Anybody buying on this downturn?

[disneysteve]

I took the plunge and bought 300 shares of American Airlines at 14.535 in one of my IRAs. It's down over 52% from last month and is at a 5-year low by a significant margin. I'm happy to hold onto it for years if that's what it takes. I don't expect a fast recovery.

[Jluke]

VTI: 10 shares at $140

nibbling at the downward spiral

[TexasHusker]

I don’t necessarily agree with Dave Ramsey on everything. Even the most successful, profitable businesses carry debt. I disagree that you should be debt free before you invest. I wouldn’t use my home equity to buy stocks, but I would (and have) use(d) it to help me buy other real estate or start a business.

I was fully self employed / semi-retired at age 47, and I can trace the foundations of this back to the strategic use of equity in my principal home at several key times.

[AJSimon]

Question for you guys/gals....

Given this market correction. I would like opinions/advice. Do you think it would be more wise to:
1) take 10K of SP sold when SP was @ 3,300’s and use it to buy back MORE SP @ 2,900’s (+ this hyper volatile condition)
or
2) use the 10k for it’s initial purpose - Pay off 10K of my HELOC @ 4.25% to Decrease my debt/save interest + open up 10k worth of equity should I need to buy something.

All I can do is channel my inner Ramsey and say pay down the debt. The argument I assume he'd make is that you wouldn't borrow against your house to invest in the stock market - and the math of what you're proposing here is essentially the same thing.

[amarowsky]

Lol, wish i was working right now for this reason. Making extra dough to toss in the market while it’s tanking.

have to up my Uber game to higher than $400 per week, so I can toss in some extra funds now that this opportunity is upon us. (Unless this is the END OF THE STOCKMARKET!! *Erie music plays*) which I Highly doubt!

Question for you guys/gals....

Given this market correction. I would like opinions/advice. Do you think it would be more wise to:
1) take 10K of SP sold when SP was @ 3,300’s and use it to buy back MORE SP @ 2,900’s (+ this hyper volatile condition)
or
2) use the 10k for it’s initial purpose - Pay off 10K of my HELOC @ 4.25% to Decrease my debt/save interest + open up 10k worth of equity should I need to buy something.

Seems like either would be a good use of these funds. I really don’t have anything I “need to buy” but we are still prospecting on rental homes. (No time like the present to buy, as the equities recover, it would be nice to have some income from investments (rents pay no matter how ****ty the economy is, albeit sometimes rent may have to be dropped, pending the situation)

[cypher1]

I ended up jumping on extra purchases for VASGX for HSA last Fri. VTSAX, VTIAX, VSIAX, VGHCX for Roth and Taxable last Fri and Mon.

[Like2Plan]

I finished funding my IRA--(I bought more total stock market). I expect we will have ups and downs in the TSM for a while, but I'm not expecting to tap into the money until many years from now when these ups and down will (hopefully) just be tiny little virtually indiscernible squiggles on the valuation chart.

[Fishindude77]

Not doing anything extra with my stock market investments, but there is a piece of property I've got my eye on that goes for sale next month. With any luck this little "blip" in the economy will have others wanting to hang onto their cash and maybe I can get a good deal.

[LivingAlmostLarge]

i sunk too much in january and more now.

[disneysteve]

My portfolio had gotten out of whack, so I sold some bonds and bought some stocks. Now I will continue doing nothing, unless/until it gets out of whack again.

I didn't sell anything but I did put a little extra in stocks yesterday. I normally put $1,600/month into savings and $1,600/month into our Vanguard account. I put the whole $3,200 into Vanguard as our AA has shifted too, of course.

I'm going to wait and see what happens this week. I have some cash in my Roth so if things continue downward and drag the AA more out of whack, I may invest a chunk of that cash to get things back in line.

[kork13]

My portfolio had gotten out of whack, so I sold some bonds and bought some stocks. Now I will continue doing nothing, unless/until it gets out of whack again.

Thanks for the reminder -- I just went in and re-adjusted my retirement accounts back to their normal AA (90/10). With stocks dropping, my AA has drifted off to being about 84/16, and 5% off-plan is generally my trigger to do an out-of-cycle rebalancing (beyond my once-annual rebalance every January*).

*caveat: As busy as I've been the last 6 months, I'm actually not certain that I did my annual rebalance back around the new year, so I may simply be overdue anyway.... oops....

[Petunia 100]

My portfolio had gotten out of whack, so I sold some bonds and bought some stocks. Now I will continue doing nothing, unless/until it gets out of whack again.

[~bs]

Not really a market timer, but I see the current decline as an opportunity. Possible we're still early in the declines, so I favor a more methodical investment approach as the market declines.

My crystal ball is a bit hazy, but my guess is that if they announce that a vaccine has been developed that reduces mortality to flu-like rates or less, the stock market is going to skyrocket back up with relatively little chance to react for people snoozing on the sidelines. At least the US market... the fundamentals of US won't be hurt too badly by the viruses. Companies are still going to be sitting on piles of cash, lower debt, low interest rates, and products still demanded worldwide. All catalysts for the market to rebound. If corona virus does become common and a vaccine is developed, I envision that the annual flu shots would be administered as a "combo", covering both types of illness. If the virus spread is weakened by warmer temperatures, that too will cause the market to react positively. Then again this could be a months or even years long ordeal. It really depends on if they can contain it and the amount of damage done to the world economy.

[Like2Plan]

I am bullish on their streaming service as high margin software service which should give them a higher multiple than their current high operational cost for running the parks. Would probably won't buy Disney if wasn't for their streaming service, as it is turning into the Nintendo Switch of the streaming service world(as in you get it just to have Disney's backlog of videos on demand for the family, not really competing with any other services).

Talking about parks, they are the masters at printing money. Now they run hard ticketed events throughout the year at magic kingdom which yields them almost 150/day/person.

Also Star Wars land is a massive hit. It's causing Hollywood studios to be so packed that Slingy Dog line was 5 hrs long. Actually all the parks are insanely packed lately, probably due to SW.

So yes, Q1 Is gong suck, but that's what is priced in. And I believe Iger figured out the formula for Disney's success, just need to replicate it. So we are not looking for any new grand vision here.

I think you are going to do quite well in the long run. I was a little put off by all the substantial price increases in the past few years, but now that the new attractions are starting to come on line I am looking forward to seeing what is new in the parks. I have not been on the newest SW attraction, but I have heard it is like being in the movie--how cool is that! (I figure since you are local, though, you must have experienced it? )

[LivingAlmostLarge]

I bought a ton in January Roth IRAs $11k, two coverdells $6k, $25k for Kid's Investment Accounts, $6k in 529 plan for DK (VOO), and $50k in VTI for me and DH. I am going to dump another big chunk now. I think another $50-100k into the market and keep plowing more in.