Key insights
- The author expresses strong bearish sentiment towards Adobe (ADBE) due to competitive pressures from AI models like Anthropic's Claude. They believe dip-buying in Adobe is futile and highlights the underperformance of value stocks like Nike. The author is shifting investment strategy towards ETFs, suggesting a broader market trend away from individual stock picking and value strategies.
I understand reversion to mean and being oversold, probably trying to buy at these prices and hope for a quick 20-30% rebound maybe but at this point whoever keeps buying the dip must realize that the drops just keep coming and will keep happening?
All Anthropic has to do is announce what it had for lunch and Adobe stock pukes. It’s become clockwork. And we know Anthropic is gonna keep announcing new features for Claude.. if doesn’t stop here and we’ve seen how Adobe reacts to it? Dumps each time
It’s just incomprehensible to me that people have been buying this dip since the 600s and it continues going lower. Sunk cost fallacy? Are you just trying to catch an oversold rebound and sell? Do any of you actually believe you’re getting the deal of a lifetime and plan to keep buying the dip? Godspeed.
I’m also done with value investing. Transitioned mostly to ETF’s. All these “under valued” stocks just keep going down. Whether it’s tech and Adobe or consumer staples or any other “under valued” company. Nike another example. They just keep dropping. No one wants them. Except r/ValueInvesting lol
. I’m sure some of these companies will rebound but I’m done trying to be smarter than the market. Which is what we all are doing on this sub… we think the market is wrong so we keep buying that unloved stock. I’m done with that. God bless ETFs
So yeah. Good luck to you all. Happy investing.