There have been some extraordinary share price movements in the past month. Despite having a list of stocks I was watching, I (like many investors) was too gun-shy to pull the trigger and load up on some bargains.
Here are 3 ASX shares I could have, would have, and should have bought last month.
Afterpay Ltd (ASX: APT)
There was a great deal of rhetoric floating around finance channels that I follow, pointing to a bitter future for Afterpay. Some of the bearish narrative was that with unemployment surging and discretionary retail suffering, the company's services would suffer from missed payments and eventually become redundant.
The Afterpay share price has rocketed more than 390% after hitting a low of around $8 at the end of March. The buy now, pay later company has been on the receiving end of some very promising news which has seen investors flock to buy shares. Just recently, the Afterpay share price received a huge boost after tech giant Tencent took a $300 million stake in the company.
Pointsbet Holdings Ltd (ASX: PBH)
Pointsbet is another stock I should have bought last month, with the company's share price surging more than 280% from its low in March. Pointsbet listed on the ASX in June last year at $2.00 and was trading below its issue price during the market turmoil.
The company provides online sports and racing betting services via its cloud-based platform with exposure to both the Australian and US markets. The company's US operations provide a huge opportunity after the Supreme Court overturned legislature that banned sports betting.
Despite the huge opportunity in commercialisation of legal online sports betting, I couldn't bring myself to invest in the company with sports events all around the world grinding to a halt.
Kogan.com Ltd (ASX: KGN)
With a great majority of the population confined to staying indoors, e-commerce companies like Kogan have seen a surge in sales. The company has been on the receiving end of huge demand as people look to stock up on home office and fitness equipment, whilst also splurging on discretionary products from the safety of their homes. As a result, the Kogan share price has bounced back more than 140% after hitting a low of $3.45 in March.
Kogan recently released a trading update informing the market that it saw a 30% increase in gross sales and 23% increase in gross profit in the March quarter. The company has been able to navigate through the disruptions of the coronavirus pandemic, seeing the largest monthly increase in active customers since its IPO.
Should you buy?
Although these stocks have had monster moves, I think it would be unwise to invest when the share price has had such a volatile move in such a short period of time. Instead, I will be keeping these stocks on a watchlist and wait for a pullback before making an investment decision.
