Stock of the month - February 2020

Well, if ever there was a time I didn’t want to post this thread it would be now. :woozy_face: I cannot be the only one to feel like I have had the rug pulled out of my feet and then kicked when down. :chart_with_downwards_trend: To go from an all time high to such an all time low in the space of 3 or 4 days is quite incredible, that it’s beyond depressing. I’m looking at my portfolio and thinking what a waste of time. All these stock of the month threads and all this research and all this effort. Then I stop and press the reset button. Time out. :persevere:

Maybe you have not even logged into the app. Perhaps you have decided to take a break because it’s just too much red and misery? The one thing is folks we are all in this together. Nobody has lost a penny, just a nice upward curve has been replaced by a lightening fork, the fastest possible route to earth or perhaps below ground level! The “up by” has been replaced by a “down by” and it looks grim. This is where you learn the most important lessons of investing, keeping a cool head. Do not go with the flow, keep your feet on the ground and remember the basics. You wouldn’t sell your house, car or anything if the price crashed for 3 months, you would wait. However, with investing people panic. Why? If you have diversified what has changed from when you invested in those companies? Unlikely anything. The sun will rise tomorrow and companies will trade and people will buy. True, profits will be down for 2020 and worldwide growth is likely to be hit, but in the long term it actually will make little difference.

I remember the HL founder Peter Hargreaves who supported Brexit being confronted after the shock result and a big dip on the markets that followed and was served with a “you’ve just lost £x millions and how do you feel?” His reply was along the lines of I haven’t lost a thing what are you talking about? And if you were fearful about Brexit, this puts it all into perspective. Hey, we have hardly heard the word mentioned recently.

Buffet’s be fearful when others are greedy and be greedy when others are fearful saying is a good one. Some people like Buffet here have held on to cash and well done to them. I take my hat off to you as I didn’t expect the markets to react this badly. :tophat: It takes guts and the gamble has probably paid off spectacularly. With some stocks now at the cheapest for years, others the price that they were 6 months ago, in my opinion there are serious bargains and near certain money to be made in a very short time. The stock markets will bounce again and likely very quickly in a few months if previous history is anything to go by. Have we forgotten December 2018 and January 2019 already? Look how quickly that bounced. :chart_with_upwards_trend:

Unlike the financial crisis of 2008 where there was huge job losses, high unemployment and serious economic shocks this crisis is much more of an inconvenience. People are raring to get going and back to business; the underlying economic engine is still there and life will go on. Hopefully in a couple of weeks the spread of the virus will wain and people will return to normality.

Only 15 out of 87 stocks I hold are green. I can’t even be bothered to work out which was the biggest flop. Safe to say the gold miners have had the most resilience and are currently my strongest positions.

I’m fairly hopeful that the March 2020 stock of the month will be an exciting one. If it isn’t I’m sure April will be amazing!

Hang in their folks, its all part of the fun.

Disclaimer

As per Freetrade’s policy always remember to do your own research.

Remember that past performance is no guarantee of future performance.

This is a discussion only thread and is not advice to invest in any particular stock.

January 2020 stock of the month thread

December 2019 stock of the month thread

November 2019 stock of the month thread

October 2019 stock of the month thread

September 2019 stock of the month thread

August 2019 stock of the month thread

July 2019 stock of the month thread

June 2019 stock of the month thread

May 2019 stock of the month thread

April 2019 stock of the month thread

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My stock of the week has to be Square, bought it early on during the week and is now +2.82%.

On the downside, Ceres went down with 11.64% in the week, which was my worst performing stock in my ISA.

Not much else was pleasant reading. :joy:

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When you say stocks are at their cheapest for years, what do you mean? The S&P500 is at the value that it was in October 2019, less than 6 months ago:
Screen Shot 2020-02-29 at 21.51.43

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That’s true, some have only lost 6 months of growth in value (which was quite a spurt for sure), others just a year. Others considerably more, such as Evraz Steel, Micro Focus, Stobart, General Motors, Ferrexpo, Glencore to get started. I think some of these stock probably are poorer in quality anyway. One’s I don’t plan to invest anything more in. So yeah I’ll edit my post…!

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I think we’ve been spoiled anyway, it probably averages out as a fairly normal year. I was up ~40% for the year a month ago, but now up ~20%.

The S&P500 is still up ~6% for the year, which is about average for historic returns. The global market may go down further over the next few months, but I’m not too concerned anyway. Just need to get some cash to invest.

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Out of the 21 holdings I have on freetrade only 4 remain green. Draper Esprit, Polar Tech, Puretech and ITM Power.

Eurasia was good for me this month, pending the outcome of their stock suspension which is hopefully due to them being taken over or JV

Kier also had a good Feb, even with them dropping 20% in the last 10 days, I’m still hopeful they will come good in the medium to long term.

  • Dominos Pizza USA

  • Zoom (even people mistaking ticker symbol ZOOM went up 50%+ last week). The real ticker symbol is ZM :shushing_face:

  • Slack

Outperformed the market last month.

Virus biotech stocks are outperforming, but those are one off pump and dumps be careful of chasing those. Seen moves like that during Ebola and SARS outbreak.

Wrong Zoom! (Pump and dump version)

Right Zoom

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Nail on the head there. I could rewind back to July and the last 7 months didn’t mean shit. Fuck the virus though it has virtually wiped out 2019 for me in a matter of days.

The problem is with these diseases they seem to always come out of the one place, the panic then really happens when it reaches “western” areas. SARS never made it and then Ebola did not make it. Sports cancelled, concerts cancelled and parades cancelled. The markets are a bloodbath. At least on the weekend you can’t lose. Should be a weekend day everyday until this shite blows over. Worst week I’ve ever had took back all of 2019’s gains. Wish I had dry powder!!!

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Easy one for me to work out - Carnival :sob:

My wife pointed out earlier that one of our neighbours sold their house a few days ago, which is very similar to ours for considerably more than the price that we bought ours for a while back. “Nice” I thought for about 20 seconds. Then moved on and forgot about it. We don’t intend to sell our house any time soon, so it’s market value is not hugely important to us.

I feel similarly about my portfolio. It has lost some market value, but my plans for it are in a timeline of decades. Much like the value of my house, I’d like it to be up, but if it drops in value over the short term, c’est la vie. Over the long term it will be much more valuable than it is now.

If you have to sell when prices have dropped, you have my sympathies. If you don’t, pop the kettle on, put your feet up and check out which companies on your shopping list have just got less expensive.

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milk, no sugar, please :+1: :muscle:

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I think the problem is people like me poured money with fear of missing out and bought at peak time as the market was going north . Now, the markets are so much down and I want buy more but have no money.

I don’t want to sell anything right now so may be in few months it will be alright but a golden opportunity is lost now.

My portfolio is a sea of green…

Cos I puked all over it after seeing losses almost across the board :face_vomiting:

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My best stock was Eurasia Mining. By being suspended it isn’t down :laughing:

My worst drop was either First Solar or Bacanora.

I’m just seeing a lot of buying opportunities in my portfolio. It’s like all of my favourite shops have gone on sale. If Eurasia gets sold in the next couple of weeks I’ll be in a really good position to deploy that capital.

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@Codf, what are the stocks you are eyeing on? If you don’t mind sharing. Am a big fan of your research and depth of knowledge.

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Legal & General
Aviva
Bushveld
ITM (less so today)
Pan African Resources
First Solar
Bristol Myers Squibb
Bacanora

To name but a few! Also watching for potential further falls on:

AMD
RD Shell
Carnival
Ocado
Uber (already churned Uber once. Happy to do it again!)

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Hoping the stocks continue to fall and better buying opportunities present themselves. Bought some dividend paying ETFs today. Would happily see them plummet further in to the red in the weeks and months ahead and average down.

I’m glad I’m not the only one having a bad time. I’m fairly new to this and quite literally bought some stocks at the top. Going to wait a little while and buy back in when I think we’ve hit bottom (this will probably be after the bottom as I’m a wait and see kinda guy rather than a hit and hope). Also hoping that my ETFs in other providers at least get back to 0% return so I can sell and deposit the money into FT.

I like the look of Redrow and with fractional shares in a few weeks I’ll look to heavily diversify.

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