riski wrote: Cost base is 0.56, but was as low as 0.47. I've been averaging up over the past two years. I had 250,000 shares at cost of just over $1.5 going into the pandemic crash. I had been buying on the way down and then was faced with a choice to watch and wait - down 80% at 30 cents or get my cost base down to give me a chance to get back in the green - knowing that a recovery would definitely come from 30 cents, but I wasn't sure how strong it would be. Everyone was throwing the baby away with the bathwater, and I wasn't immune to the temptation, to be honest.
So I bought 900,000 shares in 300,000 aliquots - all at 30 cents over the course of about a week. I didn't gave the courage to do it all at once, but was able to talk myself into it after sleeping on the first and second ones and recognizing that no debt was due until 2024 giving a long runway to recovery. My biggest regret is that I didn't buy more. I thought about it, but it already felt like there was a chance I was just putting my money into a shredder.
There were only two or three posters on here at that time, and they were all trolls declaring bankruptcy which was at least 4 years away. A little premature, lol.
The recovery was much more quick than I thought and it went green in the summer of 2020. I was very tempted to sell and be thankful to get my money back, but the rally looked strong. I was wrong as it went back to red for a prolonged time. It went green again in the fall, but by then there was a powerful recovery taking place in the economy and oil and instead of wanting to sell, I started to add again, averaging up.
Now I sit on a very large position with the macro never looking more promsing. How do I sell now when all the ingredients are in place for a powerful multi-year rally on a company that no longer has a huge debt and has enormous growth prospects when I didn't sell at much riskier in the money times - times when there was lots of debt, the economic recovery was still sketchy, and the SPR was full?
I have some stops in place at less than half of the current price to lock in great proftis if it comes to that, but I doubt we go to those levels ever. This company has transformed itself and now sits in the pole position of one of the greatest oil bull rallies in history.
I am more than optimistic.
HighOctane89 wrote: 1.2M shares ? What is your cost base riski ?