Swing Easy for Home Runs

Barry Bonds had a very short swing. But he got that bat moving so fast it was a blur.

It seemed like all Mark McGwire had to do was make contact, and the ball was lost over the fence.

I watched Chris Davis hit just under 40 home runs for five years straight, and I can tell you, his swing was so easy it didn’t even look like he was trying. 

Watch clips of the greatest home run hitters, and you’ll see the trend clearly: It’s not about how violently you swing the bat. It’s about timing and contact. 

As a golfer, I can tell you that I don’t get the best results when I give it my all. I get off balance, my timing gets disrupted, my muscles tense. But when I go around 75%, I can stay loose. I’ll hear that sweet sound as the ball compresses on the club head, and then it just launches down the fairway. 

It’s the same way with investing. Do your research, pick your spots, and you’ll hit some home runs. But if you start swinging for the fences, if you start trying to find stocks that can double and triple your money, well, you might still hit a few. But you’re gonna strike out a lot more, too, and probably offset most of the gains you do manage to get. 

It’s because of risk. When an investor starts to look for stocks that can give up the big win, there’s usually a lot more risk in the stock. Maybe you start looking for penny stocks. Maybe you look for stocks that are down big, hoping they can recover much of that loss. Maybe you start looking for biotech stocks right before an important FDA ruling. 

Personally, I rarely even look for biotechs anymore. I’ve seen way too many of them get cut in half after disappointing trial results come in. And I swear it seems like the more hype there is that the results will be good, the more likely they are to disappoint.

Twitter and Loxo

When I come across a stock that I think is an easy home run, I’ll write about it here in Wealth Daily. I told you Twitter (NYSE: TWTR) would be a good one when the price was as low as $15. It’s just under $45 today.

I even wrote up a biotech once (AFTER it released amazingly good results). Loxo Oncology (NASDAQ: LOXO) was around $70 at the time. It’s right at $180 today…

And so it is that I’m writing to you today about what I think is going to be an easy investment home run.

Take a look at this table:

That’s a year-by-year rundown of marijuana sales in Colorado since the state legalized it. The 2016 and 2017 numbers should stand out: $1.3 and $1.5 billion in revenue. 

Now, Colorado’s population is just 5 million people. 8 million people live in New York City alone. 20 million in the state of New York. 28 million in Texas. California has nearly 40 million…

Now, the experts will tell you that marijuana will be a $50 billion market about five years after legalization. But when I look at the revenue that Colorado is putting up, it seems obvious to me that $50 billion is a very, very conservative estimate. I think annual revenue could easily be double what the experts are projecting…

Because there’s an incredible variety of consumer products that now incorporate the active ingredient of marijuana. You can get instant coffee:

Honey:

Even caramel waffles (and I’m not sure I even know what that is):

The point is, there are going to be a lot of completely new products, um, cropping up. And this doesn’t even include the medicinal potential of marijuana. 

There’s no doubt in my mind that home runs will be hit. And this is an easy one. Because let me ask you: When was the last time you saw anything about legal cannabis on the nightly news? 

Sure, professional investor-types like me are talking about it. It’s my job to alert you to future investment trends. But mainstream America? Nope. Not yet. Most people are too busy taking about Donald Trump and Elon Musk…

The Smell of Inevitability 

Colorado. Washington. Oregon. Alaska. Maine. Nevada. Massachusetts. Vermont. Oklahoma. They’ve already made recreational cannabis use legal.

Votes on recreational use are coming soon in Michigan, Utah, New Jersey, California, and New York. 

In fact, some form of marijuana is now legal in every state in the Union except four: Idaho, South Dakota, Nebraska, and Kansas. 

Legal marijuana is coming, people. There is money to be made. 

I’ve got one “easy home run” company that I think every investor should own. This company is crucial to the future of the marijuana market.

But it doesn’t grow a single gram of the plant itself. It doesn’t sell it. It doesn’t process it into edibles, oils, and tinctures. It doesn’t even transport it.

But without the precious (and extremely limited) resource it provides, the cannabis industry couldn’t exist at all.

And best of all, it’s got a monopoly on the industry right now. It’s literally the only company providing this critical resource to the entire U.S. cannabis market.

As that market grows, so will this company. And by massive leaps.

Investors have already scored triple-digit gains in just a few short months. And the best is yet to come. Click here to learn more.

Until next time,

Briton Ryle

@BritonRyle on Twitter

The Wealth Advisory on Youtube

The Wealth Advisory on Facebook

A 21-year veteran of the newsletter business, Briton Ryle is the editor of The Wealth Advisory income stock newsletter, with a focus on top-quality dividend growth stocks and REITs. Briton also manages the Real Income Trader advisory service, where his readers take regular cash payouts using a low-risk covered call option strategy. He is also the managing editor of the Wealth Daily e-letter. To learn more about Briton, click here.