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How to Buy a Stock in Today's Information Age
To hold a stock for the long run, focus on two key things: growing revenues and maintaining the original competitive advantage. These factors allow the business to earn returns on capital above the cost of capital. Companies with higher returns on capital should maintain healthy double-digit revenue growth. Hold onto the stock during periodic corrections and market falls. In order to achieve significant returns, you need to hold on to high-return stocks. Selling quality stocks for quick money is not helpful for investing. The biggest edge investors can have is a behavioral edge.