Stock day trading – And, secondly, make sure the company is not so overcapitalized that your chance of gain is small.
Prefer a relatively small number of shares outstanding so that if unusual earnings do materialize the earnings on a per "share basis can rise rapidly. The thing most likely to make your stock soar is the existence or prospect of an upsurge in per share net earnings. On the record, the chances of a new company's growing from zero to great substance are not better than one in a hundred. But this kind of speculation is exciting; it add zest to your life and it can indeed make a fortune for you if you're lucky enough to invest in the right company. Such classy blue chips as Amerada, Texas Instruments, Zenith, IBM, Litton Industries, Ampex, Louisiana Land, Minnesota Mining, and Outboard Marine all sold at one time for below $5 a share. All of them at the outset were regarded as risky promotions.
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