The day after I wrote my three week stock experiment I sold a few stocks because they were up. This is what I wrote about my first $100 invested.
The first $100 I largely put into airline stocks hoping to see those bounce back, though I realize that’s a longer play. My one share of Alaska Airlines (ALK) I bought at $39.51 and now has a current loss of $1.25. I think I’ll be okay, thanks for the concerns. I bought 3 shares of American Airlines at $12.73 which if I sold now would mean a loss of $3.42 in total. Again, I figure with just the assets these corporations have (and the monopoly Alaska has on some routes) ensures a return to higher numbers — some day. I got 10 shares of Astrotech (ASTC) for $2.21 each that has dropped a bit and would mean a $4.70 loss if I sold today. So the first $100 (okay, $99.80) I put in has a total loss of $9.37.
The next day Pfizer announced favorable COVID-19 vaccine trial results and the airline industry took a bounce. I sold my one Alaska Air share for $45.73, a $6.22 profit. That was a $7.47 swing jump in value in a day, which as a dollar amount isn’t much, but as a percentage is pretty huge. I sold my shares of American Airlines (3 were part of the first $100 and 1 the second) for a profit of $3.03 with the shares up to $13.32 each. I have held on to the 10 shares of Astrotech which still has me at a loss of $4.70. So now that initial $100 has me up $4.55. So is that a 4.55% gain in three weeks (and a day) of investing? As of today, Alaska Air’s stock is at $47.72 (up 2 more dollars since I sold) and American’s at $12.53 (down about 70 cents a share from when I sold) so my timing was okay.
My second $100 has done well too, though I have not sold all…
The second $100, I put in about a week later and I put almost entirely into green energy stocks. I picked up 2 shares of Ballard Power (BLDP) at $14.85 for a total increase of $1.48 as of today. And 2 shares of Plug Power (PLUG) at $14.73 which would earn me $8.26 if sold today. I also got 4 shares of TransAlta (TAC) at $6.08 that I would get $1.16 more if I sold today. So my $83.48 green energy bet has been a net positive of $10.90 in just 2 weeks. That comes to around 13% growth. (I did have just enough to buy one more share of American Airlines which was down to $11.07.)
So again, the day after writing this I sold some of that 100 investment from two weeks prior. That American Air stock was a gain of $2.25. I sold the 2 shares of PLUG for $20.61 each or a profit of $11.76. I sold the 4 shares of TransAlta for $6.50 each, a total $1.68 gain. So the second $100 has earned me $15.69 in just over 2 weeks, and yet I still have the 2 shares of Ballard Power that today is worth $19.29 a share (thus up another $8.88) for a whopping 24.57% total gain in just over 2 weeks on that $100 (at the moment).
Let’s call that experiment a success, though I am still sitting on the 10 shares of Astrotech that I paid a total of $22.10 for. It’s still down, currently at a $17.40 total valuation.
With the profit from the shares I sold, I bought 1 share of Etsy at $118.83. Today it is at $140.06.
Exactly one month from my first purchases of stock using WeBull, here’s the cumulative profit and loss.
It is slightly deceptive, because when I joined I was later given 2 free stocks. One I have sold, the other I still have active.
Yes, I am playing with relatively small dollar amounts. There are a few reasons for that.
First, I have no idea what I’m really doing. I devour news and think about current events but I don’t usually put much thought into how those may translate to changes in the markets. I don’t know if I have the skills to actively manage my portfolio and do better than index funds, so I want to experiment.
Second, our tax situation means we’ll probably have to pay more than 30% of any profits in taxes to the foreign country we’re living in. I don’t think that we’d also need to pay in the US, but I’d rather not have to pay much in taxes, regardless of the actual earnings.