Mike Chester's Posts | Commonstock

@gordongekko02/05/2021

Investing is so easy

Next time anyone tells you it’s hard, remember that during a global pandemic when gyms were closed if you just invested in the hottest home fitness company you’d be up 700%. $PTON How did I not buy?!?!

Mike Chester

@gordongekko02/01/2021

How do you add to your winners?

Interested in any philosophies here. I guess just having a price target is the most important but would love other tips.

I always struggle with selling winners too early, while adding to my losers on dips 🙋🏼‍♂️

Josh Rozin

@josh02/02/2021

I'm with ya.

I always sell my winners far too early. For instance, I sold $BLNK at $18 and I sold $PLUG at $26. I don't regret it, though. I wasn't confident in $BLNK because I heard a lot of sketchy stuff happening with them but they were one of the only listed public companies for EV charging stations. For $PLUG , it was really just because I didn't have any price targets in mind. Overall, these are both at around $50 - $70 a share now.

Now, I would've loved to have held, obviously. I think it's a problem with me thinking "Oh this price is far too high" but "too high" is just conjecture when I say that. Looking back on this, I think it's incredibly illogical to base the value of what I'm holding on the share price itself, this is easily one of my weaknesses as I learn more about investing. I'd say look at market cap, look at the size of the market the company is trying to capture, then look at the growth potential there. As for adding to your losers, I'm still trying to learn this one, also. I'm definitely guilty of adding to investments when I don't have enough conviction. In a bull market, this has been not as harmful but I need to take time to reflect on this because we won't be in a bull market forever!

Add a comment…

Mike Chester

@gordongekko01/31/2021

Any good reads on potential infrastructure spending winners?

Obviously $CAT is always the first one that comes to mind if an infrastructure spending bill gets passed. But I’m interested to learn more about the actual economics and how money is allocated. For example - if increased spending on road repairs is passed, who is ultimately the decision maker of which companies get the contracts?

Mike Chester

@gordongekko01/30/2021

Isn’t $SWBI an obvious short with a Dem controlled government?

The stock unsurprisingly reached 5 year highs of $21 the day of the Capitol riots as gun sales/interest peaked. It has since started to trickle back down. Currently trading at $16.40 but was trading as low as $4 per share a little more than a year ago. It’s awful to say/think, but with such high political tensions and economic instability - the chances of a high-profile shooting event in the next 12 months seem greater than 50%.

Once such an event occurs, won’t Dem leadership jump at the opportunity to at least push for much stricter gun control legislation? That should severely impact $SWBI stock price.

Alex Sharp

@ajsharp01/30/2021

I wouldn't go near that trade, personally. It's impossible to predict what Congress might do with respect to gun control, and there are lots of center-left Dems who don't want major gun control change. I could see the opposite outcome for $SWBI, the anticipation of gun control changes lead to an enormous buying surge, stock price pops, legislation fails, and it stays elevated. If you really wanted to try to play that, you could probably wait til there's legislation on the table and do a straddle trade with options to try to benefit from either outcome. Just watch your premiums.

+ 1 comment