire net worth into Tesla like that other guy here. “My bank accounts are empty” LoL

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Step 1: CFDs allow your money to go 5 times further, why wouldn’t you take advantage of that. Step 2: highly volatile stocks? Great! More potential for profit. Step 3: put all your money on Tesla. Step 4: go bankrupt trying to avoid being margin called. Step 5: come on this forum and ask what CFDs are.

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If you are starting, it’s probably best to start with ETFs.
Either that, or invest alot of time learning and then researching companies.

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I’d second going the set-and-forget fund route. You can’t go far wrong with VWRL. If you want to be more a little more adventurous, you can always add something like SMT to the mix.

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If you’re new to investing, I would seriously suggest paying $50 to subscribe to fool.com “stock advisor”. They do ALL the analysis for you, and tell you all about the company’s history’s, do all the calculations on finances, etc.

I started investing 1 month ago and I highly recommend it (I started off with fool.co.uk but recently sold those stocks because buying the FTSE stocks was like buying penny stocks, with all that risk with very little return - plus, the US stocks are more well known and you can kind of judge which way the stocks are going to go in the long term).

Just do that and educate your self properly, read some books, read articles (not from “stock analysts”), take your time
 don’t rush because you won’t become rich over night.

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