PG - I thought I'd let you know that I just lightened up further on my SFY holdings.
I have wrestled for years with the question of when is right to sell a stock, and am now increasingly comfortable with the following two circumstances -
1) when the story (potential) changes,
2) when you have a better opportunity for your money elsewhere,
The recent press release hasn't really changed my basic belief in the company, but may have clarified that this is going to be a LONG slow burn. However, the market mayhem in the tech/net sector has just created too many good opportunities elsewhere. On that basis I just sold 40% of my remaining stock in SFY.
SFY still accounts for 16% of my US portfolio, and will likely be held for quite a while yet. However, over the last few weeks I have been moving my exposure to O&G from about 85% to 55% today. I expect there to be some further gains in the service stocks that I hold, and once these have occured then I will completely dispose of these (I suspect that TDW will be a long slow burn, so this may take a while!). The only stocks that will remain will then be some special situations/laggards like MEXP & PETD.
Yes I do think that we may be in a long-term up-cycle, especially in NG, and I will be keeping some SFY long-term for that reason. I still like the company enormously, but no longer see the compelling reasons to be so heavily overweight in the stock/sector (I have had a >500% return on my recent sales, and don't feel too guilty about taking some profits!) If we see an excessive pullback in the sector/stock, you can be sure that I will increase my holding again.
FWIW I have bought RMDY, CMGI, MTSN & JAKK in the last few days/weeks. I am watching DCLK, TIVO and NVLS, but haven't bought any yet. Guess I am waiting to see just how damaged sentiment generally is!
Mark |
