We are in a challenging time. Inflation went over the roof; the stock market is running downhill. Almost everyone I know is in the red at the moment. I am in the red. Yes, I am afraid; yes, I have panic spikes. It is my investment, my money at stake, after all. However, I keep reminding myself that I should not mix my emotions in my investing activity.
When the market is down, it is a great time to buy more stocks as you get them at a discount—buying more when the prices down ensure that you will have stocks worth more when the market rebounds. So, don't be afraid to buy more stocks when the market is down - it is an excellent opportunity to get them at a discount! Dollar-cost averaging on a bear market is the best way to ensure you get good value for your money. Once the market restores, they are the ones who get said because they lost another opportunity.
I keep the list of companies I observe; I determine their valuations and earnings. Some companies A few examples are as follows;
It might be the right time to be greedy, with caution. Despite the market volatility and panic, there are some great discounts on trusted stocks.
Bear markets provide investors with opportunities to purchase stocks at a discount, but many people miss out because they are afraid or do not understand what is happening.
If you believe in your companies, now is the time to buy more of their stock.
I do not shy away and keep my faith in the companies I follow, analyse and trust for the upcoming months and years.
Microsoft is on sale.
Let me share an example, Microsoft (MSFT).
I believe Microsoft is one of the most undervalued companies in my portfolio. I know that Microsoft has solid technicals and financials, and I think it will rebound strongly once the market stabilises.
I do not believe Microsoft will be disturbed any time soon. Their revenue is steadily growing. Free cash flow is increasing. Their cloud platform and office products seem to produce solid results. The new operating system is now there. Recently, the dividend increase made the company a great option one more time.
Even though markets are going down and there is panic all over the markets, it is time to be greedy.
Currently, I believe MSFT is at a discount. That's why I keep buying more of their stocks.
Is APPL losing trend?
I have been reading a lot about AAPL. Some say they lost the magic. Some say sales are not as hoped. They all might be valid to the point. But, there is something important they all skip.
When analysing Apple, it would be a mistake to think Apple is a hardware company. I would say Apple is an ecosystem. When you buy one of their products, say MacBook or an iPhone, then Apple slowly but surely invites you into their ecosystem. For instance, iCloud is a subscription. They have music, TV and a lot more.
I would not judge Apple only by its hardware; I trust Apple. Please do not take my word for any of these ideas. Do your research.
Want to invest in properties? Go VICI
VICI Properties Inc. is a REIT with a %4.9 dividend yield. In my opinion, VICI is an outstanding company. I still buy VICI regularly. However, I do not consider it undervalued yet. As of this writing, VICI was about $31.35. I would buy a lot more if they went down around $26-$28.
Other than my trusted companies, I am very interested in small-cap stocks. I would not suggest you dive into any of these companies. They require a lot more analysis. Yes, they might yield a lot more in a shorter period; however, you might lose a lot more.
While markets are in unrest, I tend to pause my activities and act a bit bearish with them.
I know it would sound a bit cliche but remember the famous saying by Warren Buffett, "Be Fearful When Others Are Greedy and Greedy When Others Are Fearful".
Happy investing!