Buy Low, Sell High? Not Necessarily.

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I’m sure most people are familiar with the phrase “buy low, sell high” when it comes to stocks.

This term is associated with buying so-called “value stocks”, which Investopedia defines as “securit(ies) trading at a lower price than what the company’s performance may otherwise indicate”.

However, the digital age has made a mockery of this tried-and-true saying.  It is now “buy high and sell higher”.

America Online, way back in the day, set the table for this new approach.  I remember watching AOL in the mid 90s trade at valuations that made it very difficult to buy using traditional metrics.  I’d be convinced that I’d missed the move, only to watch the stock double, and then double again.

Then along came Amazon (NASDAQ: AMZN) that completely broke the mode of traditional valuations, and became a short seller’s nightmare!  I know, because we traded Amazon when it went public, and proceeded to lose money on a daily basis as the stock went from $15 to $400 in a few months.  It eventually sold off when we had the dot com bubble, but it took no prisoners prior to that.

When a company has an opportunity in the trillions of dollars, you have to throw traditional valuations out the window.  Look at a stock like Berkshire Hathaway (NYSE: BRK.A).  Stewart Horejsi, an average retail investor who owned a welding company, started buying the stock in 1980 when it was between $300 and $500 a share.  Today the stock trades for over $300,000 a share – and Mr. Horejsi is #1339 on Forbes magazine’s billionaires list.

Don’t be afraid to buy high and sell higher!


My book, The Stock Market is For Everyone, is a short guide for the beginning, inexperienced investor that is easy to understand and can be put into action immediately.

Click the image of each book to be taken to its Amazon page.  (Disclosure: As a participant in the Amazon Services LLC Associates Program, I earn a small commission on each sale generated through these links.)

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Books That Have Influenced Me

Hello, everyone!

In September of 2017, I decided to write an ebook called The Stock Market is For Everyone.  Since then, I’ve also had the book published in paperback form, and have sold 64 copies thus far across both media.

Books have had a tremendous impact on the way I think and the way I see the world.  Today, I want to share five books that have had an impact on my life in some shape or form.

You can click the image of each book to be taken to its Amazon page.  (Disclosure: As a participant in the Amazon Services LLC Associates Program, I earn a small commission on each sale generated through these links.)

 

 

Seat of the Soul by Gary Zukav

Seat of the Soul opened my eyes to looking at the intention behind what I am doing, or thinking of doing.  It has enabled me to try to live more authentically.

 

 

 

 

Think and Grow Rich by Napoleon Hill

Napoleon Hill is one of the pioneers of the self-help movement.  If you haven’t read Think and Grow Rich, please do.  It will be one of the most inspirational books you will ever read.

The thesis of the book is that what the mind can conceive, the mind will achieve.

 

How to Fail at Almost Everything and Still Think Big by Scott Adams

For those of you who don’t know, Scott Adams is the creator of the comic strip “Dilbert”.  In this book, he chronicles his adult life, from when he graduated college to his success as an illustrator.  The takeaway I got here is that you don’t have to be “great at” anything to have great success in your life.  In Adams’ own words, he is “not great at one thing but good at many”.

 

Secrets of the Millionaire Mind by T. Harv Eker

What I like most about this book is that it challenges the conventional wisdom pertaining to financial freedom and success.  We live in a culture where we are programmed to go to school, get a job, and work for somebody else.  Secrets of the Millionaire Mind challenges that thinking.  I truly think that everybody should read this book, whether interested in entrepreneurship or not.

 

Be Obsessed or Be Average by Grant Cardone

This book is extremely motivating because it forces you to look at yourself and question whether you are working hard enough to achieve your goals.

I have read this book several times, and will continue to do so.  Each time I read it, I am reenergized and refocused.

 

In 2019, I’ve challenged myself to read at least one book a month.  I look forward to sharing these with you as well.

Here is a link to my own book, The Stock Market is For Everyone.  It’s a short guide for the beginning, inexperienced investor that is easy to understand and can be put into action immediately.

I’d love to know what books the rest of you have found helpful, inspiring and just plain interesting – comment and tell me!