Darling stocks of the pandemic

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9-5 Suited
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Joined: Thu Jun 23, 2016 12:14 pm

Darling stocks of the pandemic

Post by 9-5 Suited »

Not that the BH audience needs the reinforcement, but posting this as a good in-the-moment reminder to those who may still be drawn to individual stock investing. The Enron examples are getting a bit stale, but the companies below were talked up so often during the pandemic that noting these staggering declines should be instructive that what you hear in the news isn't actionable for investing:

Company --> Past 12 Month Price Change

Peloton --> -82.45%
Netflix --> -27.80%
Zoom --> -61.35%
Teladoc --> -73.32%
Talkspace --> -87.89%

Those are declines that are likely create huge life stress for people who invest by following what seem like such "obvious" good investments that turn out to be anything but, since huge future expectations were already built into the price.
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CyclingDuo
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Re: Darling stocks of the pandemic

Post by CyclingDuo »

9-5 Suited wrote: Fri Jan 28, 2022 4:01 pm Not that the BH audience needs the reinforcement, but posting this as a good in-the-moment reminder to those who may still be drawn to individual stock investing. The Enron examples are getting a bit stale, but the companies below were talked up so often during the pandemic that noting these staggering declines should be instructive that what you hear in the news isn't actionable for investing:

Company --> Past 12 Month Price Change

Peloton --> -82.45%
Netflix --> -27.80%
Zoom --> -61.35%
Teladoc --> -73.32%
Talkspace --> -87.89%

Those are declines that are likely create huge life stress for people who invest by following what seem like such "obvious" good investments that turn out to be anything but, since huge future expectations were already built into the price.
Underneath the hood of the index, those you point out are not alone...

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Nowizard
Posts: 4839
Joined: Tue Oct 23, 2007 5:33 pm

Re: Darling stocks of the pandemic

Post by Nowizard »

However, if someone has held them for a longer period of time, they are considering whether to cash in still substantial profits or hold. Those who held or purchased more of Apple years ago and are still holding, for example, are unlikely to sell. In short, if one feels it is a market downturn rather than a change in why they purchased a stock, many will continue to hold just as that approach is recommended here with downturns. The folks who hold stocks have their reasons, just as those following the approaches presented here have theirs.

Tim
MadAsgardian
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Joined: Sun Mar 21, 2021 5:35 am

Re: Darling stocks of the pandemic

Post by MadAsgardian »

I decided to put a bit of money into individual stocks during the COVID crash. My pandemic darling was Apple, it's up 29.08% during your 12-month timeframe. Of course there's no guarantee this will continue, and if such an event happened again I would likely just add to an index fund.

I also bought some Disney, which is down over the past 12 months -- most likely a combination of omicron and the aforementioned Netflix news. But Disney is way more than a streaming company and the pandemic will eventually end, so I'm not overly concerned.

I'm glad that most of my money is in passive, but I also enjoy learning a bit more of the nitty gritty by investing directly in a few companies I trust for the long haul. Not everyone who buys individual stock is Robinhood GME AMC diamond hands to the moon.
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