Four things to avoid while valuing a Stock

Four things to avoid while valuing a Stock


There are two ways to value a stock before buying in the Equity Market. The basic method is Fundamental Analysis and the another one is Technical Analysis. Fundamental analysis is the study of the business of a company with some financial parameters.

On the other hand, the Technical analysis is the study of the past prices of a stock. Those who engage in the Equity Market will use either of the above as a Tool.

Whichever way you analyze, you need to avoid the four things that are going to be said. Otherwise, your investment or trade would go wrong.

  • Don't love the Stock always

  • Don't like your idea on Stock

  • Avoid Herd Mentality on buying stocks

  • Don't compromise with Stock vs Valuation


Valuation is always important even it would go wrong.
Great growth companies can be bad investments, if you pick it in the wrong price.

Kindly share your views / comments with a smile :)

www.richinvestingideas.com

Comments

Popular posts from this blog

What's your Earning - A Personal Cash Flow Meter

Infosys reported a net profit of Rs.5,945 Crore in Q1FY24 - Quarterly Results

10 Years of TATA Motors Ltd - Financial Statement - Fundamental Insights