Selling Ashley Services (ASX:ASH)

I sold my shares in Ashley Services for the reasons disclosed in yesterday's post. In addition, I have revised my thinking that it is likely the shares continue to rally into the ex div date. The upcoming half yearly report and dividend are likely already priced in given the 30%+ rise in share price since the dividend announcement. Furthermore, given a backdrop of monetary tightening I am not confident that the sharp improvement in market conditions we have enjoyed since the start of the month will last.

I always buy stocks for valuation reasons but often end up only holding for a short period. I think this is because I am not doing enough work prior to buying. Consequently, I often get my valuation wrong and/or lack the conviction required to hold a stock longterm. 

Strangely, I don't seem to have the same issue with the UK portfolio. Perhaps this is because I have fewer opportunities to trade these stocks due to the time difference. It will be interesting to see if this changes when I move.

Comments

  1. I also have the same issue. It is hard to find the time to put in sufficient research and given volatility in microcaps which is seemingly higher than it was pre-pandemic it may be also be good strategy to have a trading bias over holding.

    Excellent blog btw 👌

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