Taking Some Profits
We’re seeing the ugly action from last week continue today so we’ll take a few steps to protect some of our hard fought profits. Here are today’s suggested actions:
Sell Bentley Systems (BSY). We’ve held the stock since April and still have a 16% profit, even after the recent retreat. With shares falling through 60 today we’ll walk away and put BSY back on the watch list. SELL
Sell Goeasy (GSY.CA). This stock has performed very well for us since June, rising 26% through mid-day today. This may easily be a buyable dip as previous retreats to the 50-day line have sent GSY.CA higher. The difference this time may just be that interest rates seem to have a path higher, and while I don’t think that will hurt Goeasy’s long-term prospects this is a sentiment battle right now. Let’s lock in the gain and keep an eye on the stock. SELL
Sell One-Quarter of Bill.com (BILL). We haven’t sold any of our position yet, and with a 230% gain and a faltering market for growth stocks now looks like a good time. SELL A QUARTER, HOLD REST
Sell One-Quarter of Upstart (UPST). Upstart is a very high tree right now given that it’s a recent IPO and that shares are up a gazillion percent since the company came public. To be fair, the stock is acting amazingly well during this bout of volatility. But as we’ve seen with other names, selling can come in swiftly. We have a 144% gain since July 21. There’s no harm in taking a little off the table. SELL A QUARTER, HOLD REST
Sell Snowflake (SNOW). This is the ultimate growth stock and the valuation is as high as any out there. It’s a name we watched for a while then jumped into in September. Since then SNOW has pulled back 9%. That’s not a huge retreat, but given the action out there I think stepping aside now makes sense. Ideally this is a mistake. But if so it’s one we’ll be able to live with as a rally in growth stocks would likely mean many of our other names would shoot up. I’m sure well come back to SNOW. SELL