Good morning!
So I’m hoping that all of you holdouts out there became convinced, after last night’s post, that the stock market can be for you.
Maybe you picked up a copy of The Stock Market is For Everyone, or checked out some of my previous blog posts with a new pair of eyes.
I sure hope so!
The next step after deciding to invest, and opening an account, is figuring out which stocks you want to buy.
Sometimes, the very best investment ideas come from what you know. Try starting with companies whose products or services you use on a regular basis – daily, weekly or monthly. An advantage to this is that these are usually companies whose business we already understand.
Here are five stocks who provide services we use pretty frequently:
1. Planet Fitness (NYSE: PLNT): In case you didn’t know, Planet Fitness is a publicly traded company!
The “judgement-free” gym, which offers a Netflix-like membership of $10 per month, has been a great investment since going public.
The company went public in 2016 priced at $16 per share, with a market cap of $1.58 billion. Today, the company is trading at $67.65, with a valuation of $5.67 billion.
That’ s a 400% return. Outstanding!
2. Starbucks (NASDAQ: SBUX): Starbucks has been a phenomenal investment since it went public in 1992 at $17 a share.
A $1000 investment at its IPO would be worth $250,000 today.
That’s a gain of 25,000% – a return most investors dream of!
Fast forward to today. Starbucks is now a mature company with a market cap of $90 billion and a 2% dividend.
However, Starbucks still has growth ahead. The company is aggressively opening stores in China – and they believe that China will eventually surpass the United States in terms of revenue.
If you’re looking for a solid investment in a company that you know, and whose business is easy to understand, Starbucks is an excellent stock to consider.
3. Apple (NASDAQ: AAPL): I can’t think of any company that exemplifies a product or service we use every day more than Apple.
Apple has been one of the greatest investments of all time since it went public in 1980 at $22 per share.
Today, it is one of the largest companies in the world, with a market cap close to $1 trillion.
And as crazy as this sounds, Apple still has plenty of room to grow. Especially if they can make serious inroads in the healthcare industry.
Although it may be kind of pricey for first-time investors at $195.56 a share, Apple would be a great choice for an everyday stock. And remember – as I said the other day, higher-priced stocks often turn out to be the best investments.
4. Facebook (NASDAQ: FB): Yes, I know that Facebook has been mired in controversy over privacy issues and data breaches over the last few years. I know that right now they are one of the most hated companies in the world.
However…Instagram is not.
And in case you didn’t know – Facebook owns Instagram.
Like it or not, over 2 billion people use the platform monthly. 1.52 billion are on it daily.
Facebook is a cash generating machine, and during their last earnings report, they showed no signs of slowing down.
I know that Facebook maybe a controversial pick. But the title of this post is “Everyday Stocks” – and we use Facebook every day!
5. Match (NASDAQ: MTCH): More people are connecting via dating apps today than ever before. That number is only going to grow.
Match is the undisputed leader in online dating, with over 40 brands including Match.com (of course), as well as OKCupid and Tinder. Many people are unaware Match owns all these brands!
The company went public in 2015, priced at $12 per share. The stock is up almost 500% since then.
And it still has enormous growth ahead of it.
In fact, you could make the argument that Match has more growth potential than any stock on this list.
So to my former non-believers who are now investors-to-be – which of these will be your first stock?
Click the image of the book at left to be taken to its Amazon page. (Disclosure: As a participant in the Amazon Services LLC Associates Program, I earn a small commission on each sale generated through these links.)