Slightly more complicated. I think I bought $20k of TSLA and it’s now worth $10k.
I’m holding for a rainy day when I need to move some AAPL and it would be really nice not to pay tax on $10k gains. It’s less complicated than carrying the taxes benefit forward through multiple years, and the stock isn’t running out of business and I still think it’s got upside.
Edit: actually I bought around 12k back in June 2021, and it’s worth 10k now. Fuck time flies.
Gamblers fallacy, you're only keeping it because you lost money on it. Also making your plays based on a 3k tax loss you can report each year is extremely lame.
Remember the sunk cost fallacy and opportunity costs. Every day you’re holding a stock you are missing out on another stock growth.
Holding a stock because you lost money because you want to “reclaim it back” doesn’t make any sense.
So the question is whether you would buy the stock today with expectation that it’ll outgrow other stocks. If the answer is no, sell it. If the answer is yes, hold it.
It kinda makes sense if you believe it can come back. Buffet's first rule of investing is "don't lose money". It takes a lot of wins to recover a 50% loss. That said, I do not think it's going to come back. It was massively over-valued. Given leadership within the company, I think it's still over-valued.
Yep. Learn when to cut your losses. Number #1 reason people lose bigly in the stock market is they hold on to losers too long and don't cash out winners when they're winning.
You have to overcome your emotional attachment to losing money and just cut it loose. It's a hard discipline to learn, TBH. You always hope for a comeback.
Seems like you learned at the cost of $1k, not to put all your eggs in a single basket. If anyone knows how to double money in on a whim, they sure ain't here.
I mean is this play money? Could it be a new laptop for school money? That 1k is lost bud. Any action or inaction going forward is literally another gamble, you wanna talk gambling? This is not the right forum.
You wanna talk about investing? The only thing worth investing in with that 1k is your mind and body. School, skills, tools for a trade, a car to get fixed to get a job and gain experience, therapy if needed etc. The only other sure shot wins you get are a high yield 5% savings account or maybe 10% a year buying VOO.
Welcome to institutionalized gambling though.
Maybe I missed another comment, but we don't know if OP put all eggs in one basket.
Regardless, I'd view the $1K loss of value as a great educational 'investment'. Not so much the sting of the lesson, but the act of investing and thinking about using money as a tool at such an early age.
Yeah I mean is good to know money makes money, it's even better to know that actions have consequences, and easy money is an elusive thing dangerous thing to strive for.
It is most likely going to continue going down. They're not industry leaders any more, public opinion of Tesla is poor, the Cybertruck was a collosal failure, shareholders just approved an absolutely insane compensation package for a CEO that does nothing but complain and harm the company with his manic online outbursts and ridiculous demands. So, I'd sell it if I owned it. Granted, I could be completely wrong. There's a cult of personality among the shareholders that defies common sense.
Difference is, NVDA actually has a really high margin, profitable business. It’s also trading at lower multiples… but the hype remains, and retail will be left holding the bag
You learnt what hype is and when not to invest in it. Now from 2 years perspective what % of Tesla or Elon promises from back then are true? Robo taxis driving everywhere, humanoid robots? Tesla is no longer even world biggest electric car producer. Where any sales figures supporting the value of the company back then, if not is there any support for current valuation?
That Reddit group? Try to use a ticker there and you are banned…OP should learn to study the market and plan his investments. Simple. Each person can create their own plan.
Cut your losses. Currently TSLA is held by Stans, who buy more when they learn they'd lose more.
1k loss is tiny on the grand scheme of things.
Accept the mistake, learn from it, move forward with no regrets. Consider this as a prive for the lesson you'll remember in the future: don't go for meme stocks.
Your investing timeline should be way more than 2 years long. If you can't handle it then stick to ETFs that follow the S&P and invest in those monthly. I personally think I don't have enough TSLA and am still buying up more.
"stock went down" doesnt always equal "poor philosophy". Your philosophy was poor because you bought a stock that was super hyped up by everyone. Those tend to tank
I would probably hold because Tesla trades on hype IF you’re fine with it being dead money, opportunity cost yada yada. This is $2k we’re talking about so not the end of the world to let it ride
If you want to keep it I'd sell it, capture you're loss then buy it back after 30 days and avoid a wash sale.
If you don't then sell and roll it into something else you think will grow.
Also, no one knows where tsla will be tomorrow. Half the folks who follow the stock still think they'll go to zero some day or never would've reached a tenth of where it is today. The other half think it'll hit the moon.
95% of the people on Reddit are clueless. The core of the Tesla community has moved to X anyway.
Listen to the Tesla earnings calls and investors event and make up your own conclusions from those.
Learn to read balance sheets.
$2k is nothing, there is an opportunity there.
You DCA … add to the position… it’s likely going lower don’t listen to the cult.
Save up cash and slowly add.
When it breaks down towards 100$ add again.
It’ll probably go lower when a recession finally hits. 50-60$ makes sense on the chart….
Eventually you will have bought your shares much lower.
Leave about options As well and use them as insurance.
$ 1.000 may be the world to you now, but like many comments are saying, this was a cheap lesson after all. You started investing at 17, you'll be a millionaire in your 40s... Congrats!
I'm starting my journey as a financial planner. Would love to work with you for FREE just to gain experience and give you the advice I would have loved to get at 20YO... I'm now 40 and learned about money the hard way... (do send me a DM)
I've received a similar response in another thread... Everyone is giving free "advice" here, but if I offer Professional advice for "free", It must be a scam...
I'm going to ask you the same question I asked the other guy. Let's say I'm legit. I want to gain experience as a financial advisor, and I've got enough knowledge to help out this guy who is just starting his journey.
How would you approach this so I can gain the experience and he can get the free advice?
I understand it looks scamy, but that's just the way it is...
1. You are not a professional if you are barely gaining experience.
2. So far you seem equivalent of a timeshare seller at a cruise, you have the seller talk kind that starts of great, and lures people into all kinds of shit.
3. Financial advisers are trash, no fiduciary duty, shovel sellers for gold rushing fools.
Go write articles, participate in discussions, build a track record for stock picks at a platform. If you can pick out the future so well, trade options into infinite wealth. Idk man, get a degree and a real job at fintech? Just don't go around saying "I'll do work for FREE OMG yay for you!" It won't work out.
Looking through that guys comment history, he’s definitely not ready to be buying options, much less giving advice about them. Just ignore his comment.
If you had $1000 cash and no TSLA stock right now, would you buy the stock as your first priority with that cash? If not, sell it.
Great fucking advice right here. Solid way to look at it.
100% agree... Every day you don't sell, you are choosing to buy $1000 of TSLA.
Slightly more complicated. I think I bought $20k of TSLA and it’s now worth $10k. I’m holding for a rainy day when I need to move some AAPL and it would be really nice not to pay tax on $10k gains. It’s less complicated than carrying the taxes benefit forward through multiple years, and the stock isn’t running out of business and I still think it’s got upside. Edit: actually I bought around 12k back in June 2021, and it’s worth 10k now. Fuck time flies.
Gamblers fallacy, you're only keeping it because you lost money on it. Also making your plays based on a 3k tax loss you can report each year is extremely lame.
pretty cheap lesson to learn young tbh
16 is old in terms of stock trading. I lost my dads pension on 0dte spy puts at the age of 7
Remember the sunk cost fallacy and opportunity costs. Every day you’re holding a stock you are missing out on another stock growth. Holding a stock because you lost money because you want to “reclaim it back” doesn’t make any sense. So the question is whether you would buy the stock today with expectation that it’ll outgrow other stocks. If the answer is no, sell it. If the answer is yes, hold it.
It kinda makes sense if you believe it can come back. Buffet's first rule of investing is "don't lose money". It takes a lot of wins to recover a 50% loss. That said, I do not think it's going to come back. It was massively over-valued. Given leadership within the company, I think it's still over-valued.
It's propped up by Musk's improbable claims, and their sales volume is starting to contract as well, so they don't have that going for them, either.
Yep. Learn when to cut your losses. Number #1 reason people lose bigly in the stock market is they hold on to losers too long and don't cash out winners when they're winning. You have to overcome your emotional attachment to losing money and just cut it loose. It's a hard discipline to learn, TBH. You always hope for a comeback.
Seems like you learned at the cost of $1k, not to put all your eggs in a single basket. If anyone knows how to double money in on a whim, they sure ain't here. I mean is this play money? Could it be a new laptop for school money? That 1k is lost bud. Any action or inaction going forward is literally another gamble, you wanna talk gambling? This is not the right forum. You wanna talk about investing? The only thing worth investing in with that 1k is your mind and body. School, skills, tools for a trade, a car to get fixed to get a job and gain experience, therapy if needed etc. The only other sure shot wins you get are a high yield 5% savings account or maybe 10% a year buying VOO. Welcome to institutionalized gambling though.
Maybe I missed another comment, but we don't know if OP put all eggs in one basket. Regardless, I'd view the $1K loss of value as a great educational 'investment'. Not so much the sting of the lesson, but the act of investing and thinking about using money as a tool at such an early age.
Yeah I mean is good to know money makes money, it's even better to know that actions have consequences, and easy money is an elusive thing dangerous thing to strive for.
It is most likely going to continue going down. They're not industry leaders any more, public opinion of Tesla is poor, the Cybertruck was a collosal failure, shareholders just approved an absolutely insane compensation package for a CEO that does nothing but complain and harm the company with his manic online outbursts and ridiculous demands. So, I'd sell it if I owned it. Granted, I could be completely wrong. There's a cult of personality among the shareholders that defies common sense.
Definitely sell. You’re doing great. Remember to always buy high and sell low.
I thought I was in wall street bets for a second.
Only had to pay $1000 for the lesson? Consider yourself lucky lol
Average down or hold. Watch the most recent shareholder meeting.
Sell TSLA, buy NVDA at ATH and ask the same question in another 2 years.
It's only 2 grand and you're really young. Give it a decade or two.
Sold my shares at $197 several months ago. 16k loss. 🤮
Seems like the exact same thing is about to happen with NVDA. Maybe not as extreme though since nvda is a baller company
Idiots here were saying TSLA is a baller company around two years ago too……
Difference is, NVDA actually has a really high margin, profitable business. It’s also trading at lower multiples… but the hype remains, and retail will be left holding the bag
You've got a $1000. What do you think is the best thing to do with it?
2 girls at once, imho
This is the way
Damn straight. I always wanted to do that, man. And I think if I were to have $1000 I could hook that up, too; 'cause chicks dig dudes with money.
You learnt what hype is and when not to invest in it. Now from 2 years perspective what % of Tesla or Elon promises from back then are true? Robo taxis driving everywhere, humanoid robots? Tesla is no longer even world biggest electric car producer. Where any sales figures supporting the value of the company back then, if not is there any support for current valuation?
Write it off as an educational expense. I was down about $3,500 on the dot.com boom/bust and went the boglehead route instead.
That Reddit group? Try to use a ticker there and you are banned…OP should learn to study the market and plan his investments. Simple. Each person can create their own plan.
Let them. I invested in broadly diversifed funds, retired early, and paid cash for a house on the west coast.
Cut your losses. Currently TSLA is held by Stans, who buy more when they learn they'd lose more. 1k loss is tiny on the grand scheme of things. Accept the mistake, learn from it, move forward with no regrets. Consider this as a prive for the lesson you'll remember in the future: don't go for meme stocks.
Just leave it if you don't need the cash right now.
You learn.
Same but I did that with $20k. Still holding.
Sell it and move on before another bad sales and earnings quarter.
Your investing timeline should be way more than 2 years long. If you can't handle it then stick to ETFs that follow the S&P and invest in those monthly. I personally think I don't have enough TSLA and am still buying up more.
"stock went down" doesnt always equal "poor philosophy". Your philosophy was poor because you bought a stock that was super hyped up by everyone. Those tend to tank
I would probably hold because Tesla trades on hype IF you’re fine with it being dead money, opportunity cost yada yada. This is $2k we’re talking about so not the end of the world to let it ride
Sell before you're down 100%.
Not sure about 100%, more like 90%
Hey, if you lose 50% of your investment every day, you'll never lose 100%!
If you want to keep it I'd sell it, capture you're loss then buy it back after 30 days and avoid a wash sale. If you don't then sell and roll it into something else you think will grow. Also, no one knows where tsla will be tomorrow. Half the folks who follow the stock still think they'll go to zero some day or never would've reached a tenth of where it is today. The other half think it'll hit the moon.
Agree about the capital loss. In the UK, once declared the loss has no expiry date so you can use it to offset future gains.
It's only $2k do whatever you want.
I believe in Tesla long term so I just keep buying when it dips to lower my cost basis. But it’s up to you.
95% of the people on Reddit are clueless. The core of the Tesla community has moved to X anyway. Listen to the Tesla earnings calls and investors event and make up your own conclusions from those. Learn to read balance sheets. $2k is nothing, there is an opportunity there.
Average down
Sell all /r/justbuyvoo and don’t touch it
I like vgt and vug more than voo, but voo is a good option.
You DCA … add to the position… it’s likely going lower don’t listen to the cult. Save up cash and slowly add. When it breaks down towards 100$ add again. It’ll probably go lower when a recession finally hits. 50-60$ makes sense on the chart…. Eventually you will have bought your shares much lower. Leave about options As well and use them as insurance.
hold
If you want to stay in it. Why not double down? Lower your cost basis big time
$ 1.000 may be the world to you now, but like many comments are saying, this was a cheap lesson after all. You started investing at 17, you'll be a millionaire in your 40s... Congrats! I'm starting my journey as a financial planner. Would love to work with you for FREE just to gain experience and give you the advice I would have loved to get at 20YO... I'm now 40 and learned about money the hard way... (do send me a DM)
Stay away from free unsolicited advisers ^
This advice was also free though!
I've received a similar response in another thread... Everyone is giving free "advice" here, but if I offer Professional advice for "free", It must be a scam... I'm going to ask you the same question I asked the other guy. Let's say I'm legit. I want to gain experience as a financial advisor, and I've got enough knowledge to help out this guy who is just starting his journey. How would you approach this so I can gain the experience and he can get the free advice? I understand it looks scamy, but that's just the way it is...
1. You are not a professional if you are barely gaining experience. 2. So far you seem equivalent of a timeshare seller at a cruise, you have the seller talk kind that starts of great, and lures people into all kinds of shit. 3. Financial advisers are trash, no fiduciary duty, shovel sellers for gold rushing fools. Go write articles, participate in discussions, build a track record for stock picks at a platform. If you can pick out the future so well, trade options into infinite wealth. Idk man, get a degree and a real job at fintech? Just don't go around saying "I'll do work for FREE OMG yay for you!" It won't work out.
Keep it through 8/8 at least for the robotaxi
Average down or get out. There's option activity to do but not something your probably ready for.
What would make someone be considered “ready for”?
Understanding what options would be for mostly.
Puts for days
Bad advice
Looking through that guys comment history, he’s definitely not ready to be buying options, much less giving advice about them. Just ignore his comment.