Stocks that do well in the long run belong to companies that do well in the long run. The key to successful investing is finding successful companies.
To get the most out of your investing, you have to do more than follow the prices of the stocks. You have to learn as much as possible about the companies you've chosen and what makes them tick.
Here are the 5 basic methods people use to pick a stock (beginning with the most ridiculous and ending with the most enlightened).
1. Darts (chosen randomly)
2. Hot tips (from Uncle Harry)
3. Educated tips (TV, newspapers, magazines)
4. The broker's buy list
5. Doing your own research.
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