So here's a question for you seasoned stock fellers:
Supposed you buy an OTC stock for pennies, and let's say you buy 100,000 shares of it. By some miracle the stock hits $11 a share after 3 months or so. So at that moment, on paper you have $1,100,000.
Do you hold on for a year, gambling on that it stays there to lessen your capital gains, or do you sell it and pay the short term tax?
For the record, I am NOT in this position, but just curious on the off chance this would ever happen. I would sell at $11, by the way.
I think.
edit to add: this stock is an a brokerage account