{"id":5187,"date":"2022-12-15T10:31:19","date_gmt":"2022-12-15T15:31:19","guid":{"rendered":"https:\/\/www.dupreefinancial.com\/?p=5187"},"modified":"2024-01-02T19:52:49","modified_gmt":"2024-01-03T00:52:49","slug":"when-to-sell-a-stock-for-profit-is-this-your-kodak-moment","status":"publish","type":"post","link":"https:\/\/www.dupreefinancial.com\/when-to-sell-a-stock-for-profit-is-this-your-kodak-moment\/","title":{"rendered":"When to Sell a Stock for Profit: Is This Your Kodak Moment?"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">When is the right time to sell a stock for a profit?<\/span><\/p>\n<p><span style=\"font-weight: 400;\">All your hard work is paying off.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">You have done your research and you made a wise investment.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Your stock is up, and you are sitting on a tidy profit.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">But what should you do now?<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Should you continue to hold this stock?<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Or\u2026<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Should you sell it and take some profit off the table?<\/span><\/p>\n<p><span style=\"font-weight: 400;\">If you are still reading this\u2026 Congratulations!<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Overall, it has been a tough year to find much to cheer about in the stock market, but you have struck gold.<\/span><\/p>\n<p><b>Or more likely\u2026 struck oil!<\/b><\/p>\n<p><span style=\"font-weight: 400;\">If you happened to buy a company that we own, <a href=\"https:\/\/finance.yahoo.com\/quote\/EOG\/?p=EOG\">EOG Resources, INC (EOG)<\/a>, you could be sitting on a tidy profit. On the first trading day of 2021 the company was trading for $50.93 per share. The equity has recently traded for over $125 per share providing you a paper gain in excess of 145% in a relatively short timeframe.<\/span><\/p>\n<p><strong>That is an impressive gain, but should you let it ride?<\/strong><\/p>\n<p><span style=\"font-weight: 400;\">The answer is more complicated that you might think.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">There is a science to knowing when to sell your stock for a profit. This article will highlight a few reasons why this might be a good time to think about reducing your position in your winners.<\/span><\/p>\n<h2><b>If the Fundamentals Have Changed You Might Want to Sell<\/b><\/h2>\n<p><img decoding=\"async\" class=\"aligncenter size-full wp-image-5189\" src=\"https:\/\/www.dupreefinancial.com\/wp-content\/uploads\/2022\/12\/fundamentals.jpg\" alt=\"fundamentals when to sell a stock for profit\" width=\"511\" height=\"338\" srcset=\"https:\/\/www.dupreefinancial.com\/wp-content\/uploads\/2022\/12\/fundamentals.jpg 511w, https:\/\/www.dupreefinancial.com\/wp-content\/uploads\/2022\/12\/fundamentals-480x317.jpg 480w\" sizes=\"(min-width: 0px) and (max-width: 480px) 480px, (min-width: 481px) 511px, 100vw\" \/><\/p>\n<p><span style=\"font-weight: 400;\">To win long term with your investments, it is imperative to continuously stay up to date on the companies that you own. The business landscape is constantly changing. And as they change, so might the long-term growth prospects of your holdings.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">No matter how big or small, if the company doesn\u2019t change with the times its prospects can worsen. And it just might be time to sell.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">History has shown that management can, due to its own hubris, ignore huge trends that will make a lasting impact on its own operations. And, thanks to one former highflier, we even have a word for something that was once popular but is now irrelevant.<\/span><\/p>\n<h3><b>That is so Kodak!<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Kodak was once a darling member of the nifty fifty. The company started manufacturing cameras in <\/span><a href=\"https:\/\/en.wikipedia.org\/wiki\/Kodak\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\">1888<\/span><\/a><span style=\"font-weight: 400;\"> and implemented a razor model. They sold their first cameras for $25.00 which came preloaded with a roll of film. The company made the dream of photography available for the common man. They made the slogan, \u201cyou press the button, we do the rest\u201d, a reality for Americans. For the low cost of $10.00 you could mail your camera to the company. They would then process the photos and send your camera back to you fully loaded.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">It was a game changer. They were a technological marvel of the day!<\/span><\/p>\n<p><span style=\"font-weight: 400;\">But the technology changed, and the company\u2019s inability to quickly adapt to new technology made them\u2026 well\u2026 kodak.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">You could see it happening right before your eyes.<\/span><\/p>\n<p><img decoding=\"async\" class=\"aligncenter size-full wp-image-5190\" src=\"https:\/\/www.dupreefinancial.com\/wp-content\/uploads\/2022\/12\/kodak-stock-price.png\" alt=\"Kodak shows when it was a good time to sell for profit\" width=\"653\" height=\"300\" srcset=\"https:\/\/www.dupreefinancial.com\/wp-content\/uploads\/2022\/12\/kodak-stock-price.png 653w, https:\/\/www.dupreefinancial.com\/wp-content\/uploads\/2022\/12\/kodak-stock-price-480x221.png 480w\" sizes=\"(min-width: 0px) and (max-width: 480px) 480px, (min-width: 481px) 653px, 100vw\" \/><\/p>\n<p><span style=\"font-weight: 400;\">In the 1990s, the digital camera revolutionized the way people stored, printed, and shared images. This eventually destroyed the business model that Kodak employed. The new paradigm was more efficient, and consumers slowly changed.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Interestingly, it was actually an engineer at Kodak that invented the first digital camera back in 1975. His name is <\/span><a href=\"https:\/\/en.wikipedia.org\/wiki\/Steven_Sasson\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\">Steven Sasson<\/span><\/a><span style=\"font-weight: 400;\">, and he still works for the Eastman Kodak Company in an intellectual property role.<\/span><\/p>\n<h3><strong>Kodak Shelved the Digital Camera<\/strong><\/h3>\n<p><span style=\"font-weight: 400;\">Upon showing management the new digital camera, management shelved the project. And, according to Sasson, was told that his invention was cute but to not tell anyone about it.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Instead of fighting for control of this new <a href=\"https:\/\/www.dupreefinancial.com\/an-improvement-in-production-technology-will-continue-to-decrease-inflation\/\" target=\"_blank\" rel=\"noopener\">technology<\/a>, the company shelved it and tried to keep it under wraps to protect its lucrative printing business. This strategy ultimately failed as Sony came out with its own digital camera six years later. It took a while, but ultimately the writing was on the wall.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The lessons of Kodak are illuminating. Staying intimately aware of your company\u2019s fundamentals and competitive landscape can signal when it might be the right time to sell your stocks for a profit.<\/span><\/p>\n<h3><b>Dividend Cuts at Kodak<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Publicly traded companies are typically very slow to cut dividends. Solid companies with tremendous growth prospects can slash its dividend for good reasons. But, any announcement of a reduction of its income payouts to shareholders should be closely examined.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Way back in 1988, Kodak paid 50 cents per quarter in dividends. By 1994, that had fallen by 20% and the company was paying only 40 cents per quarter. Even if you didn\u2019t know that the company had shelved the digital camera, this should have been a trigger to at least reevaluate the long-term prospects of your investment.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">And the same thing goes for companies today.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">If the company you own just announced a 20% cut to its yield, it might make sense to seek a <\/span><a href=\"http:\/\/dupreefinancial.com\/contact\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\">financial advisor<\/span><\/a><span style=\"font-weight: 400;\">. Get a second set of eyes on your position to see if it still meets your overall investment goals.<\/span><\/p>\n<h3><b>Earnings Announcements at Kodak<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">Way back in October of 1994, the company also announced a 31% decline in its net income when compared to the year ago period. And announced further cutbacks and a potential restructuring of the company.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Surprisingly, the stock actually closed up $.25 on the day.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">And if you read into the earnings report another even more alarming trend could be noticed. The gross margin was decreasing. When gross margins are decreasing this can mean that the competitive landscape has changed for the services that the company offers. That was exactly the case with Kodak.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">When your company is seeing decreasing margins, lower earnings, and cutting dividends it might be time to sell whether or not your investment is currently showing a profit. And it is definitely time to at least evaluate the company more closely.<\/span><\/p>\n<h2><b>The Winning Stock Has Become Extremely Overvalued<\/b><\/h2>\n<p><img decoding=\"async\" class=\"aligncenter size-full wp-image-5191\" src=\"https:\/\/www.dupreefinancial.com\/wp-content\/uploads\/2022\/12\/overvalued.jpg\" alt=\"When a company is overvalued, it is a good time sell your stock \" width=\"549\" height=\"315\" srcset=\"https:\/\/www.dupreefinancial.com\/wp-content\/uploads\/2022\/12\/overvalued.jpg 549w, https:\/\/www.dupreefinancial.com\/wp-content\/uploads\/2022\/12\/overvalued-480x275.jpg 480w\" sizes=\"(min-width: 0px) and (max-width: 480px) 480px, (min-width: 481px) 549px, 100vw\" \/><\/p>\n<h3><strong>Value, value, value!<\/strong><\/h3>\n<p><span style=\"font-weight: 400;\">That is the heart of everything we do at <a href=\"http:\/\/dupreefinancial.com\" target=\"_blank\" rel=\"noopener\">Dupree Financial Group, LLC<\/a>. We help our clients increase their wealth by investing in companies that are poised to deliver sustainable returns. And for these returns to be realizable, we must invest in companies that we find to be undervalued.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">One terrific reason to sell a stock for a profit is because, even though the company might be great, the stock has gotten ahead of itself.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">If the stock has risen so much that its price is no longer aligned with the expected cash flows the company might generate in the future, it could be time to alter your exposure.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">You don\u2019t have to look very far in the past to see this exact scenario at work.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The great pandemic caused a great shift in the way people worked. Remote workers grew by 33% in 2021 alone. And valuations in technology companies exploded, especially the so-called FAANG stocks.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">A great company like <a href=\"https:\/\/finance.yahoo.com\/quote\/ZM\/chart?p=ZM#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-\">Zoom Video Communications, Inc (ZM)<\/a> burst onto the scene and saw tremendous growth. Remote workers flocked to its software to help stay connected to the office. And in 2020, the stock price reached the stratosphere trading for $559 per share on October 21st of that year.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The products the company creates are terrific. Zoom is being used everywhere and has been a tremendous help, especially to remote workers. But it was possible that the share price had gotten way ahead of itself.<\/span><\/p>\n<h3><b>What has happened since?<\/b><\/h3>\n<p><span style=\"font-weight: 400;\">At the close on December 14, 2022, the equity closed for $73.22 per share. This is a nearly 87% reduction in the underlying stock price.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">We think Benjamin Graham said it best, \u201cIn the short-term, stocks are a voting machine and in the long-term, stocks are a weighing machine.\u201d<\/span><\/p>\n<p><span style=\"font-weight: 400;\">And one measure of that weight is the actual cash flows that the company will actually achieve in the future.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">This should not be confused as a recommendation on any stock, it is just an example. When a company you own has become overvalued it might be time to reevaluate your position and sell it.<\/span><\/p>\n<h2><b>Your Profitable Stock Makes Up Too Much of Portfolio<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">You are riding a huge winner in your portfolio.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">That is great news.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">From time to time, though, this great news presents a great risk.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Your portfolio may become way too heavily concentrated on this one huge winning position.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">As a result, your investment portfolio has a lack of diversification.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">And diversification risk can cause big problems down the road.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">You might have a big gainer that is still fairly valued or even undervalued. But if things turn sour for this company (and it might), a heavy concentration of exposure in this one company could decimate your returns quickly.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">You can\u2019t eliminate market risk by diversification, but you can certainly lessen the concerns of one single entity and that can be extremely important.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">As the saying goes, \u201cdon\u2019t have all your eggs in one basket!\u201d<\/span><\/p>\n<h2><b>Get Advice from Dupree Financial Group, LLC<\/b><\/h2>\n<p><span style=\"font-weight: 400;\">The main advice we are giving you about when to sell a stock for profit can be broken down into two main categories: value and portfolio management.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">And that is exactly the advice you get when you have Dupree Financial Group, LLC. working for you.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">We are a value-oriented investment firm. We perform the due diligence and the hard-hitting research that builds our clients\u2019 wealth for the long-term.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Before you sell your stock for a profit, get a no-obligation second set of eyes on your portfolio.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">It is always a good time to sit down with a trusted financial advisor and get a fresh perspective. <\/span><a href=\"http:\/\/dupreefinancial.com\/contact\" target=\"_blank\" rel=\"noopener\"><span style=\"font-weight: 400;\">Contact us<\/span><\/a><span style=\"font-weight: 400;\"> today.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>When is the right time to sell a stock for a profit? All your hard work is paying off. You have done your research and you made a wise investment. [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":5191,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","footnotes":""},"categories":[17],"tags":[],"class_list":["post-5187","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blog"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.2 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>When to Sell a Stock for Profit: Is This Your Kodak Moment? - Dupree Financial<\/title>\n<meta name=\"description\" content=\"Buying stocks at the right time is tough but knowing when to sell a stock for profit is even tougher. 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