Friends, I am new to investor community and need help from all of you.

#1
Hello Friend.
I am new to investing community. Having a qualification of ICWAI-INTER. Know about financial ratios, but using them in actual market is different thing and need help form all of my seniors from where to start.

1. How i choose my first stock to invest?

2. I want to use on-line trading facility provided by MOTILAL SECURITIES LTD. with coopeartion of state Bank of india. Any body who know about the reliability of this system please guide me ?


I have limited resources and i want to make best use of it. And expect a reasonable help from my all friend on Tradeji.com

Thanks

Vishal Pawar:confused:
 
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#2
Stocks chosen for investing should be mainly on fundamental note. And those ratios you mentioned are pretty much the first step to get fundamentals right.

All companies have a website, where they publish their annual and quarterly results.

Use that to get the financial data.
And compare it to tehir competors and industry in general.

Tha will give you the company's worth.

Using technical analysis, you can time your entry at lowest market price.

Needless to mention - highest worth company available at lowest market price is the best bet.
 
#3
Thanks Alpha1 for your advice,your advice to go for a high worth company with low price earning ratio is best bet to start.Thanks
Vishal

Stocks chosen for investing should be mainly on fundamental note. And those ratios you mentioned are pretty much the first step to get fundamentals right.

All companies have a website, where they publish their annual and quarterly results.

Use that to get the financial data.
And compare it to tehir competors and industry in general.

Tha will give you the company's worth.

Using technical analysis, you can time your entry at lowest market price.

Needless to mention - highest worth company available at lowest market price is the best bet.
 
#5
In an interview given to Moneycontrol.com of CNBC, Mr Ravinder Reddy, a director of Prajay Engineers Syndicate has projected a net profit of Rs.145 crores for the FY 2008 which translates into an EPS of Rs70/-
 
#7
Stocks chosen for investing should be mainly on fundamental note. And those ratios you mentioned are pretty much the first step to get fundamentals right.

All companies have a website, where they publish their annual and quarterly results.

Use that to get the financial data.
And compare it to tehir competors and industry in general.

Tha will give you the company's worth.

Using technical analysis, you can time your entry at lowest market price.

Needless to mention - highest worth company available at lowest market price is the best bet.
HI ALPHA1,

YOU MENTIONED HIGH WORTH COMPANY AT LOW MARKET PRICE?
LOOKS LIKE AN OXYMORONTO ME
BECAUSE IN EFFICIENT MARKETS,THE MOMENT THERE IS SOMETHING UNDERPRICED,IT WILL GET PICKED UP IMMEDIATELY TILL THE TIME ITS VALUE IS IN LINE WITH THE REST OF THE MARKET
THIS COULD HAVE BEEN TRUE WHEN THE MARKETS WERE NOT THAT EFFICIENT OR THE INFORMATION ABOUT UNDERVALUE WAS NOT THAT MUCH IN THE PUBLIC KNOWLEDGE DOMAIN
BUT IN THESE DAYS OF INFORMATION OVERFLOW ITS ALMOST A HERCULEAN TASK TO FIND SUCH COMPANIES(UNLESS YOU HAVE DIRECT TELEPATHY LINK TO RAKESH JHUNJHUNWALAS OF THE MARKET)

AS A STARTER,PLEASE SUGGEST A FEW OF SUCH COMPANIES,I BET MY LAST DOLLAR,THESE WILL GET PICKED UP EVEN BEFORE PEOPLE FINISH READING THEIR NAMES(EVER WATCHED PRICE MOVEMENTS OF THE SCRIPS WHILE THEIR AFFAIRS ARE BEING DISCUSSED LIVE ON CNBCTV18,AMAZING ISN'T IT)

HOPE THIS THREAD WILL ATTRACT MORE COMMENTS AND SUGGESTIONS FROM THE SENIORS AND MARKET GURUS AMONNGST US

MEANWHILE,

CHEERS FOR ALL
 
#8
Dear Member,

As regards the Stock Price, Please note the market Discounts all the factors for the price traded. There are no cheap stocks yet in the market. If it is cheap it will be beacuse the company is not investor friendly or it is trading low becuase of a negative news flow on that company.

Look for the financial data from BSE site
"http://www.bseindia.com/price_finder/stockreach.asp?scripcd=532712"
(in the above scripId is given for - RCOM" pls change the id to any company you want to get the data)

On this page you can view Daily and Historical charts, see the announcements made by company, their Quartely earnings etc. Also note
in the charts you can do few simple Technical analysis also. You can make informed investment decisions based on this data not simply becuase you heard by some body. Even making informed decisions can some times go against your expectations becuase of various local and global factors.

There is always a risk of investing in the stock market because we can only hope for better tomarrow and no body knows what is in store for tomarrow.

Do not worry, Make informed choice and make lot of money let GOD be with you.:cool:
 
#9
HI ALPHA1,

YOU MENTIONED HIGH WORTH COMPANY AT LOW MARKET PRICE?
LOOKS LIKE AN OXYMORONTO ME
BECAUSE IN EFFICIENT MARKETS,THE MOMENT THERE IS SOMETHING UNDERPRICED,IT WILL GET PICKED UP IMMEDIATELY TILL THE TIME ITS VALUE IS IN LINE WITH THE REST OF THE MARKET
THIS COULD HAVE BEEN TRUE WHEN THE MARKETS WERE NOT THAT EFFICIENT OR THE INFORMATION ABOUT UNDERVALUE WAS NOT THAT MUCH IN THE PUBLIC KNOWLEDGE DOMAIN
BUT IN THESE DAYS OF INFORMATION OVERFLOW ITS ALMOST A HERCULEAN TASK TO FIND SUCH COMPANIES(UNLESS YOU HAVE DIRECT TELEPATHY LINK TO RAKESH JHUNJHUNWALAS OF THE MARKET)

AS A STARTER,PLEASE SUGGEST A FEW OF SUCH COMPANIES,I BET MY LAST DOLLAR,THESE WILL GET PICKED UP EVEN BEFORE PEOPLE FINISH READING THEIR NAMES(EVER WATCHED PRICE MOVEMENTS OF THE SCRIPS WHILE THEIR AFFAIRS ARE BEING DISCUSSED LIVE ON CNBCTV18,AMAZING ISN'T IT)

HOPE THIS THREAD WILL ATTRACT MORE COMMENTS AND SUGGESTIONS FROM THE SENIORS AND MARKET GURUS AMONNGST US

MEANWHILE,

CHEERS FOR ALL
Haha
Very right you are.

But observe, I didnt say Highest Worth company at lowest market price.

What I meant was this: lets say your criteria for a worth of a company is ROCE (return on capital emplyed), whereas the market puts PE as the market worth.

Now there are 50 companies in say Steel sector.

You will observe that teh PE and ROCE won't follow 1 to 1 correlation.

Now why is that?
Because not everyone in market holds ROCE as the company worth indicator.

So see, though the market will be efficient, everyone has a different perception.

Anyway, I am more in swing trade, which requires Tech Analysis than Fund Ananlysis.
 

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