Quote:
Originally Posted by booah
"Here's what I liked about the COP "change" today... And I'm not saying anyone should buy or sell -- I'm just using this as an example of what I mean by FUNDAMENTAL changes."
COP is transitioning from doing business like an integrated Upstream and downstream company to a real Independent Exploration and production company. I see the changes they're making and areas their cutting are required to suit the business, and be sustainable for when the prices crawl back up. I think its a bargain for the long term too.
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Booah --- I've tried to keep the thread about LEARNING how to think about stocks/companies etc -- so people can "catch their own fish" - rather than recommendations of what to buy - when to sell etc.
The use of COP as an example of what I mean by "fundamental changes" just managed to present itself in their quarterly report. Companies that institute large scale changes can fail at them, just as easily be successful. As an investor - people need to do a minimal amount of "work" to understand the investments they make - and what can help or hurt their investments.
People that blindly "invest".... only to wake up one morning to find they've lost their ass and they don't understand "why"... That's just dumb and lazy. I don't care if we're talking about buying investment property or stocks. You'll stand a far greater chance of success if you understand what you're getting in to.
The other thing I urge people to do is to understand "the market". Sometimes - when we're looking at a large scale fundamental change - such as this dramatic dip in crude oil - that is taking everyone DOWN... and we really don't know what's going to happen in the future. It can pay to just stay on the sidelines - be watchful - be aware - and wait for a bottom - and not buy until things begin to meaningfully turn up. Nobody has to guess the bottom - or the top... and you don't have to buy at the absolute bottom in order to have meaningful gains. You also don't have to buy on the way down and suffer thru the angst of the unknown. This is investing 102 - beginners investing. It's more about learning and being able to stay in the game and be comfortable with "the market".