Are there always some stocks available which return at least 50% in 1-2 months?

Question

Are there always some stocks available throughout the year which return at least 50% in 1-2 months?How to identify them?

Answer 1

There probably always exists at least one stock that will give that return in the next month or two. Identifying them is the tricky part. Stocks that volatile are probably equally likely to go down that same amount, or more, in that time.

A speculator who gets very lucky can win big. A speculator who isn't lucky can lose everything fast.

Answer 2

Yes! I purchased Taser at $9.80/share in April and by June it was $19.00/share. I then sold it off. Today it is floating around $13.50/share. Prior to Taser I purchased GCOM in January at $9/share and sold it for $13.65/share in April. It is very, very possible.
What I do is look at a few key factors before moving forward.
1) overall health of the economy (right now, not so good.) This is important, because it is going to tell me the volatility of the market.
2) I look to see what sector is doing well and is poised to do well for at least the next 6 months. Taser resides in the Defense/Aerospace sector, and that sector doesn't look half bad right now.
3) I look for Small and Mid Cap stocks, as they will be far more violatile than Large and Mega Cap (Blue chip) stocks. This is where number one is very important. Since the market health isn't all that great right now, the negative violatilty with have a negative effect on Small and Mid cap stocks...moreso then the bigger cap stocks
4) If you have you sites set on a stock, see what makes it unique and sets it apart from its peers. Be honest with yourself here...no emotion. For Taser, they are the only company that produces the products they have and there are news reports to consider. Some good (new orders coming in) and some bad (Polish man dies in Canadian airport from being Tased...they have lots of lawsuits, though none have won in court).
5) Next you want to see if the stock is cheap compared to its peers. You call do this buy looking at theP/E ratio (I use Yahoo Finance and check the competitors hyperlink). This will tell me if the P/E is lower of higher than its peers and it the EPS is lower of higher as well.
If the Stock has a lower P/E and a higher EPS, than take a quick peak at the Cash on hand and the debt load of the stock by clicking on the Key Statistics hyperlink. If the company has a lot of debt, it doesn't mean its a bad thing, it just means that if the market takes a harsh turn they will have a problem rebounding.
6) while you are in the Key Statistics area, look at the Beta of the Stock. Now this tells you the volatility of the stock, which will give you an indication of how dangerous or prosperous it can be, but bear in mind this is derived from past performance....which obviously doesn't mean it will accurately tell you the futur..but it is nice to have a bit of an understanding.

You have essentially done a Qualitative Analysis, as you have compare the business strategy of the company relative to its peers and the sectors its in relative to the market. And you have done a Quantitative Analysis, as you have check out the overall strength of the stock. If these key areas look good, you move in for the kill. Don't sweat trying to find the absolute low and the absolute high point when buying...only idiots concern themselves with that...and idiots lose money hand over fist.
Just buy in increments. Then, when you are ready to sell...sell in increments.
Hope this helps...
Good luck.

Answer 3

Yes, but especially so when markets get oversold like now, you have a coiled spring, my call options on great growth stocks (ie RIO, VMW) are rocketing way past 50% in days/weeks, not months. You need mover/shaker stocks. Also, when the markets get way ahead of themselves (way too far above their 50 day moving averages) and you see them starting to succumb to selling, then you can buy puts on these same growth stocks and profit on the big moves back to normal.

Answer 4

Well, if it were that easy everyone would have been doing that. But yes, there are always stocks that go up and down over 50% within a few months.
You might want to check out http://www.stocksbuddy.com where traders share their stock picks.

Answer 5

Inorder to get atleast 50% interest without taking much of a risk, the best way would be to invest in IPO rather than investing in Seconday market.

Answer 6

no stock is guaranteed to do that - it might happen, but it's impossible to know in advance which ones will out of 1000's of different companies