When I buy a stock, I'm usually prepared to own it for several years. But sometimes lightning strikes and I'm able to exit much sooner. Such was the case with Culp Inc, which I discussed only two months ago as a potential value investment.
Shares of CULP traded as low as $5 just a few short weeks ago. Last week, they traded up over $10! I must have just gotten lucky with timing. One minute it's "OMG Covid is gonna destroy our way of life" and the next it's "New homeowners are going to need a never-ending supply of mattresses!". I try not to get caught up in the narratives; if a company reaches my target for its intrinsic value, I'm looking to get out and find something with a margin of safety.
Disclosure: No position
Mea CULPa
I know I bought low with the intention to hold, but it doubled, so I sold it.
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