User comment: Would you be buying? Say if you had some money you had to put away – or keep it in cash?
Victor:
Yes, I am buying today…I have at least a couple of years time frame and know that historically this is the best opportunity I may ever have to buy some of the best names and some of the names that I have felt were way too high before. Focusing on some companies like PAYC that have 40% FCF, very loyal customers and are down 40%. I also am using the opportunity to adjust my percentages between the companies and tax loss harvest where it makes sense…but that is tough as only a couple of the stocks are down from my purchase prices.
This too shall pass, my friends, painful though it is. Out of the ashes rises the Phoenix. Hope everyone is staying healthy out there, otherwise. Wash your hands! 🙏
Some of the group are asking what names I’m buying. The same names in my portfolio. The names I know best and follow every earnings call and the news. AYX, OKTA, DDOG and PAYC are on my shopping list. I add them in tranches…often thirds. I can’t time the exact bottom, or I would obviously not have bought AYX yesterday at $107, but I just nibbled yesterday and left 2/3 of what I want to add for days like…well…today! 😱.
…But please don’t just follow me into the abyss. Do some homework. Buy something you’ve had your eye for awhile that is now discounted 30-40% or more. It’s hard and requires a lot of analysis to pick great stocks in an “up” market. It’s a LOT easier in today’s down market. Just make sure the company you choose has a strong balance sheet and cash on hand, so they can weather the storm. On average, they will all go up when the tide comes back in…
In late 2008, after the financial mortgage meltdown, I had never purchased a “banking” stock before; but when all the banks were punished so severely and were all trading at around $10 a share, I bought Wells Fargo, Bank of America, and US Bank. I sold them all in the 20s and 30s a year or more later. 100%-200% gains.
Keep in mind a 100% gain is equal to only a 50% loss..
