Boeing (BA): Profit-Taking

Boeing (BA) has been on a mind-blowing run since it bottomed in late October, up more than +36% as of Friday. On Friday, Boeing triggered my next buy order which sold 4.76% of my position at $237.68, locking in +37.66% in gains on shares I bought for $172.66 back on March 7, 2022.

Why did I take profits in Boeing even though it hasn’t exceeded my allocation target?

Boeing has proven to be incredibly volatile since the two tragic 737-Max crashes in 2018 and 2019. As a result, the stock has been trading in a pretty solid range between $89 and $280. Accordingly, when it reached $240 on Friday, I felt it was time to trim the position so I could free up capital to put back to work if Boeing sells off.

The sale lowered my per-share cost -$20.85 from -$179.40 to -$200.25 (a negative per-share cost indicates all capital has been removed in addition to $200.25 per share added to the portfolio’s bottom line in addition to each share’s current value).

From here, my next buy target is $176.77, above Boeing’s low from October, and my next sell target is $277.68, below the high Boeing saw back in 2021.

BA closed the week at $244.70, up +2.95% from where I took profits Friday.

Schwab (SCHW): Profit-Taking

Schwab (SCHW) and the rest of the financial sector have positively exploded since bottoming in October with Schwab catapulting nearly +32% in about a month and half. Accordingly, I decided to trim my position on Friday, selling 16.26% of my allocation at $63.91 and locking in +25.14% in gains on shares I bought for $51.07 on March 13. The sale lowered my per-share cost only -0.16% from $63.40 to $63.30, but, for me, it was important to lock in gains on what has proven to be a very volatile stock as of late.

From here, my next sell target is much higher at $81.14, slightly below a level of resistance Schwab saw before the regional banking crisis earlier this year. My next buying target is $50.08, above a key level of support Schwab has seen throughout 2023.

SCHW closed the week at $64.07, up +0.25% from where I took profits Friday.

Visa (V): Dividend Reinvestment

Visa (V) paid out its quarterly dividend this week which, after reinvestment on Monday, lowered my per-share cost -0.21% from $173.60 to $173.24. Visa has demonstrated such incredible strength since I initially opened the position in May 2022, that I must concede the possibility that – despite a credit event – it may not sell off to my cost basis.

Accordingly, I have raised my next buy order up to $196.89, above a point of support Visa has seen in the past. Additionally, since it has performed so well, I have no intention of taking any additional profits in, letting my remainder run. 

Zoetis (ZTS): Dividend Reinvestment

Zoetis (ZTS) paid out its quarterly dividend this week which, after reinvestment on Monday, lowered my per-share cost -0.21% from $142.19 to $141.89. Zoetis and IDEXX Labs (IDXX), my two humanization-of-pets plays, have been shockingly volatile for the entirety of the time I’ve held them.

Despite Zoetis providing significant strength since I initially opened the position in June 2022, I do believe the potential for a significant selloff is still out there, so I have no interest in adding to my position until ZTS is under my cost basis, however I won’t wait long with my next buy target at $141.64, slightly above a key point of support it’s seen in the past.

If Zoetis makes a try for its year-to-date highs, I will take profits in my position with my next sell target at $194.37, slightly below the high Zoetis last saw in August.