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Feb 14, 2021
Why are Some Millennials Scared to Invest?

Why are Some Millennials Scared to Invest?

Investing is about putting money to work so it generates a positive return over time. The earlier investors start, the more money they can make, making an investor’s 20’s vitally important. So why aren’t more millennials participating?

The Benefits of Investing Early and Often

Looking solely at the benefits, it’s hard to understand millennial reluctance to invest. Investing just $100 per year starting at 20 years old, with a minimum 5% return, would mean $17,667.02 sitting in a bank account upon retirement age (65). Doing the same thing, but starting a decade later? $10,035.23. While still substantial, investing earlier means 76% more money available at the age 65 – a huge difference! For investors who can sock away $100 a month instead of $100 a year, the numbers get into six figure territory.

With a help from a professional, or even a little research, achieving returns beyond 5% are well within reach. Yet despite these proven benefits, only 26% of people under 30 are investing in the stock market – a shockingly low figure.

Why are millennials eschewing future benefits and staying away?

The Reasons Millennials are Reluctant

Surveys and think pieces abound why millennials have cold feet, but the main culprits are usually the same: lingering student loan debt, a lack of knowledge about investing, and, by extension, a lack of confidence. The latter is the biggest culprit, and it doesn’t discriminate based on age group – people who lack investing education fear they will make poor choices and lose their hard-earned cash. It isn’t difficult to understand why 61% of millennials describe the stock market as “scary” or “intimidating” when placed in that context. This lack of investor education creates a vicious cycle: learning how to invest early helps build confidence, which provides the impetus to continue investing; not investing means a continued lack of confidence, which means staying on the sidelines.  

 

 

Solutions

There is widespread belief that technology provides the answers to help millennials over the hump. Investment startups like robo-advisors are cropping up, with features like automated investing, low fees, and an emphasis on transparency. These “Fintech” companies often seek to simplify investing, removing the intimidation factor by breaking down contributions into smaller pieces. Companies are also leveraging interactive content to reach younger investors – educational videos resonate in a YouTube, Instagram, and Facebook-dominated world. These tools are engaging ways to demystify investment concepts, inspiring the confidence needed to save (and invest) for a better future.

Tickeron.com is seeking to be a leader in this new financial world. In addition to having over 3,000 financially-related articles in its online “Academy,” it has also developed user friendly Artificial Intelligence tools to help new and experienced investors generate investment ideas. Tickeron’s A.I. is capable of evaluating a portfolio and providing a “Diversification Score,” to tell the user how well-diversified their portfolio is. It can also generate investment ideas for a user’s 401(k) plan – even if you’re just getting started! The A.I. will give you ideas based on your risk tolerance, investment objectives, and the options available.

Tickeron’s new financial website is available to beginners, intermediate investors, and even experts and advisors. Explore tickeron.com today.

Related Ticker: META

META in +5.96% Uptrend, rising for three consecutive days on June 16, 2026

Moving higher for three straight days is viewed as a bullish sign. Keep an eye on this stock for future growth. Considering data from situations where META advanced for three days, in of 324 cases, the price rose further within the following month. The odds of a continued upward trend are .

Price Prediction Chart

Technical Analysis (Indicators)

Bullish Trend Analysis

The Momentum Indicator moved above the 0 level on July 01, 2026. You may want to consider a long position or call options on META as a result. In of 84 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .

The Moving Average Convergence Divergence (MACD) for META just turned positive on July 01, 2026. Looking at past instances where META's MACD turned positive, the stock continued to rise in of 51 cases over the following month. The odds of a continued upward trend are .

META moved above its 50-day moving average on July 07, 2026 date and that indicates a change from a downward trend to an upward trend.

Bearish Trend Analysis

The Stochastic Oscillator entered the overbought zone. Expect a price pull-back in the foreseeable future.

Following a 3-day decline, the stock is projected to fall further. Considering past instances where META declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .

META broke above its upper Bollinger Band on July 01, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.

The Aroon Indicator for META entered a downward trend on July 07, 2026. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.

Fundamental Analysis (Ratings)

The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (6.281) is normal, around the industry mean (11.002). P/E Ratio (21.932) is within average values for comparable stocks, (32.407). Projected Growth (PEG Ratio) (0.871) is also within normal values, averaging (32.117). Dividend Yield (0.004) settles around the average of (0.044) among similar stocks. P/S Ratio (7.205) is also within normal values, averaging (69.976).

The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.

The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.

The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 95, placing this stock slightly better than average.

The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. META’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.

The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.

Notable companies

The most notable companies in this group are Alphabet (NASDAQ:GOOG), Alphabet (NASDAQ:GOOGL), Meta Platforms (NASDAQ:META), Spotify Technology SA (NYSE:SPOT), Nebius Group N.V. (NASDAQ:NBIS), Baidu (NASDAQ:BIDU), Tencent Music Entertainment Group (NYSE:TME), Pinterest (NYSE:PINS), Bilibili (NASDAQ:BILI), Snap (NYSE:SNAP).

Industry description

Companies in this industry typically license software on a subscription basis and it is centrally hosted. Such products usually go by the names web-based software, on-demand software and hosted software. Cloud computing has emerged as a major force in this space, making it possible to save files to a remote database (without requiring them to be saved on local storage device); as long as a device has access to the web, it can access the data and the software programs to run it. This has in many cases facilitated cost efficiency, speed and security of data for businesses and consumers. Alphabet Inc., Facebook, Inc. and Yahoo! Inc. are some well-known names in the internet software/services industry.

Market Cap

The average market capitalization across the Internet Software/Services Industry is 148.36B. The market cap for tickers in the group ranges from 2.69K to 4.4T. GOOGL holds the highest valuation in this group at 4.4T. The lowest valued company is STBXF at 2.69K.

High and low price notable news

The average weekly price growth across all stocks in the Internet Software/Services Industry was -1%. For the same Industry, the average monthly price growth was 0%, and the average quarterly price growth was -10%. ONFO experienced the highest price growth at 11%, while WSHP experienced the biggest fall at -26%.

Volume

The average weekly volume growth across all stocks in the Internet Software/Services Industry was -32%. For the same stocks of the Industry, the average monthly volume growth was -41% and the average quarterly volume growth was -27%

Fundamental Analysis Ratings

The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows

Valuation Rating: 48
P/E Growth Rating: 68
Price Growth Rating: 58
SMR Rating: 79
Profit Risk Rating: 94
Seasonality Score: -12 (-100 ... +100)
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