Investing, Stock Market

5 Best Stocks to Buy For Beginner Investors (2023)

I can’t predict the short-term movements of the stock market. I haven’t the faintest idea about whether stocks will be higher or lower a month or a year from now. What is likely, however, is that the market will move higher, perhaps substantially so, or the economy turns up. So if you wait for the robins, spring will be over.

Warren Buffett

In this post, I’d walk you through 5 stocks that do not need you to become a genius to invest in them and return 40% year over year.

Stock and shares have become the new and top-list investment during the pandemic. Covid-19, with its many ills, has brought a myriad of opportunities. First is the market correction, which is not a focus of this post but the aftermath of its economic crunch.

Governments in their political will have decided in her wisdom to print new monies to hand out to residents in USA/Canada as stimulus checks/CERB depending on where you live. This free cash, not worked for, has given birth to a new generation of day traders – from the novice to the wannabe wealthy.

The Wall Street Journal opined that newbies opened 10 million new brokerage accounts for stock trading in 2020.

Best stocks to buy for beginner investors
Photo credit: Alesia Kozik

Below are my recommendation for best stocks to buy for beginner investors.

1. Microsoft (MSFT) – 47.74% 2021 Gain

Market cap: $2.43T

Current price: $324.18

Microsoft (MSFT) price history
Microsoft Stock

Analysis: This stock is a no-brainer with a 47% investment growth. You do not have to be a Wall Street mogul to make this investment gain for yourself. It is a simple buy/sell button on your mobile trading app.

2. APPLE (AAPL) – 34.23% 2021 Gain

Market cap: $2.82T

Current price: $172.83

Apple (AAL) price history
Apple stock

Analysis: With a 34% gain in 2021, you are one-third wealthier than you started in the year 2021. Apple is by no means a small company. It is the company with the largest market capitalization in the world. You likely are reading this article on an Apple device or own one in your household. You can’t go wrong with Apple stock.

3. GOOGLE (GOOGL) – 64.84% 2021 Gain

Market cap: $1.91T

Current price: $2,869.06

Google (GOOL) price history
Alphabet’s (Google) stock

Analysis: Google search brought you to this post most likely. We all are grateful for “google to the rescue.” You invest in google, and believe it or not, your data is being bought and sold, but that is not the purpose of this post. Anyway, you could have raked in 65% in Google stock if you invested at the beginning of 2021.

4. BANK OF AMERICA (BOA) – 52.90% 2021 Gain

Market cap: $360.80M

Current price: $44.08

Bank of America (BOA) price history
Bank of America stock

Analysis: With 200+ years of banking in the United States, you’ve got for yourself a bank that is unlikely to fail (government going to bail out after all). When I see institutional investors like Berkshire Hathway (Warren Buffet), Vanguard, BlackRock owning significant stakes in BOA, who am I to perform any form of due diligence before investing in BOA? Well, in 2021, investors like you and I have moved their money up by 53% in Bank of America stock.

5. ORACLE (ORCL) – 48.51% 2021 Gain

Market cap: $264.13M

Current price: $96.62

Oracle (ORCL) price history
Oracle stock

Analysis: If you’re in the finance or I.T world, you certainly know Oracle is a big player in the industry. Larry Ellison, the co-founder, Exec Chairman, and CTO, is just under Bill Gates as the 5th wealthiest on the  Real-time Forbes list ($127.9B) as of Dec 17, 2021.

Verdict on the Best Stocks to Buy For Beginner Investors

Many companies continue to surge year over year in company value and have proven their human dependence over the years. The list above is just a random selection of my favorite.

Caveat: I always refer you to my privacy policy to remind readers I am not a financial advisor. It would be best to carry out your due diligence in making any investment decision.

For related articles on investments, visit our Stock Market Archive.

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About John Adebisi

John Adebisi is a CPA, FCCA and MBA holder with a Bachelor's degree in Accounting & Finance. He has over a decade of experience in writing personal and business finance content for audiences across North America, Europe, the UK and Africa. In addition to his writing experience, he also has a strong background in financial research and analysis, giving him a unique perspective of the financial markets. John derives pleasure in helping people make smart financial decisions, and he believes that knowledge and experience can be valuable resources for anyone who wants to learn how to manage their money.

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