Tomorrow's Monster Stock?

Stocks climbing to 10 times their original price are rare breeds. But they're not impossible to find -- especially when you have Fools for friends.

The market's best stocks include companies that have risen dozens 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 winners, we've enlisted the help of more than 135,000 monster-trackers at Motley Fool CAPS. We've compiled a list of the most successful CAPS members, 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.

Player

CAPS Member Rating

Monster Stock

CAPS Score

Recent Stock Pick

CAPS Rating (Out of 5)

RonChapmanJr

99.81

Baidu.com

130.12

Accuray (Nasdaq: ARAY  )

****

SarahGen

99.80

Sturm, Ruger

104.03

Ford (NYSE: F  )

**

pencils1

99.73

Buffalo Wild Wings (Nasdaq: BWLD  )

130.29

PowerShares Global Nuclear Energy (NYSE: PKN  )

*****

TCWeaver

99.70

Horsehead Holdings

107.76

Advanced Battery Technologies (Nasdaq: ABAT  )

**

TMFPlatoish

98.89

Marvel Entertainment (NYSE: MVL  )

101.93

Mueller Water (NYSE: MWA  )

*****

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

In search of Bigfoot
It has to be something more than just swearing off government handouts that catapulted Ford to the top spot among American car sellers. Ignore for the moment that both General Motors and Chrysler saw sales plummet by 33% and 48%, respectively, as they both went through bankruptcy and Chrysler idled plants before emerging from court protection. Total sales for all car manufacturers were off 27.7% for June, but that's better than where they were a month ago, and the relative improvement has almost all the carmakers suggesting that we've reached an inflection point.

If it was just a case of not taking taxpayer money, then Toyota and Honda would still be in the running, yet Ford was able to surpass both. Moreover, the American automaker also saw sales rise by 14% in China in the first half of 2009, while they climbed by 25% in June in Canada. In fact, Ford was the No. 1 car seller in Canada for the first time in decades.

With SUVs accounting for just a tiny sliver of its sales, Ford has apparently hit on the right mix of cars, styling, and options that drivers want. CAPS member FAIRTAX says these are exhilarating times at Ford.

Quality and product advantages over Toyota, GM, and Chrysler. Mustang, F150, Fusion, Focus, Taurus, and new Fiesta will be a very potent lineup. Also, Ford's Hybrid technology is far superior right now. There is a renewed sense of excitement at Ford and it will continue to push the company past its rivals.

But not everyone is sold on Ford as an investment, whatever the quality of the cars they sell. CAPS member akaprimo finds the carmaker having some brutal hurdles to surmount.

This was a tough choice. I like the brand and I like the company. However, the company still has to deal with its legacy costs -- pensions, retiree medical, current employee costs.

Having said the above, I am keeping Ford on my watch list. I want Ford to recover (still have great memories of my 69 [Mustang]). Only time will tell.

A chance for scary growth
It takes more than a few All-Star picks and a quick paragraph to make buy or sell decisions, so start your own research on these stocks on Motley Fool CAPS. You can read a company's financial reports, scrutinize key data and charts, and examine the comments your fellow investors have made -- all from a stock's CAPS page. And while you're there, weigh in with your own thoughts on whether you think these are tomorrow's monster stocks.

Marvel Entertainment is a Motley Fool Stock Advisor recommendation. Buffalo Wild Wings is a Motley Fool Hidden Gems pick. The Fool owns shares of Buffalo Wild Wings. Try any of our Foolish newsletter services free for 30 days.

Fool contributor Rich Duprey has no financial position in any of the stocks mentioned in this article. You can see his holdings. The Motley Fool has a disclosure policy.


Read/Post Comments (5) | Recommend This Article (27)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

  • Report this Comment On July 08, 2009, at 9:47 AM, plange01 wrote:

    none of these stocks are going anywhere!half will be gone completely in 5 years!...i pick the new company microsoft/yahoo will form when the current depression ends...

  • Report this Comment On July 08, 2009, at 10:06 AM, PauvrePapillon wrote:

    Plange01, you need to at least bring your CAPS Score (now sitting at -26.78) into positive territory before you start making recommendations.

  • Report this Comment On July 08, 2009, at 10:45 AM, PauvrePapillon wrote:

    RonChapmanJr has it right.

    When the market (correctly) understood that CyberKnife was a truly unique and revolutionary technology, investors bid Accuray’s post-IPO shares up to an intraday high of $31.09 (9 February 2007). As Varian and others made repeated claims, in numerous press releases, interviews and conference calls, that their gantry-mounted machines could do the same thing as the robotically controlled CyberKnife, Accuray’s market cap shrank even though its economic fundamentals actually improved.

    On 6 December 2008, Accuray, finally, fired back with the release of two animated videos that effectively demonstrate what CyberKnife is and why it is fundamentally different from gantry-mounted radiation sprayers. You can see them for yourself at http://www.accuray.com.

    Since then, Accuray shares have gone up 59 percent. Varian’s shares have gone down 18 while the NASDAQ is up 16 percent as of close of yesterday (7 July 2009).

    If you look at Intuitive Surgical as a model for how a disruptive technology rolls out in the medical space, you would have to conclude that it’s a rocky road. Intuitive Surgical languished beneath its IPO price for more than four years and dropped into the $3s twice before taking off to $100 per share and beyond.

    As clinical data emerges and public awareness increases, CyberKnife will become the treatment of choice for early stage prostate and lung cancer (two huge markets) as well as many other cancers. There are not nearly enough CyberKnife Centers, either in the United States or abroad, to accommodate all of the patients that will be seeking this treatment. We’re still in the early stages of the adoption curve but this technology is coming mainstream. Not only is Accuray a special company with a special mission, it’s also a multi-bagger in the making.

  • Report this Comment On July 08, 2009, at 12:15 PM, IBDvalueinvestin wrote:

    Why couldn't you have at least picked one stock that at least had a chance to rise 10x its current price as your title suggested?? Or you just like to tease your readers.

    "MFN with its fast rising Gold Production output has a 10x better chance to getting 10x its current price of $6.93 than any of your picks."

    LMAO at your article.

  • Report this Comment On July 08, 2009, at 5:11 PM, lowcapper wrote:

    ABAT is a relatively new Chinese company and has aligned with ZAP! who will begin using and even retrofit the Lithium-Ion Polymer batteries in its electric vehicles.

    So the positive news is really on the ZAP! side of this relationship. It gives more validity to the notion that ZAP! will have an Alias EV in 2010 or even manufacture a commuter car to beat Volt to market.

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