I mentioned Habit (HABT) as being a nice buy-and-hold. It was making a nice run until the last quarterly report which took the stock for a nose dive. I still believe this will be a nice stock in the long-term but there are many factors that are causing this stock to not be as nice investment for the short-term that has caused me to get rid of it in my stock portfolio.
First, the quarterly report was rather bearish on the guidance. It was stated to be much lower than expected. The minimum wage rising per hour will also cause more disruption for the revenues.
Second, regarding the market, Lowes (LOW) recently had a bearish outlook to their guidance. If you look at Home Depot (HD) and Lowes (LOW), technically, there stock price is trending downward. Remember in the last recession, these were leading indicators that eventually led to the recession.
Again, use your own due diligence, but in the point in the market, I rather be more conservative and wait to invest during the downturn. I was heavily invested before the last recession which meant I did take many losses as other investors did. I rather have some reserves this time to get bargains during the next downturn.
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