We are excited about the sell off happening in the market today! Why would I say that when any number of companies we own are being dumped? Simple. We are setting up for our next crop of big winner for the next equity rally.
LOTM started writing for the general public on August 1 of 2020. That was not the cycle bottom of the 2020 market sell off but that was when LOTM began writing. The first industry we targeted because of it deep value and negative sentiment from investors was Natural Gas. Not oil, Natural Gas. We chose Nat Gas for fundamental reasons. It was needed as the reserve energy source for electricity generated by Wind and Solar. The market and government in hurry to condemn fossil fuels, forgot common sense in that we’ll need thirty years or more to go green. That is what investing is about right? Recognizing opportunities that are errors in judgement by others. Therefore, do not interpret my comments as political. It is common sense.
So How have the Nat Gas stocks done since our stock picks? More than 12 doubles out of 17 picks.
Here are the LOTM Nat Gas picks and performances over the last 22 months
So, the current market sell off, probably not over yet, is setting up the next opportunity of big winners. Will it be Silver and Gold? Battery Metals? Nat Gas still? Will it be the Revenge of the Fast Growth, but no Cash Flow names. Crypto and blockchain? Emerging Markets? Value or Deep Value? GARP? Questions whose answers we need to watch for.
Doubles are not hard to find in the market. What you do after you buy, are the most important factors in performance. Sell to early? Stopped out of the position? Did you impatiently sell to get in something else that was moving? Did you not buy enough to make a difference in your lifestyle when you were right? What was your goal when you bought?
I have mentioned stock doubles, because that is LOTM’s number one objective – Find stocks that can double in twelve months or less. The goal – that goal, gets harder to reach the deeper we are into a bull run. It is also harder to get a double in your account the more diversified you are. This is why we have to label ourselves Speculators. We are not diversified, so we cannot call ourselves, Investors. We have a six-month to five-year time horizon, so we don’t consider ourselves, Traders. We have a system, a process that profiles for value, sometimes deep value. To find value we have to go psychologically against what the majority. We are willing to buy value and wait so we are not gamblers. We try hard to be independent thinkers. We try to see catalysts that could attract buyers to the industry or companies.
Just When The Caterpillar Thought the World was Ending,
It became a Butterfly
LOTM Research & Consulting Service
* An account related to LOTM holds a position in this security.
Neither LOTM nor Tom Linzmeier is a Registered Investment Advisor.
Please refer to our web site for full disclosure at www.LivingOffTheMarket.com ZTA Capital Group, Inc.
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