Stock Sold: Magna International

Hello everyone yesterday I did something that I rarely do, and as a dividend investor I don’t want to do often I sold a stock.

Yesterday I sold my entire position of Magna International 44 shares @ $55.17 with the sale I earned a profit of 10% not to bad for owning the stock for just under a year. It took me a couple of months to make this decision I did not do it without thought. My main reason was back in September there was an article in The Globe and Mail which talked about some of the accounting practices on the Toronto Stock Exchange and Magna was named in the article. I didn’t really understand their accounting and financial methods so to put my mind at ease I chose to sell the stock. Also I felt that the stock should have been trading higher and maybe the market knows something that I don’t??

With this sell I now have the ability to make a big purchase or some smaller buys depending on how the market does in the next couple of months.

Thanks for reading.

Matthew

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5 thoughts on “Stock Sold: Magna International

  1. I hear you on the uneasiness of not understanding the accounting standards. I think its prudent to not invest in something that you dont understand.

    Looking forward to see where the funds find home next.

    R2R

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  2. I totally understand you wanting to get out of this position. No harm. You walked away with a nice gain and are free to invest in other companies with this new cash hoard. No company is immune from “irregularities.” Look at WFC. Prior to its recent scandal it was thought of as one of the most stable, solid, well run banks in the world. Even WB is/was deeply invested in the stock. All you can do is stay diversified and hold several dozen different companies to mitigate any potential negative effects that inevitably come up form time to time.

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