One of My Biggest Mistakes in Investing

As with any investor, we all made some mistakes along the way. Some may be big, some may be small. However, today, I would like to discuss one of my not-so-glamorous moments in investing.

Take a look at this chart, some of you may be familiar with it:

I entered this particular share when it was $39 back in early 2023. I made almost triple my money at the end of 2024. Sounds like a good return, doesn’t it? Well, I thought so at that time…

HOW WRONG I WAS…

The shares actually went up by another 53% (based on the price I sold at). My oh my… How much have I missed out on…

Lesson Learnt: Don’t sell too early. Re-evaluate at every point when you are about to sell on:

  1. Is the new share price no longer justifiable given the current fundamentals of the company?
  2. Have I found a new company that has better fundamentals and is undervalued enough to give me more upside than what I currently have in my portfolio?

Sell only if you have answered Yes to both questions.

P.s. In case you are wondering what share this is, it is Cloudflare Inc. (NYSE:NET).

Disclaimer: Please DYODD.

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