Saw this link on another HC thread today about investing in...

Saw this link on another HC thread today about investing in small caps - great read - https://microcapclub.com/2021/09/an-essay-on-investing-in-small-stocks/

My take away paragraph was this:

“80% of the time winners will exceed your expectations. I would implore you to not be so valuation centered. If a small company with a unique business and exceptional management team is attacking a big problem with a great strategy, then let them. If they are executing, the business is probably worth more than you think is reasonable. The goal is to find undervalued companies that can get overvalued. Let them get overvalued.  
All my winners had one thing in common, I was always averaging up. Most of my losers had one thing in common, I was always averaging down. The best investments are the ones where the fundamentals accelerate, and the stock is a better risk reward higher than it was lower. Don’t be afraid to average up. Often times the best place for new capital is buying more of the companies that make it look easy.”

So…. while some of you guys wanna tell everyone how cheaply you got in (good on ya), I would rather a competition over how many shares you’ve been adding on the way up. Over time, owning more shares will be the bigger win imo.

GLTH