Tomorrow's Monster Stocks

Recs

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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 by 3,000%, 5,000%, and even 24,000% over 10 years. These aren't penny stocks; they're viable companies with sound business prospects, achieving phenomenal returns every year. Finding just one or two of these monstrously successful firms can help you establish a winning portfolio.

Stalking the monster
To find tomorrow's monster stocks, we'll enlist the more than 79,000 investors 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.

Player

CAPS Rating (out of 100) 

Monster Stock

Score

Recent Stock Pick

CAPS Rating (out of 5) 

Sooners11

94.22

First Solar

808.69

Baker Hughes (NYSE: BHI)

****

adoratium

99.69

China Finance Online

618.98

Sirius Satellite Radio (Nasdaq: SIRI)

**

regnig

96.34

First Solar

851.82

Andarko Petroleum (NYSE: APC)

*****

djcnz

91.40

MercadoLibre

161.13

Coca-Cola Enterprises (NYSE: CCE)

***

Waynoooo

81.60

First Solar

805.35

Synaptics (Nasdaq: SYNA)

*****

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.

A touching moment
If you're old enough to remember typewriters, you might be old enough to know why the buzz on Synaptics has fingers flying over the keyboards. Just as PC word processing programs spelled the doom of the IBM Selectric, so too might Synaptic's touchpad interface spell the end of the keyboard. It's the technology behind the touch screen of Apple's (Nasdaq: AAPL) iPod and rumored to be the controlling force of the iPhone's touch screen.

Of course, much of Synaptics' revenue comes from the highly cyclical computer industry -- perhaps you're using Synaptics' touchpad to move your mouse around the screen -- and Apple once before dropped the company in favor of rival Cypress Semiconductor (NYSE: CY). Yet with the stock trading at just 13 times fiscal 2009 earnings, it does seem cheap, considering Cypress has a multiple nearly twice that based on its next fiscal year's earnings.

Over on Motley Fool CAPS, 97% of the investors who stuck their thumbs out think Synaptics will outperform the market, and All-Stars like jester112358 are nearly unanimous in their belief that Synaptic's technology will touch everyone:

Growing use of touch sensitive screens in electronics and their close association with Apple and its very successful products such as the Iphone and new Ipod. Sales growth is great and is earnings growth and earnings momentum.

CAPS investor paulhnet1 sees the interface having a "humanizing" effect that will naturally draw users to it.

[Synaptic] makes the technology that's behind Apple's recent iPhone successes-the touch screen. I have used it and I love it. Since this technology helps humanize the interface, it draws the mass population to the usage of it. Everyone knows how to touch the screen. There should be huge growth in the touch screen interface as a result as Apple, as well as its competitors move toward this simple interface.

Keeping in mind the fickle and cyclical nature of the computer industry, as well as the fact that Synaptic's fortunes have risen and fallen in tandem with its relationship with Apple, Synaptics may just be a monster opportunity.

A chance for scary growth
Now's the opportunity for you to weigh in on Synaptics or any of the other stocks these All-Stars see as achieving monster growth. Agree with their views? Tell us on CAPS. If you don't agree, let us know that too!

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Related Tickers

12/1/2009 4:00 PM
CCE $19.75 Up +0.10 +0.51%
Coca-Cola Enterpri… CAPS Rating: **
BHI $41.06 Up +0.32 +0.79%
Baker Hughes, Inc. CAPS Rating: *****
SIRI $0.64 Up +0.01 +2.27%
Sirius XM Radio CAPS Rating: **
AAPL $196.97 Down -2.94 -1.47%
Apple, Inc. CAPS Rating: ***
SYNA $26.87 Down -0.07 -0.26%
Synaptics, Inc. CAPS Rating: ****
APC $61.56 Up +2.03 +3.41%
Anadarko Petroleum… CAPS Rating: ****
CY $9.94 Up +0.37 +3.87%
Cypress Semiconduc… CAPS Rating: ****

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