Stock Advice Thread

[jameslee32]

And when a new party takes over, they well may cancel tax rules set up by the previous administration...never ending!

I guess there's consensus that taxes have to go up because of all this accumulating debt. The thing is they've been saying that for 40 years, taxes continue to get cut and stocks have only marched higher. Took me about 15-20 years to realize that.

Just here for the ride!

 

[Get Buckets]

it's always prudent to take profits right about now or whenever you have a nice gain

To me, in this strategy you are unnecessarily taking money out of the market in the form of taxes. I have the opposite strategy, I attempt to never pay taxes. Different strokes for different folks.

 

[gobigblue812_rivals29381]

You won't be taxed on the price of the stock, you'll be taxed on your net gains. So whether the stock splits or not, you've got a set amount of money you've put in AAPL. Then that total went up or down. That's what you'll be taxed on. The split has no effect on that.

I meant if I sell before I own them for less than a year.

 

[ekywildcat_rivals26726]

Same here. I signed up for an account with Fidelity a month ago with $7K, but now trying to figure out how to purchase some individual stocks on the account.

Our IRA"s are at Fidelity, very easy to trade mutual funds, I imagine stocks would be the same. Your $7000 should show in your core position, click on trades, guides you through the process, very simple. Need to look up the ticker symbols of the stocks you want to buy. Or call Fidelity.

 

[BlueRaider22]

It looks like Palantir could launch it's IPO on September 24th.........but this is speculation still. Possible valuation to be around $26 billion. There might be a lock up period for the majority of stock holders.

 

[jameslee32]

To me, in this strategy you are unnecessarily taking money out of the market in the form of taxes. I have the opposite strategy, I attempt to never pay taxes. Different strokes for different folks.

1. Only in taxable accounts
2. Stocks do not ALWAYS go up in a straight line
3. Diversification and rebalancing are good things

 

[Get Buckets]

1. Only in taxable accounts - yes
2. Stocks do not ALWAYS go up in a straight line - ok
3. Diversification and rebalancing are good things - to the extent it exceeds the associated costs (you can also re-balance and diversify by buying)

 

[lz]

To me, in this strategy you are unnecessarily taking money out of the market in the form of taxes. I have the opposite strategy, I attempt to never pay taxes. Different strokes for different folks.

It sounds like you would hold losers in a taxable account a long, long time, then?

 

[BlueRaider22]

^Complete tangential conversation...... (and I apologize for butting in on both of your conversation)



But there's a guy that I listen to from time to time that gives financial advice. He's very OCD when it comes to balancing his portfolio. Just recently he sold the top off a stock because it had recently risen to 14% of his portfolio and he wanted to keep it around 10%. He mentioned that he's been wanting to reduce exposure in this particular stock back down to 10% for a while, but it kept growing.

(And may I add that he never advised anyone to act this way.......it's just his personal preference)




Obviously balance and diversification have their place, but is there really a benefit to being this anal when it comes to balance? To me, I would sell off one of my better performing stocks. I'd just keep a stop-loss on it and ride it out. Why be concerned with a few percentage points?

 

[Get Buckets]

It sounds like you would hold losers in a taxable account a long, long time, then?

Not necessarily but I don’t entirely know what your definition of a “loser” means. Moreso, I frequently hear people talking about harvesting gains and I don’t believe the associated costs are fully analyzed/considered. Just my general feeling.

 

[lz]

^Complete tangential conversation...... (and I apologize for butting in on both of your conversation)



But there's a guy that I listen to from time to time that gives financial advice. He's very OCD when it comes to balancing his portfolio. Just recently he sold the top off a stock because it had recently risen to 14% of his portfolio and he wanted to keep it around 10%. He mentioned that he's been wanting to reduce exposure in this particular stock back down to 10% for a while, but it kept growing.

(And may I add that he never advised anyone to act this way.......it's just his personal preference)




Obviously balance and diversification have their place, but is there really a benefit to being this anal when it comes to balance? To me, I would sell off one of my better performing stocks. I'd just keep a stop-loss on it and ride it out. Why be concerned with a few percentage points?

The mutual funds and various institutions have to follow certain % balances, as you know. I agree with you, believe Peter Lynch said he sells when the story ends, yet there are other gurus who get skittishly OCD like Cramer and say you “never get hurt taking profits.” Wonder if studies have been done about the different strategies? Probably hard to measure.

 

[jameslee32]

^Complete tangential conversation...... (and I apologize for butting in on both of your conversation)



But there's a guy that I listen to from time to time that gives financial advice. He's very OCD when it comes to balancing his portfolio. Just recently he sold the top off a stock because it had recently risen to 14% of his portfolio and he wanted to keep it around 10%. He mentioned that he's been wanting to reduce exposure in this particular stock back down to 10% for a while, but it kept growing.

(And may I add that he never advised anyone to act this way.......it's just his personal preference)




Obviously balance and diversification have their place, but is there really a benefit to being this anal when it comes to balance? To me, I would sell off one of my better performing stocks. I'd just keep a stop-loss on it and ride it out. Why be concerned with a few percentage points?

To each their own but for me, I could ride a stock up to 20% except I've never had that issue. A good problem to have in many respects. Having all losers would really suck!

ETF's and mutual funds are a different story since they are diversified by definition. Equal weighted ones being more balanced I reckon.

 

[lz]

Not necessarily but I don’t entirely know what your definition of a “loser” means. Moreso, I frequently hear people talking about harvesting gains and I don’t believe the associated costs are fully analyzed/considered. Just my general feeling.

Ok, my reply to your comment didn’t make much sense, ignore it. My point is I don’t like to hold on to stocks not making me money for long periods, as I worry about opportunity costs, maybe you don’t do that, I worked with a guy who did, couldn’t ever accept losing money on a stock he bought. I think BlueRaider22’s comments above and my reply to him are more applicable to your investing style, which is fine long term if you’ve got great patience and several investing years to go!

 

[AustinTXCat]

Just went long into Vodafone (VOD) at $14.50. Used their products during previous trips to Europe in 2010 and 2012-2013. Looks well beaten-up.

Stay tuned.

 

[BlueRaider22]

To each their own but for me, I could ride a stock up to 20% except I've never had that issue. A good problem to have in many respects. Having all losers would really suck!

ETF's and mutual funds are a different story since they are diversified by definition. Equal weighted ones being more balanced I reckon.

I've done even more than that. A few yrs ago I bought a little into Tesla.......and as you can imagine it quickly went to well over 20% of my portfolio. I have since bought into many other things so, it's not nearly as high of a percentage as it once was.......but am I worried that the price is stupid high? Absolutely, but it keeps performing so I won't sell until it stops performing. That's what stop-losses are for.

 

[jameslee32]

I've done even more than that. A few yrs ago I bought a little into Tesla.......and as you can imagine it quickly went to well over 20% of my portfolio. I have since bought into many other things so, it's not nearly as high of a percentage as it once was.......but am I worried that the price is stupid high? Absolutely, but it keeps performing so I won't sell until it stops performing. That's what stop-losses are for.

I usually take out my original investment at some point but to each their own. Long term secular trends can last years, even decades. But even MSFT and AAPL have had their hiccups along the way. Turns out those were buying opportunities. Yahoo and NOK, less so.

 

[lz]

Are we having fun yet? I hate these corrections, but they are instructive and underneath the rubble lie some bargains from future big winners. Question is always where’s the bottom and exactly who will emerge, the early 2020 winners or the new risers that are being corrected?

 

[jameslee32]

Anyone seriously wanting in should be thinking about getting in soon or waiting until after the election. Election news can't be helping but I'm betting the big money needs back in before the end of the 3rd quarter.

 

[AustinTXCat]

Are we having fun yet? I hate these corrections, but they are instructive and underneath the rubble lie some bargains from future big winners. Question is always where’s the bottom and exactly who will emerge, the early 2020 winners or the new risers that are being corrected?

Small corrections are healthy for momentum.

Anyone seriously wanting in should be thinking about getting in soon or waiting until after the election. Election news can't be helping but I'm betting the big money needs back in before the end of the 3rd quarter.

Employment numbers help. If 6-7% range hits over the next few months, you'll see more Tutes (institutional investors) jump back into certain sectors.

 

[BlueRaider22]

Anyone seriously wanting in should be thinking about getting in soon or waiting until after the election. Election news can't be helping but I'm betting the big money needs back in before the end of the 3rd quarter.

I'm holding.


Outside of watching the general market, economy, and watch list......you know, normal stuff......there are a few things I'm watching more specifically.

-Tesla battery day on the 22nd. Supposedly huge news.
-Amazon and/or Google. There are rumors going around about an Amazon split. Are they just rumors, wishful thinking, etc? What about Google......they could use one......
-Palantir IPO should come in late September
-Starlink "might" open business soon......IPO won't be available for a long while, but I'll be watching this business.
-5G is coming soon

 

[BlueRaider22]

ANNNNNNDDD HERE WE GOOOOOOOOOO!

https://www.yahoo.com/news/house-vote-federal-marijuana-legalization-100135751.html

I don't think this will pass both houses this time around, but then again I didn't think it would come up to vote in either house this soon.

 

[bluthruandthru]

It was too hot.

If the companies that you bought were good before this downswing, they are still good. Perceived value is different but in the long term shouldn't make much difference.

 

[jameslee32]

I'm holding.


Outside of watching the general market, economy, and watch list......you know, normal stuff......there are a few things I'm watching more specifically.

-Tesla battery day on the 22nd. Supposedly huge news.
-Amazon and/or Google. There are rumors going around about an Amazon split. Are they just rumors, wishful thinking, etc? What about Google......they could use one......
-Palantir IPO should come in late September
-Starlink "might" open business soon......IPO won't be available for a long while, but I'll be watching this business.
-5G is coming soon

Same. Unless it rockets higher for a GTC limit trade to sell. I still have a couple bargain basement limit buys that could execute also. You just never know. Unless I'm buying something really boring, I'm more of a net seller like in 2017 this time of year.

 

[jameslee32]

Not a good streak right now. Especially CRBP down 76% today. Yikes!

 

[Blu-ish]

DPHC & WKHS are going to go up. DPHC will become RIDE upon merger (Lordstown) and WKHS has a 10% stake in that deal in addition to a shot at the big USPS contract in the future.

Thank you!

WKHS23.563.85 (19.53%)
NASDAQUpdated Sep 8, 2020 12:38 PM
55,807

 

[lz]

Mostly watching, put some lowball buys in, did pick up a little SPWH and AZN.

 

[rbs]

Thank you!

WKHS23.563.85 (19.53%)
NASDAQUpdated Sep 8, 2020 12:38 PM
55,807

You are welcome. It’s a long, long, way from running it’s course. Both stocks could double or more before the end of the year.

 

[jameslee32]

Mostly watching, put some lowball buys in, did pick up a little SPWH and AZN.

Looking for a REIT for my Roth IRA. PLD might fit the bill if it drops a bit more.

Added a few shares of SJM today. They had a huge earnings beat last quarter and is a play on the stay-at-home economy. Nice and boring.

 

[BlueRaider22]

Motley Fool has been advertising "a little known company that's going to blow up due to 5G". I have a SeekingAlpha account, but not a Motley Fool.

Anyone know who it is?

 

[gobigblue812_rivals29381]

They've been advertising that for months.

 

[jameslee32]

They've been advertising that for months.

Decades actually.

 

[lz]

Decades actually.

Yes, everyday to lure in new clients!

 

[lz]

Looking for a REIT for my Roth IRA. PLD might fit the bill if it drops a bit more.

Added a few shares of SJM today. They had a huge earnings beat last quarter and is a play on the stay-at-home economy. Nice and boring.

PLD fine as long as people pay their rent! Believe AMZN one of their biggest clients.

 

[lz]

You are welcome. It’s a long, long, way from running it’s course. Both stocks could double or more before the end of the year.

Bought some NEXCF today, thought you recommended it? Another enticing small stock, Canadian company.

 

[jameslee32]

PLD fine as long as people pay their rent! Believe AMZN one of their biggest clients.

Yeah, the cloud names will pay rent I believe since they're making a ton of money with work-from-home. Enterprise companies shouldn't fare quite as well theoretically.

 

[BlueRaider22]

Snowflake IPO next Wed on the 16th.......rumored. Berkshire and Salesforce are going to invest.

 

[rbs]

Bought some NEXCF today, thought you recommended it? Another enticing small stock, Canadian company.

lz,

I am all about some small caps, but I don’t recall that one. I have been all over some SPAC’s the last two months. Some big money (2x, 3x, 4x type money) for the taking there. Trying to get some gains before this tech thing comes to an end.

 

[Blu-ish]

You are welcome. It’s a long, long, way from running it’s course. Both stocks could double or more before the end of the year.

Got a little bit of both. Still feeling my way around.

 

[rbs]

DPHC up 12.37% today and WKHS up 10.48% today. Just in last month WKHS and DPHC both up over 50%. There's still time to get on the bus.

 

[lz]

lz,

I am all about some small caps, but I don’t recall that one. I have been all over some SPAC’s the last two months. Some big money (2x, 3x, 4x type money) for the taking there. Trying to get some gains before this tech thing comes to an end.

Take a look at it, NEXCF bought a tech platform company today favored by some clients, including AMZN, two days up big, now a $4 stock.