High-Growth Investing

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If you're easily influenced by naysayers, high-growth investing probably isn't for you. But if you have the courage to invest in search of the Next Big Thing, then investing in high-growth stocks can provide powerful returns.

Many of today's large-cap stocks started out as small and medium-sized companies with huge growth prospects. To invest in them, you had to break a lot of rules -- ignoring pricey valuations, counting on optimistic scenarios, and essentially believing in the missions behind these businesses. Plenty of them crashed and burned -- but those that succeeded did so beyond many investors' wildest imaginings.

Rule Breakers
Finding these ultimate growth stocks is what the Motley Fool Rule Breakers newsletter is all about. We seek ahead-of-their-time companies with billion-dollar opportunities created by new technologies or business models.

To find potential Rule Breaker stocks, we look for first-movers in important, emerging industries with sustainable competitive advantages over the rest of the field. Good management, strong financing, consumer appeal, and past price appreciation are also essential. But perhaps most importantly, we like to find stocks that draw skepticism from the financial media. If they think such a stock is overvalued, we suspect it may have room to run.

You can also find out more about high-growth investing from these articles:

To see what The Motley Fool’s Rule Breakers advisor, David Gardner, is recommending to his readers now, take a free 30-day trial of Rule Breakers today.

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