To The Moon

In recent years, there has been tremendous hype and investor interest around AI and SaaS (Software as a Service) stocks. This attention has been largely driven by breakthroughs in artificial intelligence, growing adoption across industries, and the narrative that these technologies represent the future. As a result, valuations of many companies in these sectors have soared, often far beyond their historical averages.

While I acknowledge the long-term potential of AI and SaaS, I maintain a disciplined investment approach. Although many of these stocks are on my watchlist, they are rarely on my buy list. In my Tiger Brokers account, I make use of a practical strategy: I set price alerts for each stock on my watchlist, typically around their 52-week lows. This system allows me to be notified when a stock potentially reaches a more attractive entry point, based on historical support levels.

So far, many of the AI and SaaS stocks I monitor have not approached these low-price thresholds, which means my alerts haven't been triggered. This indicates that these stocks are still trading at relatively high valuations — too expensive for my risk-reward criteria. As a result, I currently spend less time focusing on them and more time seeking better opportunities elsewhere in the market.

I strongly believe in buying quality stocks at reasonable or undervalued prices, rather than chasing momentum or popular trends. I aim to invest based on valuation, fundamentals, and long-term potential rather than hype. Even though AI and SaaS are exciting sectors, the current pricing often reflects excessive optimism, leaving little margin of safety for investors.

This approach also helps me avoid FOMO (fear of missing out). It’s easy to get caught up in the excitement when a stock is skyrocketing due to headlines or social media buzz. However, chasing expensive stocks rarely ends well, especially if the fundamentals don’t support the valuation.

Additional Points:

• Patience is key: Great companies often go through cycles, and there may eventually be opportunities to buy them at fairer prices during market corrections or downturns.

• Diversification matters: Instead of overconcentrating in overhyped sectors, I prefer to diversify across undervalued or overlooked industries that offer better risk-adjusted returns.

• Valuation: No matter how innovative or promising a company may be, I avoid overpaying. Valuation discipline is one of the core principles that protect long-term capital.

• Alerts: Using tools like price alerts removes emotional decision-making. I don’t need to monitor the market daily — the system notifies me when it’s time to act.

• I prefer to wait for attractive entry points rather than buying into inflated prices and hoping for continued growth.

In summary, while AI and SaaS stocks hold exciting potential, I prioritize price and value over popularity. This mindset helps me stay grounded, focused, and aligned with my investment goals.