Investing can be a challenging journey, filled with ups and downs. But according to CNBC’s Jim Cramer, one thing to remember is to stick with your thesis, even in the face of naysayers and challenges.
In a recent article, Cramer shared a personal story about a time he gave up on his bull thesis for Boeing, a decision that he later regretted. He believed in the company’s potential for a strong comeback during the post-Covid travel boom, but grew discouraged as the company faced setbacks and poor quarters.
Cramer admitted that he lacked the patience and pain tolerance to stick with his original thesis, which ultimately turned out to be correct. He ended up selling his final shares of Boeing in May of 2022 at $121, missing out on the eventual rally that saw the stock price surpass $200.
The lesson Cramer learned from this experience is valuable for all investors: If you believe in your thesis and it looks like it will play out in the long run, don’t let unrelated negatives scare you away. Sometimes, the road to success in investing requires patience and the ability to ride out volatility.
As Cramer put it, “If you have a thesis that looks like it’s going to play out, don’t let its unrelated negatives scare you away.” In the world of investing, staying true to your convictions and having the fortitude to stick with your strategy can lead to success in the long term.
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