Manny Backus has perked up some ears around Gumshoedom this week with his widely-emailed pitch for Triple Digit Returns (his $300 newsletter) that there’s “One stock you need to buy today” … followed up with an ad whose headline is “Buy, Buy, Buy.”
As usual, not a lot of subtlety or nuance here. But, well, when the world is crazy with worry why not counteract that with a bit of cockeyed enthusiasm… perhaps even a bit of greed as we dream of swimming in pools of gold coins.
Fear and greed both tend to sell pretty well for newsletter ad copywriters, but the stories of a global collapse and a currency crisis and a Fed that’s going to send the economy into a death spiral, well, they get old after awhile. No one likes to daydream about Bill Bonner’s “day the ATMs fail” or Porter Stansberry’s “End of America” or whatever the latest prophecy of doom might be… So let’s look into this little stock that Backus says can make us 1,483% gains, shall we?
The clues are, unfortunately, a bit thin… but there are so few reasonable candidates in this little niche that we can probably make a good stab at an answer. Here’s how Backus gets us started:
“Profit Like a Madman!
“How a 100-year-old experiment in the middle of Colorado changed the world… And why it could mean 1,483% gains for YOU
“Over 100 years ago, in the wilderness of Colorado Springs, a scientist created an electrical storm that would change the world.
“Lightning bolts peeled through the sky, showering the small town in light.
“People hid themselves… and for good reason….
“At the time there was incredible confusion.
“Today, we understand that it was the result of a year-long experiment conducted by none other than the ‘madman’ Nikola Tesla.
“We also understand that the principles he uncovered that night in Colorado Springs could now put 1,483% in the pockets of early investors.”
And yes, this all about wireless electricity — whenever anyone’s trying to get us revved up about wireless electricity or wireless charging, they pull out Nikola Tesla… whether it’s because he’s genuinely a pioneer and a character (which he was) or just because the car company that borrowed his name has been such a wildly profitable stock so far, I don’t know.
The dream, which was Tesla’s dream as well, is for a world where you can easily transmit electricity through the air — no wires or unsightly poles for long-distance transmission, which is more what Tesla was thinking of, and, perhaps more importantly for the modern era, no worries about your cell phone losing its charge and having to wrestle someone for an outlet at the airport.
You’ve all seen the first wave of “wireless chargers,” I’m sure — they’re built into some office furniture now, they’re sometimes available at Starbucks or airports, and they’re essentially a plate that you place your phone on, usually with a special case for your phone, and it receives a charge either from that direct connection or across a very short (centimeter or two) distance.
They’re a little persnickety sometimes, and things have to be lined up right for some systems… and it’s slowly gaining some adoption, but I don’t think you can reliably say that it has “taken off” or become mainstream. Samsung has one of these chargers available now for their last couple versions of their higher-end smartphones, but Apple does not — and Samsung hasn’t been able to leverage the existence of their wireless chargers into any real advantage, so while I’m sure Apple is working on wireless charging they’re undoubtedly not panicked. And, after all, placing your cell phone carefully on a pad and lining it up properly is indeed more convenient than plugging it in… but it’s not as nice as having it charge automatically without you thinking about it, or without you taking it out of your pocket.
Since it’s very early days for “wireless power” adoption by the electronics manufacturers, there’s also some debate about standards — if you’re going to count on finding a wireless charger at Starbucks, then you want all wireless chargers to work with all phones, right? Starbucks is not going to offer three different versions of a charger to their customers, and you can’t get all the phonemakers to agree to a single standard unless they’re pretty confident that charging sites will be widely available in that standard. That means the whole industry is very much up in the air on this one, and unless Apple commits to a wireless charging standard overnight (they probably won’t), it’s going to be a while before the “winner” is settled.
So who is Backus teasing? Well, I’ve let my own blatheration go on this long because he doesn’t really provide much in the way of clues — here’s a little more from the ad:
“… unlike in Tesla’s time, this is