With the continual sell off of Tech stocks, I have added more SHOP, VEEV and INMD last week. However, given that I am preserving my cash for other plan, I have to sell other counters to fund the purchase.

These are my lower conviction counters which I think might still do well in the longer time frame of 3 to 5 years. Also, as mentioned previously, these occupied tiny positions in the portfolio. So even though the percentage gain and drop are huge, the net loss from the above transactions amount to less than 6k.

SHOP has reported a very strong 2021 results but investors are spooked by its lower (but still strong) growth guidance going forward and their plan to invest heavily in the fulfilment centres for the next two years. The investment makes sense to me and will help to continue to draw more people to use their platforms going forward. Funding the expansion is a non-issue as they have more than enough cash for that. This purchase brings my average price to US$813 and it currently occupies 2.2% of my portfolio.

VEEV has always been priced expensively due to its strong hold on its software system for the life sciences sector. It should be able to continue to grow at about 20% in the coming years and if it can break into other verticals, then it will enjoy some tailwind. Currently occupies 1.4% of portfolio at US$237.

INMD is a counter which I just initiated a position last May. It’s still a young company and relatively small but with lots of potential in the area of aesthetic surgery. It continues to report strong growth number in the latest quarter with a 47% increase in its revenue. For the full year, its revenue is up 72%! What’s more is its net profit margin is more than 50%! The question is whether it can sustain such growth going forward since most of its revenue is still non-recurring. With new products and markets, the runway should be quite long and they believe that with a greater installed base, the recurring revenue will increase in the future. Almost double my stake and it now occupies about 1.0% of my portfolio at US$47.

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