Not all shares have the potential to deliver high growth returns. Hunting for Multibaggers comes with higher risk and failure can result in losing everything. But when a plan comes together the upside potential / growth returns are often astonishing. Here’s the last decades action…
From 2009 – 2017, here are the following ShareHub “heads up’ and ‘Hotlist’ tips.
1. GKP – E&P. Tipped in ’09 at 10p, reached 450p. Return = 44 bagger!
2. QED – Property. Tipped in ’09 at 8p, reached 240p. Return = 29 bagger!
3. MXP – E&P. Tipped in ’09 at 2p, reached 34p. Return = 16 bagger!
4. MNR – Property. Tipped in ’09 at 9p, reached 130p. Return = 13 bagger!
5. PANR – O&G Explorer. Tipped in ’16 at 17p, reached 187p. Return = 10 bagger!
6. XEL – Oil Explorer. Tipped in ’09 at 40p, reached 425p. Return = 9 bagger!
7. EO.L – Oil Explorer. Tipped in ’10 at 16p, reached 143p. Return = 8 bagger!
8. KAZ – Copper. Tipped in ’09 at 200p, reached 1635p. Return = 7 bagger!
9. CAL – Property. Tipped in ’09 at 16p, reached 109p. Return = 6 bagger!
10. HUR – Oil Explorer. Tipped in ’16 at 10p, reached 60p+. Return = 5 bagger!
11. IAE – E&P. Tipped in ’09 at 40p, reached 196p. Return = 4 bagger!
12. MERE – Property. Tipped in ’09 at 30p, reached 145p. Return = 4 bagger!
13. NPE – E&P. Tipped in ’10 at 130p, reached 550p. Return = 3 bagger!
14. PMG – E&P. Tipped in ’10 at 11p, reached 37p. Return = 2 bagger!
15. RRL – E&P. Tipped in ’11 at 8p, reached 24p. Return = 2 bagger!
16. GLEN – CONGLOM. Tipped in ’16 at 90p, reached 270p. Return = 2 bagger!
17. TIG – IT. Tipped in ’10 at 11p, reached 26p. Return = 1.5 bagger!
18. SQZ – E&P. Tipped in ’12 at 18.88p, reached 45p. Return = 1.5 bagger!
19. PCI – E&P. Tipped in ’11 at 4.75p, reached 10p. Return = 1 bagger!
20. OPHR – O&G. Tipped in ’12 at 289p, reached 648p. Return = 1 bagger!
21. BOR – E&P. Tipped in ’12 at 63.5p, reached 139p. Return = 1 bagger!
22. AFR – E&P. Tipped in ’12 at 85p, reached 162p. Return = 1 bagger!
23. SPD – Retail. Tipped in ’12 at 213p, reached 452p. Return = 1 bagger!
24. HUM – GOLD. Tipped in ’17 at 18p, reached 38p. Return = 1 bagger!
Many other “heads up” tips have delivered 1/2 baggers which are certainly not to be sniffed at, but have not been included in the above. The above list will be updated as/when stocks set new highs in the current year.
2009 was clearly a ‘recovery’ year and many oversold stocks were ridiculously valued – most were expected to go under. Uncertain times presented many opportunities for the smart investor but maintaining a 100% record of successes is not easy in a volatile market like 2009. 2012 onwards saw the bull phase for commods slip into a ugly bear phase particularly for miners. OPEC’s self destruct button pushed in late 2014 added huge bearish bias to the O&G market in an attempt to see of US shale. Many sector players have been reduced to firesale prices, many have gone under and the stronger ones survived. 2016 onwards has seen a recovery across many miners and O&G companies. However, the commodity sector is still technically in a bear phase which presents opportunities in 2017/18 onwards should the sector enter a bullish cycle.
To balance off the Hall of fame – here’s a few from the Hall of Shame. An example that not all ‘heads up’ tips or hot list top ten picks perform as expected. The market has an uncanny ability to make fools of all us and the irrational nature of market movements can be akin to a ‘casino’ style environment. This is not the 1990’s anymore nor the 2000’s. It’s 2017 and every cat and dog has access to a trading account, dark pools and dark off book trading goes on more often than not across the ‘big boys’ books. Algo’s, bots, cfd’s, spreadbets and ETF’s to name a few all effect the market in ways that hedge exposure rather than value companies. The days of ‘fundamental’ analysis has to make way for a backdrop of black boxes often playing out algo’s that could be based a billion things! What hope to private investors have? Plenty. Just find good value stocks, buy them low and sell them high. Sounds easy doesn’t it?
The above multibaggers are impressive, but here’s some examples of stock picks that did not turn out well.
1. NEW – tipped in ’09 at 4p, reached 8p. Eventually Filed for Admin.
2. ICX – tipped in ’09 at 8p, reached 20p. Eventually Filed for Admin.
3. AZM – tipped in ’09 at 8p, reached 14p. Eventually Filed for Admin.
4. AFR – tipped in ’12 at 90p, reached 120p. Eventually Filed for Admin.
5. XEL – tipped in ’12 at 100p, reached 360p. Eventually Filed for Admin.
Not all investments bear fruits and the above shows that ‘everything’ can be lost. However, if you sell at the right time then you can still make a profit before all goes to rats. Important to not hang onto stock just for the sake of it. If performance wobbles or the business shows weakness, then review all risks and sell out if suits your personal strategy. If in any doubts seek advice from an approved FCA broker/advisor.