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what to do with my worthless stocks. . .

OS

OS

Lifer
I have some shares of Cisco, but I bought at 66/share. It's at 18/share right now. Now my question is, do I leave it there and delude myself into thinking it'll recover a few months down the line? Or do I pull it out and take that money and look for gains elsewhere?
 
Keep it. You've already lost more than 2/3 it's worth. Cisco isn't going anywhere, so look at it as a long term investment and hold on to it. That's the better bet, in my opinion.

 


<< Keep it. You've already lost more than 2/3 it's worth. Cisco isn't going anywhere, so look at it as a long term investment and hold on to it. That's the better bet, in my opinion. >>



Good advice 🙂 exactly what I was going to say.
 
Right, but I guess what I mean is that the same current worth of my Cisco shares might pull up faster if I stick it elsewhere.

But yeah, just looking for insights so give me whatever you got!
 
i thought you asked what to do with your worthless socks, i was gonna say fill them with quarters and beat that guy ranting on asian pride.
 
If you sell, you will have to pay capital gains. This is like taking another 20% loss before investing in another company. Do you KNOW of a company that is likely to make up that 20% and then some? If so, consider diversifying. Otherwise sit on it.

According to Warren Buffet, the ideal holding period for a stock is infinity. Keep that in mind when you hold a solid company.
 
If you sell, you will have to pay capital gains.

Oh boy. He hasn't gained anything!!!!!! He lost $48/share!!!!!!!! If anything if he sold he could use that to offset real capital gains or if not take a 3K/yr write off on his taxes until the loss is completely used up.

I think we need a finance forum to educate some of our members. 😉
 
Actually, if he bought at $66 and sold at $16 we are not really talking about capital gains here, more like a big fat loss.....:Q

Anyway, I think the wise thing to do would be to keep the shares.....
 


<< He hasn't gained anything!!!!!! He lost $48/share!!!!!!!! >>



LOL, yeah that's me. I don't know why but that came out really funny 😀
 
BUY MORE !!!

I did at $20 and could have got for a lot less a week later but you never know.

Dont sell now after your big loss, You dont have a junk stock.
 
Yeah, when he said worthless stocks I thought he was talking about buy.com, pets.com, or maybe priceline.....😱


There are a lot worse stocks out there than Cisco......😀
 
Cisco is a great stock. Its value is almost guaranteed to go up. You should buy some more stocks if you have the cash. Its a great buying opportunity right now.
 
I'm in the same boat. 🙁

I'm going to stick it out.

Many of my other stocks have recovered nicely in the last week. If I had sold 2 weeks ago, I would have lost my shirt!

Good luck to us all!

Jason
 
If you sold the stocks now, you could claim capital gains for next years IRS returns. I don't know much you can deduct as a loss, but if you are paying less on your taxes, it could be well worth it.

vash
 
I disagree. Especially having just warned last week, CSCO is going to be dead money for far longer than the wash-sale-rule 30 day period. Even with the most conservative numbers you can use, assuming that it's going to be a ST capital loss, and you're in the lowest tax bracket, that means you get to write off the diffence between your purchase price and sale price. Assuming you bought in at 66 and sell at 18, that's $48/share at 15% tax bracket = $7.20 writeoff.

Unless you're utterly convinced that CSCO is going to have a spike in the share price, you're being foolish not to take a capital loss of this size for tax purposes. Remember, the wash sale rule calls for a 30 day period. Essentially, take the current share price, add in the amount you're able to take as a tax loss now from a sale, and that's your breakeven point for staying long on the stock. In other words, let's assume you sold today at $18 and accepted a tax loss of $7.20 as per my previous example. The only way it would be more advantageous to you to stay long and NOT take the tax loss now, would be if CSCO went above $25.20/share within the next 30 days. I think the chances of that are quite slim indeed.

Keep the proceeds from the sale in cash for at least 30 days, then decide whether or not you still think CSCO is a good investment. If so, then by all means, repurchase the stock. You'll be getting in at a hugely reduced cost basis, and you'll have booked a sizable capital loss this tax year, which will be of huge help to you for your taxes. Heck, even if you don't use it all this year, you can always carry-forward a capital loss to future tax years.

Sell your CSCO now, and take the capital loss!!!! PM me if you need me to explain it to you in more detail!

 
I too thought it was worthless socks.

I have some Cisco stocks too, bought it at around $63, so I'm in the same boat. If I had some money, I'd buy more. I don't see how it's going to be getting any lower.
 
I also bought some at $69 a share...all my stocks have been doing horrible, including oracle

Luckily since NVidia took off the last two days I am up over 20 points on it now 😀

So I'm almost breaking even between those three stocks.
 
If you have any money left, buy more Cicsco right now, make back some of your loss. Otherwise I'd hold, Cisco is solid and won't go bust (They got nice cash reserves). They'll make a comeback sooner or later. I hope 😀

Soujir0
 
Don't sell! If you are gonna lose money anyway, you might as well lose it later! 😀

Besides, what if it SKYROCKETS? You could make hoards of cash.
 
IMO it's possible the cisco stocks may dip a little lower but probably only by $1 or $2. I think the recovery time on the stock may be quite a while though. Considering the current industry woes etc and Cisco has a HUGE inventory problem, not to mention that they've been buying their stuff at auctions of bankrupt companies to prevent them from being sold cheaply to the consumer. However, Cisco aren't going to disappear off the face of the earth or anything, so I would purchase more and play the long game on the stocks.
 


<< i thought you asked what to do with your worthless socks, i was gonna say fill them with quarters and beat that guy ranting on asian pride. >>

ROFL!!!

Yeah hold on to them and if you can buy more its pretty low now.
You should always look at stocks as a long term investment and not
jump on the quick bucks bandwagon.Look at all the suckers that lost
their pants recently.
 
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