The best place to find a 10-bagger is a tiny company playing in a big market.
If your customer rolodex is small, it doesn’t matter how good your business is. You’ll never become a big player.
The Street knows this. The Street doesn’t give big valuations to small fish in small ponds.
Big valuation – BIG POTENTIAL – that’s reserved for a small fish in an ocean.
Digital advertising is the biggest ocean out there.
Google, Facebook, even Amazon… their business depends on digital advertising dollars.
This is a HUGE business – $600 billion.
How did it get to be so big? The average American spends 11 hours of their day online.
You all the surf the web. Catch up on the news. Shop. Watch Netflix, YouTube. Check your stocks, your sports teams.
After sleeping, you probably spend more time on the internet than anywhere else. So you KNOW what I’m talking about when I say…
And while you’re doing that… do you notice THE SAME ADS following you around the ‘Net’?
After you visit a travel site, look for shoes, browse the used car ads… “they” follow you….
Who is “they”? – well let me tell you – and how much money “they” make doing this.
But first let’s be clear about the how – “They” are making money off of “you”.
“They” are following you around the web and selling advertising on every page you click on.
You get nothing for this. But I am going to tell you how you can change that.
I am going to tell you how to invest in one of “them”. In a sense, you can get paid for those ads on the internet now.
This is not just any company. This is a company in the middle of the fastest growing segment of the digital ad business.
A company that grew revenues last quarter at over 100% year-over-year.
A company that is trading at 1/17th of the valuation of the largest competitor in the space.
That’s right folks. 1/17th! That’s what makes me think this stock becomes a 10-bagger or better.
That Market Leader is TTD-NYSE – The Trade Desk. Do you wish you owned this stock in 2016?
The company I’m giving you today – Risk-Free – is a $2 stock. What’s more – this company is growing faster than its competition.
You heard it right – Faster.
If this company is rerated to 1/10th the valuation of the leader, the stock will almost double. If it gets half the valuation, it’s an 8.5x bagger.
And folks, this company is killing it right now – Q4 18 revenue was up over 100% Year-over-Year! Positive cash flow is starting… and that means…
As this company catches the eye of Bay Street again… well fugetaboutit.
Digital Advertising is Big Business
The fastest growing slice of the digital advertising pie is something called programmatic advertising. The market for programmatic advertising is expected to reach $41 billion in 2019.
That is 22% growth over 2018.
That is a 5-year compounded annual growth rate of 25%.
In the near-to-mid-term, all digital advertising will be programmatic advertising. That’s not me saying that – it’s the industry leader.
The company I have found is right in the middle of the programmatic advertising space.
But they are growing even faster. 4x FASTER!
That’s saying something. Because digital advertising and programmatic advertising are booming!
Programmatic advertising makes up 82% of digital advertising spend in the U.S.
The United States is the leader in advertising trends. Where the United States goes, the rest of the world follows.
The company I’ve found has placed itself in the right place to capitalize on this growth.
The stock market has not yet caught on to any of this yet. It shunned this company a couple years ago and is only now coming back. Believe me, it has no choice.
In the mean-time I smell OPPORTUNITY.
Let me repeat myself – this company is trading at 1/17th of the big fish in the space and it is growing faster.
Big market. Low valuation.
This is how 10-baggers are made, folks.
And this is simple. The famous fund manager Peter Lynch said – Invest in What You Know. Everybody knows the Internet, and everybody knows those annoying ads that follow you around.
I’m just telling you the secret of how to make a lot of money from those ads. Now when you see them following you around – you’ll smile, not frown – because you know you’re making money while you sit there.
The Usain Bolt of Advertising
What is programmatic advertising? And why is it growing so fast?
This is a natural evolution of Internet advertising – it’s just customizing and automating the ads you see.
As I’ll explain, you have given these companies a lot of personal information and now they automatically send you ads they think you’ll click on.
Machine learning and Artificial Intelligence – AI – replace salesmen and handshakes.
Data replaces hunches. Analytics replaces gut feel.
Software decides when and where ads are shown, and to whom.
Let’s take an example.
When you go to a website it looks like all the content is loading at the same time.
But it is not-the page content loads first.
Then comes the ads. In between, special software code sends out a bid request to an ad exchange notifying advertisers that there is space for sale.
This starts off a bidding process. The publisher wants to find the advertiser that is willing to pay to get access to YOU.
My Top Pick manages this process on the advertiser side. It decides the best ad for you at that time, and what the advertiser should pay to show it to you for the placement.
This company has developed a platform that;
- analyzes vast amounts of data
- automates the decision using AI
- continually improve on the decisions it makes with machine learning algorithms.
It’s All About YOU – and Your Data
Let’s talk about the secret sauce. How does this platform determine what ad to place when?
Data and intelligence.
Cookies and app data track your movement around the web. Your data is pulled together to create a profile of you.
Your profile considers demographic information, what you are interested in, geographical info, and what kind of device you use.
Your profile is compared against the successes and failures of ads delivered to other similar profiles.
AI algorithms boil it down to decide how likely you are to click on each potential ad.
If there is a good chance you will click on the ad, a bid will be made.
The whole process takes 50 milliseconds. There are 100’s of billions of bid requests processed each day.
Think about that. 50 MILLI-SECONDS to make a decision. HUNDREDS OF BILLIONS of decisions a day.
Putting together this technology is no easy task. It has to handle an enormous amount of data.
It has to make a complex decision, figuring out probabilities & such.
It has to track the successes and failures of those decisions and learn how to improve on them.
It has to do it all in milliseconds and do it billions of times a day.
The company I’m talking about has the technology.
It’s all proprietary.
A team of PhDs – experts in their field – have been developing it for nearly 10 years.
Most important, the results are the proof. And the results come in very, very quickly – days or even hours.
And right now the results are showing TWO things:
- existing customers are coming back for bigger contracts and
- more customers are signing up
In other words – this company’s ad algorithm WORKS.
That’s the bottom line. This algorithm is set to make me A LOT OF MONEY this year.
There is ONE reason an advertiser keeps coming back to a platform. One reason – Three words: Return on Investment. ROI
My Top Pick’s advertisers are getting GREAT results for their dollars.
Advertisers want to see clicks on their ads. They want to see conversions.
A conversion is a customer that buy their products. Customers that sign up for their services. Customers that test drive their cars.
This platform is doing all of that. That’s driving growth in the number of customers, and how much each customer is spending.
The Next Big Growth Engine Here
Good ole’ TV Advertising
This $600 billion industry – already one of the largest and fastest growing – is about to get a turbo-charge boost this fall.
And it’s coming from an unlikely source – the family Television. The Idiot Box.
It really was an Idiot Box – a one way relic in the world of two way connection.
But we are on the cusp of a big shift in the way we watch television.
Cable and satellite channel providers have always had to provide dumb advertising – just like newspapers.
Everyone gets the same ad. It’s SO inefficient; so yesterday. And we all know where newspapers have gone. (Fun fact: Google’s US ad revenue is more than ALL the US newspapers’ ad revenue combined).
TV could go the same way – but it won’t, because TV is about to change.
Our TV screens are now wired right to the web, and we all watch YouTube, Netflix, and Apple TV on Smart Televisions.
Together we call these “Connected Television”. With the Connected Television revolution an advertiser can target customers with precision.
Very soon, TV advertising will be tailored to us.
You will see the advertisement that makes the most sense for you. Buying a car? You will see a BMW ad. Shopping for a gift for your wife? You will get a commercial for Jared’s.
Television is about to become personalized.
The company I have found has strategically placed itself in the middle of the connected television revolution.
In 2017 they acquired a company with a patented video analytics tool.
Unlike many analytics platforms, this tool can measure ad performance regardless of the medium.
It can track how much time consumers are spending watching a video on any platform. That could be on YouTube, Instagram, watching the ad on cable – whatever!
That means better tracking. It means more data for the advertiser. It means better targeting for this company and better ROI.
Catching up with the Leader
The leader in the programmatic advertising space is Trade Desk.
The Trade Desk is an $8 billion-dollar company. They were one of the best performing stocks last year.
- Up over 70% since the beginning of 2019
- Up nearly 5x since the beginning of 2018
The Trade Desk did nearly $500 million of revenue last year. Revenue grew at 55% year-over-year.
The Trade Desk has incredible margins. In 2018 EBITDA margins were north of 30%.
When you have that kind of margins, every extra dollar of revenue delivers more cash flow. Trade Desk is a cash flow machine.
The company I have found is on the way to becoming the next Trade Desk (or getting bought out by them!). They have a competing platform that is delivering results:
- They provide an Omni-Channel solution – that means they can target the consumer regardless of device or platform
- The have patented and proprietary AI algorithms that has proven it can drive results
When I asked the management team which company their business was most similar to, they said Trade Desk.
The Trade Desk is bigger for sure – but my little $1.50 stock is already a $100 million company – trading at 0.8x sales and has positive EBITDA! Yes this is a small-cap stock but it has a large-cap business – that’s the leverage I’m looking for.
Both these companies have their own technologies for placing ads.
They offer similar platforms.
They are trying to accomplish the same goals – deliver ROI to the client.
My Top Pick’s management team firmly believes their clients get a better ROI than any of their competition.
They have case studies that clearly show using their system versus the competitors is better for the advertiser. Their AI is higher quality and it delivers better results.
You could rightly say – So what? Who cares what their management team thinks.
But the proof is in the pudding. Clients are coming back. They are signing bigger deals. New clients are being added. They are growing FASTER than The Trade Desk.
There is only one reason that a client comes back in the Adtech business – your solution delivered.
Advertising clients want to see Return-On-Investment. ROI. They want to know that their ad-spend is being directed at potential customers that will convert into revenue-dollars.
In Q2 19, revenue for my Top Pick was up over 110% year over year.
The Trade Desk relies mostly on charging fees to advertisers for placing ads through their platform. This is called self-serve.
This company does that too. But they will also run your advertising campaign for you. This is called full-serve. Both these revenue streams are growing faster than Trade Desk.
Both these revenue streams are growing like crazy.
That’s why I think this company’s stock has a great chance at being a HUGE, near-term success. I hope you trial my service right away because I think this stock is going to move BIG and move FAST.
You simply don’t see 100% growth unless the client is getting what they want – the ROI. The results speak for themselves.
None of it is in the stock.
This company is in the same business as The Trade Desk.
They have a comparable or as good a platform as Trade Desk.
They are growing faster than The Trade Desk.
But here’s the thing.
Trade Desk did a little less than $500 million of revenue last year. At the current market capitalization, The Trade Desk is valued at a multiple of 17.8x sales.
My little $1.50/share gem has an Enterprise Value of $80 million.
Their Trailing Twelve Month revenue is over $100 million.
At $80 million – that’s less than 1x SALES folks – 0.8x sales!!! With positive cash flow!
It’s The Real Deal
I’ve investigated the platform.
I’ve meet with management in their head office and grilled them. I’ve evaluated the competition.
This is it folks – this company is the Real Deal.
It’s growing like a weed. But it’s still a retail secret.
The Street – the Big Money Institutional buyers – haven’t caught onto it yet.
It’s trading at a fraction of its peers. Just for this stock to trade at HALF what The Trade Desk does – and I think that’s fair – makes this an 850% winner.
That’s an 8-bagger PLUS. It’s a life changing win… and we all dream of those, don’t we?
This is an opportunity that checks all the boxes – and that doesn’t come around very often.
I’m letting you see it risk free if you can believe that.
I know this company sounds too good to be true.
Which is why I have to give it to you risk free so that you can verify it for yourself.
Let’s check off the points one more time.
- Stock trading at ~1x revenue.
- Direct competitor trading at over 17x that level.
- Positioned in the fastest segment of the AdTech space.
- Industry CAGR of ~20%.
- Grew revenue at over 100% YoY last quarter.
And there are few limits to growth. The business can grow as fast as their clients adopt the platform.
This stock gets even better – for you.
That’s because I’m bringing my decade of research training – what has made me a successful energy investor – to every other market sector with this new service.
And here’s what that means:
- I’m looking for a stock with a small float-under 100 million shares – to give me Big Leverage if the business grows. This company is well under 100 million.
- I want management to own a lot of stock; to have Big Skin In The Game. Management owns almost 40% of the stock.
- I want to see a capital-light business that doesn’t need Big Money to grow. I want them to grow without raising equity (issuing new shares). This fits that requirement in spades.
- I want to see a compelling valuation – 1x sales vs. 17x for the market leader gives me that.
The most exciting part of my business is NOT making money. That’s #2. (And #3 & #4). The Real Rush – is DISCOVERY.
When I discover a stock like this that has so much near term upside, I get excited.
I MUST share it. It’s who I am, and why I love writing investment letters.
When I discovered this company, I read all the analyst reports going back two years. I interviewed management–taping the call and doing a transcript.
My research team and I have written a 22 page report that will leave you convinced – as I am – that this company has incredible near-term potential.
As a subscriber, you will see detailed investing reports on fast growing small cap companies.
You’ll also get updated on some special large cap names, where the world’s top fund managers have overweighted positions.
Let me give you a quick and concrete example: Mohnish Pobrai is a legendary fund manager in the Warren Buffett style – but he has his own edge.
I noticed he made a HUGE bet on Fiat Chrysler (FCAU-NYSE). His good friend, the late Sergio Marchionne, was the CEO.
I watched the stock bump along between $6-$7 for months, and when it finally broke out, I bought it and quickly issued my report.
The result? The stock went up 50% in three months (it went a lot higher after that, but my subscribers made a quick and large score!).
One member of our team specializes in these kinds of trades.
I’m known as an energy investor. I’ve written the Oil and Gas Investments Bulletin for 10+ years.
During that time, I turned a $50,000 portfolio into over $2 million. You can verify all of this through my Members Center.
I invest my own dollars along side my subscribers. When I write up one of my detailed research reports, it’s because I own it.
I own My Top Pick in digital ads too.
This stock has a chance to be one of my big winners.
This stock has a simple story – it allows you to profit from all those internet ads you see – the ones that follow you around the web for days.
Now you know how and why it’s done. It’s a $600 billion industry that is still growing strong. I’ve found the smallest company in this massive ocean.
This company is killing it – they are doubling revenue Year-Over-Year.
They are announcing multi-million dollar contracts regularly.
But the stock is trading at just 1x revenue – so far BELOW its peers when this is clearly a VERY ABOVE AVERAGE company.
There’s less than 50 million shares out, and management owns a HUGE chunk.
This is the perfect stock to introduce my new service. And I’m giving you the name, symbol and full report RISK-FREE – a full 30 day money back guarantee.
The name, symbol, and full report is right HERE