Regular readers know I’m a numbers guy. And when it comes to finding stock picks, I typically take a “bottom up” approach. Simply put, I focus on individual stocks, not sectors.
I dive into the numbers, focusing on eight key factors:
- Sales growth.
- Operating margin growth.
- Earnings growth.
- Earnings momentum.
- Earnings surprises.
- Analyst earnings revisions.
- Cash flow.
- Return on equity (ROE).
This investing approach, along with my proprietary market-beating formula, helps me find companies with excellent fundamentals that attract strong institutional buying pressure. That buying pressure, in turn, dropkicks and drives my stocks higher.
It’s why CNBC called me “The Earnings Whisperer.”
It’s why Forbes called me the “King of Quants.”
But what people don’t know is that, in addition to my bottoms-up approach, I also have been making big sector bets my entire career. Every now and then I see exceptional numbers lighting up an entire sector.
That’s when I stop and take notice.
For example, in the mid-2000s, my system spotted a massive trend of rising energy prices well ahead of time. Tomorrow I’ll talk more about what catalysts made my system go haywire, but let me say now that my analysis helped me find big winners like XTO Energy for 287% gains… Tesoro Corp. for 150% gains… Valero Energy for 180% gains… Holly Corp. for 457% gains…
You see, my computer programs are operating at the speed of light. They’re crunching millions of data points on thousands of stocks every day. In this way, my systems constantly have “feelers” out there that are highly tuned to what’s going on in the financial world.
This gives me the rare ability to pick up on an industry’s increasing business and revenue before the financial media does, and way before stock prices do.
Well, the numbers are flashing again in a technology sector that will act as a springboard for exciting breakthrough innovations – and rising share prices for a select group of stocks. I’ll explain it all on Tuesday, January 11, at 4 p.m. ET, at my Big Bet Summit. If you’re interested, click here now to reserve your spot.
I’ll share all the details on how my system works… and the sector that system has identified with huge growth (and profit) potential. Sign up now so you don’t miss out.
I look forward to speaking with you then!
The Editor hereby discloses that as of the date of this email, the Editor, directly or indirectly, owns the following securities that are the subject of the commentary, analysis, opinions, advice, or recommendations in, or which are otherwise mentioned in, the essay set forth below: