Multibagger Stocks: Share Your Picks
  • Like Sam said, it´d be good to have a thread where users share their ideas as we all search for diamonds, for the few stocks that have the potential to increase many times over in share price. It´s risky and not for everyone...where there is great reward there is also the risk of losing lots of $$ too. With that said, post what stock you are investing in (or thinking about) and why. More detail, the better. Would be cool if the forum does stumble on a few gems together...
  • Not quite a multibagger, but nonetheless, I feel AGNC (a mREIT) is a good buy right now. At this price, if the dividend is sustained, it is over a 20% yield. Of course if the current price reflects a dividend cut, then I'll lose a little skin, but everything is a gamble. My gamble is that I believe the dividend will be sustained or only dropped slightly. If this is true, the share price will jump up during the run to ex-dividend date. I'd love to hear any opinions on why I should stay away from this stock right now.
  • I've been reading up on those high yield REIT's and AGNC definitely caught my interest, along with NLY . I read specifically that they have seen a recent sharp drop due to the expectation that mortgage interest rates will go up? I'm a newb to all this so I am just trying to understand it all. What do you think would make the price go back up later on?
  • Good question about the rising interest rates. I think AGNC makes its money on the spread between treasury yields and mortgage rates. What confuses me is that if treasury rates rise and so do mortgage rates, then is this really a problem? It seems it could be if AGNC has a lot of loans at a fixed rate, which a rising treasury yield would narrow the spread of those.

    I think the price goes up if the Dividend (which should be announced this week based on history) stays close to the same. Because AGNC had a bad quarter earlier this year, the stock price tanked from the mid 30's. keeping the dividend close to current yield (1.25) will give investor's incentive to get in and collect. If the earnings call next month is favorable, then I think the stock is headed to 28-29 range at least. I think it's all dependent on next dividend announcement and earnings next month, hence the gamble I'm taking - I could lose my shorts a little.
  • I posted this on Sam's "Fortune Hunting" article where mullti-baggers were being discussed and he suggested I post it on the forum. I hope I'm posting this in the right place; if not, mod(s) please move it to the correct place.

    Anyway, I'm totally new to investing and literally just started educating myself within the last week. I too am looking for a multi-bagger!

    Sam, and those also actively searching, what are you looking for and what would be your criteria for identifying a multi-bagger? What is going to be your investment strategy now that you are actively searching?

    How do you feel about buying and selling on the upside of cyclical stocks? I've read that you can do that with the same cyclical stock over and over again and would be a multi-bagger many times over for you?

    What about those who say its not too late to get in on Tesla, Amazon, Google, Priceline, etc? Do they still have more upside?

    What about this 3D printing thing that they are saying is the next big thing?

    What about piggybacking off of hedge fund positions?
  • Jeremy, it's very difficult for a dividend stock to become a Multi-bagger stock because by default the money is beig paid out to shareholders rather than being reinvested at a higher rate within the company.

    Sam
    (Testing out Twitter sign in, defaults to @Yakezie)
  • I'd add that Solar Energy has major potential. If you look at Solar Energy prices and energy increasing over time, they will reach parity (competitive output and pricing) with fossil fuels in about 10 years. Getting in a good solar energy company now could pay off huge in the long-term. But right now there is great volatility (and option to roll the dice and get lucky). Take a company like JA Solar Holdings (https://www.google.com/finance?q=JASO). Such volatility, but you could have double/tripled your money a few months ago if you got in.
  • @Yakezie/Sam You are right - probably another section for a stock pick like AGNC would make sense - maybe a Dividend discussion area or something like that?
  • My unicorn pick right now is RENN at $3.XX.

    * 80% of market cap is in cash
    * Stock has been completely destroyed over the past two years
    * Management has been aggressively investing capital and acquiring companies
    * FB/Youtube of China

    * Risk is that they never make money, overspend, and get crushed by their competitors.
    * Social media is a winner take all environment.

    Sam
  • Sam, how do you tell that RENN is 80% of market cap in cash? Is this on Yahoo or Google Finance? And what makes that a good thing in your opinion?
  • Hmmm... RENN...I'm interested....who are their competitors?
  • I mentioned in an earlier post my pick is Celldex Therapeutics (CLDX)...got in at $4.64 per share cost average slowly accumulating over the past 3 years. Now it's closing in on $16. I think it has room to run much higher over the next couple years.
  • Ok, so these are the potential mult-baggers that I am currently looking at (not invested in )....TSLA, SNTS, WETF, but again tread carefully....

    Joe
  • Why are you bullish on AGNC at this price? I'm curious - are you not concerned about a book value drop (http://thecollegeinvestor.com/7864/book-matter-invest/)? As bond yields rise, prices will drop, negatively impacting these in the short term.

    I think in the medium term, as Operation Twist unwinds, mREITs will continue to be a good play, but I think the hybrid REITs may be a better value.
  • @thecollegeinvestor Great information and just what I was looking for - another point of view. Since I see several positives I know there's always the dark side to things and your article gives me another perspective. I already initiated a position into AGNC and time will tell if it was a smart move :)
  • @JAS
    I was looking at TSLA too. Everyone is at this point.

    Everyone do you think it's too late to get in or is not he time to catch watch left of it's multi-bagger upside?
  • *he = the
    *watch = what's

    sorry for the typo's...
  • @JAS

    I looked through WETF's financials not too long ago. They operate in a commodity business, and I'm thinking BlackRock (iShares) could crush them by launching copycat ETFs at a lower expense ratio, effectively stealing all their AUM and profitability.
  • @JAS

    I know WETF; I was picking through their financials not too long ago. WETF is an interesting stock since it's the only public ETF issuer. I turned away from it, though, since its stock performance is driven almost entirely by the ETF DXJ, which is hugely popular as the Japan trade stays "on."

    Also, I remain concerned that they're really just a commodity business. New ETFs come out every day, and those that issue them are engaging in ridiculous fee wars to draw AUM from competitors. I see two different endgames: 1) WETF continues to build out and draw AUM, ultimately selling out to a larger ETF issuer 2) A larger ETF issuer simply steals their AUM by issuing very similar funds with much lower fees (WisdomTree ETFs are expensive relative to peers.)

    Seems to be long-odds that WETF gets a buyout bid. If BlackRock (iShares) wanted to take on WETF's core income/hedged equity/currency funds, it could launch a portfolio of WETF-like funds in less than 120 days and subsidize the annual fees to steal its AUM in less than a year.
  • Any new recommendations/retractions?
  • https://www.google.com/finance?q=NASDAQ:JASO&ei=Ax7LUfjPAoiViQKjBA

    Solar energy soaring today for any who had the guts to buy a couple days ago :)
  • I'm building a decent size position in RENN again. It'll either double with the Alibaba and potential Twitter talks IPO or it'll sell down to cash value of around $2.20/share.
  • I have 700 shares of RENN (average price 2.86). It's my gamble for the year.

    Interesting so far.
  • I think I'll jump aboard the RENN train too and actually leg myself in this time instead of putting half or more of my stock cash all at once. If it works out, the potential is great and I'm not getting any younger :)
  • @sendaiben - very nice - I'm in for 1,000 shares at $2.80. It went up 4 cents today... Victory! :)
  • RENN's board just approved a $100 million buy back. This is 9% of the entire market cap of the company and definitely bullish!
  • @FinancialSamurai - so when a company does a buy back like that, the company feels their stock is undervalued and in a sense they are investing in themselves because of the outlook they feel about the company?
  • AGNC at $20.76. What is everyone's view on it? I wanted to purchase some back @$25. I see it as a high risk play, plan to purchase a small amount weight <2% of portfolio.

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