02-28-2019, 02:41 PM
(02-28-2019, 02:27 PM)Roadmap2Retire Wrote: I never said that its riskier than INTC, NVDA etc. although there are bull/bear cases to be made either way. I dont own any tech stocks since they have been bid up so high. The P/S on NVDA is 8 for crying out loud, and unless the company can grow its revenue exponentially does not warrant that kind of a multiple. Even after a fall of ~40% over the past few months, I think it is still overvalued!
Tech is tricky for long term buy-and-forget DGI style investing because it changes so fast. The sector suffers from the Red Queen Effect simply due to the nature.
Also agree that you have to keep a closer eye on tech holdings than other DGI stalwart sectors, like Consumer Staples or Utilities. My dividend-paying tech holdings are comprised of AAPL, ADP, CSCO, IBM, INTC, and QCOM. I also hold SQ as my one pure growth pick, but they don't pay a dividend. IBM is a real disappointment on many levels. I'm pretty happy with all of the other ones, and don't get the sense that any of them are headed for oblivion in the near-term, but certainly do keep any eye on the horizon.
I'd love to own AMZN, GOOG/GOOGL, and MSFT, but the valuation has just never been there when I was looking to purchase.