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Supernova

A supernova is a spiffy-pop event that occurs for a stock that is widely held by our Motley Fool membership.

An example occurred on April 22, 2010, when Netflix spiffy-popped for Motley Fool Stock Advisor. By dint of having been a multi-re-recommended stock by both David and Tom Gardner, and occurring so frequently as a Best Buy Now and as a Core holding on the service, Netflix had risen in popularity to become the second most-owned stock among the Motley Fool Stock Advisor membership, and the fifth most-owned stock in all of Fooldom.

So when Netflix spiffy-popped, it earned the distinction of supernova.

By "widely held," we generally mean a stock that is among our membership's top 20 holdings, in aggregate.

In addition to creating broad and wild amounts of wealth across our far-flung membership, supernovas generate great excitement at Fool HQ. There's really no greater investment happiness a Motley Fool stockpicker can ever feel than generating supernovas for our Fools.

One week to the day later, on April 29, 2010, Baidu became a supernova for Motley Fool Rule Breakers. It rose $88.49 that day, exceeding its November 2006 cost of $83.37. Baidu was picked by Rick Munarriz (TMFBreakerRick).

Netflix then went supernova a second time in 2010. On October 21, 2010, Netflix shares rose $19.54 to an all-time closing high of $172.69.

Netflix then went supernova a third time in 2010. On November 22, 2010, Netflix shares rose $15.28 to another all-time closing high of $188.32.

After reporting Q4 2010 results, Netflix went supernova a fourth time on January 27, 2011. Shares rose $27.84 to an all-time closing high of $210.87. This one was remarkable, because it was also a spiffy-pop for all five active recommendations for Motley Fool Stock Advisor at the time.

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This article is part of The Motley Fool's Knowledge Center, which was created based on the collected wisdom of a fantastic community of investors based in the Foolsaurus. Pop on over there to learn more about our Wiki and how you can be involved in helping the world invest, better! If you see any issues with this page, please email us at knowledgecenter@fool.com. Thanks -- and Fool on!


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