1,000% Returns in these 5 Stocks Possible
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Today I share with you 5 stocks in the stock market that I believe has a chance to go up 1,000% in the next decade. Let me know if you think these are stocks to buy or stocks to watch. Enjoy!
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Well, today’s video is going to be a fun one, we were talking about five stocks that I believe have the potential to go up 1000 plus percent over the next decade, guys, these stocks have make massive moves over the next 10 years.
And you might not think that’s a very realistic thing that stocks can go up that much over you know, a decade’s time, when really In fact, I’ve seen so many stocks just since I’ve been in the stock market go up 1000 plus percent.
Listen to these big companies here that have gone up over 1,000% just since I’ve been in the stock market the last 10 years, Amazon, Tesla, Netflix, Facebook, Nvidia, those are there are a whole host of companies.
I can tell you about that are much smaller and much less talked about in these companies that have gone up well over 1,000% these are just the big companies that have gone up over 1,000% just since I’ve been in the stock market.
Which is about a decade Okay, so I’m going to give you five stocks that I think have you know the potential to do it. Now key word is p potential, okay, doesn’t mean these are automatics, you need three ingredients.
If you’re going to get a stock to go up 1000 plus percent. The first is you need a management team that has a vision for that company and knows how to execute on it. That’s, that’s a hard thing for a lot of CEOs and management teams to pull off.
A lot of them will have visions, but they don’t know how to execute on that vision. Okay, I’ve seen it with a lot of companies, unfortunately. And a lot of companies have great management teams, but they have no vision at all, unfortunately.
Okay, so you need a management team that has both of those, then you need a decent economy, you don’t need the economy to be great to have a stock go up 1000 plus percent, you just need a decent economy.
And lastly, you need a company that can get out there to fund managers and you know, tell the story of the company and why fund managers can invest in fund managers will actually believe in that company, you get those three ingredients.
Okay, you could have a stock that moves up over 1,000%. So I’m going to give you these five stocks, let me know which one of these you guys think is the most realistic to have these companies I do not own three of the companies I do own.
And so I hope you guys enjoy this by the way, the first link down there in the description if you’ve been investing in the stock market for less than a year, there’s a 51 video course down there that I think should help you tremendously on everything I look for in stocks and whatnot.
Enter code 200 off at checkout to receive $200 off that course. It’s a phenomenal deal for a limited time. Alright guys, a first stock up here is a company named switch. Okay, is it data center company I found out about this company a few months ago.
And these first two stocks By the way, I have no investments in them in currently the other three stocks I do have investments in but switches one of these companies, I was driving by one of their facilities out here in Las Vegas.
And it was a brand new facility that was being built. This is a company named switch and I was looking at this thing and it was massive, massive Okay, these data centers they built are absolutely massive places. All right.
And I’m looking at this place I’m like, Holy smokes is this like a new like Federal Reserve building going in or something? This is like the most protected building. Like the wall is like taller than the Great Wall of China.
They got like, you know, ridiculous things on top of the wall. Like if you try to jump that thing, man, good luck. They got cameras everywhere. I’m like, this place is ridiculous. Like Fort Knox is places crazy.
So what they are is their data center company. All right. And so companies need to move, you know, are is more cost effective for companies to move a lot of their data center equipment and whatnot to one of their facilities.
Which are these massive, massive places. Now, real quick here, a lot of stuff is moving on to the cloud. Okay. There, they estimate around 60% of the markets moving on to the cloud. So Amazon Web Services, Google Cloud, Microsoft Cloud, a lot of those different types of products.
All right, but there’s a there are a ton of companies it basically every company needs to have a certain amount that’s not in the cloud, okay. So even a company like Amazon Web Services is actually one of switches customers, because even Amazon Web Services likes, you know.
A certain portion of their their information or whatnot, not in the cloud, it’s just kind of the way it is all right. So they haven’t a phenomenal opportunity. They have some facilities out here in Vegas, they got another massive one that’s over a million square feet up in Reno, Grand Rapids there.
They just opened one Atlanta, they’re about to open one. They also have land in Miami, New York, you know, some phenomenal markets. And like I said, these places are huge. We’re talking like over a million square feet of just data center space.
And it’s much more cost efficient for most companies out there. And not only that, but the these places are so secured that you you’ve got to have a very secured place. Okay, they have no water in any of the facilities, which is pretty rare.
So the chance that there would be some type of water damage to any of the servers or anything like that is a very low probability. They put double roofs on these buildings. Okay, so if somehow the first roof got compromised.
Which I don’t know how that would happen, but if somehow the first roof got compromised, there’s a whole other roof below. Roof guys. They take this stuff super serious, like it is insane.
They have patents on a ton of their technology for the way they distribute hot air out of the facility and bringing cold air and whatnot. They got a totally cool model compared to the way most companies do it. All right, in the data center game.
The thing that’s very interesting to me about this company is their churn rate. Meaning the companies that actually lead this company is super low with under 1%. Okay, in the last few quarters have been valid point 1%. Okay.
So generally speaking, if a company starts using switch for their data center needs, generally speaking like they’re going to continue to use switch over, you know, over and over again year after year.
It’s recurring revenue in there probably not going to leave the company, that’s a very, very good sign there, right. This is a company that’s proven they can grow and grow and grow. This is all organic growth.
They haven’t done any acquisitions or anything like that. They were doing $207 million in revenue back a few years ago. Now they’re doing 378 as much as this past year. EBIT, da is growing very nicely 112 million EBIT da back in 14 this past year.
They do nearly 200 million in EBIT, da so very, very nice. Look at the recurring revenue, almost, you know, 97.5% of the revenue coming in the door is recurring revenue, which I love recurring revenue business models.
It’s one thing if you sell a product or sell a service, it’s a one off deal, right. But when you can have recurring revenue, that is that is like the holy grail there, guys. These are some financial target models they have here.
So basically 47% gross profit as a percent of revenue, net income, they have around a 20% Ranger that they’d like to hit as a percent of revenue, which is very nice, very profitable business.
Once it gets built out, basically, the facilities they build are very expensive, okay, we’re talking some of these facilities can are all in the hundreds of millions, if not the billions of dollars, okay. So that that initial investment is massive.
But after that, this, this business becomes a very, very profitable business with the money just keeps coming in coming in. So this company went public back in October. And so far, it’s had a rough IPO, which, you know.
A lot of companies go through in that six to nine month span, after they go IPO, they just have a rough span, they’re in that that whole situation right now, as a company, that’s going to be reporting earnings next week.
So it’s gonna be very interesting to see what type of numbers they end up doing. If they’re really great numbers, or really bad numbers or whatnot, be very interesting. So right now, it’s a company with a $3 billion market cap.
So if they want to go 10x, over the next decade, they basically need to make this into a $30 billion company. And it’s definitely a possibility, as long as they can keep getting companies and keep building with companies.
See, the great thing is, once they get a customer, generally, they keep the customer also, generally that customer grows with them, okay, so they need more and more space, they go to switch for more and more space.
So a phenomenal business model, a very innovative company, the way they actually do their structures, so much different than most data center companies, the need for their type of business model is probably not going away anytime soon.
If anything, it’s increasing, which is a phenomenal thing as a company growing across the United States. You know, they haven’t done anything internationally think about when they go international, they got a lot of things going with that company.
So it is definitely a possibility. This one could be a 10 bagger over the next decade depends on how well management, you know, it keeps keeps things going there, they’ve done a phenomenal job.
So far, though, let’s get into stock number two stock. Number two is Dropbox, Dropbox, which is a cloud provider, a lot of people use this also a lot, a lot of small businesses use this.
I used to use it for my photography and videography company for real estate. I’m still a Dropbox customer. Actually, I never got rid of my subscription once i think is like $99 a month. Oh my god, it’s a terabyte of data.I’ll just keep it.
But anyway, so Dropbox here, it’s a $12 billion company, right? So they’re gonna have to grow to be $120 billion company if they want to Texas business over the next decade. This another company that just IPO recently.
So back in March is around when they IPO in the stock has not done much so far. But this is what’s just, you know, Cloud Storage company when they first came out in 2007. And now they’re more of a team collaboration type company.
So whether you’re a small business or midsize business, you can really use them even if you’re a large business, Dropbox, you know, is a service you could use. I think right now, it’s still centered much more around small businesses like I had, or maybe even midsize businesses with.
Let’s say, you know, 50 to like a, you know, maybe a few 100 employees, but they’re definitely trying to grow into that space where, you know, enterprises using them. Big companies with 1000s of employees, 10s of 1000s of employees, and that’s a real big opportunity for them.
That’s just one opportunity. So right now, this company has around 500 million registered users, all right, 500 million registered users, they only have 11 point 5 million paying users, okay.
I’m one of those 11 point 5 million I’m a paying user at their lowest, you know, thing, they have $99 a month and you get one terabyte, but that’s a huge opportunity. When you look at it. 500 million registered users, only 11 million are paying right now.
That’s just a big opportunity for the company. All right. 80% of subscribers use the service for work as I used to all right. So look at this here, all right, they they estimate around 300 million of the people that use Dropbox, or people that could you know, probably end up signing up for a paid services.
Some point time as long as they can convert, and they do the upsell on that. All right, that’s a huge potential out there, guys, don’t get me wrong, even if they don’t get 300 million, what if they get 100 111 million people, okay, that’s still a massive, massive opportunity for this company to grow in the future.
They just got to focus more on the upsell becoming better salespeople, when you got 500 million people using it right now, and only 11 point 5 million are actually paying, that’s a huge opportunity for the company out there.
That’s the bottom line there guys, without even growing, you know, a bunch of new users and whatnot, as a company that is growing nicely, they did around 600 million in revenue back in 2015.
This past year 2017, they do $1.1 billion, look at the way operating income has improved. Okay, from company losing $240 million back in 15. To now they actually made a $60 million profit there on operating income this past year, that’s a big, big improvement.
If we look at q1 of 2017 versus q1 of 2018, nice growth there from 248 million to 316 million. And then if we look at operating income, it’s increased much, much more, okay, from about 5 million when one q2 2017 to now 35 million in one q 2018.
So that’s kind of the one of the beautiful things about this business model is not only do they have a huge opportunity to get a ton more customers through the door to actually pay. But then on top of that you look at this company.
It’s getting to, you know, be a company that has way more operating income as a revenue, you know, continues to increase. So it’s a very exciting thing, they have a lot of different subscription plans.
The first one is like a basic, it’s a free thing to get people through the door. But the plus is something like I have $99, then they have a professional, they have a standard, they have advanced and then they have the enterprise product, which is you know.
The they’ll negotiate the prices out. And that’s just not the full gamut of cloud products and whatnot there. So when I look at Dropbox, I see this as a company that definitely has the potential realistic potential to be a 10 bagger over the next decade.
The question is it can management do a good enough job upselling customers understanding why they should go for you know, a product that’s much better than what they have now, okay, that’s the bottom line, like, like they need to upsell not only people like myself.
That are in the most basic plan $99 a month, they need to upsell us to something more expensive, but then they need to upsell all these people that are still using just a free service. If they can do that this is a company that has massive, massive potential behind them.
The question is, can they do that if they can, it’s a big thing. Stock number three, now we’re getting to stocks I actually own they’re only three stocks, I think even have a close, you know, possibility of going up 1,000%.
One of them is Cirrus Logic. So it’s a company with about a two and a half billion dollar market cap. So this would have to grow to be about a $25 billion dollar market cap over the next 10 years.
And they’re the they’re the really the only company in the world that is fully focused around everything in the audio signal chain. Okay, whether we’re talking to smartphones, or the smart home, automotive.
All these different you got to think about the way the world we’re going into where we’re almost going to expect everything you know, for us to be able to talk to and whatnot is a huge opportunity for Cirrus Logic and they’re really the only company in the entire world that’s dedicated.
Just to the audio experience audio codecs, amplifiers, microphones, the whole gamut of products. This is their focus, okay. So when we’re moving into more of a voice world where we expect to be able to talk to pretty much everything out there.
Whether it be a remote control for the television, or the Apple TV, or whether it be our smartphones, whether it be our iPads, you know, anything across the board, whether it be our homes, you know, our thermostats.
We just expect to be able to talk to everything in the future, and it will do something for us. That’s a really big opportunity for this company. All right. He massive opportunity going forward in the future.
So this company right now, they have the whole gamut of product smart codecs, voice processors, audio amplifiers, haptic drivers, which we’ll get into Mims microphones. Just the whole gamut, okay.
So everything from when the you know, device needs to hear your voice which it goes through a microphone to then it goes through the call the codecs voice, biometrics, audio, DSP, audio amplifiers, haptic drivers, the whole deal.
It’s going through all that. But voice biometrics is a massive thing for the company. Okay. Think about voice biometrics in the in this way. All right, right. Now if you say hey, apple, well, I won’t say the Hey Siri thing because my iPad will come on.
But if you say you know, hey, Apple in your device legs up, or, you know, hey, Google Home or whatever, you there are certain things you can do with that right now. Right? But it’s still somewhat of a gimmick, you can tell it to play music, you can ask for the score the football game or whatever.
But it’s somewhat of a gimmick until you can start doing real things with that. Like you could tell it, you know, to order something for you from Amazon, or you can tell it you know, you can ask it.
Hey, read my latest email, or Hey, read the text message from Cheryl or something like that until you can do those type of things. It’s kind of a gimmick and right now with all devices across the board and you cannot do those type of things unless you already have the device unlocked.
Okay, so if you already have the device on lock, then it can do those type of things or some devices can But at the same time, that’s such a waste, okay? You cut in something in the kitchen or you’re not by your phone or something.
But you want it to do it or you’re driving your car and you want, you know, your device to be able to tell you something that you know, an email just came through, or you saw a text message pop up, and you don’t want to look at it, you want it to be read.
If it’s not your voice, if it’s a if it can’t authenticate your voice, it’s worthless, okay? Because here’s the problem. If we just allowed all our devices, basically, all you need to steal is, you know, some bank CEOs, you know.
Device and you can have the device, read all the emails for you, that would be very bad. But if it can authenticate your voice and knows, that’s your specific voice talking, then we’re talking about a very meaningful product.
So that is what voice biometrics is, it’s something that authenticates your voice, and can read all your emails and stuff and whatnot, across the board, your text messages, do anything you really want it to do, or food for you, you know, send your car.
I mean, think about self driving cars, as those come more and more online. You know, think about, you know, just telling your, your iPhone, hey, you know, have my car pull up in the front.
And it does it for you like that would be a really bad thing if somebody just stole your phone and could do all those things. But if it can authenticate, now we’re talking about a very meaningful product.
So this is this is so big for the company, I have trouble explaining, like how big of an opportunity this is for a company because it takes voice, things from being somewhat of a gimmick, and you know, yeah, we use it every now and then towards him becoming a massive thing.
But it has to know what’s your voice specifically to unlock your device. That’s where voice biometrics come in. All right, massive, massive opportunity for the company, this company has grown a phenomenal over the year.
So sometimes, you know, they’ll have a little dip off. So 2011 or 2012, they didn’t grow that much. All right, then all sudden, 2012 to 2013, they grow massively, then 2013 2014 revenue goes down a bit, and everybody’s like, Oh my gosh, that’s the end for Cirrus Logic.
Then I’ll suddenly get back to growth 2017 and 2018, the company hasn’t grown. And they’re kind of just in this this spot right now where they’re not really growing. But starting next year, the gross should take back off, okay, that’s just kind of how this company is it’s a home run type company.
Things will look lame for a little while year two, and then all sudden, boom, you the company takes off again, that’s kind of where the company is at right now. Despite this, a company, you know, spends a ton of money on r&d.
And why are they spending all this money on r&d? Well, their CEOs phenomenal. So you can’t just say they’re just wasting money or something like that. They’re spending all this money because opportunities in all these voice segments are just it’s a massive opportunity.
You think about the Amazon Alexa’s? How many people are starting to get those echoes, Google Home Apple home pod, obviously, you know, every single tablet out there every single phone manufacturer and whatnot.
These are all just massive, massive opportunities. So company needs to spend as much as possible on r&d, so they can get these customers to be their customers for a long time to come.
And generally, when a lot of these companies, you know, start using Cirrus Logic, generally speaking, they don’t really lead them very often. All right, in q1, fiscal 2019, Apple did represent around 76% of their revenue.
So that should be a risk factor in there with Cirrus Logic does this company have massive potential with everything going you know, more voice and audio related? Yes, massive potential for this company over the next decade.
But at the same time, you got to understand the risk factor that Apple is by far and away their biggest customer. And it’s likely that will not change anytime soon. Why? Because Apple kicks everybody’s ass.
Okay, if there was all these great other smartphone manufacturers that were doing big numbers, and were using high end products, like Cirrus Logic revenue would look much more diversified.
But because Apple just like destroys everybody in the high end space, it all like all Cirrus Logic, revenue is going to continue to come from there. So it’s a risk factor has got to be understood, and it’s just the way it goes.
So if you can’t sleep at night, knowing that you know they get a ton of revenue from from from Apple, then you probably shouldn’t own the stock, okay? That’s why Cirrus Logic, I can never make it into a massive, massive position.
It’s definitely a good size position for me. But I can never make it into a massive position just for the mere fact that if Apple in their relationship ever got hurt, obviously the stock would be hurt, but huge, huge potential for that company over time.
Next one up here is Tesla Tesla has a chance to be a 10 bagger over the next decade here. So right now Tesla has a market cap of around $59 billion. So basically, this company would need to go to around a $600 billion company over the next 10 years to go ahead and you know, reach that that 10 times number there.
So basically, I want to take you through the some numbers here, we’re gonna go through some numbers on what I think Tesla can do over time. And, you know, the kind of opportunity for them.
So basically, in five years in, in five years, I see the company as having the doing around 100 billion plus dollars in revenue. All right, which I think is very, very doable 100 billion plus in revenue.
So basically, what I see is five years from now I see about 10% of that money reaching down to the bottom line, which would mean the company would have somewhere around $10 billion in net income in about five years from now.
All right net income Jose and I, okay, so that’s not going to get the company there unless it trades at a 5050 pe, which I don’t think it would be that realistic for the art, excuse me a 60 pe because we need to get to a $600 billion market cap.
I don’t think it’s going to be trading at 60 pe because the growth will be starting to slow at that time in my personal opinion, but they can reach that number easily why model three will be out all around the world, model y will be in full production by that time.
Which is their their affordable SUV, they’re going to have the Roadster out they’re going to have the semi for sale, there’s a possibility that the truck could be for sale somewhere around that time.
So and the truck I don’t even I didn’t even bake the truck the pickup truck, they’ll likely be coming out with any make any of that revenue into the the numbers there because it’s like, the way I look at it.
That that truck probably won’t come out in mass production till like maybe 2024 2023, somewhere around that in my personal opinion. So I need to bake that in for revenue. If I did just have the model y and model three, you know, for production, the semi and the Roadster.
I see them easily be able to do 100 plus billion in revenue within five years. Okay, I think about 10% one will reach on bottom line that puts them at a $10 billion market cap, but that doesn’t get them there.
So basically, in 10 years, what I see is I see this company having around $200 million plus in revenue, right plus in revenue. So and the great thing about this is I think a lot more money is going to reach the bottom line on this number.
Okay, so I think around 15% will start reaching to the bottom line, which will mean somewhere around $30 billion, will end up being a net income, okay, $30 billion of net income. The great thing about this is I think the company will trade around a 20 pe, okay.
Which I think is going to be realistic, because I think a lot of the growth will be out of the company by that time. So the PE will need to come down in the stock because a lot of growth, investors will kind of leave the stock and be like oh.
Tesla’s not nearly as much of a growth engine going forward as they were in the past. So a 20 p will probably be more realistic for the company as they’re doing $30 billion in net income 20 p $30 billion in net income that puts the company at a $600 billion market cap.
All right, which I think is perfectly doable with the type of market share, I believe they’re going to be able to get in North America alone, then when I look at, you know, if they can have a 10% market share or 20% market share in China, in Indian, some of the other growing markets in Europe with Tesla.
I see that as being a huge potential for the company, I think they’re gonna have around a 50% market share in cars in North America, probably within five to 10 years. Never mind that once they get into the truck game, that will be the next major upside.
And that’s what’s gonna push them from 100 plus billion in revenue five years from now to 200 plus billion and 10 years from now, the energy segment is going to continue to grow for the company.
So I think it’s perfectly doable for 10 years from now this company is going to do 30 plus billion in net income at a 20 pe, which is very fair for the company and puts out a $600 billion market cap.
That is why I believe Tesla has an opportunity in front of itself to be, you know, a 10 times multi bagger there, we’ll just have to see what happens. You know, I think the the great thing about Tesla, they definitely have a visionary CEO, he does execute.
He doesn’t always meet his quotas on time, but he does execute. And then you know, the guy said he was gonna come out with an affordable model three, it’s getting there and getting there.
It’s just sometimes it doesn’t meet the time requirements. Most, you know, most people would like and whatnot. But the bottom line is he does get there. And so I think that one has huge potential stock number five is Callaway golf, a ticker symbol, Eli.
So this is a company owned that only has a $2 billion market cap on it, right, only a $2 billion market cap. And so they need to grow to be about $20 billion dollar market cap over the next 10 years to hit that number.
Their CEO chip Brewer has done a very good job turning this company around. He came in 2012. And they had some rough years there right off the bat and kind of started to get this company turned in turn and turn from just being a golf related company to being kind of a company that has.
You know, several different businesses, which I think is a very good thing. So just in their latest quarterly results, this company had net sales up 38.7% in the quarter, okay, massive amounts of market share and pretty much every segment you want to be in the golf club and golf ball business.
Net sales went from 304 million the previous year to 396. net income This is might be the most impressive thing went from 31 million the previous year in the same quarter to 60 million. Okay, we’re talking about nearly 100% rise they’re hitting net income that is unbelievable guys.
Every metric for this company is going amazing. Look at the first half of 2016 the dude 520 million in sales. Now they do $800 million in sales in the first half of 2018. Okay, expanding gross margins, income from operations is up.
Trailing 12 month adjusted EBITDA is up massively Look at that. We’re talking about about a quadruple almost a call. Yeah, somewhere close to a quadruple in just the past two years in trailing 12 month adjusted EBIT, da guys that we’re talking about a massive turnaround in this business.
And it’s a business that now owns you know, a few different brands so they obviously own Callaway brand which is huge in clubs, the most dominant player in clubs and golf balls and things like that.
But Travis Matthews has a massive growing clothing brand business, which is very exciting. Oh God, another, you know, golf bag company that’s very interesting. And then the other 15% ownership stake in Top Golf.
Which might be the most exciting thing about this company overall, despite all their amazing numbers are putting up because Top Golf In my opinion, five to 10 years from now that 15% Top Golf investment.
I think is going to be worth somewhere around what the entire company is worth right now. Okay, we’re talking about $2 billion. I think that 15% ownership could be worth around $2 billion within probably about five to 10 years guys away.
Top Golf is expanding around the EU, the US and then what they’re going to be doing internationally. It’s a phenomenal growing brand. That’s a straight profit engine. Okay, so they they own Callaway brand.
They own Travis Matthews, they own ojio I think they will continue to acquire brands strategically and continue to bring brands into their their whole company and expand those brands as they’ve done what Travis Matthews now.
I think is a very good CEO there. I think he’s executing on a vision he has and I think there’s a company that has a chance to be a you know, 1000 plus percent gainer over the next 10 years. We’ll just have to see So anyways.
Let me know what you the stocks you guys think have the potential to go up 1000 plus percent over the next 10 years. Even if there wasn’t one of the stocks mentioned this video I would love to hear from you guys.
As always, my courses are linked down there in the description my Instagrams linked down there in the description. Check that out if you want. Thank you for watching. Have a great today.