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 by taking advantage of the market's weaknesses. These aren't penny stocks; they're viable companies with sound business prospects that are achieving phenomenal returns. Finding just one or two of these monstrously successful firms can help you establish a winning portfolio.
Stalking the monster
To find tomorrow's winners, we've enlisted the help of more than 170,000 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.
Score is how many percentage points that pick is beating the S&P 500.
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
Considering how Apple set the world ablaze with sales of iPads, iPods, and iPhones, chip supplier Cirrus Logic chose a really lousy time to let the world know its own profits would be curtailed because products it shipped were faulty. While it doesn't seem the customer who got the bad chips was Apple, the fallout was just as bad. Cirrus is now down more than 36% from its 52-week highs.
No doubt Apple helped the chip maker bounce up from the depths, and with potential for customer wins from the likes of Motorola Mobility and Research In Motion (Nasdaq: RIMM ) , this quarter could quickly become just a bad memory as Cirrus Logic rises from the ashes of its announcement.
CAPS member troym72 says this was just a temporary setback for an otherwise outstanding company:
Cirrus Logic is a solid company that's been making chips for major motherboard and video card manufacturers for over a decade. They are a solid company with good fundamentals that took a pretty big hit recently. This stock is going to outperform for at least the next year. Analyst consensus 52wk price is almost double its current price.
Head over to the Cirrus Logic CAPS page and tell us whether you think its future is cloudy.
Cheap by any measure?
Customer contact across platforms is gold these days. Being able to reach your clients regardless of where they are ensures you remain uppermost in their mind. Interactive Intelligence software helps customers manage call center communications for service agents across emails, Web chats, and voice calls.
Importantly for the future, it was able to more than double the number of orders of $1 million or more from just nine in 2009 to 19 last year, while orders of $250,000 or more jumped from 55 to 90. Even if Cisco (Nasdaq: CSCO ) and Alcatel-Lucent (NYSE: ALU ) are significant rivals for its business, they don't seem to be impeding it very much.
Yet highly rated CAPS All-Star Chemdawg says while it may be a good business, it's not such a star at any price.
I like the stock, but not at almost 40 bucks.... I see a market correction on the horizon and those sitting the prettiest usually have the farthest to fall....
Stay in touch with developments occurring at Interactive Intelligence by adding it to the Fool's free portfolio tracker.
A bright idea
Lately you'd expect this kind of allegation about a small-cap Chinese reverse takeover stock, not a U.S.-domiciled maker of solid-state hard drives, but shares of Ocz Technology dropped last week as a short-seller alleged it "misrepresented" the growth it has achieved in its drives "and has financial irregularities that are nearly impossible to reconcile."
As difficult as the landscape may be for tried-and-true drive makers like STEC (Nasdaq: STEC ) , Copperfield Research -- the publishers of the scathing report on Ocz -- sees it as being a veritable rock of Gibraltar in comparison. While Ocz had been viewed as an up-and-coming rival, STEC may have nothing much to fear after all.
CAPS member AStarSearch believes the short-seller did a "hit job" on the drive maker, but a look at the actual report and the allegations ought to give investors pause. And if it all is basically just a misunderstanding and sloppy paperwork on Ocz's part, that's enough to raise a yellow flag of its own. Read the full Copperfield Research report here.
You can add Ocz to your watchlist, then head over to the Ocz Technology CAPS page and tell us if you think this is something investors should be worried about.
A chance for scary growth
It takes more than a few All-Star picks and a quick pitch to make buy or sell decisions, so start your own research on these stocks on Motley Fool CAPS and marvel at the range of opinions there.
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