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Here's What to Do When a Stock You Own Sparks Controversy


Uh oh. One of the biggest companies in your portfolio is on the front page of the newspaper, and it's not because they just smashed analysts' earnings expectations. It's unclear exactly what they did, but people are mad about it, and the stock is threatening to crater -- and you're feeling the initial pang of panic give way to the urge to sell your shares, pronto. 

In these situations, I suggest taking a deep breath and canceling your sell order, at least for the moment. Controversy is a fact of your investing life, and it's your responsibility to understand how to react to it. And a lot of the time, things won't be nearly as bad as you might suspect. 

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Source Fool.com

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