Everyone's different. But once a month I compile a list of my favourite stocks for new money.
I generally start with a big list (there might be 30 or so companies on my watchlist) then, as efficiently as possible, I'll whittle the group of stocks down to just a handful.
After monitoring their prices for a week or so, I'll take some time to scrutinise them until I've got just one left. Usually, the process culminates with me buying shares, at the end of the calendar month.
For the month of September, the five stocks I've got on my preliminary buy list are:
1. Computershare Limited (ASX: CPU) is an all-in-one provider of share registry services for businesses all over the globe. With massive competitive advantages, exposure to a falling Australian dollar and higher interest rates, now could be a great time to grab a slice of this hugely successful company.
2. Affinity Education Group Ltd (ASX: AFJ) is a recently-listed childcare centre owner and operator. Its portfolio of centres is expanding rapidly but the group maintains excellent balance sheets. Its rivals have already shown how successful this strategy can be.
3. Nearmap Ltd (ASX: NEA) is an exciting small-cap stock with the world at/under its feet. It is a provider of geospatial imagery services for business, government and private customers. It is already profitable thanks to its domestic operations but is also conducting test flights in the US, a market much larger than ours.
4. RCG Corporation Ltd (ASX: RCG) is a stock I've owned before but given the recent fall in its share price, I'm strongly considering buying in again. It is the owner of The Athlete's Foot and Podium Sports range of stores. It currently trades on a forecast dividend yield of 7.9% fully franked.
5. M2 Group Ltd (ASX: MTU) is the owner of Dodo, Commander, Eftel and Primus telecommunications brands. The company is now extending its range of products and cross-selling other utility services, such as power and gas, to its existing customer base.
1 more top dividend stock I cannot ignore – Yours FREE!
I'd love to hold all of these companies in my portfolio but will be spending the weekend finding the one perfect fit (after watching the AFL Grand Final of course!). However, there is one more stock which I already know is a standout buy for new money, right now…
