”Cheap” shares/stocks are not necessarily worth buying
* Price of a
share /stock can be low (and therefore appear cheap) because in reality the
firms is not doing well; the hype about the company / or sector and comparison
with prices of good companies may induce you.
* Worse, the price can become low because the face value
has been split (over 600 companies have split their shares); rationale given is
to make shares affordable to small
investors; not valid as one can buy even one share; real
purpose is to make shares appear “cheap”
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