Apple (AAPL): Profit-Taking

Just like Nvidia (NVDA) a few weeks ago, I absolutely hate taking profits in Apple (AAPL). This long-term outperformer is almost certainly heading higher from here, basically being anointed a “safety play” by the markets.

However, when any position dramatically exceeds the target allocation size for my portfolio, discipline trumps conviction and it’s time to take profits.  This happened for Apple (AAPL) on Friday when a sell order filled at $177.30. In fact, even after taking profits, Apple is still exceeding the allocation target for the portfolio by making up. 6.725% versus the target 6.67%.

The sale locked in +27.39% in gains on shares I bought just a little over two months ago for $139.18 on October 4. The order lowered my per-share “cost” -18.44% from -$34.00 to -$40.27 (a negative per-share price indicates there is no capital in the position and each share instead adds $40.27 to the portfolio’s bottom line in addition to the value of each share).

From here, my next sell target is slightly above $200 (I’m going to let the position run a little hot and exceed the target allocation by quite a margin), and my next buy target is $158.21, slightly above a very recent point of support. 

AAPL closed the week at $179.45, up +1.21% from where I took profits.

Canopy Growth Corp (CGC): Added to Position

After watching Canopy Growth Corporation (CGC) find support above $9.50/shr last week, I decided to raise my target and had my order fill for Canopy on Friday down at $9.69.

The order raised my per-share cost +4.48% from $6.70 to $7.00. From here, given how volatile the cannabis space is, I’m holding off until Canopy drops below my new per-share cost before adding more.

My next buy target is at $6.55, right around a past point of support, and my next sell target is around $35.00 where I will pull all capital out of the position.

CGC closed the week at $9.56, down -1.34% from where I added Friday.