I have been following Qudian $QD since 2018 and invested in the company in 2019. The main reason was the great balance sheet it had. Even though the business was declining, I saw it as a deep value stock and invested until I sold at a lost earlier this year. I sold because I lost faith in the management. They started so many new businesses that failed, and it did not seem to be a wise way of leveraging their great balance sheet. Last time, when they started Wanlimu Kids, I said that I'm giving them a last chance. They ended Wanlimu Kids in less than a year and I sold everything. The stock gained 50% over the past couple of days from the success of Qudian Foods. This, however, proves my point of selling. They have started yet another business and we don't know if the business will fail just like all the other ones. It is important as an investor not to base decisions on results, that is, resulting. A good decision can lead to a bad result and vice versa.
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