02-28-2019, 03:42 PM
(02-28-2019, 02:53 PM)Otter Wrote: I will say that I should have bough AMZN when it pulled back to roughly $1,500 during the December downturn. At that price, the stock looked pretty reasonably valued.
As of today, I'd be happy buying GOOGL at $1,000, but don't see that happening unless the market as a whole drops substantially.
MSFT's valuation is just nuts.
Now its getting fun........
MSFTs valuation was nuts when I bought it in the 90s. Then it tripled and I bought more on the way up. Then it crashed and I sat on it for about 15 years waiting to get back to the point if crashed. It nearly tripled from there after I was happy to dump it. It spent most of those years going absolutely nowhere. The business remained dominant in their sector throughout. Similar story INTC and CSCO. None were ever anywhere close to bankruptcy. Valuation at time of purchase matters eventually. They were horrible buys if you missed the timing. We all agree on that.
I laughed when AMZN first started their online bookstore. It lost over 90% of it's value a few years later. Sure glad I didn't buy any.
I did load up in DEC 18 but I was scared. Bought a share or two more every time it dropped another $50. Cashed over half of it out right before earnings because I was scared. That decision looks good right now but I'll probably regret it. How much is one of the most successful companies in the history of mankind worth? It's pretty clear our normal valuation methods are often faulty. I had little trouble talking myself into buying some KHC on valuation though.Back to the point somewhat, tech is not DGI, and it's dangerous to try to convince yourself otherwise.