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> Out of all the tech companies that IPO’d in the past few years, Cloudflare is one that the most potential to excel long term If you think this, you should be

> Out of all the tech companies that IPO’d in the past few years, Cloudflare is one that the most potential to excel long term If you think this, you should be happy and buy more of the stock. I don't know enough to say if I think it's a good idea, but if you do, don't be sad, buy more of it.

OJFord 4y ago
I both agree with you, and sympathise with GP because I'm bad at following your/my own advice. I suppose it comes down to conflicting opinions/strategies - I'd be way over-allocated in Amazon & Cloudflare (and probably 'tech' and the USA) if I always did.
ip26 4y ago
You can think they are a good company while also being fearful they won't survive the macro.
- jshen 4y ago
  They aren’t a good company if they can’t survive the macro.
  - drakythe 4y ago
    This is an astonishingly limited view of what makes a “good company”.
    - jshen 4y ago
      Not really. If you can’t handle a down turn, how are you a good company?
      - haswell 4y ago
        This all gets a bit messy when trying to use a simple binary designation of "good" or "bad" to describe a company based on all factors about that company. Good companies come and go. Good companies of old no longer exist because the world changed. Some companies are good for awhile, and then lose their way. Nuance abounds. Not putting words in the parent commenter's mouth, but maybe a different way to say this is that Cloudflare is a good product. A product can be both great, and not viable under some conditions. The two are not mutually exclusive.
        jshen 4y ago
        Great distinction!
        nradov 4y ago
        It's interesting to look at the list of 11 companies profiled by Jim Collins in his classic 2001 business book "Good to Great". How many of them are still considered great today? In other words, is being great at one point of any value in predicting long-term success? Abbott Laboratories Circuit City Stores Fannie Mae Gillette Company Kimberly-Clark Kroger Nucor Philip Morris Pitney Bowes Walgreens Wells Fargo https://www.harpercollins.com/products/good-to-great-jim-collins?variant=32116997292066 https://www.harpercollins.com/products/good-to-great-jim-col...
        jshen 4y ago
        Again, they aren’t a good company today if they can’t weather a down turn. They may have been a good company in the past, but they aren’t currently if they can’t make it.
        nradov 4y ago
        That definition of "good company" is close to being just a tautology. It isn't useful to investors or business managers. Are there any consistent patterns which allow us to reliably predict which good companies will contine being good longer term?
        jshen 4y ago
        What's your definition of a good company? If people could reliably predict which companies are and will remain good then they will be very rich. Most of us can only know in hindsight for the most part. This is why virtually no one picking individual stocks beat the S&P 500 index over the long run.
        drakythe 4y ago
        This is basically what I was getting at. Everyone has different definitions of "good" and to limit it strictly to "Survives the current market" is both limited and asking for abuse. E.G. I would argue there is absolutely nothing "good" about US health insurance companies, but they continue to be financially successful. My belief in their goodness, or lack thereof, has absolutely nothing to do with their finances. It is the same reason I won't invest in Crypto currencies or NFTs. The line may be going up but so is the global temp. Not good.
      - mypalmike 4y ago
        A tech company that makes large capital outlays expecting growth might do very well in an expanding economy but get destroyed in a recession.
xmprt 4y ago
Yes and no. You might not have cash to spare (especially in such a volatile period). Also, investing more might exceed your exposure limit to a single stock/industry.
- zitterbewegung 4y ago
  Sure you should have a diversified portfolio but everything is also on discount. Warren Buffet went on a buying spree. If you don't have cash to spare thinking about investing isn't what you should focus on but instead doing basic financial wellness like having a savings account. Also cash has been outperforming the market so far so cash isn't necessarily a bad investment.
  - JaimeThompson 4y ago
    >If you don't have cash to spare thinking about investing isn't what you should focus on but instead doing basic financial wellness like having a savings account. There are an incredible number of reasons why they might not be able to invest right now so perhaps it isn't the best thing to immediately goto implying they don't even have a savings account.
  - deleted 4y ago
    [deleted]

OJFord 4y ago

I both agree with you, and sympathise with GP because I'm bad at following your/my own advice. I suppose it comes down to conflicting opinions/strategies - I'd be way over-allocated in Amazon & Cloudflare (and probably 'tech' and the USA) if I always did.

ip26 4y ago

You can think they are a good company while also being fearful they won't survive the macro.

jshen 4y ago
They aren’t a good company if they can’t survive the macro.
- drakythe 4y ago
  This is an astonishingly limited view of what makes a “good company”.
  - jshen 4y ago
    Not really. If you can’t handle a down turn, how are you a good company?
    - haswell 4y ago
      This all gets a bit messy when trying to use a simple binary designation of "good" or "bad" to describe a company based on all factors about that company. Good companies come and go. Good companies of old no longer exist because the world changed. Some companies are good for awhile, and then lose their way. Nuance abounds. Not putting words in the parent commenter's mouth, but maybe a different way to say this is that Cloudflare is a good product. A product can be both great, and not viable under some conditions. The two are not mutually exclusive.
      - jshen 4y ago
        Great distinction!
      - nradov 4y ago
        It's interesting to look at the list of 11 companies profiled by Jim Collins in his classic 2001 business book "Good to Great". How many of them are still considered great today? In other words, is being great at one point of any value in predicting long-term success? Abbott Laboratories Circuit City Stores Fannie Mae Gillette Company Kimberly-Clark Kroger Nucor Philip Morris Pitney Bowes Walgreens Wells Fargo https://www.harpercollins.com/products/good-to-great-jim-collins?variant=32116997292066 https://www.harpercollins.com/products/good-to-great-jim-col...
        jshen 4y ago
        Again, they aren’t a good company today if they can’t weather a down turn. They may have been a good company in the past, but they aren’t currently if they can’t make it.
        nradov 4y ago
        That definition of "good company" is close to being just a tautology. It isn't useful to investors or business managers. Are there any consistent patterns which allow us to reliably predict which good companies will contine being good longer term?
        jshen 4y ago
        What's your definition of a good company? If people could reliably predict which companies are and will remain good then they will be very rich. Most of us can only know in hindsight for the most part. This is why virtually no one picking individual stocks beat the S&P 500 index over the long run.
      - drakythe 4y ago
        This is basically what I was getting at. Everyone has different definitions of "good" and to limit it strictly to "Survives the current market" is both limited and asking for abuse. E.G. I would argue there is absolutely nothing "good" about US health insurance companies, but they continue to be financially successful. My belief in their goodness, or lack thereof, has absolutely nothing to do with their finances. It is the same reason I won't invest in Crypto currencies or NFTs. The line may be going up but so is the global temp. Not good.
    - mypalmike 4y ago
      A tech company that makes large capital outlays expecting growth might do very well in an expanding economy but get destroyed in a recession.

xmprt 4y ago

Yes and no. You might not have cash to spare (especially in such a volatile period). Also, investing more might exceed your exposure limit to a single stock/industry.

zitterbewegung 4y ago
Sure you should have a diversified portfolio but everything is also on discount. Warren Buffet went on a buying spree. If you don't have cash to spare thinking about investing isn't what you should focus on but instead doing basic financial wellness like having a savings account. Also cash has been outperforming the market so far so cash isn't necessarily a bad investment.
- JaimeThompson 4y ago
  >If you don't have cash to spare thinking about investing isn't what you should focus on but instead doing basic financial wellness like having a savings account. There are an incredible number of reasons why they might not be able to invest right now so perhaps it isn't the best thing to immediately goto implying they don't even have a savings account.
- deleted 4y ago
  [deleted]