What stock should you invest in 2020? Let Check it out
The year 2020 has come, investors and traders will start with new hopes this year, one question is What stock should you invest in?
Not only forex but stocks are also a fairly popular investment instrument and have been the choice of investors and traders till now.
Stocks are very profitable long-term investment instruments.
However, there are also risks of stock investments.
And you must understand them well so that you can maximize profits and minimize losses.
As a potential investor, before you decide to invest capital and buy stock.
The basic thing you must have is the willingness to learn about stocks and identify your investment risk profile type.
To minimize risk, you should not buy shares that you do not know how the performance of these shares will only hurt you.
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Tips on choosing stocks
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What stock should you invest in
Stock investment is also a type of risk investment, maybe in all businesses, there are risks.
But the level of risk varies, from low to high.
For low-risk investments, mutual funds are the choice, for moderate risk, stocks are the choice, and high risk, forex is the choice.
Before you decide on what stock you should invest in? the following tips might help you when investing in stocks.
Planning a stock investment target
Before deciding to choose stocks as an investment instrument, you need to make sure in advance, the goal invests these shares.
This does not only apply to stock investments, but also to other investment instruments.
By knowing the investment objectives.
Hence you become motivated to be more enthusiastic about investing and know what steps need to be taken to achieve these goals, as well as the targets.
By having a target, your investment will be more focused.
Adjust to your capital
Something that is common from the investment field is the higher profit obtained, the higher the risk that must bear.
Therefore, you must need to be smart in measuring your financial ability.
For beginners, it will feel safer if you start investing in a small capital first.
Don’t make reckless decisions and do it with careful planning and be prepared to deal with various risks that may occur.
Prepare your capital
After having a plan by considering various possible risks, the next step is to prepare capital.
Because to buy shares requires capital money, then you must also know the rules of the selected broker will be the minimum deposit rules, for example, 100 $ as a minimum deposit and so on.
Because different brokers may also have differences in the minimum deposit rules, you must cross-check with the broker you choose.
Monitoring Stock news
Monitor news related to shares that you buy or before you buy shares, this will give an idea of how the shares are performing.
If the news released gives a negative sentiment then it is likely that it could affect the value of shares that might perform poorly.
Conversely, if the news released is news that gives positive sentiment then the possibility of share value will also rise.
The purpose of monitoring is to look at the condition of the company that issues shares, whether it is growing and developing in a healthy manner and getting profit or vice versa.
Use technical analysis
As an investor or trader, you need to learn how to do technical analysis.
The goal, so that the stock you buy has the best buy and sale prices.
Also, observe the movement of stock prices by looking at stock price charts.
This will affect the decision of buying or selling transactions.
If the stock price of the company is cheap, and you believe the stock has good prospects later, then this is the right time to buy.
Watch for External Risk of Stocks
In addition to the company’s internal factors, stock investment is also influenced by external conditions.
The value of stock investments can go up or down due to external factors.
Like economic conditions (economic slowdown or economic acceleration) in the country, global economic conditions, the stability of domestic political conditions, and so on.
Checking Company Liquidity
How to safely invest stocks is to understand investment strategies to minimize risk.
Before deciding to buy shares, you should check the liquidity of the company’s shares that you will buy.
Is the stock liquid and good to buy or vice versa?
Read and learn the details of the company’s financial data.
Perform fundamental analysis by looking at the value of stock prices.
Earning per share in the financial statements, to doing technical analysis by looking at trends in market price changes, both in terms of volume and stock prices.
Selectively Choosing a Securities Company or Broker
Not all securities companies or brokers are safe, choosing a broker is very important for investors or traders.
Can you imagine if you already get a profit from your investment, but when you withdraw the profit you get a problem because the broker fails to pay.
The first criterion in choosing a broker is the legality of the company, he must have permission from the regulator.
The second is to look at investor or trader reviews, if the broker has a good reputation, the trader will give a good statement and vice versa, if it’s bad, the trader will give a negative statement.
Best stock to buy now
What stock should you invest in
The year 2020 begins with a phase 1 trade agreement between the US and China.
Surely this is good news because polemic may be over.
But after all investors and traders may still have reason to be careful.
Because conflict can still happen again.
But there are still some shares that are considered attractive in 2020.
Here is summary hot stock 2020
ExxonMobil is an American company based in Texas that is involved in all aspects of oil and gas production.
Founded in 1999 through the merger of Exxon (Standard Oil New Jersey) and Mobil (Standard Oil New York).
The Standard Oil Industry is broken up into 33 small companies, and the biggest is Standard Oil New York and New Jersey.
The ExxonMobil merger once again reunited these companies in the largest corporate merger in US history.
ExxonMobil has 37 oil refineries in 21 countries, making it the largest global oil refinery company.
Being an attractive hot stock is quite surprising for Exxon Mobile because Exxon shares are bad at higher oil prices.
Exxon gives a 5% dividend which can be said to be just a game of value.
What’s interesting is that management estimates that the company’s revenue can double by 2025.
This may be they are too optimistic because it must also compete with other competitors such as Chevron (NYSE: CVX) and even BP (NYSE: BP) has eroded market confidence.
Companies that also have the potential to lead the electric car revolution Tesla Inc. (NASDAQ: TSLA) can influence demand and prices going forward.
Nathan’s Famous (NATH)
Nathan’s Famous, Inc. is an American company engaged in fast food restaurants, especially hot dog cuisine.
The restaurant was originally founded in 1916 by Nathan Handwerker, with a loan capital of $ 300.
This restaurant continues to grow and often holds annual contests for eating hot dogs.
The contest takes place in the original place where this restaurant stands on the corner of Surf and Stillwell.
Although NATH has experienced a steady decline this month.
Revenues grow by around 8% in fiscal 2018.
There is a company agreement with John Morrell, who produces Nathan products for retail sales.
Meanwhile, sales continued to increase where foodservice sales also increased.
Many say the company’s license is quite interesting, so this is included in the list of attractive shares in 2020.
Bank of America (BAC)
Bank of America (BofA) is the third-largest bank in the United States.
The company is owned by Bank of America Corp., based in Charlotte, North Carolina.
Bank of America Corporation is the result of a merger between Bank America America and NationsBank in 1998.
BofA’s own performance has been going well for the past few years.
The company’s credit services are solid and its shares have outperformed other large banks.
This reason makes analysts consider Bank of America’s large shares not over.
What is Roku? Roku Inc is a multimedia company engaged in broadcast TV broadcasting and advertising, established in 2002 by Anthony Wood.
Roku in Japanese means the six that describe this sixth company Wood started.
Roku inc. (Nasdaq = ROKU) is a risky stock, because so far this year the company has not been profitable.
But with more than 30 million users, this is an interesting stock, where it defeated Charter Communications (NASDAQ: CHTR) and AT & T only trails (NYSE: T) and Comcast Corporation (NASDAQ: CMCSA).
Best stock 2020 by USnews
The preferred shares of USNews are leading stocks with large market capitalization, there are a number of recommendations on what stock I should invest in.
- Alibaba Group Holding (BABA)
- Nexstar Media Group (NXST)
- Facebook (FB)
- AbbVie (ABBV)
- Medifast (MED)
- NMI Holdings (NMIH)
- Newmont Goldcorp Corp. (NEM)
- Healthpeak Properties (PEAK)
- British American Tobacco p.l.c. (BTI)
- Universal Insurance Holdings (UVE)
The company is a large company with a market capitalization in the number of millions of dollars and even billions of dollars, so the potential to become profitable shares is quite high.
What stock should you invest in
Stock investment is one way to get attractive profit, as an investor will have broader knowledge related to the company which is the priority of the chosen stock.
There are still many interesting stock options, but if all of them are summarized, it might create confusion as to which stocks are ultimately selected.
And buying shares will somehow adjust to your financial capabilities if you are only an individual investor.
Behind all options above, you can find other references that will make you more confident with the choice of shares to be purchased.
And the last choosing a trusted broker is an important part of investing if you use a certain platform.