Huwebes, Agosto 25, 2011

3 Types of Fundamentals Analysis



Income stocks are stocks that do not do much but provide a steadystream of income either by dividends, selling of covered calls, or both.

Growth stocks are stocks from a company whose earnings are expected to grow at an above average rate. This means that the stock should also grow at a faster rate than the average market.


Value stocks are the long term investments that Warren Buffet believes in. These are stocks with good earnings and dividends but the market does not notice them. The stock trade at a value that is far below what the price should be based on the earnings of the given company. These are strong stocks that make good long term investments because they should in theory eventually head up. This makes it possible the Best long term strategy out there.



reference:
http://www.stocks-simplified.com/fundamental_analysis.html

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