Hey all - I invested into a small cap bioscience AI company that has completely tanked, it's literally down about 99% since I bought. It's got a very tiny niche area (uses language modeling to produce datasets to try help find discoveries connected to protecting the human body during spaceflight) which could be the reason why it's doing so terribly, there's probably no revenue to be made in this market area.
I'd appreciate if anyone with experience in research or biosciences/AI would be willing to take a look at it? I invested around $60k and it's now worth around $1k.. genuinely the price is down 98.8%.. I'm unsure whether to just hold and pray it recovers or just cut my losses and move on. Let me know if anyone would be willing to spend an hour looking at it and I can DM the name to you. Thanks!
When you've lost 59k on a 60k investment, I would just hold it. It's not like cutting your losses would save you much money lol.
Would broadly agree on this. It's practically worthless now, keep it in the portfolio to remind yourself that markets DO NOT reward idiosyncratic risk
Of course they do and anyone who says otherwise doesn't understand the first thing about investing
This is the sunk cost fallacy, terrible investment advice. Reevaluate yourself and make a decision. Keep in mind there are tax savings for realizing a loss. What is the ticker? I will take a look.
The tax savings is only reason you should consider to sell. I realize the mainstreaming of behavioral economics makes many think they're the next Richard Thaler or Daniel Kahneman, but sunk cost fallacy has exceptions and certainly does not apply here given a 99% loss.
Wow that sounds super interesting. Surprised this didn’t work out.
Spaceflight has a potential future so would not recommend selling. Would be interested in looking at it if you sent the ticker.
Ask yourself, "If I didn't already already own the stock, would I buy it now?" If the answer is no, then you shouldn't keep holding it. Realize your 99% loss as a tax loss and net it against gains in the rest of your porfolio. (You can carry it forward forever, if needed, and eventually you'll net it against selling a winner).
Put the text of the OP into Bard and it will tell you the name. Pretty remarkable.
Ticker VXVI wouldn't call investing in a company’s crypto coin investing in the company.
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