Re:Intel Confronts Potential ‘PR Nightmare’ With Reported Ch...
by astrange on Thursday January 04, 2018 @01:58AM
(#16068535)
There's no particular reason any random company's stock should have gains over time, aside from inflation. Especially if it doesn't give dividends, you may never gain anything.
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Re:Intel Confronts Potential ‘PR Nightmare’ With Reported Ch...
by betterunix2 on Thursday January 04, 2018 @01:51PM
(#16072943)
Nothing is certain, but you can sort companies into "likely to gain" and "unlikely to gain." The P/E and P/CF ratios are commonly used for this, along with other valuation metrics. The basic theory of value investing is to find companies that are likely to give you a return.
Also, historically the stock market as a whole has outpaced inflation, so even just investing in randomly chosen companies should have gains over time (there is even evidence that a portfolio of randomly chosen companies performs about the same as a portfolio of companies chosen by analysts and advisers).