Several years ago my son was working at an investment firm and advised us to buy Smith and Wesson stock. We bought 50 shares at $3.50 per share...yeah, I know, we should have sunk every spare penny we had in it! It peaked last year and then dropped, so we sold at $23. It's now back up between $29 and $30. But, with the way the election seems to be going, gun stocks might well take off again. I'm thinking of buying about 500 shares when it drops below $29. Whatcha think?
"The man of system is apt to be very wise in his own conceit; and is often so enamored with the supposed beauty of his own ideal plan of government that he cannot suffer the smallest deviation from any part of it…He seems to imagine that he can arrange the different members of a great society with as much ease as the hand arranges the different pieces upon a chessboard.” Adam Smith, The Theory of Moral Sentiments
I like to look at the risk reward. At 29-30, we are at the all time highs. Just 2 months ago we were at 21-22. Earnings coming up in a few weeks. So if earnings are stellar, what are possible targets? If earnings are good or bad, or most importantly guidance is only in line with expectations then the risk is 22 +-. And this is a stock that moves not only with earnings and the markets but also political events and news. So very risky and unpredictable. But lets say you really want some. if you buy 250 shares first then another 250 later on any bigger pullbacks, you then have a better price. would you rather have 250 shares at 28 and price goes up to new highs so you don't make as much profit or 500 shares now and you get a pullback or mediocre earnings. Building a position in stock doesn't have to be all one purchase.
Thanos was the hero
I bought on the 9-11s range before Obama re-election. Sold at 20+ I think it's too high at the moment
My secret to catching a lot of fish has been to go onto online Financial forums to ask about how to catch'em.
Remember bass fishermen's best investments have been to buy boats--at least intangible investments to keep our sanity.
My only claim to fame with Smith and Wesson is that Frank Wesson was a good friend. His great grandfather was THE Wesson. He spoke with a definite New England accent, and was a gentleman 8000 acre farmer in NE Arkansas.
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