Your First Potential Multibagger Pick

This innovator transforms a whole industry. Could it transform your portfolio?

Hi Multis

This is the first Potential Multibagger you get through this platform.

I’ve been picking Potential Multibaggers since May 2017, when I picked Shopify as the first Potential Multibagger at a (split-adjusted) price of $7.74.

Shopify now trades at $117.37 (closing price on December 11, 2024). That means it’s more than a 15-bagger already. But when it comes to investing in Potential Multibaggers, this is even more applicable than for investing in general.

Just look at the drawdowns that I had to endure to see a 15-bagger for my Shopify investment. As you can see, the stock is still 30% under its all-time high set at the end of 2021.

Source: Finchat, the best charting, screening and finance AI tool

The stock dropped by almost 85% in less than a year.

Ouch…

Or not?

Well, that’s when the REAL value of Potential Multibaggers shines through, I think.

I know the companies I pick very well, and I keep learning about them quarter after quarter after quarter.

Potential Multibaggers provides you with continuous updates. I analyze the earnings in detail, and I have scores to assess the quality of the company and its valuation.

That also means I added substantially to my position in Shopify when the stock was punished so hard by the market and many of my subscribers did as well.

Without deep knowledge, it’s often difficult to judge whether the sell-off is warranted. That’s where I try to help you.

Now, of course, investing is inherently uncertain because nobody can look into the future. You can examine the current situation and draw lines into the future, but nothing says these assumptions are correct. So, I will have many losers as well.

That’s OK. Every investor has losers, even the very best ones. As long as you win more than you lose, you will do fine. And the great thing about investing is that there’s a capped downside (100%) and a theoretically unlimited upside.

That’s why one Shopify can wipe out multiple losers.

But you need a lot of time and patience.

The goal of Potential Multibaggers is 10x over 10 years. That’s a much longer period than everyone thinks and especially in this clickbaity world full of noise, it’s not simple to separate the short and the long term. Does something have an influence for the next few quarters or is it something that fundamentally changes the investment case?

Next to knowledge, there’s another tool I use to separate noise from signal: patience. I will always err on the side of holding my stocks too long. You could have sold Netflix during the Qwikster debacle in 2011, when the stock dropped 77% in just four months. Sometimes, companies make mistakes, but the best reverse them as fast as they implement them. Netflix did, and the stock is a 27-bagger from its price before the big drop.

All of this is just to give you some insight in the nature of multibaggers. Chris Mayer studied 365 100+baggers in his great book 100 Baggers.

By the way, I highly recommend this book!

Every single 100-bagger (all 365!) had at least one 50% drop. Almost all of them multiple times and the big majority had a drop of 75% at least ones, often multiple times.

So, expect volatility, expect losers, but also expect some really rewarding multibaggers!

The First Pick

Here, I will NOT give you picks from the past, only picks that I think have the opportunity to go 10x over the next 10 years. I have multiple great multibaggers that I still like but are maybe not 10x material anymore going forward. Now, of course, if the stock would go 7x instead of 10x, I think you would still not cry. :-)

Picking a new Potential Multibagger is always a mix of thrill and uncertainty. As I showed, investing in high-potential companies is rarely smooth sailing, but your patience can be rewarded. But for that patience, you need knowledge. That’s why I always write 5 extensive articles, spread over time.

This new pick doesn’t just improve an existing process; it rewrites the rules. It addresses a problem that has frustrated professionals in its industry for decades, creating a breakthrough solution that has already started to redefine the playing field.

Like most Potential Multibaggers, the stock price has rocketed, dipped, and soared again and dropped again. Some might see the volatility as a warning sign, but for those of us with patience and a long-term mindset, drops are great moments to average into your position, which I also always do.

I won’t give away the name here. Free subscribers will need to upgrade to see the full deep dive. If you’ve considered upgrading your subscription, now is the time to join the Multis who get access to the full analysis, detailed insights, and the opportunity to act on the information if they want.

Click here to upgrade, get my real portfolio, the new pick and much more.