$Venture Global, Inc.(VG)$ I find it interesting that the best articles I write here about losses always do way better than wins. And VG is my worse performing stock ever In tiger trade. And yet I'm adding. Am i flogging a dead horse?
Ok let's revisit my assumptions. I started a position in VG in the $15 range, it's dropped as low as the mid $5, and is now it's mid $6 pre trading today. Not a good result. Bloody awful actually. have I been buying it? Yes, why, we will get to that next paragraph. But my DCA is now $10, I keep buying it... bring on the next paragraph.
Venture global is the largest exporter of LPG in the USA. Soon to be the largest in the world frankly. They got greedy maybe in 2022, sold a lot of gas on the spot market for approximately 20 billion, and shell and exon and a few others filed law suits for breach of contracts. the combined law suits add up to about $4 billion. But shell lost their first arbitration, then more recently exon won their arbitration.
My biggest mistake was buying call options in this company. Never buy calls on a maybe, that's my lesson learned.
VG is still a maybe, but it's huge, massive actually, and the potential to spin off its infrastructure business is... a reality going forward.
Sadly I got in at around $15, but been accumulating now I'm at $10, and it's trading at mid $6 atm. This is the dilemma all investors face. Cut your loss or double down.
So where do I sit? That's easy, on every single valuation metric VG is insanely cheap. I absolutely love it when perception is massively out of step with reality.
Realistically, I think it will go sideways for a few more months. Then resolutions will be sorted, thus uncertainty will be resolved. The street punishes uncertainty. But once uncertainty is resolved, the mindset changes.
For me personally, it's a massive buy, but no need to do it tomorrow. I'll just accumulate and be patient. Reduce my DCA, this for me is not a short term thing.
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