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  • The Six Questions that Can Make You Rich (Part Four)

    Last week, we explored the three technical questions central to successfully investing in technological innovation.

    This week, we focus on three practical questions that can make the average investor a lot of money in the early waves of innovation. All of these questions word together for one purpose.

    By answering "yes" to all six questions, you can dramatically increase the probability of a successful technology investment and return on your shares. And best of all, you can identify the winning companies that are poised to profit in the few key sectors that we've identified.

    Our fourth question for technology investing is very simple:

    Can this technology harness the power of other innovations to maximize its performance and sales?

    When exploring this question, it's important to understand how a new technology reaches its full potential. To maximize its potential, a technology must first have the capacity to fulfill what we identified in our first three questions. It must accelerate the speed and transfer of physical goods and trade. It must expedite the flow of information and capital, and provide more "bang for your buck."

    But this fourth question requires that the new technology integrate with other technologies that already exist, and make it possible to harness emerging innovations in a high-tech world. This is how we take an existing success and identify just which company is going to lead to a major global breakthrough.

    And there's one primary example that can provide the greatest lesson in the recent digital revolution.

    To continue reading, please click here…

  • A Tech Investing Homerun

    You don't always have to buy a stock to double your money.

    Sometimes, an exchange-traded fund (ETF) can pack just as big a wallop.

    ETFs with that kind of horsepower don't come along all that often, which is why you have to pick the right one ... at the right time.

    And that's the tech-investing home run that I have for you today - an ETF with actual double-your-money profit potential.

    In fact, you'll be stunned at just how quickly every $1 you invest in this fund will turn into $2 in holdings.

    To continue reading, please click here…

  • The Ultimate Tech Stock "Treasure Map"

    On Saturday, I introduced you to the "stealth small-cap" - aging-and-slow big-cap tech firms that were rediscovering the fast growth of their small-cap roots ... thanks to the newly emergent Cloud Computing trend.

    Judging from the comments and correspondence I received, a lot of you were really intrigued by that concept - and by the huge opportunity for profits that the cloud was creating for investors.

    In fact, Strategic Tech Investor subscriber Dionisios S. was so intrigued by that column that he asked me to identify some other "stealth-small-cap" profit plays.

    What a great question.

    To continue reading, please click here...

  • The Big Lie in Tech Today

    There's a number floating around the tech industry that is nothing short of amazing.

    And it adds up to big money...

    Here's the thing. Noted tech analyst Mary Meeker delivered a powerful message last week that turned the industry on its ear.

    Speaking at the D: All Things Digital conference in southern California, Meeker revealed a stat that explains the force behind the unprecedented wave of tech innovation that's fueling the market's huge rally.

    Meeker noted that people are using the Web to share roughly 500 million photos.

    Not monthly, mind you. Not even weekly, but every single day.

    As incredible as that sounds, it actually gets better -- the number is set to double in the next year...

    No, that's not a misprint. By the end of 2014, we'll be sharing some 1 billion photos every 24 hours, or 41.6 million per hour.

    Talk about a tidal wave...

    As recently as 2009, shutterbugs exchanged on any given day roughly 75 million photos. So, we're talking about a more than 10-fold increase in roughly six years.

    If that doesn't define exponential growth, I don't know what does...

    To continue reading, please click here…

  • How to Really Make a Fortune on the "Mobile Wave"

    If you've been riding along with me for any length of time, you know I get really revved up whenever I talk about the "Mobile Wave" in technology.

    The truth is, I can't help it: I look at the forecasts, calculate all the money that can be made, and end up feeling as jazzed as can be about the windfall profits we can reap from this transformational trend.

    And I'm not the only one who's feeling this technology-fueled ebullience: The folks over at Amazon.com are clearly experiencing the same adrenalin-driven affliction.

    Amazon, you see, is coming out with its own smartphone.

    And not just any smartphone.  Amazon's entry into smartphone derby is going to be one cool mobile device - highlighted by a 3D screen that will display photos so realistically that you'll want to just reach out and touch them.

    Why in the world, you might ask, is an "e-tailer" entering the wireless-phone business?

    Just look at the numbers.

    To continue reading, please click here...

  • Apple Bond Offering is Proof It'll Do Anything to Avoid Taxes

    The record $17 billion Apple bond offering this week will do more than just placate shareholders eager to get some benefit from the company's $144.7 billion in cash.

    It will help Apple Inc. (Nasdaq: AAPL) avoid paying taxes, a feat that the Cupertino, CA tech giant has elevated to a high art.

    The company has kept the bulk of its cash - some $102 billion - in overseas accounts to avoid paying the 35% corporate tax rate here in the United States.

    Borrowing money to fund its plans for dividend increases and stock buybacks allows Apple to reward its shareholders without repatriating those foreign profits and paying U.S. taxes.

    Better yet, the interest Apple will pay out in its bonds is tax deductible, which will reduce the company's tax bill even more.

    It's all so elegantly devious - and perfectly legal.

    To continue reading, click here...

  • Apple Stock is Up After Earnings – But Are Gains Here to Stay?

    Apple stock was up 5% in after-hours trading Tuesday when its earnings report turned out to be better than expected - but, not great.

    Everyone was bracing for the worst when Apple Inc. (Nasdaq: AAPL) released second-quarter earnings Tuesday after the close. The big question was just how bad things were going to be.

    The answer turned out to be... not so awful. The iPhone maker surprised Wall Street with better than expected numbers, mostly because expectations were so low.

    However, as expected, forward guidance was glum.

    To continue reading, please click here...

  • Apple: Cash or Trash?

    With Apple Inc. (Nasdaq: AAPL) off nearly 50% from its $705.07 a share high set last September, many investors want to know if it's a buy.

    Not in my book. Here's why:

    1. The company has held on to its premium pricing strategy for too long. Going out on price as it has recently with iPhones, for example, is the death knell of competitive differentiation. Businesses that engage in price wars have a very difficult time climbing back up the proverbial ladder.

    2. The present management team is having trouble fulfilling the late Steve Jobs' vision, and execution appears to be stumbling. The Maps thing, for instance, was an unmitigated disaster and shattered Apple's image of invincibility. The public noticed.

    To continue reading, please click here...

  • Dumping Apple Stock for Google: How Investors Could Get Burned

    Talk about two stocks going in the opposite direction: Apple stock (Nasdaq: AAPL) is trading near its 52-week lows, while Google Inc. (Nasdaq: GOOG) recently hit an all-time high.

    The trend has some wondering if investors are consciously moving their money from one tech giant to the other.

    "There's a lot of money that likes the tech sector, and I think Google has kind of taken over from Apple," Eric Kuby, chief investment officer at North Star Investment Management, told Reuters.

    Looking at the charts, it's clear that Google stock is now enjoying the kind of momentum that Apple had for years, while sentiment toward AAPL almost couldn't get any more bearish.

    Since Apple stock hit its all-time high of $705.07 in September, it has plunged 40% and lost more than $260 billion in market capitalization. AAPL is down more than 20% year to date.

    Google hit several new highs recently, and poked briefly above $840 in early trading Wednesday. Google stock is up 48% from its mid-June low last year, and up 17.5% so far this year.

    And at least two analysts recently put a $1,000 price target on GOOG, reminiscent of last year when analysts were rushing to put a $1,000 price target on Apple.

    "The bulls are in Google's camp, and the bears are in Apple's camp at the moment," Neil Mawston, the executive director of Strategy Analytics, told CNBC.com, which speculated that Google could be replacing Apple as the dominant tech giant, as Apple supplanted Microsoft Corp. (Nasdaq: MSFT) in the past decade.

    But any Apple investors who haven't already dumped shares in favor of jumping on the Google stock bandwagon might want to think twice before doing so now.

    To continue reading, please click here...

  • Apple iWatch, Google Glass First Shots in New Clash of Tech Giants

    Coming less than a year after Google unveiled its Google Glass Web-connected eyeglasses, reports that an Apple "iWatch" is in the works emphatically confirm that the battle is now joined for dominance over the next wave of tech - wearable computing.

    According to the reports, Apple Inc. (Nasdaq: AAPL) has 100 people working on an iWatch users would wear on their wrists, but that would have many of the same capabilities as an iPhone.

    But wearable computers could enable new uses, particularly in the area of healthcare, while perhaps providing the spark to encourage some promising technologies that have yet to catch on, like contactless payments.

    Four of the biggest names in tech - Apple, Google Inc. (Nasdaq: GOOG), Sony Corp. (NYSE ADR: SNE) and Microsoft Corp. (Nasdaq: MSFT) - either are selling, have announced, or are known to be working on wearable computing ideas.

    And two other big names, Amazon.com (Nasdaq: AMZN) and Facebook Inc. (Nasdaq: FB), are watching for opportunities to benefit from yet another major shift in how people interact with technology.

    To continue reading, please click here...

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