If you're thinking about invest in Google, then this is the perfect article for you; we will give you quite complete, extensive and detailed information; to make sure before making such an important decision that will influence your economy.
invest in google
Many of us know the great Google company, which a couple of years ago changed its name to Alphabet Inc.; passing Google, to be one of its derivatives, as well as all the other services offered by the company.
It is well known that Alphabet is one of the companies with the most shares and that manages the most money in the world; quite comparable with Microsoft, Apple and others. With this, anyone who is thinking of investing and buying shares of said company; It will be one of the best things you could do.
The risks will always be present; It must also be taken into account that certain economic policies are imposed on Alphabet, such as an economic antitrust measure; this could pose a risk, but only in the short term, but nothing serious. It is also important to mention the current pandemic that we are going through, which has obviously affected the economy of all countries and companies throughout the world.
Despite this, we will give you certain key points so that you can finish deciding on your own, if it will be worth it or not. invest in google right now. Remember that at the end of everything, you have the last word.
If you happen to be interested in getting a job at Google; You can then visit the following article below, where you can learn in detail about this: How do you work at Google?
Why do we recommend you invest in the company?
We had already said that Google, or Alphabet; It is one of the companies with the largest shares in the world. If we compare its first shares, which debuted on Nasdaq (one of the largest electronic exchanges in the United States) in 2004; that had a quote of $100, with the current shares, with a cost of $1700 (the most recent, was last November 12). We see quite important progress for the company.
Of course, this was not done only on the basis of its search engine, which was the one that started it all; but it further expanded his horizons. Its founders knew very well that if they wanted to go further, they had to start creating new services; also, that they should improve the ones they already had.
Who does not use the Google search engine? It can even be said that it is the most used today; Of the other services that the Alphabet company has, we have:
- YouTube, platform to watch videos, acquired in 2006.
- Google Maps, a mobile application and web platform, focused on cartography.
- Google Translate, a free service for translating words and documents into different languages; along with the reproduction of these, to listen to their phonetics.
- Gmail, the email service that gradually replaced what was once Hotmail and is now called Outlook.
- Google Drive, a Cloud Computing, which allows hosting all kinds of files and documents; instead of saving them in the memory of our computer or smartphone.
Of course, there are many more services that the company has developed; And of course, they have greatly facilitated the lives of their users.
additional reasons
With the above said, you should already be able to imagine the magnitude of power that Google currently has; In addition to being a highly secure company with many shares, without the risk of going bankrupt or losing your money, because all the services it has keep it afloat.
Other information if you wish invest in google, in case the above has not convinced you at all. Google did not simply stay with the use of platforms and services, but also explored the technological market; which was a great move on the part of the company, and caused its profits and shares to increase considerably.
Of course, he did all this not to depend purely on his services, but to have other sources of income as well; You may make use of some of the technologies owned by Google, which are the following:
- Chromecast: which helps connect your smartphone with your smartTV wirelessly.
- Chromebook: which is a laptop.
- Android: the operating system of mobile phones and the technological example best known by all people.
With the union of both the platforms and services, as well as Google technology; We have verified how it has earned a place in the life of each person in the world, since we at least make use of some of its services, or at least have a mobile phone with its OS.
Financial analysis of the company
There are enough and even more than enough reasons to justify an investment in the company. In this section, we will analyze a little about the financial aspects of the company; if you have already made your decision invest in Google, it is very important that you know, at least a little, the financial analyzes and their balance sheets.
Of course, we will not treat Google as such, but the main company from which it derives, Alphabet. By reviewing this, you will be able to give yourself an idea, more or less, of how the performance of it is; also, we will be able to observe a little of how viable it would be in the future. So we recommend that you take the time to review it with great patience and detail.
google stock exchange
From its first stock exchange, presented in 2004, to the present year; Alphabet, has presented a constant growth in all its ball. This means that if this growth is maintained over time, the company has strong potential, both in the current era and for the future.
All these revenues are more than justified by their online advertising over the years; however, we had previously mentioned another aspect that has also contributed greatly to this growth, technology.
In the graph below, you can see the increase in the Alphabet stock market; but you will also notice a big drop this year, this due to the Coronavirus pandemic, which of course caused an imbalance in the world economy during the first months; but later, it was recovered and they increased 5,5% more.
Google earnings per share
This section refers to Earning Per Share, more commonly known as EPS or (BPA if translated into Spanish). EPS is net profit divided by the number of shares in a company.
At the moment you visualize these results, you will be able to have more or less what a shareholder earns, for each of the shares he owns; in this case we refer to Google, or Alphabet. Its EPS, have also been increasing over the years, there is a record of a fall in 2017, but this is due to certain economic sanctions imposed on the company; however, after this, in the following years a favorable increase for Alphabet continues to be observed.
company profitability
Another big reason why invest in google, is a great return on your stock market; being one of the most profitable in the current market. Although, a decrease in the graphs has been observed, in recent times; However, this does not mean that the company is no longer profitable, but rather that its expenses are being allocated to new ways and means of continuing to grow and increasing its income possibilities for the company.
The cash flow of Alphabet Inc.
When referring to the cash flow or also Cash Flow; It is all the net money that goes out and comes into the company within a set period of time. During an economic crisis in this regard, at the beginning of the first 10 years of the new millennium; all shareholders have been very attentive to this factor, especially with special emphasis on technology companies.
Just like the previous financial aspects, this one is not an exception; since it presents a remarkable growth over the years, despite the fines made against Alphabet, mentioned in the previous section. So you don't have to worry about this being a problem if you want to invest in the company; as we said, you can do it with complete confidence.
How to buy shares in Alphabet, in order to invest in Google?
Having analyzed the financial aspects of the company, it is time for you to see how you can make the relevant investments; Of course, this if you have already decided. First of all, it is recommended that for the moment, you wait some time before invest in google; In view of the current pandemic, it is known that the economy is in an up and down, for all companies and this could mean a problem.
Although we have said that Google itself is quite profitable and is one of the best things you can do with your money; out of prudence, and more due to the economic rise that Alphabet has had specifically, the prices will be varying. That said, it's best to wait for it to stabilize a bit; or in case you want to buy shares in the same way, you can do it in the short and long term, so you have better control.
Requirements and steps
Now yes, we are going to mention what you must do so that you can buy Google shares; for this, you must have an account in Meta Trader 5. In case you are already a professional in this world of economic and financial issues, you can get your full account; on the contrary, if you are still a beginner, it is best to have a "demo account", so that you can freely operate in the markets, but without any risk; The steps are the following:
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- Sign in with your account, on the Meta Trader 5 platform; you can download it for free on its official page, available for Windows, Linux, MacOS, Android and iOS.
- Locate the “Observation” tab and press right click.
- Go to Symbols, then in the search bar, you are going to type “Google”.
- After the platform has shown you the results, select the Google one and you will click on “Show symbols” later.
- Search for Google shares, you will right click on it, then on “New Order” and finally, on “Buy”.
With your demo account, you will be able to simulate what stock purchases would be like on the Meta Trader 5 platform, without any risk; Once you have familiarized yourself with all the options and have practiced everything necessary, when you feel confident, you can then choose to create a real account to venture out. Sure, you can't just invest in google, because if you wish, you can also buy in other actions.
Recommendations
From what we have said before, regarding the current economic instability, you can operate your transactions with CFDs; to buy the shares with margins, that is, at a lower capital. However, although this is a kind of insurance, it also carries certain risks that you must be very attentive and aware of; so if you are not aware of this, then we recommend that you do not risk such a thing, because you could be harmed by it.
How to sell Google shares?
If you no longer want to continue investing in Google stocks because you no longer believe that prices will continue to rise, or you simply no longer want to invest in Alphabet; then follow the steps below:
- Login to Meta Trader 5.
- Right click on the "Observation" tab.
- Go to the “Symbols” section and type in your search bar, “Google”.
- Select the Google actions and click on the “Show Symbol” option.
- Finally, you right click on the Google action and then on «New order» and «Sell».
As you can see, this process is quite similar to the previous one, you must follow the same steps and the last one is the one that will change; so in this case, you will not have any problem or inconvenience to be able to sell the shares that you have bought from Alphabet Inc.
MetaTrader, the most famous trading platform
We had previously mentioned that one of the requirements for you to be able to buy shares on Google was to have a MetaTrader account, in this case, its version 5; although the MetaTrader 4, a different use is applied to it.
MetaTrader 5, it is a trading platform, to trade with the purchase and sale of currencies (Forex), trade with stock exchanges and others.
To do this, you need to create an account on said platform and select the type of account you want to use; As we already mentioned, if you are a beginner in this matter, it is best to choose the "demo" version of your account, since in this way, you will be able to carry out any type of transaction, without any type of risk. In addition, you will be able to familiarize yourself with the functions that the platform has at the service of the user and others; Said in a more basic way, with the “demo” account you can simulate what the whole world of trading, buying and selling of stocks and shares would be like.
Once you have gotten used to all this and you can know how to function in a much more fluid way; then you can change your account to a "real" one, in which you can actually trade within the platform. This option would also be for professionals, who already know everything about economics and are sure of what they do.
One of the greatest advantages offered by MetaTrader 5, for invest in Google; is that it is "multiplatform", that is, it is available for various OS and devices, both desktop and mobile. This is really beneficial, because if you don't have a computer at the moment, you can easily use the mobile version and use it from anywhere.
Best of all, this platform/app is totally free; So you are thinking of using a service that will help you with the purchase of shares, as an investment, without a doubt, MetaTrader 5 will be the best option for you. You must take into account that version 4 has certain differences with respect to version 5; so you must make sure what your needs are and what you want, because it is possible that one works better than the other, depending on what you are looking for.
To finish, there is nothing left to remind you that Google will always be one of the best options to invest; at least for now and from what is seen, in many more years; since its entire economy and financing is constantly on the rise, with certain falls of course, but then it recovers. Next, we will leave you an informative video, so that you can further expand the information given here.