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Ever since Donald Trump was sworn in as president, we've seen a lot of talk about "fake news."
Depending on how you're feeling on any given day, that's either hoaxes, propaganda, and disinformation that isn't true… or simply news you don't like.
But there's something else going on – in the world of investing – that's even more dangerous.
I call it "incomplete news."
See, the mainstream financial media would have you think that blindly following Wall Street's march will put you on the road to wealth.
In reality, that's a path to ho-hum returns.
You can do better.
How to Beat the Market by Ninefold
The titans of Wall Street want to make sure everyone knows that the market is on a roll.
And who can blame them? After all, the S&P 500 logged a 5.5% gain for the first three months of this year, its best quarterly pace since the end of 2015.
Not only that, but tech is just killing it. The Nasdaq Composite surged some 9.8% during the first three months of 2017.
Here's the thing Wall Street doesn't want you to know: This remains a stock picker's market.
See, as far as the Street is concerned, they'd be happy if you'd just be "passive" – and stick all your money in market-tracking mutual funds or ETFs. Of course, if you're a bit of a bigger "whale," they're happy to charge you a bundle for their analysts' mediocre "buy" and "sell" advice.
But if you did that, you'd be leaving a lot of money on the table.
You see, having the right tech investing guide could help you beat the S&P 500 by as much as ninefold, as members of my Nova-X Report premium service know.
Let's take a look at some of what they're seeing…
Nova-X Market Crusher No. 1: OLED Screens for Smartphones
The world's top smartphone developers are locked in a pitched battle. So they're all looking to come out with features that the other guys can't match.
But all of the top players agree on one thing.
Super-crisp organic light-emitting diode (OLED) screens are the next frontier. For one thing, they'll make watching videos on phones a much more pleasurable experience.
Whether these phone makers build their own OLED screens or farm it out to contract manufacturers, one firm stands to benefit.
As I told Nova-X readers last May, this firm controls more than 3,500 OLED patents. And so it stands to earn licensing fees for every single OLED-equipped phone that is sold.
It's impressive that this company is geared up for sales growth that should rise from 25% in 2017 to 30% in 2018. But what's even more impressive is a projection from IDTechEx that the market for printed, flexible, and organic electronics – which will all require OLEDs – will grow 160.2% to reach $69.03 billion by the end of 2026.
Investors are just now waking up to this high-growth opportunity, pushing shares of this firm up 52% in the first quarter. That's a stunning 208% gain on an annualized basis.
Nova-X Market Crusher No. 2: A Bold New Treatment for Glaucoma
Across the globe, the number of people aged 60 and older is rising at a rapid pace. And that means age-related infirmities are becoming a growing problem.
The number of people that have glaucoma, for example, will have doubled in the decade ended 2020, according to the U.S. National Library of Medicine.
Worldwide, we'll be talking about 90 million glaucoma sufferers by then.
But one small biotech firm is making giant strides in the battle to relieve the symptoms of this disease that damages your eye's optic nerve.
I would say that it's a well-kept secret, but a 49.6% first-quarter gain tells me that more investors are catching on to this fast-growing firm. Our decision to add this stock to the Nova-X Portfolio in November now looks quite timely.
And plenty more gains lie ahead.
That's because this firm is on pace to grow more than 40% this year, and close to 30% yearly in the future. That's coming from a further push into the U.S. market and a just-begun global sales campaign.
Nova-X Market Crusher No. 3: The Power Behind eSports
To reap the full gains from a winning investment, you need to tune out "the noise." If you've done your homework – and remain convinced that a firm is on pace for strong growth – then you've just got to ignore the occasional quarterly "head fake."
In early January, we reminded you that Nova-X readers that one of our favorite tech-focused entertainment plays was still poised for great gains, despite a choppy stock chart.
But we knew better. See, the firm has moved heavily into the new digital tech sector of eSports, a global force that will soon challenge all established physical games. SuperData Research says global viewership for last year was around 214 million people, a figure that will grow 39% to reach 303 million by 2019
At the time, Wall Street didn't think the company's December quarter results would be strong.
We weren't as concerned.
"So, let me be clear about one thing," I wrote at the time. This firm faces a "very bright long-term" future.
The fact that earnings went on to blow past forecasts by 26% is almost beside the point.
The key point here is the importance of sticking to your guns, even when panic sets in. Thanks to that stance, we watched as this stock surged a stunning 38% in the first quarter. That's nearly four times better than the broader tech market.
And the setup remains in place for a lot more upside.
While Wall Street predicts that this firm's sales and profit growth will cool this year, we know they're flat wrong. After all, analysts have underestimated this firm for a very long time.
The company's dynamic CEO has always managed to deliver beat-and-raise quarters. By year's end, sales and profits usually end up growing at a much better rate than whatever Wall Street "predicts."
Nova-X Market Crusher No. 4: The Must-Own Chipmaker
Here are two of the simplest paths to growth…
- Sell even more products to your top customers
- Find more customers to build sales with
One of our favorite chipmakers, which has been in the Nova-X portfolio since October 2014, has perfected that strategy. And that's made it one of the fastest-growing firms in the semiconductor industry.
This firm is not only seeing rising sales with top client Apple. It's making big inroads into top-tier Chinese smartphone builders as well.
A savvy go-to market strategy has already boosted the company's sales base – from $1.07 billion in 2010 to $3.29 billion last year. And its revenue base is on pace to approach $4 billion by next year.
This firm is benefiting from an expanded client list, and it's also gaining from the rising content of chips in today's smartphones and tablets.
The iPhone 7, for example, has 33% more chips than the iPhone 6 had, and the iPhone 8 is expected to have 25% more chips than the 7. We're talking about more than $30 worth of chips per phone, according to Charter Equity.
And that trend is clearly boosting this company's fortunes. Its shares rose 31.2% in the first quarter, which puts us on pace for more than 100% in annualized gains.
Now then, don't worry. I'm going to keep sharing my tech stock recommendations and investing tactics for crushing the market in our twice-weekly chats here at Strategic Tech Investor.
In this service, I do all the heavy lifting for you – market research, "Buy" and "Sell" orders… and everything in between.
And beyond tech stock picks, we explore "frontier" investments like fast-growing pre-IPO startups, foreign companies looking to "up-list" to American exchanges, and the emerging field of cannabis-based biotech treatments.
The post When Putting Money on the Line, There's One Thing Worse Than "Fake News" appeared first on Strategic Tech Investor.
About the Author
Michael A. Robinson is one of the top financial analysts working today. His book "Overdrawn: The Bailout of American Savings" was a prescient look at the anatomy of the nation's S&L crisis, long before the word "bailout" became part of our daily lexicon. He's a Pulitzer Prize-nominated writer and reporter, lauded by the Columbia Journalism Review for his aggressive style. His 30-year track record as a leading tech analyst has garnered him rave reviews, too. Today he is the editor of the monthly tech investing newsletter Nova-X Report as well as Radical Technology Profits, where he covers truly radical technologies – ones that have the power to sweep across the globe and change the very fabric of our lives – and profit opportunities they give rise to. He also explores "what's next" in the tech investing world at Strategic Tech Investor.