The Softer Side of Investing
Sometimes you just have to go with your gut. Forget PE ratios or book value for a moment (not altogether though). And think about what you really like or don't like about a company's product or service. Or maybe its the management that really impresses you, or not.
I decided to write this post after thinking about the emotional side of investing. Most people will tell you to keep your emotions out of the way. And in many cases that is good advice. But when it comes to picking a stock to invest in, sometimes your intuition is your best friend.
One of my favorite stocks is IMAX. I realized that my love affair with them started several years ago when I took my daughter, who was in 4th grade at the time, to an IMAX movie at the Denver Museum of Nature and Science. At the time, they had one of the biggest movie screens in the world. We watched a movie about the solar system, and my daughter was whispering interesting facts about each planet in my ear as we gazed at the spectacle over our heads. It was fascinating and awe inspiring, not to mention a bit embarassing!
Since then their stock has soared. They are signing deals left and right with China, Russia, and other parts of the world who are just discovering the beauty of IMAX. I'm an investor in their stock because I have a good feeling about them. And of course, their earnings story is pretty good, too!
I'm interested in hearing other Fool's thoughts and opinions on this subject. Feel free to flame away!