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Why do stocks go up long term


It's the company's earnings themselves which drive the share price. So in the long run, shares go up because companies continue to generate cash. As long as companies generate more cash in the future than they're generating now, their share prices will go up.

What makes a stock good for long term?

If the company has a consistent history of rising earnings over a period of many years, it could be a good long-term buy. Also, look at what the company's earnings projections are going forward. If they're projected to remain strong, this could be a sign that the company may be a good long-term buy.

Is it good to keep stock for long term?

Benefits Of Holding A Stock For Long Term\n\n Long-term investments almost always give you more gains and profits and they outperform the market when the investors try and hold on to their investments and time them accordingly. Secondly, the biggest advantage of holding a stock for the long term is that it is less costly.

Is it good to hold stocks for 10 years?

If you see any giant stock of any good company in a 10 years frame, you will see it has generated good returns in the long term. Though there is no ideal time for holding stock, you should stay invested for at least 1-1.5 years.




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