I love buying stocks because every time I do, I become a part-owner of the company or business whose stocks I purchase. But before I buy stocks of any company, I take the time to monitor and evaluate the performance of that company. With careful research and analysis, I have always doubled my money within months after purchasing stocks.
Today I was thinking about my next move in the stock market and I decided to mow my lawn while doing so. I love mowing with electric lawn mowers because it saves me money and I decide how I want my lawn to look. Perhaps, that’s because in my neighborhood, everyone pays to have their lawn mowed for them.
My worx wg789 cordless electric lawn mower is so easy to use that it somehow motivates me to do the job myself. And in fact, doing so has enabled me to save a significant amount of money every year to put on more stocks. In my former neighborhood, I used to spend up to $200 a month to keep my lawn in shape.
Now back to the stock buying topic…Over the years, I have realized that researching companies that I am personally familiar with is very important. I usually follow playbooks of popular investors like Warren Buffet and read annual reports of every company that I’m interested in.
Generally, annual letters by the managements of these companies to shareholders provides the general narratives of their performances. Additionally, I find information about different companies on the websites of brokers, including updates on quarterly earnings, analyst ratings, recent news and transcripts of conference calls. Some brokers’ websites provide crucial financial information which enables me to compare specific metrics and performances of different companies before making my investment moves.
Making The Decision
I like making my final decision on the stocks to buy without pressure. I never like filling my entire stocks portfolio at once. In fact, I prefer purchasing a limited number of shares at a time to get a feeling of what it is like to be a stockholder in a company. If it feels good, I add more stocks to my portfolio over time. Generally, I buy the stocks of any company because it is a great company and I feel great for being associated with it.
However, it’s important to note that there is a difference between a good company and a good stock. For instance, a company can be a great stock when you purchase its stock but become overpriced with time.
Happy To Be A Stock Investor
Whenever I buy a stock, I enter into a long-term commitment and relationship with a company that I choose. Ideally, all of my stock picks are winners. However, there are rough patches. Nevertheless, I have learned that the key to successful stock investment is bearing in mind why I chose to become a stock investor. To me, investing is fun and I love the idea of making money by being a bona fide, part-owner of different companies.