Acting on panic never helps investors, but it's still a good idea to question why you're really buying individual investments.
Consider chip equipment supplier Applied Materials
Here at The Motley Fool, we like to consider both the good and bad sides of an investment, so in this article I'm highlighting three of the main bearish arguments on Applied Materials today. But be sure to read the bullish side as well, and then weigh in with your own comments below or rate Applied Materials in CAPS.
1. Slowing chip growth
Despite explosive semiconductor growth this year, signs are surfacing that the rapid growth in the chip sector won't hold up. Intel
2. Sliding solar
Along with Chinese solar players Trina Solar
3. Sector underperformer
Some CAPS members, unsatisfied with Applied Materials' share performance, have abandoned the company in favor of better situated peers. The stock is far from its prerecession levels and has shed 18% of its value over the past year, compared with 20% 52-week gains by smaller peer Lam Research
To see details of what CAPS members are saying now about Applied Materials, just click on over to Motley Fool CAPS and have a look, or add your own thoughts directly to this story in the comments box below.