Stock market
Popular
Types of companies to invest in
Value Investing
Investors find high quality - undervalued companies and hold them for the long term. A value is usually a large stable company that is a staple in their industry. These are Coca-Colas, Nike, Kellogg, and Starbucks or the world. Look for opportunities in these companies when their PE ratio is low
Growth Investing
Growth investors find companies that they believe have the potential to grow their market capitalization by 500%+ over the next 5-10 years. Finding companies that are not established but have potential is inherently risky, however. While buying into Amazon, Tesla, or Apple before they became the massive companies they are now would have brought huge returns, countless other promising companies went bankrupt. Look for consistent EPS (Earnings per share) and Revenue growth along with the vision of the company's goals
Dividend Investing
This strategy is very similar to value investing. These companies are so established that they can write a check to all of the shareholders on a monthly, quarterly, or annual interval. Dividend investing becomes extremely powerful when the dividends are reinvested back into the company to take advantage of compound growth. Look for similar companies to the value strategy that offers dividends. The highest percent dividend is not always best, however. Look for companies that have shown a consistently growing dividend for years or decades.
Day / Swing Trading
Not investing but speculative trading style based on momentum. This is riskier than the other strategies because you are looking for volatile price action that can go against you quickly. Many "get rich quick" gurus push these strategies because of the potential to multiply the money invested is huge. However, these strategies can also send your account to $0 or even negative. Be very cautious with these strategies and do your research/back test your strategies.