What to Consider When Investing in Stocks

Selecting good stocks requires the investor to consider his or her long and short-term financial goals, research companies and their management practices, and create and implement a strategy to optimize their return on investment. Analysts have a number of theories and practices they use to make decisions on whether a stock is a «buy», a «sell» or a «hold». While every analyst and broker takes a different position, they all look at the same financial information and data.