It’s very interesting to read John_in_NC’s comments on Ford.
What fascinates me about his remarks are how much Wall St. has brainwashed investors.
John says it takes “BRASS BALLS” to invest “everything” into Ford stock.
In my mind, with the level of knowledge I have in the automobile business and economic cycles…It would be FOOLISH for me to be invested anywhere else. It’s not about brass balls…It’s about KNOWING what you’re DOING and not screwing around.
I currently have just over 75,000 shares of Ford stock. I purchased the majority of that stake when the stock was under $2.00. By the way…This stock was UNDER $2.00 for almost the entire WINTER (Allagash can confirm this as we had many email conversations during that market turbulance and I told him what I was buyng)
So here’s the deal…I’ve got what amounts to about 3 house flips worth of $$$$ in this stock. If it ALL went to ZERO tommorow my life would not be affected in anyway. Sure it would hurt mentally…But here’s the question???
How do YOU, a guy buying and selling houses or renting them out (and probably working another JOB)…How do YOU put $1,000,000 in your BANK ACCOUNT… NET… while you’re still young enough to DO something with that money??? I know you can buy and rent out 20+ houses and put up with endless BS for 10 to 15 years THEN sell and MAYBE (depending on WHERE the market cycle is at the time) MAYBE walk away with $1 mil. But’s that’s a LOT of TIME, MONEY and a TON of BULLSH*T to deal with from COUNTLESS nit wit tenants for that payoff.
So…It’s not about having BRASS BALLS to BUY this stock…It’s about having the experience to simply REPEAT what you’ve seen happen in every recession in the auto business. It’s about having some knowledge of an industry and USING that knowledge to create enough capital to positively impact your life. NOT doing this, in my eyes is the mistake.
I can find another 3 houses to flip if this investment went down the tubes tomorrow. I’d recoup every penny I have into this. That wouldn’t be a problem. Throwing darts at a board trying to find another stock like FORD???
Now THAT would take brass balls!
Remember WHY I started writing about this stock…It wasn’t to show everyone I was RIGHT or how SMART I was…This stock was a DOG for well over a year.
The entire POINT fo all this information was to SHOW folks here that these things RE-OCCUR over and over. AND…TO DATE…I have YET to see a SINGLE MEMBER here consistantly post follow ups and updates on ANY stocks they are holding.
Guy’s like John_in_NC don’t feel comfortable buying a stock like this…
THAT’S SMART!!! The guy KNOWS he won’t be able to STAY with the investment because it doesn’t suit his comfort level…Again…That’s a VERY SMART investor!! AND…He’s got a very good rental business going…He’ll have his MILLION…He’ll just get there via a different route!!
PLUS…The dirty SOB gets PAID to fly PLANES!!! That right there beats any hand I could have up my sleeve.
What I HOPE will happen to John and some other members here is this…
They will SEE the Ford saga from brink to BOOM…They will SEE the come back…They will SEE what happens to a car companies stock AFTER a brutal recession…and they will REMEMBER IT!!! If it goes the way I think it will…THEY’LL NEVER FORGET WHAT THEY’RE ABOUT TO SEE!!!
Once they LEARN this is just a repeatable cycle which occurs during every recession…The gates of opportunity will swing open for them during the next down turn and they will BENEFIT from that knowledge.
Isn’t that what we’re all here for to begin with???..SHARING knowledge for the benefit of EVERYONE!!
Some folks will miss THIS ride with Ford…That’s OK…because what they will see over the next few years in that stock price will be burned into their memory for a LONG LONG TIME. At that point the thinking will come full circle to…“Ya know…If I had just sold just one pain in the @ss rental property or took some of my flip profits and used that money to buy Ford stock???”
That’s how we ALL learn…Guess how I know that???