I Sold My Tesla Stock: Here Are 3 Stocks I Bought With the Payout
Tesla has made a lot of money for investors over the last decade, but even the biggest believers don't hold the stock forever. Some investors view Tesla as a buy-and-hold stock, while others take advantage of its volatile price swings to cash in their profits and move their money elsewhere.
Kiana Danial, CEO of Invest Diva and author of "Triple Compounding For Dummies," is in the latter camp. She bought Tesla at the lows of 2023 and 2024 and began selling shares in 2025 and 2026 as the stock approached the high end of where she expects it to trade in this cycle. She didn't chase popular AI stocks and instead used the proceeds to buy a few defense stocks that she thinks offer more attractive valuations today.
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"I've been heavily buying defense stocks because they are currently much lower from their all-time highs, compared to say, the hyped-up AI stocks," she said. "I buy when Wall Street is fearful and sell when Wall Street is greedy."
Lockheed Martin (LMT)
Lockheed Martin is one of the world's largest defense contractors with the U.S. federal government, generating revenues from aeronautics, missile systems, space technology and defense services. Danial is drawn to the stock because it's pulled back from its highs, offering an attractive entry. For value-focused investors, this creates an opportunity to buy a quality business at a more reasonable price.
Northrop Grumman (NOC)
Danial also has been buying shares of Northrop Grumman, a defense stock. The company specializes in aerospace and defense systems technology, including advanced aircraft and space programs. Like Lockheed, it also has multiyear government contracts and has benefited from rising defense budgets. She's been buying it while it is still below its all-time high.
Palantir Technologies (PLTR)
Palantir is a software company that offers advanced data analytics platforms for U.S. intelligence agencies, the military and large organizations. While the stock has benefited a lot from AI, Danial sees Palantir as part of a broader defense-focused strategy rather than simply another AI stock. It also has large contracts with the government, which makes it even more attractive.
This article was provided by MoneyLion.com for informational purposes only and should not be construed as financial, legal or tax advice.