Hello Guys, Investment tips, Investment tips for beginners in Share Market all problems solution given in this article read and learn Investment tips in Share market. 

Introduction 

Here you can learn about stock market strategy tips and tricks or advice to make a good money in future, and fulfill your wishes. 



Why invest in Share Market? 

In future for family, self development, for health, grow own business or setup a new business in future, we should invest in stock market. Most people reap the richest rewards from their investments after retirement, but the sooner you start planning, the better off you will be in the future. 

If you wish to become a successful investor in future , commit this concept to memory:

“High risk, high return. Low risk, low return.”

Now that you understand the importance of investing, so prepare a goal and customize your own financial plan, ask yourself the following questions:

  1. What are my goals?

  2. How long can I take to reach those goals? 

  3. How much risk should I accept?

  4. What must I do to meet those goals? 

  5. How Much Can You Invest?

What is Stock?

Common stocks provide investors with an ownership interest in a company. investors can buy and sell stocks on exchanges — entities that exist mostly to create a marketplace for the shares.

Share Market Tips - 

1. Valuation: Buy Low, Sell High

Every investor wants to buy low and sell in high profit. The buy low, sell high strategy works better if you focus not on the market, but on a specific stock. Here are some valuation ratios to consider:

(i) Price/earnings ratio :

To calculate the price/earnings (P/E) ratio of a particular stock, you’ll need the stock’s share price and its earnings over the last four quarters — often called 12-month trailing earnings. 

(ii) Price/sales ratio :

The price/sales (P/S) ratio focuses on the topmost line of the income statement. 

(iii) Price/book ratio :

While both the P/E and P/S ratios compare the stock’s price to statistics from a company’s income statement, the price/book (P/B) ratio draws on the balance sheet.

(iv) Price/operating cash flow ratio.

To calculate the P/OCF ratio, divide stock-market value by the operating cash flow generated over the last four quarters. 

2. Growth: Does Your Company Expand?

Taken in combination, the following six growth numbers will reveal much about a company:

A. Quarterly growth.

B. Trailing 12-month growth.

C. Four-year annualized growth.

D. Estimated current-year growth.

E.  Estimated next-year growth.

F.  Estimated five-year annualized growth.

Calculating Growth Rates by formula - 

Growth rate = (sales in most recent quarter / sales in same quarter a year ago) – 1

3. Profitability: Making the Most of What You Have

Profit margins measure operating efficiency and show how much of a company’s sales it keeps. Taken individually, profit margins may not tell you much. In context, margins and other profitability measures offer plenty of insight.

4. Putting It All Together

(A) Finding New Stock Ideas

(B) Maintaining Balance

(C) Pulling the Trigger

How to Trade Your Stocks

For the most part, beginners should simply buy and sell their stocks at the prevailing price. Before you actually make a transaction online, visit your broker’s website and click on the trading link. The site will ask you how many shares you wish to buy, and whether you wish to make a market order or a limit order.