Starting early and staying invested in stocks is crucial for wealth building. By beginning our investment journey at a young age and maintaining a long-term perspective, we can benefit from compounding. It significantly grows our wealth over time. This approach to stock investing minimizes risk and maximizes returns. It is especially essential for novice stock…
The unmanned aircraft systems (UAS) industry, is the the technology behind drones. It is still in its early stages (in India and abroad), but is gradually gaining momentum. Over the next 15-20 years, this industry is expected to evolve significantly. The growth will be driven by advancements in technology, increasing demand across various sectors, and…
We often perceive high PE stocks (high Price-to-Earnings Ratio stocks) as overvalued. It is almost as if it is built in our DNA, and we must view them with caution or avoid them altogether. The conventional wisdom suggests that stocks with high PE ratios may be too expensive relative to their earnings. Hence, they pose…
Investing in the stock market can be confusing and complicated. Seasoned investors use tools to understand the market breadth. Among the many tools, market valuation metrics guide decisions most effectively. It helps the investors identify whether a market or a specific stock is overvalued or undervalued. One such powerful metric is the Cyclically Adjusted Price-to-Earnings…
Practicing long-term investing in stocks can be challenging. This is especially true for retail investors who often look to experts for guidance. I have observed a recurring trend in the recommendations made by the appearing guests of mutual fund houses on various TV news channels. They frequently suggest stocks that have already been performing well…
Investing in the stock market can be both exciting and risky experience. One of the things that we can do to lower our risks is to try to time the market. We must know the right time to buy stocks. One of the misconceptions among new investors is the belief that the best time to…
HDFC Bank, the second-largest bank in India. It is set for robust growth driven by improved profitability, sustainable deposit growth, and strategic investments in technology. The bank’s focus on retail assets and replacing high-cost borrowings with deposits will boost margins. Despite near-term challenges, HDFC Bank’s strong fundamentals and attractive valuations are looking great. Me as…
The stock market is a platform where companies raise funds by issuing shares. Investors buy and sell these shares to earn returns. It’s like a marketplace where buyers and sellers meet to trade in company ownership. The stock market plays a vital role in economic growth. It allow companies to raise capital for expansion and…
Common stocks represent ownership in a company and offer voting rights. They also have a potential for long-term growth and variable dividends. Preferred stocks have a higher claim on assets and dividends, but typically lack voting rights. Understanding the differences between common vs. preference shares can help us pick the right one based on our…
Evaluating company growth is essential in direct stock investing. Fast-growing companies tend to offer higher returns and better investment opportunities. Why? Because such companies can expand their market share, innovate, and increase profitability. For example, a company with consistent revenue growth can reinvest profits into new projects. This fuels further expansion and creates more value…
Stocks, also known as shares or equities. It represent ownership in a company. When you purchase a stock, you own a small piece of that company. This ownership entitles you to a portion of the company’s profits and assets. You can also influence decisions through voting. Stocks can appreciate in value, offering potential financial growth…
The Indian stock market is a powerful tool for growing our wealth. But just like any investment, understanding how it works is essential. By learning the basics of stock investing, you’ll gain the knowledge to make better decisions about buying and selling stocks. This kind of understanding can help one manage risks and potentially increase…
