Portfolio Transaction - Buying this Compounder
My Portfolio now includes six positions. I want to own a maximum of six to eight companies. Since there are still some very interesting companies on my watchlist, I will have to focus a lot on opportunity costs in the future.
I consider that a very difficult task. Figuring out a stock is undervalued and offers a margin of safety is not easy, but your success rate in picking them can be quite good with the right approach.
Comparing them among each other and finding out which is going to outperform the others is more difficult.
But we’ll see how that turns out when I publish the analysis on the remaining watchlist companies in the next few weeks.