I'm really a terrible timer of MSFT. I think that since I know a lot about certain things inside the company, but not everything, my investment opinion can be incredibly skewed. I'm often wrong about what MSFT stock will do. I am bullish long term on MSFT, but just as with some other great tech companies like AMAT, the stock seems a little high to me. Often, when I've thought that and sold options, I've been very sorry in a month or two. If I never sold any options, I'd be very, very comfortable today. As it is, I'm simply comfortable. My friends joke about their $100,000 Honda Accords (if only they didn't sell stock for them) or $1mil houses worth $250K. I've been hedging lately and simply losing profits. Since I don't plan to sell any more, ever, I probably shouldn't hedge, but I don't know if I'd buy leaps right now.
Dollar cost averaging is a great way to buy if you're in for the long term. I'd probably average until late July with one purchase saved for post earnings. I wouldn't average over six months since we've got a number of new product releases in late Summer as we've announced.
Mike |
