/biz/ - Business & Finance

>>21399883
How heavily should you weigh stock investments on fundamentals?
In principle a well managed business will have low debt, growth in sales, growth in revenue, and growth in free cash. But this does not directly translate to an increase in share price.
How important is the human factor?
What separates a pump and dump from a good investment?
pic related - the average P/E over US market history has hovered around 15-20.

>>21383836
There aren't many businesses trading at a fair value desu. Speculation plays a part in this, but so does QE and the FED. The market has historically tried to maintain an average P/E between 10 and 15. We're not dotcom levels of stock price inflation, but we have been overextended for a long time. There's nothing wrong with a little swing trading, just make sure you have your stoplosses in place and don't risk anything you aren't afraid to lose.