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 companies 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, who have made picks that 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 |
Monster Stock |
CAPS Score |
Recent Stock Pick | ||
|---|---|---|---|---|---|
|
96.03 | Horsehead Holding |
300.10 | NVE (Nasdaq: NVEC) |
**** | |
|
95.34 | Yingli Green Energy |
260.91 | Silver Wheaton (NYSE: SLW) |
** | |
|
93.17 | Fuqi International |
329.89 | Jazz Pharmaceuticals (Nasdaq: JAZZ) |
*** |
Score is how many percentage points by which 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
Spintronics is an emerging facet of memory nanotechnology, and it's likely that ultimately it won't amount to anything. NVE, a leading player in its development, is still trying to get it into more mainstream applications and has MRAM license agreements with both Honeywell and Motorola (NYSE: MOT).
Spintronics relies on the spin of electrons rather than an electron charge to acquire, store, and transmit data, which could be used in cell phones, PDAs, and the like, but only if the technology proves itself. As exciting as it might be, stan8331 offers a warning.
The problem with an emerging technology like spintronics is that even if IS the future of hard drives, NVE may not turn out to be a leader or even a significant follower in the field. There are just too many unknowns at this point and plenty of reason for caution.
A good reception
After a Food and Drug Administration panel threw up a roadblock for its fibromyalgia treatment JZP-6, Jazz Pharmaceuticals has clawed its way back up and trades near where it did before the panel voted against approval.
While it's waiting for a final decision from the agency, the company said the FDA has apparently cleared the way for a generic version of the drug Xyrem, which is approved to treat narcolepsy. Jazz Pharmaceuticals says it was never notified about the approval and it intends to protect its patents.
It's still counting on positive comments the FDA made about its drug for treating fibromyalgia, though. While there are concerns about one of the ingredients, GHB, and Pfizer (NYSE: PFE), Eli Lilly, and Forest Labs make competing treatments, two-thirds of the CAPS members rating Jazz Pharmaceuticals peg it to turn in market-beating performances.
Inflating values
The jobs numbers out this morning are going to help precious metals continue their run into record territory, and that means purveyors like Silver Wheaton, Hecla Mining (NYSE: HL), and Coeur D'Alene Mines (NYSE: CDE) will continue going up. The case for the Fed's second round of quantitative easing was just made a whole lot plainer.
Non-farm payrolls dropped by 95,000 in September, which was mitigated by the private sector's ability to scrape together 64,000 jobs. Unemployment remained deplorable at 9.6%. CAPS All-Star Beorn10 points to the relentless march of bad news and its potential effect on gold and silver.
Bad financial news => Increases probability that Fed will act => More [quantitative easing] => US dollar index falls => Gold, silver and equities go up. If the financial news gets really bad it might just be gold and silver going up. [Silver Wheaton] appears to be the consensus best silver investment, short of holding the actual metal.
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 find other opportunities with monster potential.
