Best Stocks to Buy For Beginners Right Now

Picking good stocks to invest in right now for your portfolio and investment goals is an important first step toward building wealth in the stock market. But with thousands of stocks to choose from, it can be overwhelming to decide which stocks to buy for beginners to start their brokerage portfolio.

Today’s market uncertainty doesn’t make it any easier, either. But choosing to invest in the stock market will provide you with one of the best and most consistent returns of any investment channel out there.

In this post, you’ll learn about the best stocks to buy for beginner investors. I’m also going to cover some underlying investment strategies and tips that factor into my selections.

11 Best Stocks To Invest In for Beginners

Here are the best stocks to buy for beginners in 2024:

  1. Alphabet (NASDAQ: GOOG)
  2. Amazon (NASDAQ: AMZN)
  3. JPMorgan Chase (NYSE: JPM)
  4. Mastercard (NYSE: MA)
  5. Meta (NASDAQ: META)
  6. Microsoft (NASDAQ: MSFT)
  7. Shopify (NYSE: SHOP)
  8. Spotify (NYSE: SPOT)
  9. Teladoc (NYSE: TDOC)
  10. Tesla (NASDAQ: TSLA)
  11. UnitedHealth (NYSE: UNH)

Note: This list is in alphabetical order, and doesn’t include things like an ETF (exchange-traded fund), index fund, or mutual fund, which I cover separately.

1. Alphabet (NASDAQ: GOOG) Alphabet, parent company of Google logo

  • Price:
  • Revenue Growth: 0.00%

Alphabet is the parent company of search giant Google. The company oversees all products and services related to Google Ads, Android, Chrome, Google Cloud, YouTube, Google Maps, and more. Like Amazon, this company’s got lots of ways to win.

Alphabet reported that it had $307 billion in revenue in 2023, up 9% year over year. Alphabet is one of the world’s largest and most profitable companies. In one way or another, their products and services are embedded in nearly every computer and mobile device on the planet.

All in all, I think Alphabet is a solid buy-and-hold stock for new investors—especially those looking to dabble with fractional shares. Alphabet’s revenue has increased significantly over the past several years and so has Alphabet’s individual stock price.

INVESTMENT AND INSURANCE PRODUCTS ARE: NOT A DEPOSIT • NOT FDIC INSURED • NO BANK GUARANTEE • MAY LOSE VALUE

2. Amazon (NASDAQ: AMZN) Amazon logo investing for beginners

  • Price:
  • Revenue Growth: 0.00%

Amazon (AMZN) is one of the best-performing stocks of all time and one of my personal favorites. Not only because I’ve made a ton of money from it, but also because I see the company as very well-positioned for growth in the future.

That’s in part because Amazon has so many ways to win: not just by taking over more and more areas of online sales, but also through web hosting, subscriptions, or even self-driving cars.

With Amazon’s most recent stock split, you’ll be less likely to have to purchase fractional shares to get your hands on some.

It’s impossible to know how high Amazon will go, but I will most certainly be along for the ride.

3. JPMorgan Chase & Co (NYSE: JPM)JPM logo

  • Price:
  • Revenue Growth: 0.00%

JPMorgan is one of the world’s largest companies in the financial services sector. In a 2023 Investor Proxy Statement, the company reported that it had $128.7 billion in revenue in 2022. Chase is also the largest commercial bank in the US.

What’s more—when First Republic Bank failed in May of 2023, JPMorgan Chase acquired the bank and most of its business, expanding its reach even further and demonstrating its own financial strength.

JP Morgan consistently delivers solid financial performance driven by diversified revenue streams across banking, wealth management, and investment banking. With its prudent risk management practices and strategic investments in technology, it’s a solid option if you’re looking for stability and growth potential in your portfolio.

4. Mastercard (NYSE: MA) Mastercard logo

  • Price:
  • Revenue Growth: 0.00%

Someday, people might use Bitcoin for their daily transactions and make this credit card company of the past, but that’s not going to happen anytime soon.

Despite the buzz around it, Bitcoin is light years from matching the payment system offered by Mastercard, which can settle 5,000 transactions per second. Bitcoin transactions take an average of 10 minutes apiece.

And it’s not just swiping your Mastercard credit card at the mall. The company has positioned itself as a critical player in many different types of transactions and is ahead of the curve as we move more toward digital payments. It’s not as big as rival Visa (Visa has 42% of the market, according to a Nilson Report, compared to 27% for Mastercard), but it’s a smaller company with faster revenue growth and a lot of room to run.

5. Meta Platforms, Inc (NASDAQ: META) Facebook / Meta logo to invest in for beginners

  • Price:
  • Revenue Growth: 0.00%

Meta Platforms, formerly known as Facebook, is the social media and advertising giant founded by Mark Zuckerberg. The company’s current stock price is several times higher than it was during its IPO in 2012.

The company also owns Threads, Instagram, and WhatsApp. Together, their products and services have over 3.98 billion active users as of the end of Q4 in 2023.

With numbers like that, it’s easy to see why so many beginning investors are getting on board with Meta shares. The company’s been in a bit of hot water from governments around the world from time to time for some of its business practices, most recently with a lawsuit from 33 states, but Zuckerberg and the team have been through this kind of heat before.

Overall, the company has a massive global audience of engaged users and continues making smart investments (e.g., Oculus virtual reality).

6. Microsoft (NASDAQ: MSFT) Microsoft logo

  • Price:
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Microsoft is among the most valuable stocks in the United States. It provides millions of users with computers, hardware, software, and cloud computing throughout every corner of the globe.

In large part, this is due to CEO Satya Nadella’s impressive tenure at the head of the company, where he’s overseen the acquisition of GitHub, heavy investments in Azure, the company’s cloud computing platform, and the release of services like Microsoft Teams.

Even during the pandemic, Microsoft stock wasn’t far off its all-time high. Like many smart tech companies, it found a way to make itself more valuable to users even during tough times.

Microsoft’s recent performance is proof of the value of buying and holding when it comes to blue-chip stocks. And that’s precisely why I recommend Microsoft as a solid stock to buy for beginners.

7. Shopify (NYSE: SHOP) Shopify logo

  • Price:
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This one isn’t as much of a long-time, steady-growth giant as some of the others on the list, so it comes with a bit more risk than Apple, Amazon, or Microsoft. But in investing, greater risk often leads to greater reward.

Shopify lets merchants of all sizes do business online. With Shopify’s help, any company can create an eCommerce site and use its tools to handle all the back-office tasks, from driving sales to tracking customers to managing day-to-day operations.

Even before the pandemic made in-person shopping a challenge, we were moving quickly toward a retail world increasingly dominated by e-commerce. Shopify helped to make that happen and investors who saw the trend and jumped on board have done very well over the last few years.

8. Spotify (NYSE: SPOT) Spotify logo

  • Price:
  • Revenue Growth: 0.00%

Spotify’s stock price has absolutely jammed out over the last few years, thanks to growing popularity, celebrity partnerships, and a business model that’s growing more sustainable.

According to Statista, Spotify dominates the music streaming industry’s market share. At last count in 2024, Spotify had more than 236 million paid subscribers and more than 602 million active users on the platform.

Spotify keeps finding new audiences and new ways to make money on its services. It’s now the second-largest audiobook platform behind Audible. It’s a worthwhile investment if you believe in the future of podcasts as well.

If you’re looking for a stock to buy and hold for the next decade, Spotify should be on your list. Just my two cents!

9. Teladoc Health (NYSE: TDOC) Teladoc Health logo

  • Price:
  • Revenue Growth: 0.00%

Here’s one you might not have heard of, especially if you don’t spend a lot of time with your doctor. Teladoc Health works to keep people out of the doctor’s office, a trend that was picking up steam even before the pandemic. They provide a platform for healthcare customers to meet with their doctors via video conference (aka, telehealth).

Even after the pandemic, the trend of seeing doctors virtually hasn’t stopped. Many people are finding out you can take care of many of your medical needs from your own home and avoid going back to the doctor’s office.

Teladoc’s share price rose significantly during the pandemic stock frenzy—hitting highs around $290—but has since dropped significantly. Whatever the price, I think Teladoc is still a well-positioned player in a growing field, so it’s worth a good look.

10. Tesla (NASDAQ: TSLA) Tesla logo

  • Price:
  • Revenue Growth: 0.00%

Tesla is one of my favorite stocks. Not only because I’ve made a ton of money with it, but because I’m such a huge fan of the company’s innovative technology and potential for future digital disruption.

If you’re a firm believer that electric cars are the future of automotive transit, and you’re a fan of Elon Musk’s bold visions, Tesla could be a solid addition to your portfolio. Keep in mind that Tesla isn’t just cars, either. The company is also focused on disrupting the battery sector and producing solar energy.

I think we’re still in the early stages of what Tesla might eventually mean to the world… and to its investors.

11. UnitedHealth Group Inc. (NYSE: UNH) UnitedHealth logo

  • Price:
  • Revenue Growth: 0.00%

UnitedHealth Group Incorporated is a stable and rewarding opportunity for new investors. Since it’s one of the largest healthcare companies in the world, UnitedHealth has a dominant market position and benefits from the stability of the healthcare sector.

It also has a diversified business model that includes health insurance, healthcare services, and pharmacy benefit management, which means there’s growth potential across all of those segments.

UnitedHealth also consistently delivers on the financial performance front, with solid revenue growth and profitability.

Because it’s also focused on innovation and technology, it has an even more competitive edge. UnitedHealth’s market leadership, diversified business model, financial strength, and commitment to innovation make it worth considering.

Summary: Best Stocks To Buy For Beginners

To recap, below are the top 15 stocks that beginners can’t go wrong investing in for the long term:

Name Symbol Price
(as of close June 17, 2024)
Market Cap Revenue Growth
Alphabet logo Alphabet NASDAQ:GOOG 0 0.00%
Amazon logo Amazon NASDAQ:AMZN 0 0.00%
JPM logoJPMorgan Chase NYSE:JPM 0 0.00%
Mastercard logo Mastercard NYSE:MA 0 0.00%
Meta / Facebook logo Meta NASDAQ:META 0 0.00%
Microsoft logo Microsoft NASDAQ:MSFT 0 0.00%
Shopify logo Shopify NYSE:SHOP 0 0.00%
Spotify logo Spotify NYSE:SPOT 0 0.00%
Teladoc logo Teladoc NYSE:TDOC 0 0.00%
Tesla logo Tesla NASDAQ:TSLA 0 0.00%
UNH logo UnitedHealth NYSE:UNH 0 0.00%

S&P’s Biggest Winners in 2024

Take a peek at the table below that highlights a few of the S&P 500’s biggest winners this past year.

Stock Return in 2023
Nvidia (NASDAQ: NVDA) 254%
Meta (NASDAQ: META) 194%
Royal Caribbean (NYSE: RCL) 165%
Builders FirstSource (NYSE: BLDR) 155%

After a 2022 bear market, stocks saw a major lift in 2023, with the S&P 500 seeing some near-record highs. The biggest winners last year spanned multiple industries.

Which Are the Best Stocks to Buy for Beginners?

If your portfolio has become overly allocated to stocks with plenty of growth in the future priced in (such as Tesla, Pinterest, and Teladoc), you could consider adding the following companies that not only benefit from the economic “reopening,” but are also priced closer to “value stocks” that have been outperforming so far in 2024.

  • Costco: Costco grew in sales and profits in recent years despite the pandemic. With brick and mortar competitors closing, Costco also faced declining competition. In addition, Costco has also seen online sales jump. Even after the pandemic abated, the improvements Costco has made to its e-commerce operation have had continuing benefits.
  • Mastercard: While most e-commerce shopping uses credit cards, the resumption of spending verticals like travel is providing tailwinds for Mastercard (and rivals like Visa) in the years ahead.

Stock Market Investing Tips for Beginners

1. Invest in Companies You Understand

This might sound like common sense. But I’ve seen too many people invest in stocks (and therefore, in companies) purely based on advice from a friend, something they heard on the news, or even a mere whim. All too often, I’ve heard the horror stories of stocks losing massive amounts of value in a short time, making shares virtually worthless.

To avoid that fate, I only recommend investing in companies that are easy to understand and that have a proven track record.

For example, let’s say you like Apple (AAPL) or Amazon (AMZN). Either would be a relatively straightforward investment. You’re buying shares of a mature business whose services you probably use—and whose values are consistently increasing over time.

2. Don’t Time the Market

According to the Oracle of Omaha, Warren Buffett, “trying to time the market” is the number one mistake that new investors make. That means don’t try to buy a stock when you think the price is low— it could dip even lower the very next day.

Instead, purchase a stock of a company that is likely to increase in value over time, regardless of what you might be hearing about the company in the news or from friends.

3. Avoid Penny Stocks

If a deal seems too good to be true, it probably is.

Such is the case with pretty much all penny stocks, which is why I don’t recommend them. Generally speaking, companies that are available on penny stock exchanges are not as well-positioned for growth and, therefore, can’t provide competitive returns over time.

4. Consider Buying Fractional Shares

The high prices of many blue chip stocks are a common barrier to first-time investors. For example, if you only have a few hundred bucks saved, you can’t buy even one share of Alphabet (GOOG) or Amazon (AMZN).

If this sounds like your situation, where you don’t have a ton of money saved but would still like to get your hands on some prime blue-chip stocks, you’re in luck.

Companies Offering Fractional Shares:

For a few dollars, you can get a slice of a blue-chip stock. These fractional shares can build up over time or sold like normal stock.

Eventually, you might even be able to piece together several whole shares of stock by sticking to the course and buying fractional shares on a regular basis.

5. Stay the Course

If you want to be successful in the stock market, you cannot respond emotionally to market shifts or trending news topics. Stock investing is a long game. The only way to really see a return is to experience compounded growth, which builds up over the years, as you continue to invest your money in certain funds.

Even seasoned investors like myself fall for the same trap of selling stocks when worried that those funds might sharply decline. Unfortunately, we find out the hard way a few months later that those stocks that were sold potentially at a loss are now worth even more.

Staying the course also means being disciplined with buying shares over time. Find an investment schedule that works for you—for example, buying new shares on a monthly or quarterly basis—and stick to it.

If you only buy a handful of shares once, your earning potential will be far lower than if you purchase hundreds or even thousands of shares of that same stock over several years.

Additional Stock Investing Resources:

 

INVESTMENT AND INSURANCE PRODUCTS ARE: NOT A DEPOSIT • NOT FDIC INSURED • NO BANK GUARANTEE • MAY LOSE VALUE

Picking the Best Stocks to Buy for Beginners

When you buy a share of stock, you’re literally buying a piece of that company. If you’re still unsure of where to start, I recommend doing some soul-searching and devising a game plan before jumping in.

Are there any companies on the above list with values, products, and services you agree with? What about other companies not on this list? Who do you think will be even bigger 30 years down the line when it’s time to cash in your retirement chips?

Once you identify a few companies that fit your criteria and risk tolerance, the next step is purchasing shares in your brokerage account.

By following the tips outlined above and investing in any of the above stocks, chances are you will be happy you did. Here’s to finding the right stocks for you so your money can grow for you while you’re living your best life!

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  • Comment Author image blank
    Very informative for beginners.
  • Comment Author image blank
    It's really a great and useful piece of information. I am satisfied that you simply shared this helpful info with us. Please keep us up to date like this. Thanks for sharing.
  • Comment Author image blank
    Thank you for the stock tips.