Asked on 23 Jun 2019
I am unsure whether to sell it or not because I rly like the business model of the stock and I want to hold onto this stock for long and earn its dividends however I am afraid that this will lead to me not knowing when to sell and miss out on capital gain of the stock.
You should sell if
Company fundamentals decline. Particularly if the business model changes for the worse.
Price is overvalued compared to the intrinsic value of the share
There are far worse things than missing out on the capital gain. Sometimes, sitting and collecting dividends can still be a good thing.
Only sell when the business has changed it fundamental. Most of the time money was made when you sit tight into good quality stocks. This is where wealth are being created. Do not just sell to lock in the gains as if it is a good quality business, the price will always follow.
1) Your thesis has changed
2) Company's fundamentals have taken a turn
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