Portfolio Update: New Subtraction (TSLA; September 12, 2013)

by FI Fighter on September 12, 2013

in Stock Portfolio Updates

Tesla

To get ready for closing, I used today as an opportunity to close out my position in Tesla Motors (TSLA). I sold my last remaining 94 shares for $166.00/share. This transaction will bring in $15,604.

An investment is an investment, and one of the first things they teach you is to not fall in love with any particular stock! Tesla has had an amazing run this year, and I’ve profited tremendously from its rapid ascent, realizing close to $20,000 in profit (before taxes). Although I am still rooting for the company to succeed, I know that I must remain focused on my ultimate objective — financial freedom.

Buying and selling stocks has become somewhat easier as time marches on. I guess I’ve reached the point where I am desensitized enough where I can buy/sell without getting too emotionally invested. Tesla has been my favorite stock (obviously), and was one in particular I wanted to hold for the long-term.

Oh well. Maybe I’ll have another buying opportunity in the future, especially if the market decides to correct. Until then, I’m perfectly content with closing out my position and locking down Rental Property #4. Closing is scheduled for mid-October, and I’m very much looking forward to receiving another income statement. A growing income stream never gets old!

My investment in Tesla was a side-hustle venture on a hyper-growth story… and I made my money. I’m good. Now let’s re-focus on what really matters.

{ 10 comments… read them below or add one }

1 BidAskDividendsNo Gravatar September 13, 2013 at 7:57 am

Congratulations. Always great to close out for a profit…too many people buy high and sell low instead of closing out and reallocating. Goodluck on your 4th property.

Reply

2 FI FighterNo Gravatar September 22, 2013 at 8:39 pm

BidAskDividends,

Thanks! Yeah, it feels good to lock in the gains, even if the stock continues soaring after. Paper gains are great, but now I’m able to use real gains to buy real property 😉

Cheers!

Reply

3 FFdividendNo Gravatar September 15, 2013 at 9:46 am

wow congrats on the sell. good luck to you.

Reply

4 FI FighterNo Gravatar September 22, 2013 at 8:39 pm

FFdividend,

Thanks! I hope the decision to sell turns out to be a good one!

Best wishes!

Reply

5 MartinNo Gravatar September 16, 2013 at 9:10 pm

I agree with you on that “falling in love” item. Once your objective is met, you should liquidate if that was your plan.

As you said Tesla was a hype and good for you that you had a chance to recognize it and run that waive. It may continue in the future or it may be already on the top (see Netflix and its hype). The future will tell. And it helped you to generate cash for your primary task, so there is no problem at all!

Reply

6 FI FighterNo Gravatar September 22, 2013 at 8:41 pm

Martin,

Yeah, sometimes it’s hard to not fall in love with a stock, especially one that is outperforming the rest of the market.

It’s always difficult to catch the top or bottom. I’m just doing my best to stick with the gameplan.

Cheers!

Reply

7 Mustachian AcolyteNo Gravatar September 17, 2013 at 8:22 pm

Great work, this is fantastic. Here I am reading about vicarious profits, looking forward to having stock purchases and sales be easier and less emotionally fraught. Keep it up.

Reply

8 FI FighterNo Gravatar September 22, 2013 at 8:43 pm

Mustachian Acolyte,

Thanks! It’s difficult to take away the emotion sometimes, but I try to stay focused on the big picture.

When times are bad, keep investing and pick up the bargains. When times are good, ride the wave up, but know when to cash out.

But ultimately, regardless, keep building the income stream. That’s the ticket to salvation.

Best wishes!

Reply

9 EvanNo Gravatar October 4, 2013 at 6:07 am

Wow! Why did you get involved in the first place? seems opposite of what you normally do.

Reply

10 FI FighterNo Gravatar October 4, 2013 at 10:29 am

Evan,

Yeah, the primary objective is to build the passive income stream, which is what the rentals do.

In the process, I’m ok with taking some calculated risk to help ramp up savings for the next downpayment. I doubt I’ll do this very often, but TSLA has so much potential to be a gamechanger. Like most investors, I didn’t want to miss out on the next GOOG, or AAPL. It seemed like a sure thing back at $55/share.

Take care!

Reply

Leave a Comment

 

{ 3 trackbacks }

Previous post:

Next post:

Copyright © 2012 FI Fighter