Stock tips are worth what you pay for them and probably less. According to Eight Steps To Seven Figures by Charles Carlson, “Even millionaire investors can’t resist hot tips. Roughly 60 percent admitted to acting on a ‘hot tip.’ As is usually the case with hot tips, however, the tip was a bummer. Indeed, the tips panned out only about 20 percent of the time for these millionaire investors.”
If someone does give you a stock tip, that doesn’t automatically mean that it is a bad company. Research the company, and study it’s fundamentals just like you would with any other company. Charles Carton also wrote this about stokc tips, “The hot tip that comes from your coworker needs to be evaluated thoroughly. Perhaps the coworker is the second coming of Warren Buffett. More likely, he or she is not. I asked our millionaire investors if they acted on a ‘hot tip.’ Those that had usually got burned. I’m not saying you should never follow a tip from a friend or a relative. I am saying you should do your homework before investing.”
Another type of stock tips are whisper stocks. A whisper stock means that a company is rumored to be the target of a takeover offer. Remember, that it is just a rumor! And even if the rumor is true, there is the question of insider trading.

Don’t take stock tips – they are for suckers!
Don’t give stock tips, only suckers are looking for them.