Just word of caution, Tesla is down in view of recent price reduction $1100/car. I calculated current peak will be between $320 and $325.
Since this year is not so great - with yield curve issue - market volatility, I came out of TSLA at $322 (pure swing trader mentality) and bagged again good amount this year.
As a company, TSLA will survive long, but current economic status is not right time to hold long. TSLA will also struggle with all automakers like GM & F and finally come up as winner.
In investment, you should not follow me or I should not follow you. However, you can follow well known investors like WB or Seth Klarmann. On any case,the ownership is on the individual. I follow swing trade, WQJ follow buy and hold, you follow in between. When I purchased TSLA, I decided when to come out (esp at what price range) and bulk loaded upfront. Result: TSLA filled all the losses I made with AAPL.
See here, WQJ is not following me, neither I am following him. We both are independent on our own.
The difference is that I become trader, he becomes investor like WB.
When recession hits, higher hit will be at real estate (but less volatile area) and then car industry, both are big ticket item depended on credit availability.
I want to be safe, coming out entire market soon, TSLA is one my stocks.
I would have held TSLA for long as I feel TSLA as a company good, but economy (US & China) is not so great at this point.
Based on FED rate hikes, all the credit interest rate is gone up , that is the issue until it normalizes.
Europe, Australia and China, demand for TSLA will be there, but economy is not strong and credit is expensive.
IMO, when economy (US,Euro, China and other world wide) tanks, car industry will get hit, that affects entire car sellers.
When market recovers, TSLA will recover fast and be a winner, next I see GM (as they planned massive for EV cars in 2023 onwards). EV is the way to go in future.
Used to do that. But yield hence cap rate and cash flow has gone down a lot, @Boolean is well aware, unless you buy in so not desirable neigbhoods (on paper very high yield, effective cashflow may be even lower because of evictions, repairs and vacancies). Probably better to just hold cash and wait for more favorable conditions.
Yes, I understand the failure part, hard to understand the market. Just I am planning this way in future, trying buy SPY, QQQ, ITA ETFs instead of stocks. This way, I can avoid trading. At least , I will have 50% in ETFs and balance 50 ( or even less than 50% ) in stocks.
I happen to see the difference in one of my retirement accounts.
On 12/26, I purchased hacax( nasdaq almost ) 75% and vanguard fund (25%)
The overall Appreciation is 10.2% YTD and other stocks holding trailing behind at 9.8%.
Looks to me my stock picking is not right even though last 50 days is too low early for comparison.
Based on this, I am fairly convinced to go for same 75% and 25% for QQQ and SPY.
I’ve been comparing my portfolio against the Nasdaq for more than 10 years. It’s gain vs. the Nasdaq is pretty much even. However I added many positions along the 10 years so I think I’m actually ahead of the Nasdaq because I’ve held those positions shorter than the 10 years I used to derive Nasdaq’s gain.
Why invest, I want to hold it as cash sometime.