I make a point daily to read through the posts on this board primarily to stay abreast of any pertinent news related to CLWD. As I read through them I can’t help but conjur up memories associated with my own investing experiences. Over the decades I’ve stayed true to my personal directives related to investing which is heavily weighted towards the search for value. I like the challenge of tracking down those plays that reflect stability but also are still relatively undiscovered. During my thirty plus years I’ve been fortunate enough to have had more winners than losers and as the dust has settled the portfolio resembles more the SP500 as opposed to the Russell 2000. I’ve always had a long term mindset even more so as I’ve gotten older. But, I do have some fond memories of the 90’s with my newly established E*trade account & DSL connection and being caught up in that addictive day trading frenzy. Although I must admit a lot of times I ended up calling my broker and having the trade administered due to the allocated bandwidth being so low back in those days. My obsession with investing has diminished immensely over time and it’s viewed more now as a side hobby which allows me at this period of my life to redirect portions of the day on activities I truly consider being important.
I can certainly relate to the frustrations expressed on this board stemming from the psychological battles one will wage within themself. The torturous mental push/pull effect so aptly represented by the analogy reflected in the song made famous by the CLASH “Should I Stay Or Should I Go.” Back in the day it seemed I would always have that song running through my head just before pulling the trigger on an investment.
I know that person quite well who I get a glimpse of every morning in the mirror whose face certainly reflects the wear of those emotional bouts regardless of whether the decisive act resulted in regret or exultation. The bottom line being…it was all emotionally absorbed. Why didn’t I hang on to the Amazon position I bought back in November of 1998 when it was in the twenty dollar range? Oh, that’s right the brick and mortar debate was still raging. Conversely, what an extended rush taking short positions on MicroStrategy back in the early 2000's.
When you fast forward twenty plus years and the added bombardment on the mental psyche due to technological advancements over time has created so much more exposure for the mind to try and put into context. But, the wealth of information that goes along with this and the effort in doing your own due diligence is where refuge can be found.
Constantly remind yourself to base your judgments on important questions you need to ask about a company you’re investing in and make the effort to find the answers. Is it undervalued based on current fundamentals? Are their products and services being developed in a way to keep them a step ahead of the competition? Is management making an effort to finance growth without it having a negative effect on its shareholders? How large are the clients they’re signing? Study the 10Q’s each quarter: How does the percentage of top line revenue growth compare to the previous quarter? Is management working efficiently in minimizing expense but creating value in order to maximize bottom line growth? It’s all available and the advantage of this particular message board represents the fact it’s readily available. The longs on this board leave no stone unturned. One in particular’s “seal” of approval is reflected on all the vital factual information posted. What an advantage when so much of the DD has already been made available to you.
Don’t be swayed by the random contrarian who appears on the board stating nonsense with no factual documentation to back it up or the perplexing activity seen on level II at times. They have very little direct significance to share price value over the long term. In fact it has been my experience those elements usually represent the tightening of the band and results in more potential upside movement as the company hits their marks.
In closing…just don’t end up being that individual ten years from now who looks in the mirror and sees the person whose portfolio reflects a mid to upper six figure number for his Amazon holding instead of an eight figure number as a result of not staying the course with the original position and ends up buying eleven years later when the share price was a hundred dollars more.
As someone most famously stated on this board…”know what you own.”
