Hey we had some really good discussions going about stocks and investing in one of the other thread, but I can't seem to locate where it went.

Been really busy so didn't get a chance to update or chime in but i think u_day bro had some kind of stocks he wanted to look into? I was gonna get back to that but just got so darn busy...so hey man if you happen to read this let us know. may be we can all explore the stocks together.

these days i've been mostly looking at steel stocks because in the last 1 year, they have produce some amazing returns.

i think we have passed the information era for now and have entered the Destruction and Construction era, considering all the wars and conflicts around the world. so, if you think about it, you need steels for both destruction as well as construction. ya feel me??

holla

Hey u day bro, i just went through your sizzling stocks and really like DVN energy but im not too sure about verizon. i don't trust telcom companies, even though VZ has been solid the last several years now. I also like OSK truck too because I think it is the right kind of company other industries are going to need in the near future. So, from your picks:

Date: 2/11/06
picks for valentine's day

VZ Telecom
DVN energy sector
OSK truck corp.


Really like both DVN and OSK but the only set back for me is the price which are all priced at over $50. If I had a strong portfolio, I would definitely consider DVN becuase anything dealing with energy is the way to go for future investment.

Got any other good ones? I've give couple of my favorites ones in above posting...take a look for yourself.

Do you guys use Investment Banker or buy stocks directly from the company? I know it might be a stupid question for all you Finance masters but what the heck.

Yeah! Let's talk about brokers.
Which broker do you use? Do you use a discount broker or you pay high commission to investment bankers? For a novice investors I would recommend discount brokers because with discount brokers you do your own research and ay less in comission and fees.

Here is a link to a webpage that compares different discount brokers: http://www.bullinvestors.com/Broker_Comparison.htm

I personally use ameritrade (www.ameritrade.com) So far I am satisfied with their service and charge. Although they screwed me once by filling my order partially but a call to customer service solved the problem and I learnded a lession: ALWAYS PLACE A LIMIT ORDER WITH AON OR FIK

Oh! BTW about buying stock directly from the companies, every big corporations have their won DRIP (dividend reinvestment plans) programs. Microsoft, IBM, DELL, GM, FORD to name some of them. You can can find more information about DRIP programs in company's website under investor relation or you can use sharebuilder ( www.ShareBuider.com) to buy DRIPs.

Hukka bro
I looked into BMRN as you suggested above. It looks like BMRN with its current price at 11.96 is around its 52wk high and it has been swinging between $6-$12 for past 5 years. All time his is around $40 in 2000 according to www.marketwatch.com. So, looking at the chart I woudn't bet on the stock beside the company has been posting net loss since 2000, which has been increasing every year.
I wouldn't invest in it unless it has some drug lined up for FDA approval. Then again it would be very risky.

What do you think about starbucks (sbux)? Hot cup of dark roast coffee would be great in a winter morning. What about burgerKing, eh? BK is having IPO later this year. I sure it will jump by 100%+ in first couple of days, just like chipotle couple of days ago.

Here's a link on BK IPO news: http://www.smartmoney.com/news/ON/index.cfm?story=ON-20060203-000601-1318

Penny stocks will make you rich if you know what you are doing. If you are a savvy investor who knows the innards of micro/small-cap companies, you will be a millionaire in less than ten years. The problem is that it is extremely risky, no doubt. However, there are investing advisors out there who can guide you in picking penny stocks. We all know that penny stocks are highly volatile, correct? In other words, the stock price will swing rather quickly and it seems obvious that the best method of capitalizing on this price swing is to sell when the shares are high. Do not wait to see if the stocks will go any higher. So for example, if the share value is at one cent(there are many companies that sell at a penny), and if it goes to two cents(this happens if you are careful!) sell it quickly. Never, EVER, place market orders. The size of bid is usually extremely small, and many people would want to buy it below the market value. So place limit order, and try selling it a little above the market value. Surely, there will be some people who are willing to buy it.
Furthermore, if you are a patient investor and want more than double the original price you invested, imagine what it would mean if your penny stocks sky-rocketed to 10 cents. YOU JUST MADE 10 TIMES THE MONEY YOU INVESTED. Or how about if it sky-rockets to 100 cents. THAT MEANS A THOUSAND DOLLARS IS NOW WORTH A HUNDRED THOUSAND DOLLARS. And what if it goes to 10 dollars. YOU ARE A MILLIONAIRE! And you only invested a thousand dollars! Can you believe that.
Remember, the key is to diversify. Put most of your money in companies that are stable. Invest in comapnies like MSFT, JNJ, T, etc. Use what's called dogs of the DOW for most your stocks. But GAMBLE AWAY thousand dollars, because some day that thousand dollars might be worth a million. Just remember, Microsoft was a penny stock once upon a time. At one point in time MSFT was selling at almost 60. Just imagine what it would mean if you bought shares at a penny and sold them at $60?? Congratulations, you just made 6 million dollars!!!!!!
P.S. Don't forget to thank me.
P.P.S Don't blame me if you lose your money either. You can either win big or lose big. But 10% of your portfolio isn't a bad idea.

P.P.P.S Also, if you want to fight inflation, invest in TIPS. It's fixed investment, but at least you're getting back what your money is actually worth. Try it and you won't regret it.

Hukka, NEVER invest in pink sheets. Companies are pink sheets when they are delisted by NYSE, etc. Furthermore, do not look at the chart. Charts are meaningless. At one point in time, Yahoo was worth $200 a share!

About SIRI , I say sell it as soon as possible. Their fundamentals are completely screwed, and they pay HOWARD STERN $100 MILLION EACH YEAR FOR 5 YEARS! In other words, Howard Stern will need to bring in 8 MILLION new subscribers. The company has amassed considerable debt. XM and SIRI are both in a huge mess. Investing in Siri is okay if you're trying to invest in emerging growth markets. Most growth stocks do not make much money. Value investing seems to be a better choice for people looking really, really to the future. There is no guarantee that Siri will ever be able to challenge terrestrial radio. Why would anybody wanna subscribe to satellite radio if you can listen to radio for FREE?? That doesn't make much sense, does it. Plus, Siri will not make profit today or tomorrow. It will be somewhere far, far away in the future. This is a highly speculative move, and it's no different from investing in PENNY STOCKS. So how about investing that money in penny stocks instead? You will make more money instead.
Penny stocks=speculative
Growth stocks=speculative as well.
Value stocks=investing.
That's how I see it.

Friends, fellow investors, countrymen,

Lend me your ears... ahem! :-) :-) :-)

How about stock brokerage?

Which one do you use?

I have heard good things about Scottrade for the ones who want to trade by themselves. Of course, there are other similar alternatives like Etrade and Ameritrade. And there are mid-tier TD Waterhouse and Charles Schwab. And then the handsoff kinds like Fidelity and Merrill Lynch.

What are your takes on these?

chatmandude!
Read my posting above about discount brokerage.

Hukka Ji, U Ji,
Thanks for all the support and the infos. Although I'm at the initial stage of gathering informations, the implementation might take some time. But to get the suggestion is the most valuable thing right now.
So say after I do the reserach and decide 100% on a particular stock, do I go to a broker (yes, U's info abou the discount and investement broker are helpful) and be like "Hey! I want to buy this stock". And you also pay fees to be a member? And then they buy that stock for you, is that how it's done?
Is there any other alternative like buying straight from the company, something like that?
And then you constantly watch the stock for their performance, is that how it works? Sorry for my stupid, childish questions, but I got to start somewhere. My next major question is How often do you watch for it? Do I have to be glued to a TV, every hour, seconds? I have seen people do that, is it the reason? What do you do at work, I mean are the people so much real time market watcher? In that case how do they do it at work? Let me know if I'm way off and asking too stupid of a question.
Sorry if I asked too much.

Vontee,
DRIP = buying stock directly from the company. I already mentioned that above. I apologize if I was not clear about DRIPs in above posting. Hey it was 3 in the morning when I wrote that. So it might not be clear.

If you have any more questions, email me and I will try to explain everything to ya.

-u_day

Hey u_day bro, can't disagree with you about BMRN history because the numbers speak for themselves. But if you are young and want to be an aggressive investor, I think you need to have a vision to see where the future of stock is headed. I know most of the time your past determines your future, but I don't think that's always the case in stock market. I mean companies with good earing history are hard to find at that price. So, that's why I'm taking my chance with BMRN because I think they are on the rise and even though I don't like their finincial history, I am buying into their research and development history. They are involved in an unique kinds of pharmaceutical products.

kewlio, I don't disagree with you on most parts except for satellite radio's future. I don't know if you have try it yourself or not, I personally have not yet (but will when I buy my next vehicle). I know a whole bunch of folks who have satellite radio and they just love it and they say they will never go back to regular terrestrial radio. I hear XM is even planning to lunch satellite TV for your cars. I don't mean to sound bias here but I think sometimes when we Nepalis are investing we tend to think with in our nepali mind set that "heck why would i pay for radio when it is free". I am just as much guilty of think like that as anyone else here who might be. But americans beleive in "you get what you pay for". I see satellite radio as cable tv in its early days when even americans were saying who is going to pay for tv when you can watch it free? So, even though I am not really buying into SIRI's approach, I am totally sold on satellite radio. I do think we at least have good 7-10 years before this thing becomes the next big thing....so investors will have to be patience.

Another thing kewlio, you talked a lot about penny stocks and it's possible returns. How about some tips? Got any for us that we can keep an eye on? Give us some company that you think might hit big that is a penny stock right now.

Oh yeah Vhootee bro, I think u_day did a fine job of answering your question. I myself use scottrade.com and it is really easy to use. But yes when you buy or sell stocks, always put a limit to your bid!!!

Vhootee bro, once you are 100% which company you want to buy I will tell you what I did. I went to scottrade.com and sign up for an accout and it is totally free. Once you get the confirmation in mail, send it back and your accout is all set up for you. Then you have 2 option, either mail your check to your local scottrade branch or go and deposite the check to the local branch in person. My case, I deposited it in person because it was going to take an extra day via mail. Once scottrade cash your check you will see that balance in your scottrade online accout and you are ready to buy stocks. It is very simple as you will enter the ticker name for that stock and click buy and BAMMMM you are now a partial owner of that company :-) Regardless of how many shares you buy, scottrade charges you $7 per tranaction, which isn't bad at all.

Now once you have the share, how often you follow the market is totally up to you. If you are doing long term investment you probably don't want to be glued to TV or internet to check on the prices. But I do recommend it checking once a day after you get home from work to see how your stocks did today and other related news about the company. I use yahoo for mine and once i type in my stock's ticker I get all the info I need right there in the same screen (including the news and stock's performance for the day). One very important thing that I have learned to keep in mind is, when you buy any stock you need to make up your mind at what price will you be selling it. So, that is why it is important to follow the market at least once a day or once every other day basis. Once the stock hits that price, don't be greedy and sell the darn thing...how does that sound? :-)

Let us know if you have more questions...and your questions were really good and I hope it will help others who want to look into stocks as well. My sole intention to start these threads here is to inform and educate my fellow nepali brothers and sisters and create a learning community where we can all learn a thing or two about grabbing our share of american pie or american dream...whatever you prefer :D

Thank you Hukka Ji, U Ji and Kewlio Ji,
I sent you guys an email to get to know a little better of my story. I hope you don't mind.
It's a good that you started this thread Hukka Ji, I sincerely understand your intention. Kudos to that.
To sell the stock that you won?
Do you do it online like you buy on, is the feature there or do we have to go through some xtra procedure inorder to sell?
I know and feel myself there are variety of stock like Kewlio said about instant rich penny stock. I understand that. What are the other types, I bet more long term, stable (should be costly) stocks are there too.
How are the market categoried. I hear all the time on TV with word like, Semiconductor, Blue chips, Pharmaceutical (I guess it's medical companies),Energy (oil, elctricity if I'm not wrong). Are there more?

I pulled out a page from yahoo. There're 3 thing I need to know a little bit more about. My common sense makes a little logic but I'm afraid that's not enough and I need to understand them better.
What does a,b and c means?

Hukka Ji,
When you send the cheque to the broker, is it like a deposit and you can deposit as much as you want to. You then buy stocks using your money that you have in the account with them? If you run out of money, do you add more? Is that the logic? It appears to me like buying goods from your saving account.

vontee! Why don't you email me or call me. I will explain everything to ya. Just click on my ID to semd me an email.

BTW in the page above,
a = market price pershare
b = change in price since the mart opening that day
c = total number of share that has been traded that day.

Vhootee mitra, I am pretty sure you can sell the stocks you own (I am assuming it is part of stock option from your company?). You should be able to do with any online brokeage like scottrade etc. I haven't done it myself but if anyone has, do let us know.

From the yahoo page, Last Trade, Change % and Volume really do mean what you probably think they do. Last trade is the last price of the stock for that company before the market closed for that day (or if you look at that number during the day, it will be the most recent price for that stock sold or bought). Change % simply means total change in the price from the beginning of the trading day to the end. Volume is the total number of shares that got traded on that particular day (both bought and sold). But don't get too caught up in these figures and %. When you get a chance try to read this book "Intelligent Investor". It will help you think talk walk look and smell like an investor :-) Well not literally...but you get the point.

About sending your check to the broker, you are correct. It is just like buying goods from your savings account, so when you have money there you can buy more when you don't, you either despoiste more or sell one of your stocks and use that money to buy something else.

So, do you have a stock in mind that you are interested in buying?

hukka_nepali,
just coz one is young does not mean that put ur money on something that could turn into total waste. "baluwa ma jati pani hale pani ... tyo sukerai janchha"

if you are able to follow following, I am sure u would do well.
1. NEVER GET EMOTIONALLY ATTACHED TO A COMPANY i.e. STOCK
2. CLEARLY DISTINGUISH BETWEEN [1yrLONG TERM] PORTFOLIO.
3. IN SHORT TERM, IF YOU LOST MORE THAN 10-15% better SELL IT. there is no way those COMPANY can do better. { of course you need to account for market sentiment and competitors etc}
4. IF a STOCK is near 52 week HIGH then you neeed to be very cautious. and see all the fundamentals.
5. INSIDERS HOLDING/SELLING CLEARLY INDICATES the direction of COMPANIES.
6. If you are investing in a LEADER always invest in its COMPETITOR too. Ex. INTC and AMD; PFE and MRK, T and VZ etc
7. If you are INVESTING FOR LONG TERM USE INDICES to INVEST. i.e. QQQ, DJ, S&P etc. they do have consistent return.
=====================================================
as always
what do i know (O:

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Thapap,
FYI there is no T anymore. T is already aquired by SBC although the Ticker T is still there. It's ironic that mother bell (AT&T) was bought by one of baby bells (SBC).