Types of Stocks

In this lesson, we'll introduce you to some types of stocks you can invest in.

It’s not super important that you remember all of them, but it’s just to give you an idea of all the different stocks out there!

Bluechip stocks 💙 are large, reputable companies like Apple, Disney, etc.

They're generally considered to be both low-risk and relatively high-return investments.

Penny stocks are any company whose share price is < $1.

Often from small companies and considered risky 🪙

Growth stocks are companies like Tesla with the potential to grow much faster than the market on average 📈, but are more volatile.

They typically have a high (or negative) P/E ratio and are often riskier.

Value stocks are companies that generate significant profits at a lower share price 💸

They're often less risky.

Dividend stocks just refer to any company that issues dividend payouts generally quarterly ⏰

No one type of stock is necessarily "better" than the other.

However, it's a good idea to keep track of the types of stocks you buy.