Recent Stock Sale II – March 2017

Last week, I mentioned about the reasons why I think market looks fully or over-valued in my opinion. There was a small pullback of few percent points due to the failure of American Health act passage and myriad of other reasons like fed rate hike, geopolitical risks in south china sea, likely OPEC non-compliance of oil quotas, etc. Due to these reasons and others, I think that market is facing some head winds.

I kept steady in implementing my strategy to trim or eliminate positions in companies and raise some cash in hand so that whenever pull back does eventually happen, I’m ready to deploy the cash. I’ve completely sold following companies: AMGN, AXP, BAC, BUD, CAT, CNP, CVS, DIS, DOW, DPS, FLO, GD, JNJ, JPM, KO, MCD, MO, MSFT, OKE, PEP, PM, POT, RAI, SYY, USB, UTX, and WMT.

Over last few weeks, I’ve sold 47 companies in my portfolio, trimming down almost 50%. I feel more comfortable with this size of portfolio at this point of time. However, I’ll be at look out for buying opportunities whenever they arise, currently, I’m seeing fewer. I still have 50 companies and that’s a decent size and fairly diversified by many measures.

What do you think about market valuation, have you considered selling some companies also?

7 thoughts on “Recent Stock Sale II – March 2017

  1. I’ve thought about selling some but a couple of them I need to put more money in them as its not worth it to sell them. I’ve thought about BAC and UVE. I already have an idea of where the money is going when I do sell so it won’t be out long. Others as I add to them once they make a profit then they will be sold.

    • Hi Doug,

      Like your strategy of selling, taking some profits off the table and re-investing at lower cost basis. Good work in adding positions, however, I’m cautious right now in adding positions. Thanks for stopping by and commenting.

    • Hi BHL,

      Definitely, lot of sells in a short time, as I wanted to keep some cash on the side. I’ll be adding when prices drop. At these elevated levels, do not feel comfortable.Thanks for stopping by and commenting.

  2. Wow, you’re really unloading. As I said last time, I think this is a wise move. You’ll have a bunch of cash to deploy when the market finally cools off. I sold some shares, but for the most part I’m selling out of the money covered calls. This way I can keep my shares and collect dividends. If the market keeps going up, I’ll happily sell my shares through the option.

    • Hi IH,

      Appreciate supporting my move, need to look into those covered calls options and others, you are making tons of money over there in options. hey, as long as passive income comes from anywhere, all good 🙂 Thanks for stopping by and commenting.

  3. That’s a serious portfolio liquidation. You have to do what feels right to you. Keep that cash pile growing. Where will it sit in the meantime?

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