Sometimes, you must admit defeat in the investing world. I recently did that with my Zoom Video Communication (NASDAQ: ZM) shares, as I have completely sold out of my position. Unfortunately, this sale was at a loss, but there's a reason I'm OK with taking a loss on this investment.

Please continue reading to discover why I decided to move on and where I think better opportunities are available.

Unlike many investors, my first purchase of Zoom stock wasn't in 2020 before the stock spiked; it was in mid-2022 after the stock had crashed. At that time, Zoom was trading for around $120 per share and carried a reasonable price tag of around 25 times earnings. My thesis was simple: "Zoom Video is too cheap for its widespread use and strong profit margins." I thought that with its massive cash hoard, it would aggressively repurchase stock, boosting its earnings per share and lowering its valuation further.

Continue reading

Source Fool.com