Covering the spread 36 – The great debate

Hello again comic book investors!  If you've been following the last couple articles I've written you've seen how appealing it is to invest in books that other people aren't looking at right now.  That doesn't necessarily mean books that no one has ever heard of, just books that aren't super hot at the moment.

That made me do a little thinking.  When you're investing it's obviously best to get as much return as possible.  So does that mean we are better off investing in books that are very popular right now or going for something a little more obscure?  Today I'll be looking at a couple books to try and answer that question.

 

Detective Comics 880

Okay this book is the epitome of hot right now.  It has appeared on the top 10 list several times including this week.  It's an absolutely amazing cover and people are buying it left and right.  So does that mean it's a good book to invest in?

Without Pressing:

Average Raw Price

227.41

10 Copies

2274.10

Shipping Fees (EST)

100

Grading Fees (EST)

180

Selling Fees

304.20

Total Costs

2858.30

 

9.8 Av Price

9.6 Av Price

9.4 Av Price

9.2 Av Price

 

629

286

191

162

 

2 Copies

3 Copies

4 Copies

1 Copy

Total Value

1258

858

764

162

3042

If we don't press our raw copies we are looking at upfront investments of $2554.10 and we would come away with profits of $183.70.  That's a spread of +18.37 and an ROI of 7%.   That is very low ROI compared to something that we normally cover.  It seems to me like all the hype has driven raw prices up so much that they aren't worth buying right now.  There's always the possibility that graded copies will go up even further but I don't want to bet $2500 on that.

With Pressing:

Average Raw Price

227.41

10 Copies

2274.10

Shipping Fees (EST)

100

Grading Fees (EST)

180

Pressing Fees (EST)

120

Selling Fees

369.90

Total Costs

3044

 

9.8 Av Price

9.6 Av Price

9.4 Av Price

 

629

286

191

 

3 Copies

5 Copies

2 Copies

Total Value:

1887

1430

382

3699

With pressing things look a little different.  We have upfront costs of $2674.10 and we expect to make $655.  That leaves us with a spread of +65.50 and an ROI of about 24%.  That's obviously much better than without pressing but still a pretty low ROI.

 

Incredible Hulk 271

Alright so here is my book for a book that is not hot at the moment.  With the uncertainty of how GOTG vol 3 will turn out I don't think the sentiment on this issue is very high right now.  Nonetheless I think the first two were so good that this will be an issue that people will want in their collection for a long time.  But what are prices doing right now?

Without Pressing:

Average Raw Price

95.34

10 Copies

953.40

Shipping Fees (EST)

100

Grading Fees (EST)

180

Selling Fees

260.60

Total Costs

1494

 

9.8 Av Price

9.6 Av Price

9.4 Av Price

9.2 Av Price

 

483

242

184

178

 

2 Copies

3 Copies

4 Copies

1 Copy

Total Value

966

726

736

178

2606

Well this already looks much better.  Without pressing our upfront investment will be $1233.40 and we will come away with profits of $1112.  That is a spread of +111.20 and an ROI of 90%!  I don't think I need to do much to explain how good of a return that is.  Everything on eBay right now is priced a little higher but keep an eye out for auctions because they tend to end much lower than BIN copies.

With Pressing:

Average Raw Price

95.34

10 Copies

953.40

Shipping Fees (EST)

100

Grading Fees (EST)

180

Pressing Fees (EST)

120

Selling Fees

302.70

Total Costs

1656.10

 

9.8 Av Price

9.6 Av Price

9.4 Av Price

 

483

242

184

 

3 Copies

5 Copies

2 Copies

Total Value:

1449

1210

368

3027

With pressing included our initial investment would be $1353.40 and we would have profits of $1370.90.  That is a spread of +137.09 and an amazing ROI of 101%!   This is a very safe book to go after as long as you're confident in your grading because the average raw copy is going for under the price of a graded 9.4.  In contrast Tec 880 from earlier costs $30 more for a raw copy than a graded 9.4 which means disaster if you spend money to grade it and get back a 9.4.  I don't know how many raw copies are floating around after the initial wave of speculation around GOTG but if you find them they should make a great flip.

Wrap-Up

Well one example isn't enough to scientifically prove something but I'm going to act like it is anyway!  If you are looking to invest in a comic book you shouldn't be buying the books that everyone else is.  The higher the demand is for a book the less likely you are to make money.  Instead, I recommend doing your own research (or mooching off mine) to find issues that the rest of the community is undervaluing right now.  I will do my best to keep finding more in 2019!

Thank you as always to the Comic Collateral app for all of our pricing data!

Happy new year everyone and I'll see you in a week!

 

 

 

 

 

 

 

 

 

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