What do you do with that dog stock?

Here is a little story of 6 Dog Stock i bought in '97. At 5c each i bought $5000 worth in each company the 6th stock was $1.40 (i think, cant remmember). Then i just lost track of them and forgot for a few years.

In 2001 it was time to buy a house so looked them up after a huge runaround after 4 change of addresses and some of the companies changed names a few times. (word of note make sure you inform the registry of change of address).

The 6th stock was now $5.11 here was a deposit on the house. Now i'm lookin to pay the house of outright. Low and behold a mining company is getting bought out in a nasty bidding war, (the phone calls are very annoying to sell). So here is the house payed of soon and renovations done.

My moral is, if you can handle the long term without that money, leave it where it is. I see stock as a huge horse race, but you dont have to be first to win. Expect to win but realise a loss as potential.

Needless to say the other 4 stock in this portfolio r still dogs (.025c average) but i have hope, and now i watch them carefully. And will sell when need be.

tieyouup said:

The 6th stock was now $5.11 here was a deposit on the house.

I see stock as a huge horse race, but you dont have to be first to win. Expect to win but realise a loss as potential.

Needless to say the other 4 stock in this portfolio r still dogs (.025c average) but i have hope, and now i watch them carefully. And will sell when need be.

Click to expand...

Man One Lucky Story.

Though if I were you then, not sure if I'd do the same, even knowing your story....

I'd still say CUT your losses EARLY (asap) and not put yourself in the situtation of loosing 95% of your capital, and rather loose 5% and be sure the other 95% is working for me elsewhere.

Also if I read correctly each stock cost you 5k and 5 are still dogs....which works out to $25,000 back in 97...which make me wonder what that money could have done in the last 10 years...????

These could have all easily been delisted, or worth less than 5c... on the downside...

What portion of your potfolio were these...????

How have you done since 97, and have you had to add any more race horses to your stable...???? LOL

SevenFX

Im a long term investor rather than trader, if one of my stocks take a hit and gets a dog tag, i usually give then to the end of june to turn around or i sell then and take the Capitol loss, if i still like the stock sometimes re enter in early July at a lower or similar price to what i got rid of it for, did this with CST in July this year, although it still more or less unchanged, but still over a $1 lower than my original stake.

this year only dog im holding was as of today and thats FUN, so it has until June 30 next year.

Man One Lucky Story.

Though if I were you then, not sure if I'd do the same, even knowing your story....

I'd still say CUT your losses EARLY (asap) and not put yourself in the situtation of loosing 95% of your capital, and rather loose 5% and be sure the other 95% is working for me elsewhere.

Also if I read correctly each stock cost you 5k and 5 are still dogs....which works out to $25,000 back in 97...which make me wonder what that money could have done in the last 10 years...????

These could have all easily been delisted, or worth less than 5c... on the downside...

What portion of your potfolio were these...????

How have you done since 97, and have you had to add any more race horses to your stable...???? LOL



Ok while money makes the world go 'round, to some, it doesnt mean much to me. (purely a means to MY end and my kids future). And NO you cant have it.lol.

In my perception im way ahead of the game. Money out-layed 30K (inheritance) at start '97. 6th (fosters) stock sold 20k ish. house deposit in '01 ...current holding with dogs 50k ish (inc. consolidated minls which did a buy back long ago so 70c a share, current price $4.90 ) well lets see what happens there. So to me im way front.

All up thats a 110%ish profit in 10 years

Admendment to last post stock 4 bought at 30c VLA (biotech) not 5c.... current .10c with stage 2-3 commpleted of trials looking for good results soon. I may buy more at this price 2 weeks ago they were .05c.

Since '97 i decided (this year) to be more tax effective and join a managed fund and a macquarie fund, with a structured tax solution fund. Bought into a few months ago right at the big drop. Which inculdes warrents an stuff i have no idea about. But the returns so far are impressive, and the tax return.

Good on you Tieyouup.

Sounds like your winning & ITM generally. hope it works for you.

SevenFX

Hi folks, it looks like different strategies work for different people here and depends on how much you have to invest and how long you can afford to stay invested on those "dog stocks."

Usually for me, a stock becomes a dog when it appears more likely than less that management is able to turn the company around (ie. continued profit downgrades, no internal stock purchases, controversial accounting, no contract wins).

Then I look to see if I can put what less money I have elsewhere for better returns and then remove the stock from my watchlist and just move on completely. (closure of that sort helps me to better focus on other opportunities instead of lamenting on loss opportunities)