sshettyParticipantSeptember 22, 2020 at 9:50 AMPost count: 102
sold my balance BBBY all at 10% profitSean HymanKeymasterSeptember 22, 2020 at 9:51 AMPost count: 3947
Awesome! Nothing wrong with that. Congrats!sshettyParticipantSeptember 22, 2020 at 9:55 AMPost count: 102
wanted to free more cash ….thanks Sean…I had made more profit on my earlier holdings on BBBY. This was second re-entry into this ….
hope you enjoyed your vacationSean HymanKeymasterSeptember 22, 2020 at 10:01 AMPost count: 3947
Awesome. Congrats. Glad you did so well on it. Much of the world listened to the financial media rant about “retail is dead”, a “retail-apocalypse”, etc. and totally missed opportunities in it. It’s why the financial media will never be a “buy” or “sell” signal for us. They’re reporters, not market pros. They report what “is” happening or what “has” happened. But they have no idea what’s coming in the future. Yet, it’s the job of the investing pro to think about what’s likely in the future and invest today accordingly. Fundamental strength and fundamental cheapness both give us our main basis for what’s likely in the future. In addition to that, long-term technicals on charts and extreme negative sentiment/pessimism gives us an edge that we could be capturing value that others are missing due to emotion-led selling providing great opportunities to those who still keep their heads about them.
That’s one of the keys. Not listening to the financial media for a sense of direction and keeping your head about you when others lose theirs. The masses focus only on what’s presently happening with the price on the chart. We focus on the actual fundamental condition and valuation of the actual company itself, which gives us our confidence in what its future likely holds. Big difference. It’s the difference in institutional/professional level thinking vs retail/regular investor thinking.Sean HymanKeymasterSeptember 22, 2020 at 10:05 AMPost count: 3947
Yes, I enjoyed the vacation. It was the first I’d taken in 7 years. I was out of balance in that area and I’ll do better about taking them more often, going forward.
It did rain a lot in the Destin area while we were there, due to the hurricane being not far off from us. However, we did get 2 beach days out of the 7 and got to go on a dolphin cruise, etc.
We got to do a pretty good bit, indoors and our balcony was covered well to where we were able to sit out there every day or night, no matter what the weather was doing. Had a blast.
Hurricane damage came within 10 miles of us. We got off a lot better in Destin than did Pensacola, Mobile, etc. The electricity in many parts of Destin was lost overnight but our place never lost electricity. So, we’re thankful it ended up being as good for us as it could have been, given the circumstances.LingParticipantSeptember 22, 2020 at 10:40 AMPost count: 149
I am up 17%. Should I sell it?Sean HymanModeratorSeptember 22, 2020 at 10:44 AMPost count: 2856
17% is a respectable return especially for a turnaround company. While I believe the stock goes higher, you know you have 17% in hand today.LingParticipantSeptember 22, 2020 at 10:53 AMPost count: 149
Just sold it for 18% and bought some SAN
Thank you very muchSteve KenagyParticipantSeptember 22, 2020 at 11:01 AMPost count: 22
Just sold BBBY at 21%+ profit. I also bought more SAN as well.Sean HymanKeymasterSeptember 22, 2020 at 11:04 AMPost count: 3947
Awesome, Ling and Steve. Congrats!Steve KenagyParticipantSeptember 22, 2020 at 11:17 AMPost count: 22
I’ll have to admit, I was a little nervous about BBBY compared to our other holdings. I think it was higher risk than some others. So glad to get another leg in SAN. Thanks Sean.Sean HymanKeymasterSeptember 22, 2020 at 11:32 AMPost count: 3947
BBBY was higher risk in the sense that it was in a beaten up sector (retail) but it was far less risk than many retailers due to its $1 billion in cash on its books that bought it some time to turn its company around. Many other companies didn’t have a lot of cash and therefore their time was short and many of them did not get it turned around fast enough and they went under. Fundamental strength tells us how likely (but not guaranteed) that a company turns around and prospers. BBBY had that fundamental edge over many in the retail space. It’s why I selected it over others. They’re still not fully out of the woods, but their stock price got overly punished because of retail getting hit hard and the news in the sector being so extremely negative. We were able to take advantage of that negativity/pessimism.
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