07-18-2013, 08:36 AM
Can I plead temporary insanity on this one? In hindsight, I'd like to think I was never really close to selling. I really do believe in choosing the best stocks, buying them at the right price, and holding them for a long long time, unless the company gives you a blatant reason to sell.
Nonetheless, I do think it an interesting phenomenon when you buy something that you believe to be undervalued, with the expectation that over the coming years it will go up by 30 or 50 percent, and then it proceeds to do so over a matter of months. Really, as dividend growth investors we should be frustrated by an experience like this because it would have been preferable to enjoy a longer period of under-valuation during which we could have accumulated more shares.
Really, it is quite a bit harder to find obviously undervalued DG stocks right now that it was even 6 months ago.
Nonetheless, I do think it an interesting phenomenon when you buy something that you believe to be undervalued, with the expectation that over the coming years it will go up by 30 or 50 percent, and then it proceeds to do so over a matter of months. Really, as dividend growth investors we should be frustrated by an experience like this because it would have been preferable to enjoy a longer period of under-valuation during which we could have accumulated more shares.
Really, it is quite a bit harder to find obviously undervalued DG stocks right now that it was even 6 months ago.