One of the biggest mistake new individual investors make is buying stocks at the wrong time. According to Peter Lynch, though, money managers do this too, so no one should feel too bad about making rookie errors that aren't just for rookies. It's not always easy to see beyond the hype of a a soaring stock, but once it's reached levels that attract investor attention, it can mean the ascent is slowing, or even over.

Often, a better approach to investing is finding stocks before they take off, or that investors have pushed down due to short-term concerns. Nu Holdings (NYSE: NU) and Revolve Group (NYSE: RVLV) are two great examples, and smart investors should consider buying them.

Nu is a Brazil-based digital bank that's demonstrating phenomenal growth and has a strong trajectory upward. It's even captured the attention of Warren Buffett, who usually looks for value stocks.

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Source Fool.com