My friends who don't fully get my stock-buying habits often ask "if you could own one stock for the rest of your life," or "if you had just one stock to own while you were stranded on a desert island for years," what that stock might be.
They expect me to name some tech giant trading at multiples so high I'd need a NASA spacesuit to own it, or some biotech "just about" to "change the world," despite the very long odds on blind biotech bets.
Or a driverless car company... or a drone manufacturer... or some other firm making a device that everyone expects to be ubiquitous in a few years...
All super-sexy, exciting businesses, absolutely; fun to read about and speculate on, but not my cup of tea.
Why? Because I have no idea which tech company will own 90% of the planet in 50 years, or which will be replaced in five years by a couple of dudes in Toledo building a gaming system in their garage.
When and if they reveal themselves, and they're selling cheap, maybe I'll buy 'em - maybe.
About the Author
Tim Melvin is an unlikely investment expert by any measure. Raised in the "projects" of Baltimore by a single mother, he never attended college and started out as a door-to-door vacuum salesman. But he knew the real money was in the stock market, so he set sights on investing - and by sheer force of determination, he eventually became a financial advisor to millionaires. Today, after 30 years of managing money for some of the wealthiest people in the world, he draws on his experience to help investors find "unreasonably good" bargain stocks, multiply profits, and build their nest eggs. Tim tirelessly works to find overlooked "hidden gems" in the stock market, drawing on the research of legendary investors like Benjamin Graham, Walter Schloss, and Marty Whitman. He has written and lectured extensively on the markets, with work appearing on Benzinga, Real Money, Daily Speculations, and more. He has published several books in the "Little Book of" Investment Series and a "Junior Chamber Course" geared towards young adults that teaches Graham's principles and techniques to a new generation of investors. Today, he serves as the Special Situations Strategist at Money Morning and the editor of Peak Yield Investor.