There are a number of different investment styles you can choose from. Some people may stick to one or another, believing that is the best strategy for their personal preferences. Others may combine a few different strategies to give themselves some diversification.
It’s important to know what style of investing you are going for before you start your research.
For example, growth investing is based on the principle of growth in the companies. If you were to assess the companies using metrics that you use to find value stocks, all the companies would look over valued.
This is why it’s important to know your style and the proper metrics to choose the right investments.
Growth is based on belief that the underlying company will grow its operations significantly over the period you expect to invest. Growth investing can be targeted at small companies that will become large, it can be focused on entire industries growing, such as cannabis, or it can be large, established companies growing margins and dividends.
A top growth stock to consider is goeasy. goeasy has been growing insanely quickly the last few years with return on equity above 20%. Its stock has grown a whopping 160% in the last three years.
What’s even more impressive is that it has grown while already being profitable and having massive margins. It even pays a dividend that yields 2.3%.
goeasy will continue to grow into the future, targeting the subprime consumer market and increasing its loan originations, to continue to grow its loan book.
Income investing targets the highest and most stable yields possible. It can be combined with other strategies, as you may find top income stocks when value investing, or you may find an income stock that has been growing.
A top income stock to consider is BCE. BCE is the largest telecommunications