@freed0mandtruth I think once Disney sheds ABC and some other legacy assets and focuses on the parks, movies and streaming it will pick up steam. But the overall advice here to get out and reinvest is right on.
30-40k all in Disney stock what do I do?
- Thread starter loreec
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resjudicata
New member
@loreec Yeah sell now and reinvest at this point you are long term but what the gains are probably still pretty significant and count as the income part but if you are still combined less than 45k I think it is then it is a zero percent capital gains long term.
So you might not want to cash it all out but anything n above the 45k is 15% capital gains long term. With the income you indicated you are all in for 52k so you are roughly looking at 1050 in taxes total but that’s napkin math.
So you might not want to cash it all out but anything n above the 45k is 15% capital gains long term. With the income you indicated you are all in for 52k so you are roughly looking at 1050 in taxes total but that’s napkin math.
catsareawesome
New member
@loreec I would not. Disney is currently at roughly a 5 year low. It’s a solid company and I personally think it’s a bargain.
I’m all for diversifying, but selling this low would bother me.
Then again, maybe it takes 5-7 years for it to double again and in that case, may as well go with an index.
Congrats by the way.
I’m all for diversifying, but selling this low would bother me.
Then again, maybe it takes 5-7 years for it to double again and in that case, may as well go with an index.
Congrats by the way.
@catsareawesome He should sell because it’s a chance to get out without paying taxes, prob won’t happen again. And If you had $40K cash and that was most of your money, would you buy SPY or DIS right now? That’s the real question, “selling low” or not is kind of irrelevant
resjudicata
New member
@loreec You're in a tough position.. I actually feel bad, b/c DIS has lost half it's value in the past 2 years.. So .. about 2 years ago, it would've been closer to $60k-$80k.
Anyways, you're jumping in the trading arena without a lot of knowledge. Regardless, being all in 1 position is bad idea in the first place. I say that being a person that was guilty of this over a decade ago.. (but it was Amazon
). So, maybe sell a portion.. Diversify. When you say S&P500, I assume you mean SPY, which is a very good novice investing position. SPY is a diversified ETF in itself, which historically yields 10% per year (over time).
There are also high paying savings accounts that yield around 5%, so another option that's available.
Anyways, you're jumping in the trading arena without a lot of knowledge. Regardless, being all in 1 position is bad idea in the first place. I say that being a person that was guilty of this over a decade ago.. (but it was Amazon
). So, maybe sell a portion.. Diversify. When you say S&P500, I assume you mean SPY, which is a very good novice investing position. SPY is a diversified ETF in itself, which historically yields 10% per year (over time). There are also high paying savings accounts that yield around 5%, so another option that's available.
worried249
New member
@loreec I inherited IBM, used it to pay for college, my first house, and part of my wedding. Thanks to dividend reinvestment, I now have more shares than ever before.
Disney isn't quite as good a long term performer as IBM but it isn't going anywhere, you would be safe to leave it in place.
That said, a set and forget diversified ETF portfolio is going to out perform Disney. At your age, an all stocks IRA like the 3 fund bundle of VOO, AVUV, and AVDV would probably have the best long term prospectus.
Disney isn't quite as good a long term performer as IBM but it isn't going anywhere, you would be safe to leave it in place.
That said, a set and forget diversified ETF portfolio is going to out perform Disney. At your age, an all stocks IRA like the 3 fund bundle of VOO, AVUV, and AVDV would probably have the best long term prospectus.