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How To Make Or Lose Money On Penny Stocks

Penny stocks carry higher risks and also can give greater returns. This actually means that you can either lose a lot of money with penny stock investing (because of the higher risk factor) or make a lot of money (because of the higher potential returns). Which of these happens to you will depend a lot (but not only) on how you go about assessing the investment. Before we go further, however, you should be aware that no matter how much care you may take there is a certain amount of risk associated with penny stocks, which is much higher than in the case of large cap, stock exchange registered stocks.

In order to assess whether you can make money out of a penny stock, you should understand how one makes money in the stock market. One of the returns that one gets from a stock investment is in the form of dividends. That however, is usually a very small portion of the returns that one gets from stock investment. The major returns come from appreciation in the price of the stocks.

The prices of stocks are assessed using different yardsticks or parameters. The first of these is the return on investment. If the return on a stock is 10% and the price earnings ratio is 10, for example, the stock would be priced at ten time the earnings or 100% of issue price. In other words this stock would be traded at its face value. From this we can see that the price would depend on two things, the absolute return and the price-earnings ratio.

The second important factor that affects the price is the book value of the stock, which is basically computed as a figure that represents the assets available in the company against each stock. For example, if a company has net assets of $100,000 and has issued 10,000 shares, the value of each share under this method would be $10.

The price of a share is also valued on the basis of a few other criteria. However, the most important factor from the market point of view is the returns that the stock generates. The value under this method would depend on the earnings and the price-earnings ratio. The latter is a matter of perception that will depend on the risks associated with the stock. This perception will undergo changes depending on the history of performance of the organization, the available information about the company and its prospects, and the market buzz about impending major events in the company (for example a takeover by a major organization).

Of these, the most important from the long-term point of view is the consistency and quantum of earnings from the long term and the direction of the price-earnings ratio in the short term. As an investor what you need to assess and be aware of are:

- Is the company stable enough to sustain its earnings and growth? Who are the promoters? How long has it been in business?

- How is the market perception of the company? How is it likely to change?

- How are the fundamentals? Does the company have a good asset base? Does it enjoy a good business?

Finally, the old adage don't put all your eggs in one basket is true to a greater extent in the case of penny stocks. So invest a little at a time and don't put all your money in one or a few such stocks.

Personal Injury Essentials That You Should Know

Most people find themselves the victim of a personal injury at some point in their life. Many do not know where to begin searching for an attorney to represent them. There are some guidelines you should follow if you find yourself in this situation, and this article will get you started in the right direction.

When in a car accident, write down what happened as soon as you are safe to do so. For example, what you were doing when it happened, how you are hurt, what damage there is to your car, what damage there is to the other car, and what you think caused the accident or how the other driver was at fault.

When comparing prospective personal injury attorneys, it never hurts to ask for recommendations from people who were recently involved in a lawsuit like your own. This will dramatically increase your success of locating a lawyer you like. You should do everything you can to find the best attorney around.

Look online to discover a well respected lawyer. That way, you will have lots of information with which to decide. For the best results, look for a lawyer that has experience and a good track record.

One thing when looking online for an attorney, make sure that they have a nice 5 star rating or as high as possible. You should be able to check their verdicts and settlements page and see what cases they have won for their clients.

When you are searching for a personal injury attorney in Las Vegas the internet can help you find the right lawyer. Check with friends and relatives for others that you could visit with. Make sure that you get a free consultation with the perspective attorney to make sure that you and he/she are compatible and can get along. This could be a long process so you might want to make sure that you get along.

Remember that when you're choosing a personal injury lawyer, you're entering into a relationship. The lawyer you choose should be someone that you can easily get along with. Likeability should not be the only factor in your decision, but it is a very important factor to consider. Not liking your lawyer and their staff can hamper your case by putting a strain on vital communication.

When visiting a lawyer's website, navigate to the About Us section. This page will give you information such as the attorney's specialty, the location of their office and years in practice. Many lawyers also have a testimonial page. On this page you will be able to read about different cases from the client's perspective.

Take things slow and take good care of yourself. Do not let working on your case get more important than your personal health. The most important thing you need to do when suffering from a personal injury is rest and make sure you are healing like you should be.

Do not choose a lawyer until you have met every person you were considering in person. You may kick yourself down the road when you find out that another lawyer was a better choice. Once you have gone through all of your options, you will be ready to make the best decision.

If you like to exercise to keep in shape, take the proper precautions to avoid injuring your muscles. Stretch before and after each workout in order to warm up and cool down your muscles. This will make it less likely for you to experience a tear or other personal injury.

Find that you have been victimized by the negligence of someone else is difficult. It can be even more difficult to find a way to get some compensation for it. The information in this article will help you in your search to find the best lawyer to represent your interests when you bring your case to court.