“Moneyball” Secret Reveals 5 Tech Stocks You Must Own Now
What do successful baseball teams and smart tech investors have in common?
Both win by zeroing in on things others have missed—not simply chasing the next superstar.
Consider the incredible story of the Oakland Athletics.
Back in 2002, A’s general manager Billy Beane was just another frustrated small-market baseball executive trying to compete with the filthy-rich, free-spending Yankees.
That year, he decided to go all in on a controversial quantitative analysis system developed by baseball writer and statistician Bill James.
Rather than getting hung up on a player’s potential, James said teams should focus on performance. In particular, he advocated looking for players who excel in measurable categories scouts often overlook, like walks, on-base percentage and the ability to hit in clutch situations.
Beane decided he needed a numbers wizard on his team, so he hired stats guru Paul DePodesta.
This baseball “odd couple” then set out to build a quick, opportunistic team adept at, among other things, amassing base runners via high-percentage walks, single and doubles.
Maybe, they thought—just maybe—a team with the right metrics could score more runs and win more games.
Investment Lessons From the Diamond
The 2002 season started with the low-budget A’s fielding a squad of journeyman players. But they stunned the baseball world, winning 103 games and setting an American League record by winning 20 in a row.
Over the next 11 years, the no-name A’s became such consistent winners (8 first- or second-place finishes, plus a solid .535 winning percentage) they were immortalized in the Brad Pitt movie Moneyball.
Critics point out that the team has yet to win a World Series playing Moneyball, but A’s fans can count on their team being in the playoff hunt—and having a chance to win a championship—just about every year.
But here’s the key takeaway for investors: The way the A’s judge talent has intriguing implications for picking the next winning tech stocks.
We know that sounds crazy, but we’re already using our own Moneyball-inspired strategy to uncover big tech winners for investors—including five with the potential to deliver life-changing gains if you act now.
We’ll tell you all about them in a moment. But first, it’s time to introduce you to…
The Stat Whiz of Tech Stocks
At its core, Moneyball relies on precisely the same things Leo Boeckl, chief strategist at our Smart Tech Investor advisory, looks for when evaluating tech stocks for investors.
Here’s what we mean:
- The heart of Moneyball metrics is discovering undervalued players with overlooked talents that often prove more vital to winning games than spectacular home runs and gaudy batting averages.
- The heart of our Smart Tech Investor strategy is identifying underestimated tech firms with crucial but overlooked aspects they need to beat out the competition (rather than swinging for the fences to invent the next big thing).
At Smart Tech Investor, Leo assigns scores to tech stocks based on a series of measurements including dividend yield, operating cash flow growth and the ability to snap up companies whose breakthroughs nicely complement their own.
The results speak for themselves:
- Months ago, Leo predicted Amazon’s sharp drop and the crushing of BlackBerry. Both came to pass.
- He also alerted his subscribers that Apple (NasdaqGS: AAPL) would take off yet again (it’s up 103% year-to-date), and he named Western Digital (NasdaqGS: WDC) his highest-rated tech stock. It promptly rose 50% in less than 6 months.
- But here’s the real clincher—through the first six months of 2014, Leo’s portfolio beat the high-flying Nasdaq by 58%! And he’s on track to keep that streak going.
The bottom line: Leo’s “uncommon metrics” are the key to pinpointing tech stocks destined to become hugely profitable—and avoiding those about to be swept away by the competition.
A Series of Profitable Singles and Doubles
The simple fact is, nothing quite beats technology stocks for huge, quick gains:
- A 1997 investment in Cisco reaped a 1,247% profit just three years later;
- A 2004 bet on Google rose 628% by 2007;
- And a 2005 investment in Apple netted a spectacular 10,205% gain just eight years down the pike.
Those are the kinds of gains that change your life.
But it bears repeating: Success in the cutthroat tech world is not just about being first with a spectacular “grand slam” innovation.
If you look closely at Apple today—and throw in Verizon (NYSE: VZ) and Qualcomm (NasdaqGS: QCOM), too—you’ll see they don’t try to innovate (hit home runs) all the time and create breakthrough technology in-house.
Instead, these supremely successful companies realize they can augment their products more effectively by acquiring exactly what they need from a supplier.
For example, Apple created most of the technology for iPhones and iPods—but also married that technology with a system for applications and music, which Apple never invested any time or money to create.
And Apple is certainly a solid buy right now—even though it’s not likely to produce another round of 10,000%-plus gains.
But new technologies are constantly being created and evolving.
So at Smart Tech Investor, we look for the stocks that won’t win the World Series every year—but they doprovide a better winning percentage over the long term, thus creating opportunities to win the World Series in any given year.
5 Clutch Performers for Your Portfolio
Here’s the best news of all. We’ve packed five of Leo’s favorite tech picks right now into a brand new free report, “Moneyball Investing for Technology Stocks.”
These five “unsung heroes” are like a shot of B-12 for your portfolio. They’ve developed game-changing technology in five of the sector’s most explosive markets: big data, cloud computing, cyber-security, mobile gaming and health care data management.
Best of all, this amazing new report is yours free when you take Smart Tech Investor for a no-risk 90-day test spin. So you can put all five to your own personal test, the tougher the better.
Plus, you’ll enjoy full access to our complete service—including the most detailed analysis available on tech stocks anywhere—for a full three months with no obligation whatsoever.
Don’t be left behind as the latest tech breakthroughs create the next round of millionaires.
Go here to check out this incredible new report now.
You’ll be so glad you did.
Editor’s note: If you’re thinking about adding tech stocks to your portfolio and you’re concerned (as you should be) about being left out of the new, sweeping technological breakthroughs, this offer is for you. The five stocks Leo outlines in this groundbreaking report should be at the top of your list.
We can’t wait to tell you all about them. And remember, your risk in checking out this offer is exactly zero. You have nothing to lose and much to gain.
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