LVGO was my largest holding before today. It is now in solid second. The below quote is the focus of my decision, which I’ll break down after:
"My money can be better utilized in another stock: Another fair point. For people new to this board, I think its important to point out that when Saul and others leave a stock, they don’t necessarily expect it to go down, they just think other companies are going to do better. Prime examples are Shopify and Twilio. If I recall correctly, Saul exited Shopify in the $200 or $300’s, while he exited Twilio at ~$100. Well, both have gone on to have tremendous returns, but the stocks he left SHOP and TWLO for have done even better. The stocks that are “abandoned” on this board can still do extremely well and beat the market by a large margin, but your allocation depends on how aggressive you want to be."
There are a host of earnings reports coming up in short order. My allocation to LVGO is now in question as no news is likely to drive the price (except digesting the news we already know).
However, this is NOT the case for several other companies that are due to report:
I’m looking at you: DDOG, ZM, and CRWD.
By trimming the position in LVGO and putting it in 3rd tier allocations, I can free up significant funds to place an additional conviction to ZM and DDOG.