McDonald's pays a dividend, and Apple has the iPhone... But Tesla is Tesla. Where do I
invest?! What's up everybody? I am Jaspreet Singh, and welcome to the Minority
Mindset. You want to be an investor, and put your money to work. And you want to
find good companies to invest in, this way you could buy them before they go
huge. Well, you are in the right place. No, I'm not gonna give you a magic pill that
if you do these five things, you're gonna double your money in the stock market in
just 90 days... No. But what I will do, is I'm gonna go over five things that you
need to pay attention to, if you want to find a good company to invest in. So make
sure you watch this video until the end, this will you see all these five things
that you need to do, but, before we get into that, make sure you hit that thumbs
up button below, and subscribe to the Minority Mindset YouTube channel, that way
you don't miss our new financial education videos every single week, and, hit that
little notification bell too because if you don't, YouTube's not gonna let you know
when our new videos are released. First: the easiest place to start finding
companies to invest in is your wallet. Are you telling me to invest in coach?
No, I'm saying look where you spend your money!
Chipotle... You taste so good. Why do you always do this to my bank account? If you
love spending your money at Chipotle, or Nike, or Apple, chances are other people
do too. Start by making a list of your favorite companies and big brands and if
you don't know what they are, all you have to do is pull up your credit card
statement and it will be right there listed for you, and let me just hide my
Lululemon purchases. I've never bought anything from Lululemon, but before you
jump in and start buying shares of all these companies, I need you to make sure
that this is a good company to invest in, which means I need you to start looking
for two: profitability. I want you to figure out if this company that you like
is profitable, and if it's not profitable, look to see what their plan for
profitability is. When do they think that they will be profitable? And if you're
thinking: But Jaspreet! What kind of big company is not profitable?
well, at the time of me recording this video, here's just a few: Uber, Lyft,
Smile Direct Club, Peloton, Beyond Meat, Zillow, Tesla... If a company is not making
a profit, that's not an automatic
"no" that you shouldn't invest in them, that means you need to do some more
research. This is where I want you to go in and see what's their plan for
profitability; if your company's executives are saying things like:
"Business is doing great. We don't know when we'll be profitable yet or how we
will be profitable, but business is wonderful!" Then I want you to stay very
far, far, far away and yeah, that is kind of exactly how companies do phrase it.
Tip number three: know how to do your research. The quickest and easiest way to
see if a company is profitable, is by looking at something called a p/e ratio.
It sounds complicated, and it can be, but it doesn't have to be. All the p/e ratio
is really telling you, is how expensive a company is, based on how much profit
they're making. So, if the p/e ratio is really high, that means the company's
really expensive. If the p/e ratio is low, that means the company's not really
expensive. And if you see a p/e ratio of not available, or non-existent that means
the company is not profitable. You could think of the p/e ratio kind of like a
ripoff meter. If your p/e ratio is super high, you might be getting ripped off. The
easiest way to find the p/e ratio or really any stock information is to use a
stock research website, or to use a stock brokerage like our sponsor Webulll. Webull
is a stock brokerage that is free to use and it costs $0 to make a trade. All you
have to do is create a free account and then if you want to look up the p/e
ratio or any information about Tesla or any stock, you just go into the app, enter
in the stock, and then it will give you a list of all the information right
there. By the way, do you see how the p/e ratio
for Tesla is N/A? That means that Tesla is not making a profit yet. Making your
investment is just as easy. All you gotta do is enter in which stock you
want to buy, how many shares you want to buy, fund it, and you are done, plus they
don't charge you a penny in commissions to make a trade,
so you can use your money to invest instead of just using your money to pay
your stock brokerage commission fees. Webull is giving Minority Mindset
followers a free stock, just for investing with them using our link in the
description below. You can see all the details on how to qualify and grab
your free stock in the descripton below.
Minority Mindset is a partner with Webull so if
you use them, we will get compensated, but there's no additional cost to you. I mean
they're free to use, they don't charge you any money to make a trade, and
they're giving you free stocks to use them, so if you want to learn more, and
get your free stocks and see how you can get them, I got the links to how you can
do that in the description below. Fourth: look at the moat. The boat?! No, the moat.
This is what Warren Buffett looks at before he invests in a company.
Historically, a moat is a barrier, or a ditch, or a small river that surrounds a
fort that makes it hard for enemies to attack the fort. So, the bigger the moat
the harder it is for enemies to attack the fort, because they gotta cross this
river, or they gotta fight these alligators or
whatever to get to the fort, the smaller the moat, the easier it is for enemies to
get to the fort. A company's moat works the exact same way without the water and
the alligators in the ditch. A company's moat is essentially its barrier to entry.
How hard is it for a new company to come in and take your company's spot? If you
take a look at Visa, the credit card company for example, Visa has a huge
massive moat because they have contracts with every store, and every payment
processing system software around the world. So for a new company to come in
and take Visa's spot would be very expensive, very time-consuming, and very
hard, because then everybody would need to start accepting Jaspreet's credit
cards or whatever it is. You can compare that to a company like Casper the
mattress in the mail company, which has a very small moat. Casper is essentially a
glorified drop shipping company, because what they do is you go on and you
purchase a mattress in the mail, and they ship it out to you, which anybody can
really start doing if you have a few thousand dollars. The bigger the moat, the
safer your investment is for the long term, but you also want to take a look at
five: growth. When you invest your money, you want to invest your money into
something that will be popular and needed tomorrow, not just something that
was popular yesterday. so you want to look for companies where revenues and
profits are growing faster, not shrinking. One way you can do that is by listening
in to a company's earnings call. Every public business, which is a lot of these
big companies, is required to put out a statement every
three months that tells the world: Here's how much money we made, here's how much
growth we expect, and here's how much growth we actually had. I want you to
start listening in on these calls, and start reading these statements because
if you find out that a company grew by 20 percent just a few years ago, and they
grew by fifteen percent the year after that, and this year they're only expected
to grow by three percent, they're still growing, and the stock price might be
going up, but their growth is shrinking, and that's something you need to be
paying attention to. And if you use our sponsor Webull, they have all the company
news right there on the app for you, this way you don't have to start digging for
that information. Again, I've got the links in the description if you want to learn
more. Thank you for watching, if you enjoyed this video, share it with one friend,
that way you can help spread the word. Hope you enjoyed learning more about how you can
find a good company to invest in, and if you want to see some of the most common
mistakes that stock market investors make, this way you don't make these mistakes, I
already made a video on this, and you can watch this video by clicking this button,
right here. Thank you for watching, and as always, KEEP HUSTLIN' *