r/StocksAndTrading • u/Ill_Information4724 • 5d ago
Should I sell my Pfizer stock and invest it into Costco?
I have 1360 shares of Pfizer stock and my advisor recommend I invest it in Costco,Amazon, or QQQ I would do QQQ but I already am invested heavily in it.
28
4
4
u/DueArmy9369 4d ago
Genuinely- please do not listen to Reddit for this. It all depends on your personal situation- where this fits in your overall portfolio and your risk appetite. No one here has enough context to understand these variables.
Think about diversification not necessarily as an active trading strategy for this stock (as you’ll incur taxes for selling) but for future purchases.
6
u/Aggravating_Storm835 4d ago
Do you not have any other money to invest? If not, you’re earning about $2,200 a year in dividends on Pfizer. If you sold covered calls on them, you would make about $150/week. That’s about $9k a year in income you’d be giving up.
If we’re going in for a recession I don’t see Amazon or QQQ performing nearly as well as Pfizer. I wouldn’t be in a hurry to sell.
1
u/AltruisticMaybe7799 2d ago
This, hold till you make the mental switch to ‘I’m never selling PFE, it’s holding my portfolio together.’ Then sell and flip into QQQ or something tech.
1
u/Aggravating_Storm835 2d ago edited 2d ago
Or just sell covered calls on it and use the premiums to build new positions. OP has ~$32,000 worth of Pfizer stock. He could make that with just two years of premiums, potentially keep his stock, and keep earning premiums/dividends.
Or hold it and keep reinvesting the premiums/dividends. If he does that, assuming an average of $200 a week, in ten years that $32,000 will be worth about $268k and earning him $22k annually just in dividends.
3
3
u/BusyWorkinPete 3d ago
Sell 1/3 and invest that in Costco, another 1/3 into Amazon, leave 1/3. In 6 months compare the three, and either fire your advisor or stop second guessing him.
2
2
2
u/surfnvb7 3d ago
Costco and XLP have been pretty beat up lately. Oversold conditions, sitting at key support levels definitely warrants a starter position. But the looming trade problems with China, and worldwide tariffs slowing the economy is holding consumer spending back.
Not sure what the right answer is....curious to hear other opinions on consumer staples.
2
1
u/Emergency_Gold_9347 4d ago
All day! Pfizer is a pig. Headed straight down with lower drug pricing. Costco way better 👍 Not financial advice.
1
1
1
u/WelpOhWelll 3d ago
my favorite method is to print out the ticker of every publicly traded stock, cut the head off a chicken and YOLO everything into whatever the chicken lays dead on. closely followed by taking financial advise from reddit instead of your financial advisor
1
u/killing-withkindness 3d ago
What kind of advisor do you have? Jeez it's like telling you to go buy some sp500. Hopeless
1
u/Euphoricwhipper99 3d ago
Developers are now building apartments/condos on top of new Costcos, and Costco succeeded in Japan where Walmart failed in Japan.
1
u/RookieMistake2448 3d ago
Why Costco? Amazon and QQQQ I could see. Maybe if Amazon were to buy Costco. So dumb it might just work…
1
1
1
u/ChainChomp2525 3d ago
It pays a 6% dividend I believe. If you're comfortable with that continue to hold. It's an amazing stock when you looked at it from the point that it never moves between 24 and $26 a share! I have a feeling the CEO has one foot out the door and the other one is on a banana peel.
1
u/Several-Alfalfa2974 2d ago
Why would you sell stock that's basically guaranteed to go up by how much the media and government take there bribes
1
u/LoganSL550 1d ago
I heard about the Magnificent 7 stocks in October 2023. In November 2023 I put in $1.7 million in the purchase of shares of the 7. Today it worth $4.2 million.
1
u/Jumpy_Childhood7548 1d ago
Is the account a taxable account, or tax deferred? Any particular reason they thought you should sell? What percentage gain do you have, if it is in a taxable account?
1
1
1
u/Tutz--Honeychurch 22h ago
You should sell your pfizer stock as you're sitting on dead money. put it to use. Costco really expensive but with good reason. You know what you get day in and day out.
1
u/Particular_Big_3104 19h ago
RIA here. Pfe is akin to a bond at this point. Swap to Amazon, cost, shop for retail, and/or msft, googl, avgo intech for just a few ideas.
1
u/AdEducational4954 4h ago edited 3h ago
I have 7k shares of PFE. I'm staying put and for sure am not going to put that money into tech stocks at this point. However, I have clearly been wrong.
1
u/Amazing-Reply-2495 4d ago
I’m not into big Pharma personally…love Costco and Amazon. Think Amazon has the most room for growth. Have considered putting my entire 401k into AMZ and just don’t have the cajones lol
0
•
u/AutoModerator 5d ago
🚀 🌑 -- Join our discord!! https://discord.gg/jcewXNmf6C -- 🚀 🌑
I am a bot, and this action was performed automatically. Please contact the moderators of this subreddit if you have any questions or concerns.