Year-end Review: #Winning

Hey folks, unlike the gurus, I won’t make any predictions about the highs or lows of the upcoming year — instead, I’ll continue to state the obvious:

You should always invest carefully, invest cautiously, and invest with long-term growth in mind.

And with that said here’s a recap of last years investment ideas.

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Investment Ideas: Houlihan Lokey + Roundhill Ball

1. Already up 67% on the year, Houlihan Lokey is one of the best momentum stocks you can buy today. $HLI operates (and dominates) three segments: Corporate Finance, Financial Restructuring, and Financial Advisory Services—and as a company, Houlihan scores off the charts in every financial metric.

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Investment Idea: Paylocity Holding (PCTY)

It’s time for another ‘buy and hold’ stock for your consideration. And as with any long-term investment, be prepared to hold this stock for a few years…maybe decades.

Paylocity manages payroll, workforce management, benefits, data insights, and more. With everyone looking to cut labor, the desire to efficiently manage operations is going to be critical for businesses going forward—and that’s where $PCTY shines.

Paylocity is currently trading between $270-$275/share and could reach $1,000/share in the next 12-years.

Current Price

Investment Idea: CF Bankshares (CFBK)

CF Bankshares is a national bank (headquartered in Worthington, Ohio) that originates commercial real estate, single/multi-family loans, and home equity lines of credit.

Their sales numbers numbers are good—and equity growth rate is (even) better. With plenty of cash on hand and strong (ROIC) Return on Investment Capital, $CFBK is a strong (and affordable) ‘buy and hold’ investment idea.

CF Bankshares is currently trading around $20/share and moving towards $60/share—just give it about 3-years.

Current Price

Investment Idea: Ollie’s (OLLI)

Ollie’s is a holding company that engages in the retail of excess inventory, refurbished goods, and salvage merchandise.

With a market cap of nearly six billion dollars and an A+ ratings across every financial measurement. Currently trading between $82-84/share, I fully expect OLLI to reach $176/share in the next seven years.

Current Price

Investment Idea: Innoviva Inc. (INVA)

Innoviva (INVA) is a leading bio-pharmaceuticals firm based in California. Backed by impressive growth numbers (sales and earnings per share) INVA’s management team has done a great job of reinvesting in key growth areas.

Innoviva is currently trading between $11-12/share and showing strong signs of reaching $30/share in 6-years or less.

Current Price

Investment Idea: Security National (SNFCA)

Security National Financial Corp. offers Life insurance, Cemetery/Mortuary services, and Mortgage loans.

The Life insurance segment sells and services selected life insurance lines, annuity products, accident, and health insurance. The Cemetery & Mortuary segment consists of seven mortuaries and five cemeteries in Utah and one cemetery in the state of California.

And lastly, the Mortgage Loan segment is an approved government mortgage lender that originates and underwrites residential and commercial loans for new construction, existing homes, and real estate projects. At less than $10 share, excellent financials, and a never-ending supply of customers, this company can see $24/share in the next three years.

Current Price

Investment Idea: Virtu Financial (VIRT)

Virtu Financial Inc. is not as strong as my other (buy & hold) ideas, but it’s still top tier when compared to the overall market. The one thing that’s undeniable are VIRT’s financials. Sales, profits, and cash growth rates are excellent.

Equity growth rate is not great but it’s good, and their return on investment capital is better than average—and trending upward.

There isn’t a lot of public information about them, and their website is horrible but they’re running a very profitable business with no signs of slowing down. I think this stock ($26.78/share) will at least double in 4-years.

Current Price

Investment Idea: Salesforce (CRM)

Salesforce is among my five favorite stocks to BUY and Hold for the next ten years. They score off the charts in every financial metric and continue to grow at an astounding rate. I think it’ll take eight years for CRM to double, so grab it now while the getting is good.

If you’re interested in this one, you should get in at $207-$210/share and out around $400/share in 6-years or so.

Current Price

Investment Idea: The Ensign Group

Right up there with Amazon, ENSG is one of the safest investment recommendations I can make. Not only do they have a pristine reputation, but their (ever-growing) cash reserves position them to withstand the kind of economic downturns that send CEO’s into early retirement.

If you’re interested in this one, you can get in at $82/share and out around $185/share in 6-7 years.

For your reading pleasure: https://investor.ensigngroup.net

Current Price

Investment Idea: Slim Corp. (SLM)

SLM Corp. engages in the origination, servicing, and administration of education loans. Its services include: private education loans, banking, college savings, and insurance services.

So if you’ve ever had a student loan, you know Sallie, and at $15/share, you can get to know her better. I think SLM has a great chance to hit $30/share in the next 5 years.

Current Price

Investment Idea: Amazon (AMZN)

What can I say about Amazon? At $3249/share, AMZN is grossly underpriced. That’s right, I think they’re underpriced. You might as well look at their current price like a Black Friday sales.

Based on everything we know about Amazon, they’ll have a 3-trillion dollar market cap in less than a decade.

Currently trading at $3,249/share I think $6000 is well within reach inside of 10-years.

Current Price

Investment Idea: Fortinet (FTNT)

Fortinet provides high-performance protection against security threats while simplifying the security infrastructure for enterprises, service providers and governments.

Fortinet’s currently trading at $160.48/share and with a little luck, FTNT stock will be worth $400/share within 5-years.

Current Price

Investment Idea: Boot Barn (BOOT)

A seller of boots, jeans, accessories, hats, home products, and work wear—Boot Barn Holdings, Inc. is an American retail powerhouse worth your consideration.

At $58.55/share BOOT is definitely undervalued. In another 4-years I think BOOT could be worth $140/share.

Current Price

Trade Idea: Cloudflare (NET)

SOLD

Cloudflare (NET) is a web infrastructure and security company that provides content delivery network and DDoS mitigation services.

Its services occur between a website’s visitor and the Cloudflare customer’s hosting provider, acting as a reverse proxy for websites.

$81.44 → 159.51/share 10 𝗠𝗢𝗡𝗧𝗛 𝗛𝗢𝗟𝗗 +95%

A Trip Down Memory Lane

The First 10 Years

Way back in 1999 I threw $3,000 into a mutual fund, but it wasn’t until ten years later that I officially became a retail investor—and the rest is history.

My goal every year was to find one stock that would double in twenty years or less. That’s it. That’s was my goal. Ten years later, I’m way ahead of the game.

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