Editor's Note: Normally, this 2016 small-cap forecast would go to Sid's paid-up Small-Cap Rocket Alert subscribers, but he was so excited about these trends that he asked us to share it with our Members. He's tracking six micro-trends in his trading service, but the two you're about to see should "spark" some of the biggest gains of the year. Here's Sid...
...yet I'm more excited than I've been in years. And I want to show you why.
What I'm seeing suggests that 2016 may be the most profitable small-cap investing climate we've seen since the late 1990s. That's because so many little companies are sitting right at the starting line regarding some of the world's most exciting trends.
To be clear, I'm not just talking about any old trends here. You can click over to your favorite consumer magazine for that.
I'm focused on opportunities that come from looking deeper than glossy investment reports, from turning over rocks that others don't, and from understanding the implications associated with innovations that, frankly, are no longer science fiction.
These are what I call "micro-trends," little pockets of innovation that are on the cusp of changing the world.
And as small-cap investors, we get to tap into them before anyone else.
The Ultimate "Ground Floor" Opportunity
Obviously, these micro-trends are all very different on the surface. But what ties them together is the same thing we talk about all the time - a "spark" or catalyst that sets the stage for at least triple-digit returns.
To see the power of these trends, just look at what happened to Amazon.com Inc. (Nasdaq: AMZN).
If I was writing this analysis in 1997, my list of micro-trends would probably have had "online shopping" on it. It seemed a bit obscure at the time, but Amazon virtually invented online shopping and has completely changed the retail experience.
Early investors who bought in when it was at $5.08 per share in 1997 have enjoyed gains of at least 6,051.5%, turning every $10,000 into more than $615,150 today.
Or take Starbucks Corp. (Nasdaq: SBUX).
I remember when Starbucks was a one-room grinding shop in Seattle with nothing to set it apart from the dozens of coffee shops in the area save CEO Howard Shultz's vision to sell drinks, not just beans. Today it's a $62.5 billion monster that sets the competitive bar for every coffee shop around the world. Every $10,000 invested in January 2000 is worth $104,375 right now.
About the Author
Sid is the investment community's best-kept secret. Since 2009, he's served at Money Map Press as Director of Research, analyzing thousands of securities and profit opportunities for subscribers. He's an expert in identifying "alpha" potential in a wide variety of industries, but especially the small-cap sector, where he's discovered a pattern of profits that's almost foolproof.