…And 3 hours later went up + 52%…
Let’s calm down a bit and tell the whole story (which is an example of how to “sell earn and cry“)
1) On Apr 27, 2006 I bought 150 HOKU shares at $7 each, spending a total sum of $1050. I mainly did it because it was one of the few green high tech ( hydrogen cells) companies which did actually have earnings. I knew it was a crazy move
2) A short time later HOKU was down 60% because they seemed to give up their hydrogen cell technology to build polysilicon for solar plants. That way HOKU admitted that their “Proton exchange membrane (PEM) fuel cells” wasn’t good enough. I inserted HOKU in my “investing mistakes” list, but did not sell it. I never sell a stock unless it goes 40% up. (more…)
Why we, the people, should never average down any stock January 23, 2007Posted by deminvest in dictionary for democratic investors, HOKU Scientific, investment, investment strategies, My investing mistakes.
It is such a temptation. We feel so well when we take an “Average down” shot. But it can be lethal for our wallet. Let’s see what it is:
To average down = to buy more shares of a stock which somebody already holds and which has dropped in price since the earlier purchase . When somebody does so the average price paid for each share goes down.
HOKU: A comment by danielfrederickson that made my day January 22, 2007Posted by deminvest in growth stock, HOKU Scientific, investment, My investing mistakes, nasdaq, Single stocks, stock I own, stocks.
this morning I found Daniel’s comment on Deminvest:
Daniel : “scroll to the bottom of your portfolio… did you ‘hold’ >HOKU”
me: “What does Daniel mean?”
“OK let’s do as he says, let’s give a look at the bottom of my Portfolio, where HOKU is stuck since ages… about -60%.”
“Where is it?”
“Did HOKU disappear from the bottom of my Portfolio? It sure did.”
“NOOOOOOOOOO maybe they went broke or were delisted”
“Wait… Look… They went up! HOKU doubled its price!
… which I will commit. I think I will keep HOKU. I will keep it because I am after all a proletarian investor. Unprofessional and sometimes I follow a wrong strategy even when I see it is wrong. I bought HOKU at $7 a month ago. I should sell it now at 4.2, but I can't admit to myself how wrong it was buying it. So I keep it hoping that for some magical reason it will go back at 7 and maybe arrive to 9.
HOKU will not. (more…)
Today I feel crazy: I will buy far East tech like AUO AU Optronics Corp. and maybe even HOKU Hoku Scientific, Inc. April 27, 2006Posted by deminvest in growth stock, HOKU Scientific, investment, My investing mistakes, Single stocks, stock I own, stocks.
1 comment so far
I will do that, but please don't follow me on this. AUO is a Far East high tech company that makes LCD panels. It is cheap and even grants some not to bad dividends: Trailing P/E: 18.79 Forward P/E: 8.70. It even offers a juicy dividend yield over 2%, which is not common for such high tech companies. (more…)