As you know…I have an epic case of Shoulda Coulda’s that I have been sharing on this blog.
It seems like the rest of the world has FOMO (fear of missing out). I am telling my friends that ask, to calm down and not compound the mistake of panicking in March by panicking again in June – this panic being FOMO.
The last few days I have sold more of my favorite stocks.
The other day at $290 I sold all but a few shares of my $LULU position. I kept a few shares just to keep an eye on it. I have held the stock for years.
In March’s panic, the stock had dropped as low as $130. When I told people I was buying more, I was thinking I would have to buy more stock at $100 and maybe even $80. If you had told me stocks would stop dropping within a week and that $LULU would rocket straight back through all-time highs to $300, I would have laughed.
When I was buying stocks in March I expected to hold them for years to get to the prices we are seeing today.
It turns out that it happened in months. My investments became trades. I am ok with investments becoming trades. It is the trades that become investments that scar your portfolio.
If $LULU is headed for $600/share and $100 billion, so be it. The bullish explanation is that COVID has actually accelerated the fashology trend as everyone works from home and $LULU’s casual clothes are now acceptable everywhere.
I agree with the ‘thesis’.
I am sticking with ‘if you had told me‘ and would argue that in an era of Shopify, Facebook, Instagram and a ‘known known’ (LULU is acceptable as 24/7/365 clothing), there will be many more up and coming fashology companies to choose from.
If I am wrong, I may just pay a higher price for $LULU in the future.
Have a great day.