Adding to what JC said, there are a number of things to keep in mind before you jump the boat and sell any or all of your shares of SUNW. Actually, what I am going to suggest would hold for any stock in which you have a profit on paper.
Personally, I *never* let my decision to sell anything be influenced by its having appreciated a lot, the idea of selling merely to lock in a gain. One, the primary reason for not doing this, is because I buy for the long term and do not trade.
In term of SUNW, I am not going to sell any of my shares because I think SUNW is well positioned for the future, both intermediate and long term. I like the management, products, and think SUNW has carved a niche for itself where it will be hard for it to be displaced. SUNW has a vision I think it has the ability to attain. If you, Alex have concerns with any of the areas I just mentioned, then maybe you should consider selling some of your shares.
Also, if you think you are going to get upset and possibly have a knee jerk reaction and decide to sell [just to lock in some gains] if/when SUNW has a price corrections down the line, consider selling some shares now. All stocks have corrections, which present people who want the stock in their portfolios buying opportunities. Corrections also panic some people who have big gains and not enough investment experience to focus on the reasons for the correction [normal taking of profits, some by traders; market in general in a down phase due to any of numerous reasons; etc.].
Probably the most important consideration to sell though Alex is how SUNW fits in with your investment objectives. From the little you shared, it sounds as if SUNW right now is not the kind of company you normally hold in your portfolio: an unknown company to consumers with a low PEG. It seems that the percentage of your portfolio SUNW now represents bothers you.
Weigh your tax liabilities, sit down and have a drink [non-alcoholic for this], and decide how _you_ will feel the most comfortable in various scenarios, assuming both selling and not selling shares for each. We all have our individual pain thresholds and investing is as much psychology as hard figures.
One tip, Alex, it is my personal policy to never look back when I sell something. I do not even check the price for something once it is out of my portfolio.
The best of luck making this difficult decision-
Lynn |
