Tomorrow's Monster Stocks

Stocks that climb to 10 times their original price are a rare breed -- but they're not impossible to find. Especially when you have Fools for friends.

The market's best stocks include companies that have risen hundreds of times in value over the past decade. These aren't penny stocks; they're viable companies that have sound business prospects and achieve phenomenal returns every year. Finding just one or two of these monstrously successful companies can help you establish a winning portfolio.

Stalking the monster
To find tomorrow's monster stocks, we'll enlist the 110,000-plus members at Motley Fool CAPS. We've compiled a list of the most successful CAPS players, dubbed All-Stars, whose picks have doubled, tripled, or even quadrupled in price. Then we've plucked out some of their recent picks for stocks they find equally promising.

Source: Motley Fool CAPS. Score is how many points the pick is beating (lagging) the S&P 500 since the time of the pick.

Of course, this is not a list of stocks to buy -- or, for those monster stocks that our CAPS All-Stars have already found, to sell. Just consider them starting points for your own further research.

A kick in the rear
What is it about fashion footwear that inspires either devotional support or legions of player-haters? Uggs, Heelys, and Crocs all possess qualities that allow them to be considered a fad, and whereas Uggs, made by Deckers Outdoor, has proved to be a winner as both a fashion statement and as an investment, Crocs can at least be said to have held its own in the marketplace even if its stock couldn't stand up as well in the market.

That situation could all change, however, as the company continues its international expansion. U.S. sales expanded 55% in the past 12-month period compared with the year before, but Europe exploded with 270% growth in that same period, while Asia was up 162% year over year. Total international sales now account for more than half of Crocs' revenue, and CAPS All-Star slade15342 is indeed looking overseas for the next big push.

Ugly Shoes, could be a good looking chart for the rest of the year. Their business is expanding in Europe like wildfire, and they're not held to the same one shoe line like they used to be. Product development and diversification should allow the new styles to keep growth strong after the market breaks bottom. Keep this one in mind for a while. Oh, and did I mention that the [price-to-earnings] ratio is at 4.66?

A Qwest for profitability
As competition between phone carriers and cable companies becomes more intense, pricing issues will continue to be a sensitive issue. Qwest is seeking to have some flexibility in pricing its services in four major cities, something the FCC's chairman has indicated he is loath to do -- but the agency has to act soon, or the request will be automatically granted.

Congress is thinking about changing that "do or die" rule, since critics contend that phone carriers such as Qwest can monopolize the agency's time. However, if the law were to change, the FCC could perpetually postpone such requests if a decision would prove unpopular. Forcing action ensures that regulators can't simply ignore their responsibilities.

Regardless of the immediate impact of such proposals, CAPS member sjhenderson finds that Qwest's servicing of large corporate accounts should allow it to still make a lot of money: "Fundamentals look good, debt is high but not insane; Qwest is doing very well with services to corporate/institutional clients, and there's still lots of money to be made in that market."

A chance for scary growth
The All-Stars believe these stocks will achieve monster growth. Now you can log on to CAPS and tell us whether you agree with their opinion. Here, your voice counts just as much as everyone else's. Let's hear whether you think tomorrow's monster stocks have been uncovered today.