All things STOCKS

#3,139
#3,139
I'm a newbie into the stock market. Just rolled over my 401k from an old job to a Charles Schwab IRA account. It was just shy of $4k, so not much, but enough to play with, and it certainly wasn't gaining anything just sitting there. Below is an overview of my Portfolio. Some advice/criticism would certainly be appreciated.


So far, it's been a mixed bag with my investments. I was a little overzealous when I first opened the account last week and purchased 10 shares of Disney @ $122/share. Since that investment, I'm down $47 as of this typing, but I'm comfortable with it as a long term investment given Disney's strong brand reputation (and they've not even reopened their parks)

I took a gamble on Groupon before the reverse split and purchased 1000 shares at $1.44. That's been a big disappointment so far, though it soared yesterday almost back to my purchase price. The thinking I had was that as small businesses open back up from lockdown, Groupon should see a big uptick in sales. So far as of this typing, I am down $339.50. Again, I wasn't expecting immediate returns on this, more of a long term asset. But still, I am second guessing this one.


Since that 1st day, I've tried to be a little smarter and do more research on stocks and the market before I place an order. I purchased 33 shares in Pinterest at 20.66 last Thursday and sold it at today's high of 22.49. Total gain of 60.39.

I've also tried my hand in the penny stock market. I purchased 333 shares of Valens Groworks at 1.89/share. I'm up 24.74 as of this typing. But hoping for an uptick here given their trends pre-corona.

After reading @VolAllen suggestion on SAVE, I reinvested the money I made from the PINS sale into SAVE.
 
#3,143
#3,143
Carp said:
I'm a newbie into the stock market. Just rolled over my 401k from an old job to a Charles Schwab IRA account. It was just shy of $4k, so not much, but enough to play with, and it certainly wasn't gaining anything just sitting there. Below is an overview of my Portfolio. Some advice/criticism would certainly be appreciated.


So far, it's been a mixed bag with my investments. I was a little overzealous when I first opened the account last week and purchased 10 shares of Disney @ $122/share. Since that investment, I'm down $47 as of this typing, but I'm comfortable with it as a long term investment given Disney's strong brand reputation (and they've not even reopened their parks)

I took a gamble on Groupon before the reverse split and purchased 1000 shares at $1.44. That's been a big disappointment so far, though it soared yesterday almost back to my purchase price. The thinking I had was that as small businesses open back up from lockdown, Groupon should see a big uptick in sales. So far as of this typing, I am down $339.50. Again, I wasn't expecting immediate returns on this, more of a long term asset. But still, I am second guessing this one.


Since that 1st day, I've tried to be a little smarter and do more research on stocks and the market before I place an order. I purchased 33 shares in Pinterest at 20.66 last Thursday and sold it at today's high of 22.49. Total gain of 60.39.

I've also tried my hand in the penny stock market. I purchased 333 shares of Valens Groworks at 1.89/share. I'm up 24.74 as of this typing. But hoping for an uptick here given their trends pre-corona.

After reading @VolAllen suggestion on SAVE, I reinvested the money I made from the PINS sale into SAVE.
Click to expand...

My advice, sell everything and move to SAVE sub $20. Next gap up will take it to $25-28. Sell, buy back at $20, rinse and repeat.
 
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#3,145
#3,145
Orange_Vol1321 said:
Can anyone answer this with short selling experience?
Click to expand...

I'm not clear on which price movement that you are asking about with a reverse stock split. The math works the same whether somebody is short or long in a stock. If somebody is short 100 shares at around $1/share and there is a 10:1 RS then they're only going to be obligated to cover 10 shares that now trade around $10.

If you're asking about the effects of an RS, there are a few things going on that will affect share prices. A stock could be boosted after a reverse split if there are buyers getting involved that were restricted from purchasing shares below a certain price. The opposite also happens due to psychology. Reverse splits are a strong indicator that a company is in deep trouble and many investors want no part of investing there.

It is a positive that there is less dilution. But reverse splits are a horrible look.

It's pretty much a gamble whether the company's total valuation rises or falls post RS. The traders have all of the information well before the RS event occurs.
 
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#3,147
#3,147
Carp said:
I'm a newbie into the stock market. Just rolled over my 401k from an old job to a Charles Schwab IRA account. It was just shy of $4k, so not much, but enough to play with, and it certainly wasn't gaining anything just sitting there. Below is an overview of my Portfolio. Some advice/criticism would certainly be appreciated.


So far, it's been a mixed bag with my investments. I was a little overzealous when I first opened the account last week and purchased 10 shares of Disney @ $122/share. Since that investment, I'm down $47 as of this typing, but I'm comfortable with it as a long term investment given Disney's strong brand reputation (and they've not even reopened their parks)

I took a gamble on Groupon before the reverse split and purchased 1000 shares at $1.44. That's been a big disappointment so far, though it soared yesterday almost back to my purchase price. The thinking I had was that as small businesses open back up from lockdown, Groupon should see a big uptick in sales. So far as of this typing, I am down $339.50. Again, I wasn't expecting immediate returns on this, more of a long term asset. But still, I am second guessing this one.


Since that 1st day, I've tried to be a little smarter and do more research on stocks and the market before I place an order. I purchased 33 shares in Pinterest at 20.66 last Thursday and sold it at today's high of 22.49. Total gain of 60.39.

I've also tried my hand in the penny stock market. I purchased 333 shares of Valens Groworks at 1.89/share. I'm up 24.74 as of this typing. But hoping for an uptick here given their trends pre-corona.

After reading @VolAllen suggestion on SAVE, I reinvested the money I made from the PINS sale into SAVE.
Click to expand...

In general, avoid the riskier investments inside of a retirement account and build long term value with blue chips, healthy dividend payers, and solid growth companies in growing industries. Losses inside of retirement accounts can't be written off of tax filings.

Also, don't buy munis inside of a an IRA as they aren't federally taxed... unless you are strongly convinced that they are way undervalued due to the economic slow down hurting their prices more than is reasonable and are looking at a quick trade.

Disney doesn't suck at all. They own fantastic assets. They own extremely valuable real estate with their theme parks and studios. They have extremely valuable, iconic, owned, programming assets and are very well positioned because of that as they develop their streaming platform. They have several businesses that have most likely already put in bottoms. Cruise ships, hotels, ESPN. ESPN has lost subs due to cord cutting, but that's priced in.
 
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#3,148
#3,148
Also, I don't understand Groupon at all. I guess if they've cornered the market as far as fire sales then they are well positioned. It seems like a lot of work to keep lining up deals with companies to get agreements to sell their stuff really cheap. Maybe there's a lot of easy repeat business. Maybe there's some way to leverage their relationships into something more than just selling them those flash sale deals. Maybe they're a good contrarian opportunity when the economy slows as stressed companies needing to raise cash and unload inventory quickly will line up to do business with them (also their demand could be stimulated with more consumers looking for bargains). And then when economic conditions are favorable they can get a lot of promotional type of deals with businesses seeking exposure more than profits. Perhaps there is no viable competition to Groupon and they've built out a solid platform that puts up barriers for competition. Maybe they are kind of like Netflix and their most valuable asset is their subscriber base.
 
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#3,149
#3,149
Thunder Good-Oil said:
Also, I don't understand Groupon at all. I guess if they've cornered the market as far as fire sales then they are well positioned. It seems like a lot of work to keep lining up deals with companies to get agreements to sell their stuff really cheap. Maybe there's a lot of easy repeat business. Maybe there's some way to leverage their relationships into something more than just selling them those flash sale deals. Maybe they're a good contrarian opportunity when the economy slows as stressed companies needing to raise cash and unload inventory quickly will line up to do business with them (also their demand could be stimulated with more consumers looking for bargains). And then when economic conditions are favorable they can get a lot of promotional type of deals with businesses seeking exposure more than profits. Perhaps there is no viable competition to Groupon and they've built out a solid platform that puts up barriers for competition. Maybe they are kind of like Netflix and their most valuable asset is their subscriber base.
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I’ve tried to use it a few times and I absolutely hate the site. I’ve tried to book trips and it’s never easy, and I’ve found myself on Expedia a few minutes later lol.
 
#3,150
#3,150
Thunder Good-Oil said:
Also, I don't understand Groupon at all. I guess if they've cornered the market as far as fire sales then they are well positioned. It seems like a lot of work to keep lining up deals with companies to get agreements to sell their stuff really cheap. Maybe there's a lot of easy repeat business. Maybe there's some way to leverage their relationships into something more than just selling them those flash sale deals. Maybe they're a good contrarian opportunity when the economy slows as stressed companies needing to raise cash and unload inventory quickly will line up to do business with them (also their demand could be stimulated with more consumers looking for bargains). And then when economic conditions are favorable they can get a lot of promotional type of deals with businesses seeking exposure more than profits. Perhaps there is no viable competition to Groupon and they've built out a solid platform that puts up barriers for competition. Maybe they are kind of like Netflix and their most valuable asset is their subscriber base.
Click to expand...
It’s like, 10 days in Greece with flights and hotel, $799 a person. Then I’ll click that and it’s like sorry, this is not real lol
 
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