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This year, stock markets on both sides of the pond are doing well. Along the way, some unevenness appeared, but the general picture was one of the constant optimism among many investors. Considering this, can there be the right time for someone who has not previously invested on the stock exchange to start buying shares?
I think it can be – for many reasons.
Sitting outside the market can mean for a long time
You can easily think that instead of investing at any time, it is worth waiting for shares prices to fall before buying.
But how long should you wait? Markets can sometimes move much higher for many years or even decades. Nobody knows for sure when the actions are much cheaper.
It may not be unacceptable, even if the actions become cheaper. For example, if I want to buy a share in dividends today, but ultimately I am waiting for a decade to buy it, when its price is lower, maybe I missed a 10 -year dividends when I am waiting.
Buying shares, not buying the market
In addition, there is a common misunderstanding about the “expensive” market or “cheap” market.
Usually, when people utilize these conditions, they talk about the market Generally.
For someone who wants to invest in tracking the index, it can be essential. But if you buy individual shares, how is the market in general, if any meaning.
So I think that now there may be such a good time as everyone who has started buying shares – depending on the actions they buy.
After all, some actions can be steep, even when the market generally looks budget-friendly. Other actions may be budget-friendly, even when the market goes high.
I bought
For example, one share that I bought many times in recent months (including this week) is Trip (LSE: Jneo).
The Transport Service Company provides things such as bus display tiles. Not quite effective – but very useful.
Temporary results this week showed a slight decrease in revenues from year to year. The price of traveling has dropped sharply.
But it still trades in a price to profit of 16. It may not look exactly budget-friendly.
However, entering periods, and this market reaction was an opportunity to buy for my portfolio. Revenues from the first half of the trip did not impress (although they were in line with its previous tips), but the company looks like an boost.
A recent acquisition can support – and the company sits for more cash, which could potentially be used to finance further expansion.
The integration of a recent acquisition can disperse the management, which I consider to be a risk.
But thanks to the clear focus market, a sturdy range of products and services, many reference clients and specialist specialist knowledge for the sector, I think traveling shares look budget-friendly today, even though the price increased 777% Over the past five years.
