AAPL
- Thread starter Phill Twist
- Start date
Still holding my AAPL position with some nice profit. Should I exit now or should I let the profit runs?With the cash in hand, even if they had zero profit and zero new cash flow for the next 8 years, they could pay for the capital expenditures and dividends during those 8 years; profit can drop by 1/2 from the current quarter and they can pay for all dividends and capital expenditures without dipping into cash reserve; if you back out cash reserve net of long term debt, its stock had an effective PE of 7 @ a stock price of $90.
SPY has a PE of >18. What I am missing? So $90 looked really good to me and I went in the other day.
That's a tough question to answer. It depends so much on the individual.
If you exit now, ask yourself.... where would you park the money? What would you buy? Do you have a better stock? Overall, if you have a long term horizon and you're not an ADHD trader like a lot of folk (myself included).... I would let it ride with one caveat.... and its a tough one, but try to divine broader market corrections and pull out then. The trend is your friend. For now I thinks its on an upward trajectory, there will be some short term pullbacks which is what I am playing for tomorrow and next week. But trying to time those in conjunction with the broader moves in the averages is a beatch.
Watch the volatility daily... and when its high....sell covered calls, snag that premium, get free money, and let time decay work for you. If the stock gets called away, so be it. You can always get back in, there'll always be a pullback.
no share volume pre market 900 shares in 45 min so the price isn't very right atm
It's all about cost basis and time horizon. There's nothing wrong with selling a percentage of your position with your $90 cost basis here, and then letting the rest ride up. Just my opinion.
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