Community Update: Two New Ideas On The Way
A pharma and mining stock to be added to the Microcap Quality Index
I hope everybody has had a great holiday so far. As for me, I left Sunny Puerto Rico to visit family in the suburbs of chilly Philly. Whenever I make that trip, I end up doing lots of research because, as you can probably imagine, there’s not much to do in a town called Harleysville! So, over the last few days, I went into lockdown mode in my mom’s basement (🤫)to do a marathon research session. And I came across 6 stocks that could be potential multibagger candidates, heading into 2026. I’ll talk more about my goals for 2026 in a different post. For now, let’s keep talking stocks.
We usually add 1 to 3 stocks to our microcap quality index per month, accompanied by a brief research Cliff Note. So far, we’ve added one stock in December. You can see that here.
We have two in the pipeline that are about to be published:
A pharmaceutical company with some information arbitrage, where management’s higher revenue target for a new drug reflects expectations of materially greater market share capture than originally anticipated.
A pick-and-shovel mining company is seeing a surge in demand from its established customer base of large miners, while also experiencing new demand from earlier-stage miners. The stock got lost in its last quarterly report because the results were subpar, due to temporary issues. This will be the first direct exposure of a mining theme to our index.
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