10 Questions Successful People Ask Before Buying Stock
MAX-D Blog Post
October 22, 2015

To combat this lack of knowledge in stock investing we have compiled ten important characteristics to look for when picking a stock: 

1) What does the company do? Is the company's business model easy to understand?
-

2) Would you buy and use the company’s products or services? Can you see consumers wanting to purchase the company's products or services? 

-

3) Is there a market opportunity for the company? Could the company's products or services define a market or category? 

-

4) Does the company have competitive advantage? Can the company become a leader in which other companies will want to utilize their services or products? 

-

5) Does the company have any competition? Are there any other credible players in the market space? 

-

6) Is the company well financed? Does the company have enough capital or credit to maintain it's business? 

-

7) Does the company have the proper management team? What is the management background and do they have a track record of success? 

-

8) Does the company file their filings on time? Make sure the company files their quarterly and yearly financials on time. (View at edgar-online.com) 

-

9) Always due your due diligence. Gather as much information on the company so you can make an educated decision. (websites, advisors, press releases or brokerage account resource centers) 

-

10) Understand that no investment is a sure thing! Only invest money that you can aord to lose. 

-

If you answered "YES" to most of the questions above, you probably have a much better chance of a substantial return.