I was kicking myself for not investing more in 2009 and saw the DOW go from 6,600 to 10,000. However, I did manage to get in last year around May and made some great returns when the DOW went from 9,600 to 11,500+ in 2010. For tax purposes, I sold a lot of my portfolio in December 2010. However, I did keep a few stocks that I think will continue to grow due to market trends and company financials:
1. ARM Holdings (ARMH)
2. NVIDIA Corporation (NVDA)
3. Microsoft Corporation (MSFT)
Compared to ARMH and NVDA, MSFT hasn’t really gained me anything but I’ve decided to go very long on this stock since I am a firm believer that it is undervalued and that with the success of the Kinect, the recent introduction of the Windows 7 phones, Bing’s alliance with Yahoo! and their continued success with Windows 7, I think this stock has the potential of hitting $35+ by the end of 2011 if not more. I’ve had NVDA since $9 or so and ARMH since $14 and since both of these companies are very related in terms of what they make and are very successful given the huge demand for iPads and smart phones which they both make components for these devices, I’m curious to see where they will go in 2011.
On another note, in 2010, I think I’ll always remember these two mistakes:
1. NFLX – Got in at $114 and sold it way too early… $130
2. BIDU – Got in at $71 and sold it also too early… $78