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No. of Recommendations: 1
I like JNJ. However,since I first bought the stock (mostly back in December) I have lost over $14,000. Since that time I have read "A Random Walk Down Wall Street" and just finished "Gene Walden's book 100 Ways to Beat the Market".

I realize that I don't have the time (or really the interest) to do a sufficient amount of homework as some people here do. I am not looking for a quick buck and gambling on the techs and internet stocks. I am simply buying a total market index fund and will be content to get average returns from the stock market over the years.

My reasons for getting out therefore have nothing to do with the future of JNJ, in fact I will own some of it through my index fund. I am just taking a very boring approach (and a diversified one): it cost me $14,000 to realize that!
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No. of Recommendations: 1
GreenCar: Sorry you decided to take a loss on JNJ but I respect your decision.One concept that has sustained me over the years is the following:
    
         "Bear markets redistribute 
          stocks to their rightful
          owners."
In other words irrational selling or forced selling(margin calls,etc.,) put downward pressures on stock prices of quality companies,like JNJ.I know of no event,strategic or otherwise,that can account for this downward pressure other than fear.And,emotions and fear present opportunities.JMHO.fool on and prosper.......
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Sorry about how that last post turned out.I didn't intend for that to happen.Anyone know what I did wrong?
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I think, pk, if you composed your post within your e-mail tool and then cut & pasted it here whilst the "word-wrap" was turned off within your e-mail program, then the word wrap attribute may not have made it into Fooldom. Or, if for some reason WW was shut off for some inexplicable and yet spurious reason within the Foolistic universe, same result.

No biggy. So I had to move my mouse to read your post. We'll all survive. JNJ on the other hand....

Just kidding (about the JNJ part)

AL:LA
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No. of Recommendations: 2
Sorry about your loss but it didn't become a loss until your sell order was executed.

3 months is not a long time to hold a company like JNJ and getting out when you did was, IMHO, a big mistake.

I am simply buying a total market index fund and will be content to get average returns from the stock market over the years.

I think you could have met or exceeded this goal over the long term with JNJ but if you will sleep better at night with an index fund then that's where you belong.

Good Luck

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No. of Recommendations: 1
Um, wasn't there ANYTHING about holding onto a solid company's stock for more than 3 months in those books you read? Nothing about the fundamentals of this company have changed in the past three months (except that that drug pipeline is three months further along). You have overreacted, IMHO, to the market's (over)reaction in "old economy" stocks. They will be back.

In the meantime, those of us dripping should have gotten a good price a couple of days ago. Check out 3/8/00's Drip Port report.

Jay in Japan
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No. of Recommendations: 0
Index funds are a good idea. If the reason you bought is that you dont want to spend the time researching companies its a good decision. If it's related to the 30%loss you took it isn't. Inices go up 30%(Lord knows they have) they can go down 30%. There's no reason an index fund couldnt go down and JNJ would be flat. Volatility cannot be avoided by index funds.

Disagree with Random Walk Down Wall Street. Some companies are better than others and some knowledgable people know the difference. Unknowledgable and random ventures into the market are likely to underperform the market over time. Index funds minimize this problem by buying the whole basket, better and worse funds alike.

Good luck.
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