Stock Market Investments Essay

Submitted By krysten07
Words: 641
Pages: 3

Economics 1
14 December 2010
Stock Investment Project
For my investment project, I purchased stocks in Best Buy, Apple, Amazon, Limited Brands Inc., Sony, Nintendo, Anheuser-Busch, Molson Coors Brewing Company, Google, ADP, and Verizon. My reasoning for buying the stocks was generally the same. It could be described as seasonal in almost every case. I purchased the first six stocks listed because during the semester we would be nearing the holiday season, and I believed that with most of the public going out and getting started on their Christmas lists, it would be smart to invest in some of the popular, big name companies. In most cases, this strategy worked well enough. Each one of the six companies made me money, except for Nintendo. The problem that arose with this company was caused by a new handheld console called the 3DS. This product takes 3-dimensional gaming to a whole new level by allowing individuals to experience 3D visual effects without the need for 3D glasses. The product was scheduled for release in the United States at the end of this year, but the date was pushed back, causing the expected profits to drop, which in turn led to a fall in stock prices. Nintendo stock remained in the red for much of the semester, until the end. When it seemed to stabilize and the sell price was above what I paid for it, I decided to sell most of my stock in the company, in order to avoid another drop in funds. My decision to invest in Anheuser-Busch and Molson Coors was a very simple one. This semester also takes place around the time when football season begins. With fans all over the country increasing the amount of beer they purchase during the season, it seemed like a good idea to invest in some of the popular companies, namely those that own Budweiser, Coors, and many other popular brands. This strategy was also successful in that both companies stocks earned me a decent amount of money. As far as investing in Google and ADP, they seemed to be companies that would either make me money or at least remain relatively stable. Google stock was obviously a money-maker for everyone who invested, and ADP brought in a small profit as well. The last stock I invested in, Verizon was a little risky. I was told in October that the