During your investing career, you will do these two transactions; buying and selling. Buying requires knowing the fair value of a stock and then compare it with recent price. If recent stock price is 10% below fair value and an investor does not mind getting a 10% return, then he should buy the stock. If not, he can then move on to other stocks.Selling, however is not that simple. Sometimes, investment do not go the way you want it to be. Your...more
If you want to acquire products to drop ship or wholesale, where do you look? There are all kinds of wholesale and drop ship list for sale on eBay. There's bound to be lots of decent companies right? Not so, according to Chris Malta, the Product Sourcing Editor for eBay Radio:When you see all these "Incredible" lists and books and packages of wholesaler suppliers and drop shippers for sale on eBay and the rest of the Internet, for anywhere from...more
Price Earning (P/E) Ratio is the most widely used ratio in investing. Searching the term 'P/E ratio' into Google will yield 2.3 million results. Quite simply, P/E ratio is the ratio of Stock price divided by its Earning per Share (EPS). If a company A is trading at $ 10 per share and it earns $ 2.00 per share, then A has P/E ratio of 5. This means that it takes 5 years for the company's earnings to pay up for your initial investment. If you invert P/E ratio, we get E/P ratio, which is the yield on our investment. In this case, a P/E of 5 is equal to a yield of 20%.P/E ratio is convenient and very easy to use. But that is why so many investors misuse it. Here are some common misuse of P/E ratio:Using trailing P/E. Trailing P/E is the price earning ratio of a company for the last 12 months. For cyclical companies coming off a peak in earning, P/E ratio is misleading. Trailing P/E ratio may look low but its forward P/E may not. Forward P/E is calculated by using the predicted earning per share of a company. Forward P/E is more important than trailing P/E. After all, it is the future that counts.Neglecting Earning growth. Low P/E ratio does not necessarily means the stock is...more
The mechanism of buying and selling is quite easy. It is as easy as pressing a button in front of your computer screen. The question of when investors should buy and sell warrant a more detailed analysis.When to sell: Ideally, we should sell when a stock reaches its fair value. There are 9 other reasons to sell but I won't cover it here. So, what...more
We have all heard the stories in the press about elderly people losing their homes due to unfair lending practices. Most reputable banks would never consider bilking their customers out of their life savings but there are many small, private lenders that would only be too happy at the opportunity to do it. The act of lending money under...more
Refinancing is to pay off your existing mortgage with another one at a lower rate.A cash out refinance is refinancing your existing mortgage and borrowing some of your equity in a lump sum to use for other purposes. Such as home improvement, college tuition, family vacation, etc.Other reasons people use a cash out refinance is to use the equity in their home to invest in real estate, or start their own business.Cash out refinances are very good tools when used for the right reasons. It is not wise to do cash out refinancing if you are going to receive a higher interest rate than what you already have on your current mortgage.If you have a really good rate on your current mortgage, it would be wise to leave it alone.However, if you are looking to tap into the equity you have acquired in your home without touching your current mortgage, you may want to consider a Home Equity Loan.With a home equity loan you can borrow the equity you have acquired without touching your first mortgage. The home equity loan is also referred to as a second mortgage.For instance, if you have acquired $50,000.00 worth of equity in your home, you can borrow what you need of that equity, without your first...more
I attended a lot of seminars and trainings. I also bought many trading books and tried to find secrets of trading. However, 99% of what they know, I can get it from Internet for free. Instead, I find a secret for losers.A trade becomes a loser. Not...more
The Hope Diamond's Legendary Power Evalyn Walsh MacLean was the last private owner of the Hope Diamond. She died in 1947 at the age of 60, and she left behind one of the most beautiful and well-known pieces of jewelry known to man. This diamond had...more
There are literally TONS of ways you can boost your residual income and your MLM Profits. But the following 3 steps I've enclosed are the Quickest and Easiest ways to boost your residual MLM check month after month, even if you're a complete MLM...more
Taking full advantage of your 401(k) plan today can help you achieve financial goals sooner, and provide enough income for a comfortable retirement. For most working people, Social Security checks alone will not be enough to maintain the standard of...more
Something that is very important for you to take into consideration when purchasing or refinancing your home is the closing costs.I would love to tell you that closing costs are not expensive, but believe me they are. Once you add up all the fees'...more
Investors wanting to pick undervalued stocks need to look closely at dividend. For one thing, dividend drops money straight into your pocket. Your stock price do not have to rise to make profits. Another thing is that only company that have extra...more