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Just my thoughts #0716

Walt Disney gained worldwide fame with the animated film ‘Steamboat Willie,’ but Disney’s first studio went bankrupt. By the mid-1930s, he had produced over 400 animations, most of which suffered heavy losses. In 1938, Snow White and the Seven Dwarfs made $8 million in just the first half—more than ten times the earnings of other films. Meanwhile, with this animation, the company paid overdue wages to its employees and recovered the losses it had sustained. An unusual event that changes everything is called a “tail event.” 40% of publicly listed companies in the U.S. stock market lose nearly all their market capitalization 10 years after going public. Business and investing, after all, are based on probabilities. No one knows what the “tail event” will be. Therefore, to succeed, you need to try small, steady, many times with little impact, even if you fail. - Joseph’s “just my thoughts”

Just my thoughts #0686

Entrepreneurship involves starting to invest in the stocks of my own company. However, unlike open-market stock investments, here you invest in your own business, not someone else’s. My company’s performance directly affects my shares. To excel at investing in your own company’s stock, focusing on one key area can significantly boost your chances of success. Conversely, to be good at investing in others’ stocks, it’s better to understand multiple business sectors rather than just one. Since investing in stocks focuses more on minimizing risk than maximizing returns, diversifying resources across several areas makes risk management more effortless. If you master risk aversion, you can reduce losses and increase your chances of surviving in a volatile market. If you are knowledgeable and well-informed, I recommend investing in others’ stocks rather than pursuing entrepreneurship. - Joseph’s “just my thoughts”

Just my thoughts #0595

Stocks  represent trades that reflect the future value in the present.  The current price of a stock conveys insights about the company’s future. In essence, it involves the buying and selling of future potential. However, stock prices also reflect past performance. When a company announces its performance, it often includes disclosures about stock purchases and sales by major shareholders or executives . This practice has historical roots, but the public disclosure of such information now affects the stock’s current price. Time influences present value, whether it pertains to the past or the future. Ultimately, time is the most critical variable in asset valuation . - Joseph’s “just my thoughts”

Just my thoughts #0522

Management is the activity of transforming uncertainty into certainty to create predictability . For example, investing in stocks when you don’t know when or how much you’ll make is a gamble , but finding a way to achieve an average return of 15% per month is management. Bank loans have a fixed schedule for when and how much principal and interest must be repaid. It is not the banking business where you can repay or request repayment at any time when you have funds. Nevertheless, we gamble or engage in a ritual for rain , mistakenly believing that it is management. - Joseph’s “just my thoughts”

Just my thoughts #0492

The basis of any investment is time considerations. The same applies to stock investing . Which stocks to buy depends on whether you are holding short-term or long-term positions . The most significant mistake beginners make in stock investing is buying and selling stocks without following fundamental investment principles . When choosing stocks, they select them based on long-term potential, and when they sell, they do so based on short-term trading because they cannot overcome their impatience and fear that the stock price will decline. Such individuals should refrain from investing in stocks. Even after losing money, they remain unaware of the reasons for their losses, becoming individuals who harm themselves and others. - Joseph’s “just my thoughts”

Just my thoughts #0370

The value and nature of stocks depend on how much money a company can potentially make for me in the future. In other words, it’s not the present value, but the future value that matters. It’s crucial to be able to provide profits consistently over time. In accounting, this concept is referred to as “going concern.” When you evaluate what you’re doing right now (job, business, investment, etc.) in terms of sustaining revenue generation, many conflicts and considerations diminish because your judgment becomes clearer. - Joseph’s “just my thoughts”

Just my thoughts #0238

There’s a saying that after a flood, no water is left to drink. Those who see this as a metaphor grasp that it signifies that “usefulness” outweighs “quantity.” In contrast, literal interpreters might invest in stocks for “mineral water” due to an anticipated rise in demand for bottled water post-flood. This illustrates how interpretation and action can diverge significantly. - Joseph’s “just my thoughts”

Just my thoughts #0083

Anything consigned to the open market is likely to be distorted. Stocks, commodities, real estate, ideas, and even intentions lose their original intent, purpose, and value when released into the market. Since every market participant has different intentions and perspectives, it is natural that everything in the open market is distorted. Therefore, the idea that if you do your best, you will succeed is a superstition. If your efforts are gnawing at your soul, don't try your best anymore. Instead, it's far better to love yourself, to cherish yourself, and to comfort yourself. - Joseph’s “just my thoughts”