The best performing stocks are not easy to spot, but finding them is not really that hard once you know what to look for or how to go about searching for them in the first place. That’s our thesis here; and by the end, you’ll be armed with a strategy for spotting the best performing stocks.
Before we go into the strategy, we need to peel the curtains back on some of the biggest best performing stocks of the last 20 years. Why 20 years? Because over such a time span, we can with better statistical significance, call particular stocks best performers. You really can’t make that assessment for a stock that is doing well for let’s say, 5 years. Funny enough, Warren Buffet uses the same benchmark for picking his stock and his results, as you well know, are world-beating.
Best Performing Stocks – A Few of the Best Ones
One of the best performing stocks of the last 20 years has been Keurig Green Mountain, Inc. (NASDAQ: GMCR). In 1996 this company was trading at a paltry 23 cents, but thanks to diligence and sound management, the stock is now worth over $90 at this writing. That’s fantastic growth over such a period, a reward certainly for anyone who picked up shares in the company back in 1996.
Another big winner that boasts inclusion in the best performing stocks is Celgene Corporation (NASDAQ: CELG). The seller of popular medications, including Thalomid and Revlimid has seen its fortunes climb and climb since 1996 when it was trading for around 70 cents. Today CELG is trading at a whopping $102!
No list of best performing stocks of the last 20 years would be complete without Apple, Inc. (NASDAQ: AAPL). There isn’t a whole lot about this company you are unlikely to know since the iPhone is one of the biggest selling products in history. What we can tell you, to prove our point, is that back in 1996 AAPL was limping along at around 91 cents a share (pre split). Today you need at least $170 to buy a single share in AAPL – and it’s a company that is still growing.
Among the list of examples also lie Gilead Sciences Inc. (NASDAQ: GILD). The drug company was trading at around $1 back in 1996 but has since gone on to rise steadily over the years, presently trading at around $75 a share. Like all the others mentioned, this is phenomenal growth.
Best Performing Stocks – The Secrets of Finding Them
So how do you spot these gems before they explode and deliver sustained profits as those above have?
The answer comes in two favors. First, you need to think long term. No use in playing the short game because with these types of stocks, the real benefits don’t accrue until a significant amount of time has passed. Along with thinking long term, you need to develop an eye for new technologies that are poised to stick around and transform lives.
If you’d invested in any cellphone company at the start of the boom you’d be minted today. Sure, some companies have fallen by the wayside; but overall, the cellphone has created some of the best performing stocks of the last 20 years. You also need to be watching the growth curve and the cyclical changes that usher any sort of variant new industry or market. Take financial busts for example. When they come around there are new paradigms; people change their habits and from this new markets can and do emerge. You therefore need to stay ahead of that and be ready to take advantage of the companies that are at the vanguard of these shifts.
Best Performing Stocks – The Ultimate Shortcut
One strategy I like, while biased is to get on a newsletter list. This list needs to have a long term as well as a short term focus. That is to say, it must cater to your best forming stocks long term portfolio needs. You can find many of these types of newsletters online but here’s a shortcut. This newsletter right here, gives not just short term pricks, but long term ones as well. It’s 100% free to join, you can just sign up and take a good look at what they have to offer. If you don’ like it you can simply unsubscribe – total freedom. Check them out.