Penny Stock Reality
Most beginners are attracted to ₹10 stocks.
Why?
Because 10 feels cheaper than 1,000.
But a ₹10 stock can fall to ₹1.
And a ₹1,000 stock can become ₹10,000.
Low price doesn't mean low risk.
#Nifty#zerodha
A ₹50 stock can be more expensive than a ₹5,000 stock.
Why?
Because price doesn't tell you the size of the business.
Market Capitalization = Share Price × Total Shares
Always compare businesses, not prices.
#nifty#zerodha
11/11
If I had to start again:
I'd spend less time predicting prices and more time understanding businesses.
That's where real wealth is built.
Follow for more investing lessons.
Before buying any stock, check these 4 numbers:
• ROCE > 15%
• Debt/Equity < 0.5
• Profit Growth > 10%
• Positive Cash Flow
If all four look healthy, the company deserves further study.
Most investors stop at the stock price.
#Nifty#Investing