You need to take informed decision before investing in the stock market. Many investors who are just beginning to dabble in shares and stocks often ask: How to invest in the stock market?
If you are very new to investing we suggest that you seek professional help. For those that have some knowledge especially of fundamentals we suggest that you use the tools available on out website to help you take informed decisions.
1) Study the share price movement
If you are looking to buy the ICICI Bank shares, you would want to know what has been the price movement in the last 1 year or so. You can visit the link below and our chart would provide you with the movement of last several years.
For example, you would realize in the last one year that that share price of ICICI Bank has hit a 52-week high of Rs 381 and is currently traded at just Rs 282. What this means is that you are getting the share price relatively cheaper compared to its 52-week price.
Also, you can study the Sensex movement to see whether it is a good time to be investing in the stock market. You can seek help from experts on how to invest in the stock market by studying share price charts.
2) Studying corporate results
Now, you should study the corporate results before buying. For example, in the link below, you would get to know the performance of ICICI Bank every quarter. You could see if profits have risen or actually dipped. You can study the annual results, complete balance sheet of the company, board meeting etc.
Also look for consistency in dividends before you invest. For example, in the link of ICICI Bank, you can click on the dividend section to see how the dividend payout have been. A drop in the dividend or skipping of dividend is not a good sign.
4) Corporate news
A lot of websites including goodreturns.in also provide corporate news. This would help you to know the latest changes that may have happened at the company. This is also important before investing in the stock market and helps you to take informed decisions.
How to invest in the stock market is a question that is one of the most frequently asked, which we have tried to answer. Apart from the above, you must do a fundamental analysis of stocks before investing in the stock market. Here is an article that could also be useful, before investing in the stock market.