RE:RE:RE:This move off the bottom has been spectacularHi rtired,
Nice post, that summarizes some key investment principles from value investings gurus.
I still have a major position in ACQ, and am still in it for the long haul.
About 80% of my portfolio is invested similarly in core positions that I won't trade, and have held for at least 5 years, on average.
The capital gains would be significant and the dividends (and dividends on cost) are compelling practical reasons why I choose to not sell.
My core portfolio is invested in dividend growth stocks, and provides a sustainable and growing income(once I choose to draw that income ).
Still, I have a portion of my portfolio that I trade if I think there is an opportunity to do so, however misguided that may be!
Honestly, I find it is fun to trade a few positions, and I have found it profitable, notwithstanding the excellent points raised above.
In the case of ACQ, I took a decent position at 38, and again at 32.
When it went up almost 50% in a short period, I felt that selling a portion made sense.
Even the whale Buffett sells at times, let alone minnow retail investors.
Remember, when he famously closed his initial partnership and returned the money to investors because of the stock market valuation.
I balance that with the stories of the Coke millionaires that sold shares to buy a car that later would have been worth a house.
I still have a little north of 10000 ATD.b shares I bought at 8.00, but sold half when it was at 20.
I continue to regret that decision to date, from an opportunity cost perspective.
Anyway, for ACQ, the volatility has been so great, I did sell some, yet remain long the stock, and hope I get the chance to buy more on a dip.
I can't understand the short case( or shorting at all for that matter) in the 30s, but am keen to hear educated discussion on the downside, as I want to challenge my thesis.
Good luck to all.