Let's make a 5-6 stock portfolio!

[EricL]

If I had to pick one tech it would probably be MSFT.

Diversified behemoth. AAA credit rating. Excellent track record.

[NilesMike]

I'm looking to buy 1 stock as a starter for my 1st Granddaughter, born yesterday.

Suggestions/consensus needed.

[fenders53]

MSFT doesn't sound bad. Neither does a major chip stock as some of the best ones pay a Div. Tech has to be one of the toughest to pick who is still on top 20 years from now. I'd consider a second one though it doesn't have to start out that way.

[fenders53]

(03-28-2021, 06:48 AM)NilesMike Wrote: I'm looking to buy 1 stock as a starter for my 1st Granddaughter, born yesterday.

Suggestions/consensus needed.

Congrats Grandpa!  The standby was DIS and MCD back in the day. You should get her a share of BRK.A

[crimsonghost747]

(03-27-2021, 04:32 PM)EricL Wrote: If I had to pick one tech it would probably be MSFT.

Diversified behemoth. AAA credit rating. Excellent track record.

(03-28-2021, 06:55 AM)fenders53 Wrote: MSFT doesn't sound bad.  Neither does a major chip stock as some of the best ones pay a Div.  Tech has to be one of the toughest to pick who is still on top 20 years from now.  I'd consider a second one though it doesn't have to start out that way.

MSFT was something I was indeed considering. They seem to be moving in the right direction, and indeed should be a relatively safe choice that will bounce back at some point should it crash 50% due to the insane valuation.

[crimsonghost747]

(03-28-2021, 06:48 AM)NilesMike Wrote: I'm looking to buy 1 stock as a starter for my 1st Granddaughter, born yesterday.

Suggestions/consensus needed.

Congratulations!

I think you can't really go wrong if you start with JNJ. Any other massive and stable dividend growth company would do well too. LMT and LHX also have good valuation and they have some big opportunities coming in the next couple of decades relating to space exploration etc. But maybe not the ideal stocks for a 0 year old due to the weapons part of the business...

Then when she gets to like 3 years old, she will watch Disney so you can give a Disney stock. And PEP a year or two later so she can be enjoying her own company's snacks.

[ken-do-nim]

(03-28-2021, 06:48 AM)NilesMike Wrote: I'm looking to buy 1 stock as a starter for my 1st Granddaughter, born yesterday.

Suggestions/consensus needed.

I want to know how you will buy that stock.  I tried to buy some stock for my girlfriend's children as a birthday present, and found it too complicated.

[ken-do-nim]

(03-28-2021, 08:18 AM)crimsonghost747 Wrote:

(03-27-2021, 04:32 PM)EricL Wrote: If I had to pick one tech it would probably be MSFT.

Diversified behemoth. AAA credit rating. Excellent track record.

(03-28-2021, 06:55 AM)fenders53 Wrote: MSFT doesn't sound bad.  Neither does a major chip stock as some of the best ones pay a Div.  Tech has to be one of the toughest to pick who is still on top 20 years from now.  I'd consider a second one though it doesn't have to start out that way.

MSFT was something I was indeed considering. They seem to be moving in the right direction, and indeed should be a relatively safe choice that will bounce back at some point should it crash 50% due to the insane valuation.

Funny story.  I came to a similar conclusion in January, but didn't have any available funds to invest in Microsoft with.  So, I sold most of my VOO ETF, which was doing perfectly well, and put $6k into MSFT.  It's done nothing since I did that, whereas VOO has continued to do well.  To make it worse, I didn't wait a full 12 months to sell VOO, meaning the profit will be short term capital gains.  

I still think everyone's first stock pick for a new account should be VOO.

[fenders53]

(03-28-2021, 08:32 AM)ken-do-nim Wrote:

(03-28-2021, 08:18 AM)crimsonghost747 Wrote:

(03-27-2021, 04:32 PM)EricL Wrote: If I had to pick one tech it would probably be MSFT.

Diversified behemoth. AAA credit rating. Excellent track record.

(03-28-2021, 06:55 AM)fenders53 Wrote: MSFT doesn't sound bad.  Neither does a major chip stock as some of the best ones pay a Div.  Tech has to be one of the toughest to pick who is still on top 20 years from now.  I'd consider a second one though it doesn't have to start out that way.

MSFT was something I was indeed considering. They seem to be moving in the right direction, and indeed should be a relatively safe choice that will bounce back at some point should it crash 50% due to the insane valuation.

Funny story.  I came to a similar conclusion in January, but didn't have any available funds to invest in Microsoft with.  So, I sold most of my VOO ETF, which was doing perfectly well, and put $6k into MSFT.  It's done nothing since I did that, whereas VOO has continued to do well.  To make it worse, I didn't wait a full 12 months to sell VOO, meaning the profit will be short term capital gains.  

I still think everyone's first stock pick for a new account should be VOO.

You may be right but it's still boring and motivation is important in the early stages.

[EricL]

It wouldn't hurt to go with a DGI ETF for a portion of a beginning portfolio either. SCHD, DGRO, and VIG are my three favorites.

[fenders53]

VIG is good IMO. You'll get hurt less in a drawdown. MSFT and some of the other high fliers could be 5 years getting back to even when they finally revert to the mean. It was 10 years last time MSFT got extremely over valued but it's not nearly that crazy this time.

[stockguru]

(03-28-2021, 09:50 AM)EricL Wrote: It wouldn't hurt to go with a DGI ETF for a portion of a beginning portfolio either. SCHD, DGRO, and VIG are my three favorites.

They all the same exact chart so it doesn't matter which one you buy lol. But I prefer DGRO only because it's less volatile and holds MSFT and APPL in it's top 10