Question by locusfire: Which stocks are better to invest in?
I?m new to this, and am unsure whether its better to invest in stocks that are very cheap or those that are more expensive, like Walmart or Yahoo. Any advice on what is the wiser long term (like a year or two) investment?
Best answer:
Answer by errai14
I?m assuming you are talking about low PE stocks AKA value stocks VS High PE stocks AKA growth stocks. To buy stocks just because they have high or low PE?s is a very bad strategy. a stock could have a PE of 30 and be ?cheap? against a stock with PE of 10 and is ?expensive?. If you don?t understand stocks, I recommend going into mutual funds or simple index funds depending on your situation.
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