2021 Dow

[Augie91]

An interesting article on a fella who owns $12 million bucks of Tesla stock.  His average share price is $58.  He bought 2,500 shares at $7.50 that's now worth over $2 million.  If you guys come up with a killer stock to buy in 2021, post it in this thread!!!

https://www.marketwatch.com/amp/story/he...1610392063

[You're_Mom]

Is the market in a bubble right now? If it is, what's the best place to park a chunk of cash while riding it out?

[Augie91]

I don't know if we are in a bubble or not. I've read that with the future govt stimulus and other spending that the market could continue rising. Im seeking value personally right now. I went about 20% cash right before election. I put those monies in one of the core cash offerings that Fidelity had SPAXX/FDRXX. Over the past few months I've been doing research to identify stocks that appear like they are bargains, so I can move some of that 20% back in. I'll just buy 100 shares at a time. So I'm moving very slowly.

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Several months back I bought PRU and ORI. They don't appear to be bargains anymore. I've been nibbling on UNM a bit.

[Augie91]

I've bought, and continue to buy T stock when it is at a fair price. It pays a high dividend, the key is just getting the buy price right.

[Augie91]

If a market correction were to occur, what stocks would you all consider buying?? Here's a few that i would consider..

O - I have owned some of this stock/REIT for several years and LOVE that it pays a monthly dividend!
LAND - Another monthly dividend payer I don't own, cause the price is not right, but I am researching.
PRU - I just started acquiring this over the past few months when it was way too low relative to its 5 year avg.
GOOG - Last time I bought Google it was around $800. Wish I would have bought a lot more!
AMZN - would love to own some, never have.

[Augie91]

https://seekingalpha.com/article/4356603...rves-fltmx

Here is an article about a Fidelity fund that I store some cash in, versus just holding cash. I found it very helpful to read the comments after the article too. They often provide other perspectives, some of which can be useful

[Augie91]

"Even if history were to repeat itself and the stock market does crash relatively soon, history shows that holding onto your investments and adding to your long-term winners is a strategy with proven success.
Historically, when the Shiller P/E ratio for the S&P 500 gets above 30, bad things happen."

https://www.fool.com/amp/investing/2021/...l-is-back/

"The Shiller price-to-earnings (P/E) ratio is a P/E ratio based on the average inflation-adjusted earnings from the previous 10 years. Over 150 years of history, the Shiller P/E ratio for the S&P 500 has a mean (average) of 16.8 and a median of 15.8. Right now, the Shiller S&P ratio for the S&P 500 is 34.5 -- more than double its historic average."

[Augie91]

Dow shows no signs of retreating. My insurance stocks were a good investment. I wish I would have loaded up on Unum more. Ah, well, patience!!

[Augie91]

One talking heads opinion.....

https://markets.businessinsider.com/amp/...1029995954

"The GMO co-founder told Erik Schatzker that he has "no doubt" some of the stimulus aid will end up in the market. He said the "sad truth" about the last stimulus bill passed in 2020 was that it didn't increase capital spending and didn't increase real production, but it certainly flowed into stocks. "

"When you have reached this level of obvious super-enthusiasm, the bubble has always, without exception, broken in the next few months, not a few years," Grantham told Bloomberg.

Personally, I continue to seek value and try to remain conservative with some dry powder on hand.

[dave]

I think I'll go to cash/gold at some point this year.... this bubble can't last forever, especially with Drooler-In-Chief's 1.7 trillion ( or whatever it is) stimulus hitting in a few months.