New Small Cap in my Portfolio - February 6, 2024

The first position in my small cap portfolio

As I told you, after using my small caps screener (available here), I was able to select the first stock to be included in my small caps portfolio. The purpose of this article is to introduce you to this company and remind you of my investment method.

My small cap investment method

I won’t buy small cap stocks the same way I buy big caps. They are more volatile, unpredictable and less followed by analysts and investors.

Therefore, I will follow these rules:

• My positions will be very small (1/10th of a normal position). This will allow me to

  • Limit the risk for each stock

  • Easily reinforce if the stock price falls - and my investment thesis is the same

  • To get my foot in the door and then reinforce or exit

• I won’t focus too much on the price even if, of course, I don’t want to unreasonably overpay

And now, it is time to discover the company and why I bought it.