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Hrvoje, that is actually one of the most difficult parts of fundamental value investing, knowing when to sell. Often we sell too early as a stock approaches what looks like full intrinsic value based on our analysis, then watch it continue to move upwards. For me it depends on the reason I used to buy the stock. If I purchased it based on the power of their earnings, then I would pay close attention to their earnings, updating my model regularly, and look to get out by the time is it 20% over full value. But if the prospects continue to improve, my value estimate may continue to increase, meaning that the sale price will continue to go up.

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Building Arks with Jason Clendenen
Building Arks with Jason Clendenen

Written by Building Arks with Jason Clendenen

Self-taught investor helping busy professionals learn how to ignore mainstream advice and build real wealth. https://buildingarks.gumroad.com

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