August 31, 2021 | RIG stock: My $15,000 US dollars position | How to invest as a value investor? | Two year | Better to be a long term investor

RIG stock: My $15,000 US dollars position | How to invest as a value investor?

Aug. 31, 2021

Introduction

I like to solve the problem of gambling on my last 10 years full time savings around $64,000 Canadian dollars. I like to put 50% into stock market, and take risk to lose 50% in order for me to learn how business works in pandemic, GTE and RIG, and track how those business performs to work with investors. 

My RIG position | Up and down | Market swing | What is next? 

I thought about missing rebound of TEVA 20%, and then decided to invest $15,000 dollars on RIG stock at price $3.67/ share, and then it went up $600, and then went down $3000 dollars, and then recovered the loss. 

I learn how to calm myself and do nothing, and then track what is going on about market. I like to learn how market works this dramatic swing, most investors cut loss and sell RIG stocks. RIG stock price went down to $2.8/ share, and I only purchase 100 more shares in my IRA Ameritrade.com USA account at lower price $2.8/ share. 

I do not like to gamble, since I have worry about bankruptcy of RIG, if delta variant slows down everything. But if it is the case, then I should not worry about money. I should worry about more important things in my life. 

If I do not purchase 4000 shares of RIG, then I will not spend two hours to read RIG quarterly report. I chose to invest on commodity, since it is easy to calculate compared to other business. I like to start from a simple business like oil industry. 

My homework | 50+ oil stocks | My tracking tool 

I also like to track 100 oil stocks, since I know some of oil stock may have very good articles to read under Yahoo -> Finance. I spent a few hours to put together a portfolio in June 2020, and then I named it nicely today so I can lookup more often. 

Reading is No. 1 important as an equity researcher 

I like to read more articles about stocks, so that I can make some bets more often on those $15,000 US dollars. 

Comparison to GTE stock

I also hold 20,000 shares of GTE with around $4000 Canadian dollar loss. I just could not believe that small business is so risky to invest and also it is not shame to lose my capital, I should at least understand one business. 

Follow up 

Feb. 8, 2023

RIG stock price is above $7/ share, only less than 2 years after I wrote the blog. 

It is a good deal to purchase 10000 shares at lowest price as possible ($2.4/ share in Sept. 23. 2022), and then hold it until 2 years or price much higher ($7/ share)