PROFIT
Firstly, is the company making profit. You could go to the companies web site and look up it’s annual reports or go to and check that its net income is positive. If a stock goes bankrupt, the shares become worthless and that is not going to happen if the company’s generating more revenue than expenses.
CAPITAL GROWTH
If your goal is to grow your capital then you need to invest in trends. Access to charting software with candlestick charting and a moving average will help you to see what the stock price is doing.
Trend example: Google
INCOME
If you’re more interested in long term investment and want income then the goal is to find quality blue-chip stocks that pay quarterly dividends and offer good annual yields
Dividend Yield example: General Electric, Pfizer
At the moment it’s a better time for dividend investing.
You might also want find out more about what the company is doing to expand its profitability going forward.
You can look at the stocks history, but unfortunately right now – that is no real indication as to what it will do anymore.
Some companies are inherently recession proof – but the current financial situation is even undermining those.
Scratch-off lottery tickets are almost as good a bet as stocks these days.
PROFIT
Firstly, is the company making profit. You could go to the companies web site and look up it’s annual reports or go to and check that its net income is positive. If a stock goes bankrupt, the shares become worthless and that is not going to happen if the company’s generating more revenue than expenses.
CAPITAL GROWTH
If your goal is to grow your capital then you need to invest in trends. Access to charting software with candlestick charting and a moving average will help you to see what the stock price is doing.
Trend example: Google
INCOME
If you’re more interested in long term investment and want income then the goal is to find quality blue-chip stocks that pay quarterly dividends and offer good annual yields
Dividend Yield example: General Electric, Pfizer
At the moment it’s a better time for dividend investing.
You might also want find out more about what the company is doing to expand its profitability going forward.