Thought I'd start a thread to talk about this. All the usual disclaimers if needed about this not being a financial advice thread yada yada yada.
But it's certainly something that's never much if ever discussed on this forum or the old pre-woke SB for that matter. But investments and stocks and all things related are pretty interesting and here is a good a place as any to shoot the breeze.
Recently the stock markets have taken quite a hit and the whole covid-19 business has opened up a whole range of opportunities and it would be interesting to see folks thoughts here.
I'm personally of the view that recently has been a great time to invest in stuff and have done so more than usual.
A) Most companies including some pretty solid companies which provide essential stuff to the economy have had their share prices much reduced offering a bargain.
B) Dividends have also taken a big hit but I'm of the view that this will reverse in future as companies find their feet again.
C) Some companies won't last or there will be some significant restructuring in the future making the picking of which shares to buy more important than ever.
D) Some companies which have thrived during the covid crisis are probably vastly over-valued for post covid conditions but offer a short sellers paradise in the meantime.
E) It's always important to check year on year sales BEFORE covid hit (everyone was higher before) but a failing company is still a failing company.
Now I prefer to invest the bulk of my funds in companies that are essential to the economy for the bulk of my investments. Companies that can either rely on an (almost) guaranteed pipeline of projects or sales to keep them going. i.e major financial institutions or utility/ infrastructure holders, basic materials * and so forth. Likely recipients of government cash seem safer.
* I've tried to avoid stuff grossly reliant on Chinese consumption as I smell potential trouble there.
I don't expect pre-covid performance to return overnight and with the levels of debt racked up it could take a couple years to recover. But I'm hoping that my initial investment in the bargain shares will grow in value AND that dividends will eventually grow and return.
Having said that I 'have' taken a punt on a couple things which is so far working out well (turns out that stocks in an ammo manufacturer in a US election year is a good buy 😄). But I have been leery of Tech stocks as I still remember the tech bubble collapse years ago.
Anyway atm I'm closely watching Carnival stocks to see how much lower they will go. If they survive then it could be a good long-term investment (with the possibility of room credit 😄) but it's a risk. If I go for it I'll probably not invest too much in it.
So what about other folks here? Whats your strategy to make profit out of this whole shitshow?
But it's certainly something that's never much if ever discussed on this forum or the old pre-woke SB for that matter. But investments and stocks and all things related are pretty interesting and here is a good a place as any to shoot the breeze.
Recently the stock markets have taken quite a hit and the whole covid-19 business has opened up a whole range of opportunities and it would be interesting to see folks thoughts here.
I'm personally of the view that recently has been a great time to invest in stuff and have done so more than usual.
A) Most companies including some pretty solid companies which provide essential stuff to the economy have had their share prices much reduced offering a bargain.
B) Dividends have also taken a big hit but I'm of the view that this will reverse in future as companies find their feet again.
C) Some companies won't last or there will be some significant restructuring in the future making the picking of which shares to buy more important than ever.
D) Some companies which have thrived during the covid crisis are probably vastly over-valued for post covid conditions but offer a short sellers paradise in the meantime.
E) It's always important to check year on year sales BEFORE covid hit (everyone was higher before) but a failing company is still a failing company.
Now I prefer to invest the bulk of my funds in companies that are essential to the economy for the bulk of my investments. Companies that can either rely on an (almost) guaranteed pipeline of projects or sales to keep them going. i.e major financial institutions or utility/ infrastructure holders, basic materials * and so forth. Likely recipients of government cash seem safer.
* I've tried to avoid stuff grossly reliant on Chinese consumption as I smell potential trouble there.
I don't expect pre-covid performance to return overnight and with the levels of debt racked up it could take a couple years to recover. But I'm hoping that my initial investment in the bargain shares will grow in value AND that dividends will eventually grow and return.
Having said that I 'have' taken a punt on a couple things which is so far working out well (turns out that stocks in an ammo manufacturer in a US election year is a good buy 😄). But I have been leery of Tech stocks as I still remember the tech bubble collapse years ago.
Anyway atm I'm closely watching Carnival stocks to see how much lower they will go. If they survive then it could be a good long-term investment (with the possibility of room credit 😄) but it's a risk. If I go for it I'll probably not invest too much in it.
So what about other folks here? Whats your strategy to make profit out of this whole shitshow?
I've got a large watchlist that I'd like to invest in - primarily dividend stocks - but with the house still not finished it'll be years until I can put aside substantial funds for investing again.
