Q: I have a big drop -34% in SHOP and following your response earlier today that it may take 1-2 quarters to come back up, is there in your opinion a big risk of selling to claim the capital loss and buy back in 30 days?
Thanks
Thanks
5i Research Answer:
SHOP can be a very volatile stock, so a tax-loss/re-buy strategy is riskier than most. Generally, though, we are OK with such a plan, as the tax saving is guaranteed, and any stock up movement is not. But with earnings out, the stock should be a little less volatile than usual.