A few weeks ago I started using The Motley Fool Stock Advisor to see how their picks faired in the market. As an investing novice, my knowledge of what makes a good investment was relatively limited prior to using the stock advisor account. However, after a few weeks of observing my faux investments and making notes of how they are performing, I’ve learned a bit. Here is what I’ve found during my Motley Fool Stock Advisor review…
How The Motley Fool Teaches You About Investing
As I discussed in my initial review, The Motley Fool stock advisor is probably best-used by newbies (like myself) and intermediate investors. More seasoned investors may find the advisor informational, but I assume most experienced stock market investors know much of what is recommended.
The daily stock picks are displayed on The Motley Fool Stock Advisor like this…
When you like to expand each company, it provides more in-depth information about the stock and its performance history. As I looked at each recommendation, I noted The Motley Fool tends to suggest stocks that have had a steady increase in value over the last six months. Fiverr, for instance, had a starting price of around $63 six months ago and now is priced around $181. Seeing this trajectory can help you identify an expanding company that may produce decent returns.
My Stock Picks
It should be noted that I did not stick to all of the “top picks” from The Fool. Netflix was not a pick but it was listed among the top movers from the advisor the week I began. I have also always been excited about what Netflix does (in the market and as a company). Here is how they’ve been performing…
In my initial review of The Motley Fool Stock Advisor, I took a look at how easy it was to use and how much information was provided to newbies like me. Honestly, I’ve been pleasantly surprised by all the data the advisor provides on each investment. It gives me information on what I should pay attention to when I invest in the future.
Next Investments
My next move will be to alter my investment holdings based on the new recommendations from The Motley Fool this month. I plan to replace Solar Edge Technologies and Netflix in my portfolio with similarly-priced stock. These two are the only investments I’ve made since taking The Motley Fool’s advice that have not shown a positive return. Considering I invested in five companies, that is pretty great.
The net loss has also not been huge. For Netflix, which was only a “top mover” and not technically a Motley Fool recommendation, I’ve only lost $38 total. Solar Edge, on the other hand, has given me a net loss of $478. Trading these two stocks out for one of two of The Motley Fool recommendations may these small losses around.
When it comes down to it though, less than $550 in total loss for $10,000 in investments is not bad at all. If I were to make these stock picks myself, I would not have thought to consider any of these businesses. My highest earner, ASML Holdings, is a company I’ve never even heard of.
Similar to my last choice, I picked one of The Motley Fool’s picks for the day (Zoom) and I also picked Tesla, one of the day’s top movers. We will see how it goes.
Conclusion
In conclusion, The Motley Fool is educating investors, especially novices like me, on how to research and truly pick a good stock. I have been able to learn more about each stock, why it may be a good investment, and what signifies a stock that will provide good returns.
If you have been considering trying out The Motley Fool Stock Advisor, it is incredibly affordable at just $99 per year (for now). Don’t miss out on this great stock advice at a great price!