Which stocks are better to invest in?

I'm new to this, and am unsure whether its better to invest in stocks that are very cheap or those that are more expensive, like Walmart or Yahoo. Any advice on what is the wiser long term (like a year or two) investment?

If you are starting out and you dont know anything about stocks it is better to invest in a no load mutual fund, such as Vanguard Equity Income fund. You willneed $3,000 to open yor account and you can add $100 any time. If you buy stocks it will cost you commissions and if you dont have at least $50,000 to start you cant diversify.But stick with large cap stocks . The blue chips. A mutual fund is your best bet. I am an investor for 40yrs.

I'm assuming you are talking about low PE stocks AKA value stocks VS High PE stocks AKA growth stocks. To buy stocks just because they have high or low PE's is a very bad strategy. a stock could have a PE of 30 and be "cheap" against a stock with PE of 10 and is "expensive". If you don't understand stocks, I recommend going into mutual funds or simple index funds depending on your situation.

They say to invest in what you know and use. Walmart is a good one. If you use the product or are familiar in it, then invest in it, if you think that the company is doing well.

I think the best thing to do when you first start investing is to see what the best traders are buying and selling and why. This is the idea behind the site http://www.top10traders.com - this is a free site that lets you create a portfolio of stocks with $100,000 in "play" money. Each day the site ranks the best performing portfolios, so you can see how your picks perform compared to other investors. You can also read posts on investing from the best traders, as well as share your own investing ideas.

Here are this month's best traders:

http://www.top10traders.com/Top10Standin...

Good luck!

Follow the money or find what is beaten down and out of favor.

I don't think it's possible to generalize about this question. It all depends upon the company. Some expensive or high PE stocks are good deals, because they will go up even higher. Some cheap stocks can be good deals also. But there are many many duds in both categories. You need to read some good books on stock investing and do a lot of research before you'll be ready to buy individual stocks. If you're in a hurry to get into the market, get a good mutual fund from someplace like Vanguard. Check out the large-cap value fund VIVAX, and the Foreign Value fund VTRIX. That's where you should start if you're new to investing.

Cheap stocks is always the best way to go.

Best to invest in the "next" walmart or yahoo, if you know what I mean. Invest in the company where last week your friend said "hey, you gotta see this, this is awesome, its a new gadget on the market, man I'd like to own a piece of that company."

Jeff
http://www.best-stock-trading-systems.co...