Stock investing can seem overwhelming for beginner investors, but once you find your ground, there is no turning back. Whether just starting or trying your luck at stocks with a little money, some stocks for beginners are from companies that can help your money grow.
To start building a stock investment portfolio, identify companies with a solid track record that the market’s ups and downs have not impacted. These stocks have existed for years; the companies have a rich history, a global market and generate passive income.
Here are three stocks you can invest in with little money without worrying about losing your hard-earned money. These companies are reliable and resilient and will ensure passive income over the years. Let’s take a look at 3 stocks for beginners.
Coca-Cola (KO)
Beginner investors often want to play safe and ensure investments generate degenerates and degenerates steady returns and market downturns. This is where the beverage giant Coca-Cola (NYSE:KO) shines. The most recognised beverage brand in the world, Coca-Cola is a safe choice if you are only starting out in your investing journey. The company is diversifying into healthy drinks to meet the changing needs of consumers.
Trading at $60 today, the stock has been moving sideways for a long time now. Many think it is underperforming in beverage stocks like PepsiCo (NASDAQ:PEP). However, KO stock brings passive income and stability to your portfolio. The company has paid dividends for 60 years and has a dividend yield of 3.22%.
Coca-Cola beat estimates in the fourth-quarter results and reported a revenue of $10.85 billion, up 7% year-to-date and an impressive 12% organic growth. Its EPS came in at $0.49.
For 2024, the management is aiming for an organic growth in the range of 6% to 7%. The company has a multi-million dollar partnership with the International Cricket Council. This will generate steady income for the company.
There is very little chance of losing your money on KO stock. It might not give you an immediate upside but will continue to generate dividends for you as it slowly but steadily moves upward. Barclays analyst Lauren Lieberman has a price target of $69 for the stock with an Overweight rating.
The company is set to report quarterly results on April 30. It will be interesting to see how it fares.
Walmart (WMT)
We managed to drive past inflation but haven’t been able to tackle it thoroughly. In times like these, it is ideal to look forward even in an inflationary period. Walmart (NYSE:WMT) is ideal for defensive investors. The company managed to keep growing in times of high interest rates. It is growing the e-commerce business to have a stronghold on its market share.
Up 12% YTD and 17% in the year, WMT stock is exchanging hands for $59. Considering the number of Walmart stores across the United States, it is hard to imagine that people will stop going to the stores. Its massive number of stores allows the company to enjoy a competitive advantage in the industry.
The company focuses on health, grocery and consumer products. This is where people continue to spend even in times of inflation. It saw a 4% rise in comparable sales in the fourth quarter and is the fourth quarter in the range of 3% to 4% in 2024.
Walmart is expanding its e-commerce sales and reported an impressive $100 billion in e-commerce sales last year. To compete with other e-commerce companies, Walmart has introduced a subsection model that offers free delivery, which helped increase online U.S. sales by 17%.
The company is set to report results on May 16 and management is aiming for a 4% to 5% rise in the net sales. If it manages to keep growing its e-commerce sales, Walmart will be able to report a higher revenue. It also pays a dividend and boasts a dividend yield of 1.39%. WMT is one of the best under $100 stocks for beginners.
Amazon (AMZN)
We all remember the modest beginnings of Amazon (NASDAQ:AMZN) as a book-seller. Today, it is so much more than that. As one of the largest e-commerce companies, Amazon enjoys a global presence. It has reported strong financials driven by the holiday season.
Exchanging hands for $174, the stock is up 16% YTD and 63% in the year. However, the rally is set to continue and there is a lot more to come from this giant business. Amazon is one of the best stocks for beginners if you are investing for the long-term.
The company generates significant revenue from the Amazon Web Services (AWS) cloud computing business. This segment will continue to grow throughout 2024. Amazon also saw a surge in advertising revenue and this is one segment that can thrive due to its wide size and reach. Marketers will be happy to put their money into advertising since Amazon attracts millions of visitors each month.
In the fourth-quarter, the company saw a 14% jump in net sales to hit $170.0 billion and the net income stood at $10.6 billion. In the first quarter, the management is aiming for net sales to grow in the range of 8% to 13% to reach $138 billion and $143 billion and an operating income between $8 billion and $12 billion.
I am anticipating another strong quarter in advertising and cloud services when it reports results on April 30.
On the date of publication, Vandita Jadeja did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.