How I pick stocks for the very long term.

before adding them to my 10X POTS

Here my simple process.

• I look around trying to spot new brands or companies showing signs of innovation and growth (think the first time you saw a Tesla or tried Netflix for example);

• I use screeners on online databases to look for companies growing at 30% yearly: every quarter I track the Trailing Twelve Months (TTM) revenues and compare them with the same number from the previous quarter. I want to see acceleration: is like looking at the yearly sales number, every quarter. See $APPS below as an example:

  

• I look for growing Return on Assets (ROA) and Earnings per share (EPS), but I use a service that provides me with UNIFORM numbers, so public numbers cleaned up from any distortion and that shows the real profitability of a given company, see $APPS for uniform ROA:

  

• I look at the company website and LinkedIn pages, getting to know more about the business and if they are hiring a lot. See below $APPS (Digital Turbine) 20 open positions and 300 employees on LinkedIn for a 6%+ ratio

  

• I look at Google trends, seeing if there is a trend up related to the company name or brands

• I look at the company page on Glassdoor to understand if people are eager to work in the business and other cues related to the company culture

  

• I add them to the 10X FREE CAPITAL POT when all the signs of a long term winner are there and the company has proven its ability to grow and to be profitable

• For companies below 25 billion Market Cap and younger, I add them to the 10X SMALL BETS Capital POT (subscribers only)

• I don't touch the 10X POTS unless the thesis changes radically

• Over time, I add to the winners and I may reduce the losers