You couldn’t ask for a better market rebound since March 23.

It’s allowed us to make lots of money — like when we sold Kornit Digital (Nasdaq: KRNT) last month for an 80% gain in six weeks’ time.

It’s also given our remaining positions some breathing room. So, we’re going to use the rally to sell into strength at an opportune time.

Over the next few weeks, we’ll cash in profits on a few positions, and sell out of others for smaller losses than if we had panicked alongside everyone else back at the March bottom. It also frees up funds to take advantage of new possibilities as they pop up down the road.

For today, we’re going to sell two positions.

Action to take No. 1: Sell Verizon (NYSE: VZ) at the market.

We’re exiting Verizon with a 29% gain. While I still like the stock (especially its solid 4.3% dividend), I think we’ve taken it as a low-risk play on the growth of 5G as far as we can.

If things go as I suspect, there will be much better ways to play the transition to this superfast technology in the months to come. In the meantime, the pandemic dealt our economy a pretty big blow. We’re recovering, but selling costlier 5G plans may be a bit harder than it was before the outbreak.

There’s also Verizon’s tricky transition with its “FIOS” cable TV division. As 5G gets bigger, the cable TV business is likely to get smaller. Let’s make our exit now.

As for our second sale…

Action to take No. 2: Sell SmileDirectClub (Nasdaq: SDC) at the market.

Our SDC shares have doubled in value since the March lows. So, our loss on this one has been cut to a manageable 33%.

I’ve been impressed by the shares’ resilience in the last few months. If the economy weakens further, I suspect SmileDirectClub will be a beneficiary as more people opt for the company’s $2,000 clear aligners via teledentistry, instead of $6,000 to $8,000 aligners from their local orthodontist.

But in pondering all this recently, I think it may be a few quarters or more before Wall Street is ready to get on board. Until then, we can do better elsewhere.

Drop me a line at totalwealthinsider@banyanhill.com if you have any questions. I’ll have more to say in our Sunday update.

Best of Good Buys,

Jeff Yastine
Editor, Total Wealth Insider