One of the stocks you are holding may need attention. It may need to be sold. Holding it may cause you to give up all the gains you’ve accumulated while you were holding it. If you aren’t lucky enough to be sitting on a pile of gains, you may be at the brink of a disaster. Why, you ask? Could be a number of reasons… and that’s what today’s article is about. What makes it a good time to sell a stock you believe in? We’ll talk about a few good (and not so good) alerts, and discuss what makes a good alert…
How about if your stock has gone down suddenly (say 10% in a single day)?
How about companies that are grossly overvalued, have no earnings, but do have positive estimated earnings?
Lets look at our -99.8% loss another way: year by year…
It went down almost every year, making it a wonderful short screen, but a terrible long one!
How about a sudden gain, with no change in earnings (estimated or announced) or sales (we’re rebalancing daily, as you would get alerts daily.
How about it we break it down by year?
I’ve shared some of my most/least favorite reasons to sell.