Long Strategies From a Top Short-Seller

The following video is part of our "Motley Fool Conversations" series, in which analyst John Reeves and advisor David Meier discuss topics across the investing world.

The great short-seller Jim Chanos utilizes four tactics for finding winning short ideas. In this video, David and John consider if doing the opposite of what Chanos recommends is an effective way to find long ideas for their 10-bagger portfolio. Interestingly, Chanos says that he never shorts a stock solely on valuation. John and David believe strongly that investors should avoid selling great companies just because they may appear "overvalued." After all, it takes time for 10-baggers to emerge.

Motley Fool co-founder David Gardner has found a few 10-baggers over the course of his career. Recently, he identified a small-cap health-care company that he believes is poised for monster returns. To uncover this top pick today, enjoy the special free report: "Discover the Next Rule-Breaking Multibagger." Don't miss out on this limited-time offer and your opportunity to discover this game-changing company before the market does. Click here to access your report -- it's totally free.

David Meier has no positions in the stocks mentioned above. John Reeves owns shares of Google and Verizon Communications. The Motley Fool owns shares of Google, InvenSense, and LinkedIn. Motley Fool newsletter services recommend Google, and LinkedIn. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.


Read/Post Comments (0) | Recommend This Article (5)

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.

Be the first one to comment on this article.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 1870856, ~/Articles/ArticleHandler.aspx, 8/27/2014 3:07:59 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...


Advertisement