Alphabet (GOOGL): Profit-Taking

After rallying nearly 25% since its October lows and approaching its all-time high, I decided it was time to substantially reduce my Alphabet (GOOGL) position on Wednesday with an order that sold 33.33% of my position at $149.71. I love Google as a long-term play, but the amount of froth I’m seeing across the board makes me feel like taking profits and reducing exposure as we head into earnings season where expectations are for utter perfection.

The sale locked in +46.88% in gains on some of the shares I bought for $101.93 when I initially opened the position on September 16, 2022, and lowered my per-share cost -41.28% from $82.00 down to $48.15.

From here, my next sell target is much higher at $199.29, just under the psychological round-number resistance at $200.00, where I will remove the remaining capital (and some profits) from the position. My next buy target is $120.89, slightly above the low Alphabet saw just a few months ago in October 2023.

GOOGL closed the week at $152.19, up +1.66% from where I took profits Wednesday.

Nvidia (NVDA): Profit-Taking

It was time, once again, to take profits in the AI behemoth that is Nvidia (NVDA) when it made new all-time highs on Wednesday with an order that sold 8.23% of my position at $603.11, locking in +3,748.82% in gains on shares I bought for $15.67 when I initially opened the position on September 6, 2016.

Nvidia is increasing so fast, that it’s gained +21.49% since I last took profits at $496.42, a little over just two months ago!

The sale lowered my per-share “cost” -$82.88 from -$321.42 to -$404.30 (a negative per-share cost indicates all capital has been removed in addition to $404.30 per share added to the portfolio’s bottom line in addition to each share’s current value).

As much as I believe in the long-term prospects for this amazing company, the rocketing stock price causes it to outgrow my maximum target allocation for the portfolio dramatically. In fact, even after this sale, NVDA remains the largest position in the portfolio at 8.05% when the biggest a position should get is 7.14%.

From here, I will continue to let Nvidia run hot with my next sell target at $749.89, just under the psychological round-number resistance of $750, and my next buy target is $410.73, quite a bit above the low Nvidia saw not even three months ago!

NVDA closed the week at $610.31, up +1.19% from where I took profits Wednesday.

Visa (V): Profit-Taking

Visa (V) has been an absolute beast since I initially opened the position at $194.00 back on May 9, 2022. After briefly, dipping to a low of $174.60 in October 2022, Visa has rallied more than +56% in about a year and a half, a remarkable move for any stock but particularly a financial/fintech stock such as V.

Given how expectations couldn’t be higher for its earnings report later in the week, I decided the prudent thing to do would be to remove all remaining capital from the position headed to earnings, which I did on Monday with a sell order which filled at $272.24.

The sale locked in +40.33% in gains on shares I bought for $194.00 when I opened the position, and lowered my per-share cost -$251.54 from $175.96 to -$75.58 (a negative per-share cost indicates all capital has been removed in addition to $75.58 per share added to the portfolio’s bottom line in addition to each share’s current value).

From here, I have no additional sell targets, and I will start putting the profits back to work if Visa pulls back to $255.29, a level of support V has seen very recently.

V closed the week at $267.90, down -1.59% from where I took profits Monday.