Some of different types of stocks:

Common and Preferred Stocks

Common stocks offer a slice of ownership in a company, along with the chance to vote on company matters and company’s profit will also be shared in the form of dividends. Preferred stockholders don’t get to vote but do get dividends before common stockholders.

Preferred stocks

Preferred stocks are like a mix of stocks and bonds – they’re sold at a set price and paid back at a certain time, without the same chance to grow in value like common stocks.

Growth Stock vs Value Stocks

Growth Stock are the shares that are expected to grow at a significant amount compared to the average market value. These stocks don’t pay the dividends and reinvest their earnings which is why it is believed to give good returns as the time goes. Whereas value Stocks are completely opposite, they are bought at below the market price and are undervalued due to the company’s underperformance.

Income Stocks

Income Stocks are the equities of a company such as company’s earnings, profits through dividends where it is shared among the investors. Those dividends are usually higher than the market average price.

Blue-Chip stocks

Blue-Chip stocks are from companies where they have remarkable growth and have a reputation for their large market. Examples of these stocks are Microsoft Corporation (MSFT),McDonald’s Corporation (MCD).These stocks are considered to have a very reliable and stable growth. Investing in them is seen as safe and can protect your investment mix.

Large cap, Mid-cap, Small-cap stocks

Large cap, Mid-cap, Small-cap stocks This classification describes the company’s market capitalization. Large-cap stocks have a market capital around $10 billion or more, and are also known as Blue-Chip stocks. One step down we have Mid-cap stocks where the company’s market value is between $2 billion and $10 billion. These stocks are considered to have great potential for growth. Small-cap stocks have market capital less than $2 billion. These stocks are usually overlooked but there might be some potential growth for some companies.

IPO Stocks

IPO Stocks are offered by companies going public for the first time through an Initial Public Offering (IPO) and are usually priced low. and are also referred to as recently listed stocks.

Penny Stocks

Penny Stocks are the stocks where they are traded for less than $5 per share and majority of these stocks are traded over the counter(OTC) between the brokers. These stocks are usually considered risky as less liquid and traded less frequently, only stocks in major exchanges are set to meet certain standards.

ESG Stocks

ESG Stocks (Environmental, social, and corporate governance (ESG) ) used by investors to evaluate the extent to which a corporation works on behalf of social goals that go beyond the role of a corporation to maximize profits on behalf of the company’s shareholders.