I have some shares in Apple that I am planning on selling. However, we are right next door to an earnings report, and I am curious as to how that would affect the share price, if at all?
I don’t know when previous earnings reports were released, so I don’t know how to research this on my own. (Total newbie to the stock market)
Is there anyplace I can go for this information? Does anyone know how the earnings report has historically affected share price?
The way I’m approaching this currently is by setting a share price that I want ($165) and putting in a limit order with my broker. I realize that in the years to come, the price may go much higher, but I really need the money now.
I was thinking of just selling at the price I want and never looking back, but if waiting an additional couple weeks would be wise, I would consider it.
By definition, the current market price reflects what everyone thinks. Even if I know more about the company than others in the market, it makes no difference in the short term to my ability to forecast the market. I must also know the other players in the market, and it is a zero sum game.
Perhaps you must sell by a given date (e.g. it’s to buy a home), and perhaps there’s a dollar amount you need. Maybe you can afford to buy some LEAPs as well as taking the cash you want, so that you’ll get some profit if AAPL just keeps on rising.
You might sell October 165 covered call options for your stock ($2 today) instead of / as well as the limit order, closing out both together if the stock hits 165 and making a probable extra profit. If the limit order never triggers, you’ll have $2 a share as well as the shares.
[quote author=“Lavode”]I don’t know when previous earnings reports were released, so I don’t know how to research this on my own. (Total newbie to the stock market)
Is there anyplace I can go for this information?
... I really need the money now.
TIA,
Lavode
Hello Lavode, IÒ‘m not the best investor, but there is a rule you MUST use in the Markets: invest with the money you do not need. Talking about AAPL, its performance is great, but 160 is good point to get some money off the table, because we can find some sicho selling at this “magic” number…
You can find past earnings reports at almos every financial site, for example:
[quote author=“Lavode”] but I really need the money now.
I was thinking of just selling at the price I want and never looking back, but if waiting an additional couple weeks would be wise, I would consider it.
TIA,
Lavode
If you actually *need* the money soon, my suggestion is to sell now. Unless you’re selling thousands of shares, a few dollars higher isn’t really going to make a huge difference. I can tell you, from personal and very recent experience…ANYTHING CAN HAPPEN with the stock market….and it WILL happen at the absolute WORST time, if you NEED to sell. I had to sell 1000 shares for the down payment on our house, this past summer. I waited, hoping to get the optimum share price. CRASH!!! The credit/housing/whatthehell crap hit the fan and I ended up losing about $20k because I was FORCED to sell not far from the all time low. I’ve been able to make up a lot of that loss, recently, but it still hurts to lose that much money, when I know it didn’t HAVE to happen.
[quote author=“Lavode”]... the price may go much higher, but I really need the money now.
If you need the money now, GET OUT NOW. You should never be trading in stocks with money you need now. This is prudent advise to anyone who has money in the market that will be needed short term. Hoping for a pop after earning in order to get a couple of extra bucks, I feel, is foolish. Sure the share price could go up, but it might not.
Supposed Steve Jobs was in a bad car wreck today (heaven forbid)! The stock could plummet short term. Imagine having to sell into that knowing full well that long term, things will be OK. Don’t turn a blind eye to common sense.
My $0.02 anyway.
Edit: Steph must have posted while I was writing. I agree with her 100%.
Yes, I would also say that the right time to sell is when YOU need the money, - and to eventually invest again is when you don’t need the money. The rest is pure astrology. Anything can happen +/- at any given point of time.
We might know WHAT but never WHEN.
When is not knowable.
It’s true, if you need all the money now or very soon, you MUST sell now. But if you don’t need all the money, and there is a while to go before you need it, then you may be willing to accept some risk going forward to have the possibility of further profits. Purchasing call options with some of the proceeds of sale is one way, but spend a couple of hours reading about them before you do that. There is a time and volatility premium that always goes down, and the option will expire worthless unless the stock goes up by more than the time premium goes down.
You have confirmed a lot of my feelings, and illuminated some things I had never really thought about before.
“Need” in my case is a very subjective thing right now. I have Christmas plans that involve a set share price, but I have also had some family emergencies this week that might change my priorities.
Either way, I feel much better about my decision, and it is exciting (and terrifying) to watch the price fluctuate.
[quote author=“Lavode”]Thanks to everyone for the wonderful advice!
You have confirmed a lot of my feelings, and illuminated some things I had never really thought about before.
“Need” in my case is a very subjective thing right now. I have Christmas plans that involve a set share price, but I have also had some family emergencies this week that might change my priorities.
Either way, I feel much better about my decision, and it is exciting (and terrifying) to watch the price fluctuate.
Please, take this with a bit of salt (and pepper if itÒ‘s your way ):
by reading the posts at this GREAT forum sometimes I feel anxious to beeing even more bullish on AAPL that usually I am, but most of people here has much more insight than me, and also some of them have, obviously, way more cash to go in and out in a glance without loosing the shirts, nor comandos. So, I use to “buy and sell” virtual $ following ideas, because it is practice at the end, but I -neccesarily- perform like a Volvo vs a Ferrari
[quote author=“sleepygeek”]It’s true, if you need all the money now or very soon, you MUST sell now. But if you don’t need all the money, and there is a while to go before you need it, then you may be willing to accept some risk going forward to have the possibility of further profits. Purchasing call options with some of the proceeds of sale is one way, but spend a couple of hours reading about them before you do that. There is a time and volatility premium that always goes down, and the option will expire worthless unless the stock goes up by more than the time premium goes down.
I’ve learned the hard way stock certificates can’t be eaten for food nor provide shelter. Be sure life takes its priority in investment decisions.
“It is well known that one horse will run faster than another. But which one? Differences are crucial.” ~ Lazarus Long
This is an excellent topic, with several key and logical insights. Thanks to all for your thoughts.
In my case, I needed downpayment money, and averaged out at 143 (sold three blocks from August’s high as it slid down). I had a chunk of cash sidelined and *should* have bought in a $111 because looking back I didn’t need the money. But it was a chunk of cash with which I could assume no risk. So I made $100 in money market interest vs $4500 if I had sold Friday. I could have lost that same $4500 - no way to predict. So I’m happy for my nice safe $100, and will buy in with future ‘free’ money. Until I can spend all day in front of the computer with various information coming in, and have time to do research, I sit back and watch the price slowly tick upwards.
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