Quitting at a loss to free up capital and the mind

Today, I’m writing about one of my (former) best stock ideas which didn’t play out as initially thought. Besides describing the case and the reason that led me to throw in the towel, I also want to use it to show why it’s important to regularly go over one’s portfolio and to cut the weeds.

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Time to look at gas + new research report

Energy in general is a hotly debated and controversial topic. But when it comes to natural gas, it can become extreme, especially if you mix in liquefied natural gas – or in short: LNG. For long, I have been sitting on the sidelines regarding this market. But I feel now is the time to not only write a Weekly, but also a research report for my members about it – as a hedge from a European perspective. As a bonus, I estimate a 10% dividend yield to be announced next week from my latest pick.

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My outlook for 2024 – risks and opportunities

The old year closed with a look back (and an interview), the new year starts with an outlook. While it is not my job to try to predict the future per se, I have to make some thoughts and position myself accordingly, which influences my stock ideas – new ones, but also how to handle the published and active ones. This is what I want to discuss – risks, but of course also chances for stock pickers!

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A second look at tobacco stocks after BAT’s gigantic write-down

One the most heavily watched and discussed stocks last week was British American Tobacco after it released a trading update. While the headline read relatively okay-ish, on the following pages they admitted to take a hefty 25 bn. GBP impairment on their US operations with the next earnings. While many see this as a non-event due to not affecting cash flows, I’m looking at it differently. I rather feel confirmed with what I wrote earlier in the year about Altria.

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“Fallen Angels” – why you should be cautious + new research report

No matter whether experienced or not, almost every investor is on the hunt for undervalued stocks to make money. What could be less welcome than a stock which has fallen in price and become cheaper? The problem is, “cheap” is not automatically “cheap”. In fact, buying cheap can become a costly mistake. I see a strict urgency to clean up with this dangerous myth that a stock only has to fall enough to become attractive.

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Not all that glitters is gold – a critical look at Barrick Gold

Everyone who engages with gold mining companies, very early stumbles upon Barrick Gold. It’s a household name and a darling of many. Even though the company describes itself as “world class”, the performance of the underlying business has been terrible – no understatement. There are so many myths about gold, silver and miners that I want to clean up with another such. It is not always the go-to strategy to just pick a household name, assuming size is all that matters.

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What you should know about ETFs and dividends

Especially stock market beginners get in touch early with ETFs and / or dividend investing, in part thanks to the respective communities and influencing faces. You can see both strategies separately or also in combination. However, a common thing I see e.g. on Twitter / X and YouTube is that these people promote them as being bullet-proof, save strategies. As a risk-focussed investor myself, I am clearly missing this crucial element.

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Zooming in on Zoom after –90% from its all-time high – what’s next?

Barely anyone will know somebody who does not know the video conferencing tool zoom. Especially during the last three years, it has become an everyday companion for many people who shifted to working from anywhere. The shares of Zoom were first hyped up to the stratosphere, but are back down to earth again. Is the stock now worth a second look as the sentiment is rather negative? Let’s find out.

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Why I stayed away from REITs until now + new research report

Real estate investment trusts have been a favored asset class of many due to enabling property ownership without enslaving oneself with mountains of debt and without betting just on one horse. Other factors like liquidity, the ability to sale fractions of your ownership and often great shareholder returns have been other arguments. I was avoiding them on purpose – but there’s a sub-sector that could be interesting just right now.

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