Things You Should Look for When Investing in Stocks
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I know going to a job all week long, giving your all just to receive your paycheck at the end of the pay period, is not something anyone takes lightly. Ever seen a co-worker upset when their paycheck is short? I can understand that feeling—because you earned that check. That’s what you use to take care of your family, your bills, and yourself. I always took my money seriously. So when it came time to invest in the stock market, I took that just as seriously. I wanted to make sure I was putting my money in a place that felt safe. I understood that risk comes with investing, but I also know you can manage risk if you know what you’re doing. Today I want to share how I go about picking stocks and what I look for.
Long-Term Success
I always look for companies with a long history of success. I need to know they consistently bring in revenue. I kind of treat it like giving out credit—if I’m going to give you my money, I need to see that you’ve handled money well in the past and can bring back a return.
Loyal Followers
I love investing in companies that have huge, loyal fan bases. That tells me the company will continue to thrive. Loyal customers pass their loyalty on through generations. For example, my father drove Cadillacs my whole life—and now I do too. I bet my kids will follow suit.
Innovation
If a company knows how to be a trailblazer, that’s a good sign your money is in good hands. There’s money in following trends, but that’s usually fast money—and fast money doesn’t last. Just think of how many trends we’ve seen come and go. Too many, if you ask me.
Clean Cut
I like companies that are clean-cut all the way around. I don’t want to hear about controversies or scandals tied to my investments. All I want to hear is that the company is performing well and staying in the green. If customers start walking away from the company, I will too.
Stocks I Like Based on These Qualities
S&P 500
I like the S&P 500 for long-term success. It’s hard to fail when you’re backed by the top 500 companies. I also like that my money isn’t tied to just one company. If five companies take a hit, the other 495 can pick up the slack. Plus, you get dividends too—so not only is your money safer, you’re getting paid while it grows.
Apple
As far as customer loyalty goes, few companies top Apple. I have friends who admit other brands make better phones, but they still won’t give up their iPhones. That’s loyalty. Apple fans buy everything—watches, laptops, iPads, and more.
Tesla
Tesla is my pick for innovation. What they’ve done with the EV industry is impressive. They may not have been the first to do electric cars, but they definitely made it mainstream. And I don’t think they’re done yet.
Nike
Nike is the definition of clean cut to me. They stay out of drama, make smart decisions, and always have the hottest athletes endorsing their products. They know how to stay relevant year after year.
Bonus – Stocks I’m Buying Now
Now let’s get into what I’m currently buying and why. Right now, the stock market is in the red. Some people see that as a bad thing—I see it as an opportunity. The best time to buy is when prices are low. Here are a few picks:
ABNB – Airbnb ($119/share)
I love the idea of a real estate business that doesn’t own real estate. I think Airbnb is here to stay.
ADBE – Adobe ($395/share)
They own so many major tools like Photoshop, Encore, Lightroom, and more. It’s like a mini S&P 500 in one company.
NVDA – Nvidia ($166/share)
Big player in tech and crucial for Meta’s VR. I believe VR is going to be huge.
U – Unity Software ($36/share)
An underdog with strong video rendering software for gaming and movies. I love the potential.
NKE – Nike ($109/share)
I wear their shoes, the stock is down, so I’m buying in.
UAA – Under Armour ($11/share)
Affordable and down—plus I enjoy their products. Had to buy.
PYPL – PayPal ($76/share)
I use it for online businesses, so I want to invest in it too.
SQ – Square ($78/share)
Another payment platform I use, and it’s down—so I’m in.
Other stocks I’m watching: Spotify, Coinbase, Palantir, Netflix, Walt Disney, Starbucks, and UIPath.
Summary
There you have it—an in-depth look into how I think when it comes to stocks. These are real things I look for before investing my hard-earned money. I hope this post helped you understand the mindset behind my stock picks. Thank you for stopping by, and please come back anytime. Tell your friends about the blog. Let me know what you look for in a stock or what you’re buying these days. Good luck out there!