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Welcome to Episode #439 of the Value Investor Podcast.
Every week, Tracey Ryniec, the editor of Zacks Value Investor portfolio, shares some of her top value investing tips and stock picks.
Over the last 10 years, Tracey has featured Intel, Micron, and Caterpillar as value stocks on the Value Investor Podcast. Micron and Caterpillar are “cyclical” stocks which means their earnings move higher, and lower, in cycles.
In the cycles, they can have extremely low price-to-earnings (P/E) ratios and show up in value stock screens.
Intel has been in the doghouse with investors for years, with the stock only breaking out to new all-time highs this year for the first time since the dot-com boom in 2000.
Intel has been the true epitome of a value stock over the years. It traded with low fundamentals like price-to-earnings (P/E) and price-to-sales (P/S) ratios.
But that was then, and this is now. In 2026, all three stocks are busting out to new highs.
When Should a Long-Term Investor Sell a Winning Stock?
Most value investors are buy and hold investors, also known as long-term investors. As famed value investor Warren Buffett has said, the best time to sell a stock is never. Buffett himself has famously owned some of his stocks, like Coca-Cola, for decades.
But when a stock has an extraordinary return over a brief period, most investors start wondering if they should sell.
Here is a checklist for investors to consider:
Every investor should have a plan. Why are you investing? Is the money going towards a goal like retirement, college tuition, a new car, or house down payment?
When is that plan’s completion date? Is it a short-term 1-year plan or a 20-year one? Have you reached your goal?
Have a strategy. When a stock has extraordinary returns, your strategy may be to cash in 25% or 50% to lock in profits at a certain point in time. There is no reason you must sell all of your shares or hold onto all of them. You can sell just part of your position.
If you can’t sleep at night, create a new strategy.
Knowing when to sell a stock is one of the toughest things in investing.
Look at Warren Buffett. Over the last 2 years, he’s been selling a chunk of Berkshire Hathaway’s shares in Apple. Yet, Apple has gone on to hit new highs after he has sold.
Even the greatest investor of all time has left money on the table. No one can time a sale perfectly. Remember, have a plan, and execute a strategy.
Intel is a semiconductor company that was one of the “tech titans” of the 1990s and dot-com boom, but which fell out of favor after the dot-com bust.
But in the last year, shares of Intel have jumped 504.3%, and are one of the top performing S&P 500 stocks in the last month. Intel has added 107.5% in that time.
Intel is no longer cheap. It trades with a forward P/E of 119. But earnings are expected to rise 150% in 2026.
Should investors consider selling shares of Intel after this rally?
Micron is a technology company that’s in semiconductor memory. It’s always been a cyclical. But this has been a huge rally during this cycle.
Shares of Micron are up 826.3% in the last year, with shares jumping 89% in the last month.
Micron is still cheap on a P/E basis. It has a forward P/E of 12.8. A P/E under 15 usually indicates a stock is a value. How could the P/E be so low with the shares soaring? Earnings are soaring too.
Micron is expected to grow earnings by 605% in 2026 and another 67.7% in 2027.
Should investors consider cashing in their Micron shares after this rally?
Caterpillar is an old economy company that manufactures mining and construction equipment. Are you surprised to see that it’s a hot big cap stock too?
Shares of Caterpillar are up 184.6% over the last year and have gained 17.2% in just the last month. It’s now at new all-time highs.
Earnings are expected to rise 27% this year and 22.4% next year. Caterpillar is now trading with a forward P/E of 37 as growth and momentum investors rush in.
Many buy and hold investors have been in Caterpillar over the last year.
Should investors consider cashing in their Caterpillar shares after this rally?
What Else Should You Know About When to Sell a Winning Stock?
Tune into this week’s podcast to find out.
[In full disclosure, the Zacks Insider Trader portfolio now owns shares of Caterpillar. It did not own them on the date the podcast was recorded on May 6, 2026.]
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How Do You Know When to Sell a Winning Stock?
Key Takeaways
Welcome to Episode #439 of the Value Investor Podcast.
Every week, Tracey Ryniec, the editor of Zacks Value Investor portfolio, shares some of her top value investing tips and stock picks.
Over the last 10 years, Tracey has featured Intel, Micron, and Caterpillar as value stocks on the Value Investor Podcast. Micron and Caterpillar are “cyclical” stocks which means their earnings move higher, and lower, in cycles.
In the cycles, they can have extremely low price-to-earnings (P/E) ratios and show up in value stock screens.
Intel has been in the doghouse with investors for years, with the stock only breaking out to new all-time highs this year for the first time since the dot-com boom in 2000.
Intel has been the true epitome of a value stock over the years. It traded with low fundamentals like price-to-earnings (P/E) and price-to-sales (P/S) ratios.
But that was then, and this is now. In 2026, all three stocks are busting out to new highs.
When Should a Long-Term Investor Sell a Winning Stock?
Most value investors are buy and hold investors, also known as long-term investors. As famed value investor Warren Buffett has said, the best time to sell a stock is never. Buffett himself has famously owned some of his stocks, like Coca-Cola, for decades.
But when a stock has an extraordinary return over a brief period, most investors start wondering if they should sell.
Here is a checklist for investors to consider:
Knowing when to sell a stock is one of the toughest things in investing.
Look at Warren Buffett. Over the last 2 years, he’s been selling a chunk of Berkshire Hathaway’s shares in Apple. Yet, Apple has gone on to hit new highs after he has sold.
Even the greatest investor of all time has left money on the table. No one can time a sale perfectly. Remember, have a plan, and execute a strategy.
Should You Sell These 3 Winning Stocks Right Now?
1. Intel Corp. (INTC - Free Report)
Intel is a semiconductor company that was one of the “tech titans” of the 1990s and dot-com boom, but which fell out of favor after the dot-com bust.
But in the last year, shares of Intel have jumped 504.3%, and are one of the top performing S&P 500 stocks in the last month. Intel has added 107.5% in that time.
Intel is no longer cheap. It trades with a forward P/E of 119. But earnings are expected to rise 150% in 2026.
Should investors consider selling shares of Intel after this rally?
2. Micron Technology, Inc. (MU - Free Report)
Micron is a technology company that’s in semiconductor memory. It’s always been a cyclical. But this has been a huge rally during this cycle.
Shares of Micron are up 826.3% in the last year, with shares jumping 89% in the last month.
Micron is still cheap on a P/E basis. It has a forward P/E of 12.8. A P/E under 15 usually indicates a stock is a value. How could the P/E be so low with the shares soaring? Earnings are soaring too.
Micron is expected to grow earnings by 605% in 2026 and another 67.7% in 2027.
Should investors consider cashing in their Micron shares after this rally?
3. Caterpillar Inc. (CAT - Free Report)
Caterpillar is an old economy company that manufactures mining and construction equipment. Are you surprised to see that it’s a hot big cap stock too?
Shares of Caterpillar are up 184.6% over the last year and have gained 17.2% in just the last month. It’s now at new all-time highs.
Earnings are expected to rise 27% this year and 22.4% next year. Caterpillar is now trading with a forward P/E of 37 as growth and momentum investors rush in.
Many buy and hold investors have been in Caterpillar over the last year.
Should investors consider cashing in their Caterpillar shares after this rally?
What Else Should You Know About When to Sell a Winning Stock?
Tune into this week’s podcast to find out.
[In full disclosure, the Zacks Insider Trader portfolio now owns shares of Caterpillar. It did not own them on the date the podcast was recorded on May 6, 2026.]