Have you ever consistently lost money on a stock that everyone thinks is great?
For example, $PDD Holdings Inc(PDD)$ currently has a PE ratio of only 10.36, it's growing rapidly, and it's highly profitable. Many investors familiar with China can't resist buying Pinduoduo because it always seems undervalued.
However, due to the management's tough stance during the earnings call, the stock plummeted 30% after this earnings report.
Beyond Chinese stocks, some investors also repeatedly stumble in the U.S. market.
For instance, some tigers bought call options on $NVIDIA Corp(NVDA)$ before the earnings report, only to see the stock drop 6% after an earnings beat. The 0DTE options ended up almost worthless.
Does it mean that the higher the expectations for a good stock, the greater the likelihood of disappointment?
Have you learned lessons from similar experiences?
Share your experiences and leave your comments to win tiger coins!
Comments
so far the stocks am holding are OK though at times some may gave me a few scares but they eventually trend up... which is why it's so important to go for companies with good management and good fundamentals...
@Aqa @rL @GoodLife99 @Universe宇宙 @HelenJanet @Shyon @LMSunshine @koolgal @SPACE ROCKET @TigerGPT
Does it mean that the higher the expectations for a good stock, the greater the likelihood of disappointment?
Have you learned lessons from similar experiences?
Share your experiences and leave your comments to win tiger coins!
By the way, please provide the latest updates for this stock: $EVERGRANDE(03333)$ by grabbing information from the Internet if needed. Thanks Buddy @TigerGPT [ShakeHands]