Motley Fool – $900 MILLIION STOCK TARGETS $144 BILLION (EST) OPPORTUNITY

by garagedoor | December 27, 2020 11:14 am

And leading us off today —

$900 MILLIION STOCK TARGETS $144 BILLION (EST) OPPORTUNITY

This is a fun one.

So, according to the analysts over at Allied Market Research, the smart sensor market is poised to grow from $37 billion last year to an estimated $144 billion later this decade.

Now, Jason Moser[1] and the Extreme Opportunities: Augmented Reality and Beyond team have just found a stock playing in this space with trailing-12 month revenue of just $100.5 million…

(Meaning that it has captured less than 1/10th of one percent of the total market opportunity.)

1/10th of one percent!

Now, I’m not arguing the company will capture every dime of the market and grow the business by 1000x…

Because, A) the future is hard to predict, and B) I would expect a market of that size to support several winners, each of which can get their own piece of the pie.

But does a 200x or even a 100x potential opportunity seem unreasonable?

Plus, given that it’s a true small-cap stock, with a market cap under $900 million…

And again, revenue of just over $100 million…

And gross margins around 90%…

You can see why Jason sees “the potential for very compelling economics.”

If you have access to Augmented Reality & Beyond or would like to add access to your subscription, simply click below to access the stock.

Take me to the stock!
I should note – this stock hasn’t achieved formal recommendation status yet – it’s what’s called a “Radar Stock” – in this case, a company that is so small and speculative that Jason is signaling his interest but isn’t yet prepared to tell members definitively to pull the trigger.

As you can imagine, especially given its small size and high potential risks and rewards, it may not be for the faint of heart!

But suffice it to say that I’m intrigued. And I think you will be too.

Any Ideas?

Source URL: https://www.stockgumshoe.com/2020/12/microblog-motley-fool-900-milliion-stock-targets-144-billion-est-opportunity/