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Nov. 13, 2020, 12:04 p.m. EST

15 Best Stocks To Buy For Beginners

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Nov 13, 2020 (StockMarket.com via COMTEX) -- Are You Looking For The Best Stocks To Buy Right Now? Here's A List Of 15 Of The Best Stocks To Buy For Beginners.

Investing in the stock market today could be a great way to grow your wealth. But where do we start? To begin with, you might be better off investing in blue-chips stocks that are less volatile. What about penny stocks , you might ask. Well, a small movement in penny stocks could translate into big gains, but those gains could also turn into big losses overnight if we are not careful. So, unless you are willing to stomach such big swings, you might be better off sticking with well-known companies for a start.

This year saw many new participants in the stock market , as many started investing for the first time during the pandemic. If you are one of them, congratulations. While some people prefer trading stocks over short periods of time, you might want to consider long-term investing. The stock market on average produces around a 10% annual return. While this may seem easy, not many people actually achieve such returns. And one of the main reasons is because these investors don't stay invested long enough.

Admittedly, choosing the right stocks to invest in can be a time-consuming endeavor. This is true even for some of the most seasoned investors. If you are new to the stock market, buying companies that you are familiar with maybe a good place to start. It would be beneficial to have an idea of how the companies make money. Besides, picking stocks with strong balance sheets and stellar growth prospects could increase your chances of success.

Of course, the reality is that unless you are a gifted stock picker, some of your stocks will lose money. That's why it is important to diversify your investments, so that losses in a stock may be outweighed by gains in other stocks. Last but not least, we certainly hope you will find your investing journey enriching indeed.

Best Stocks To Buy For Beginners Right Now

Alibaba /zigman2/quotes/201948298/composite BABA +0.20%

Alibaba Group Holdings is China's largest e-commerce company. Many people know the company as the Amazon of China. Alibaba is the largest e-commerce company in the Asia Pacific and it is a leader in the cloud industry in the region. In addition, the company invested heavily in artificial intelligence (AI) and made good use of the data generated by the company and its subsidiaries, notably Taobao and Tmall marketplaces. This gave it a competitive advantage on how to optimize its offerings. In 2020, it was announced that Alibaba has the 6th highest brand valuation in the world. Alibaba is the second Asian company to surpass a valuation of over $500 billion USD. What's not to like about BABA stock when it is benefitting from all the growth drivers in the form of AI, e-commerce, and cloud computing?

[Read More] Are These Tech Stocks On Your List? 1 Making Big Gains This Week

Alphabet /zigman2/quotes/202490156/composite GOOGL -0.19%

Alphabet is the parent company for the tech giant Google. It's one of the world's biggest and most profitable companies. Google generates 99% of the company's revenue, of which more than 85% is from online advertising. GOOGL stock is great for beginner investors because most people around the world use some form of Google product in there every day in our life. Google is the most visited website with over 62.19 Billion visitors in 2019. The tech giant also holds a 92.18% market share of the search engine market. Every day billions of users rely on Google for their daily searches. The company offers a variety of products and services such as Google News, Google Shopping, Google Drive, and much more. Do you think Google is a good stock to buy for beginners?

Amazon /zigman2/quotes/210331248/composite AMZN -0.74%

/zigman2/quotes/201948298/composite
US : U.S.: NYSE
$ 243.46
+0.48 +0.20%
Volume: 21.56M
Jan. 15, 2021 4:00p
P/E Ratio
35.26
Dividend Yield
N/A
Market Cap
$672.76 billion
Rev. per Employee
$622,130
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/zigman2/quotes/202490156/composite
US : U.S.: Nasdaq
$ 1,727.62
-3.30 -0.19%
Volume: 1.57M
Jan. 15, 2021 4:00p
P/E Ratio
34.50
Dividend Yield
N/A
Market Cap
$1171.43 billion
Rev. per Employee
$1.36M
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/zigman2/quotes/210331248/composite
US : U.S.: Nasdaq
$ 3,104.25
-23.22 -0.74%
Volume: 4.24M
Jan. 15, 2021 4:00p
P/E Ratio
90.91
Dividend Yield
N/A
Market Cap
$1557.56 billion
Rev. per Employee
$351,531
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