As we will continue to invest, a more careful thought has to be implemented for the amount we fund. Which must be comparable to the company size and the long term revenue output in effect of its logistics with so forth. Companies like Netflix today are looked at on their stock-price laud as a bubble closing to burst, while the speculation is arguable. There is many things to consider, from how the company will spent its money; expanding their services to creating and gaining more diversity as a company, competition, and how long will its vehicle to rise last which unfortunately is this economy itself.
To another front, in places where economies were created and driven to cosmical rises from expansions and investments; like Dubai. Today Dubai suffers along with the rest in the retracting economic conditions taking a heavy toll on the majority of its newly developed investment attractions; property, and employment. Creating debt with scary ratios, leaving each of the emirate’s 250,000 UAE nationals responsible for 400,000 USD in foreign debt each.
While these nationals have a shared income from the government in oil revenues and them some, it is still a large comprehension when looking at Dubai as a company, even with oil backing it up. Which should make you look into company assets before investing.
Innovation has always been a large part creating the first impression among investors and their decisions. But today as it is still important to still look at that, it is also more important consider different aspects of the company. It is important not to confuse magnification with real growth.
InvestingAmateur
admin
