Eric Fry’s system for identifying stocks with 10X potential
In ancient mythology, the phoenix was a bird that died in a blaze but rose from the ashes to become more beautiful than ever.
The idea of coming back from near-total destruction is appealing, and many of the stories we know about success have a phoenix-like element to them.
For example, Thomas Edison failed hundreds of times to invent a viable light bulb before finally succeeding.
Winston Churchill’s political career was considered over until the start of World War II. He subsequently went on to become Prime Minister and became a symbol of England’s determination to win the war.
Steve Jobs was forced out of Apple in 1985, only to return more than a decade later to take Apple to new heights.
Or consider George Foreman, who returned from retirement at the age of 45 to again become the heavyweight champion of the world in boxing.
The phoenix story captures a simple truth: sometimes the path to extraordinary heights begins with a plunge. What sometimes looks like the end, might just be a new beginning.
Stocks too can experience that same trajectory. Often, a stock that looks like no more than a pile of ashes can make a comeback – and make foresighted investors rich.
Global macro analyst Eric Fry has specialized in finding these stocks. He calls the pattern “down a lot, up a little.”
This pattern has been a key part of Eric’s methodology. It’s also been part of the 41 recommendations Eric has made that eventually surged more than 1,000%. And now, he has developed his first ever quant stock picking system – based on the shared fingerprints of those winners – to help deliver more of those returns to his subscribers.
How to Buy the Dip for Bigger Gains
Buying stocks that have gone down is an idea every investor knows. For most people it’s a concept known simply as “buy the dip.”
You can look at a chart of any stock, even the world’s biggest winners, and see times when the price dipped, offering investors a chance to get in a little more cheaply.
For instance, Netflix (NFLX) has had several dips over the last year.
Just a quick glance at that chart shows opportunities in January, March and April when investors could have taken advantage of short-term declines in to get in on the relentless grind up.
Unfortunately, many investors don’t buy the dip correctly. They buy into weak companies that never recover. Or they succumb to recency bias and never buy a great stock, out of fear that the downward trend will only continue.
Eric’s strategy is different.
What Eric looks for is an extreme version of “buy the dip.” Not a 5% or 10% pullback, but stocks that have been beaten down by 40% or even more. To the average investor, these companies look finished – just ashes, like the phoenix at the end of its life.
Mining company Freeport-McMoRan (FCX) is a great example. The stock got crushed during the commodities market collapse in the late 1990s, as you can see below.
You might remember that copper prices had collapsed. FCX dropped more than 70%, and investors wanted nothing to do with mining companies.
But then, the stock began to recover. Eric saw the “down a lot, up a little” pattern.
After doing more of his proprietary research, Eric recommended it to his subscribers. FCX went on to soar more than 1,000% over the next decade.
And now, for the first time, Eric has coded his analysis into a breakthrough system he calls Apogee.
Eric has spent the last five years, hundreds of hours of research and 5.2 million back-tests, to reverse-engineer his stock picking system.
Essentially, a set of simple but precise rules for identifying the stocks with 10X potential.
As you might imagine, one of those rules is the “down a lot, up a little” pattern we just saw.
But it’s not the only factor. When paired with other “10X Factors” Apogee identifies the opportunities that could be a launchpad for major long-term gains.
This isn’t about placing a bet on a little-known stock with great potential. During the back-tests, Apogee identified many stocks that are household names.
Earlier this week, Eric unveiled Apogee to the public. During the 10X Breakthrough event, he walked viewers through how the system recreates his thinking, and why now is the time to unveil it.
He also provided the names and tickers of five stocks that Apogee has already identified as having 1,000%+ potential. Eric calls one of them “Nvidia on Steroids.”
If you’ve ever wanted to see exactly how “Mr. 1,000%” finds his phoenix stocks — and get the names of five potential 10X opportunities — you must watch the 10X Breakthrough event before it disappears.
Enjoy your weekend,
Luis Hernandez
Editor in Chief, InvestorPlace
