How we Analyse and Choose our Stock Picks

  Email Published On: 23-12-2020 11:26 a.m.

2 minute read

What a year it’s been.

We hold long term positions in 18 carefully selected stocks.

A few of our stock picks have made 1,000% plus gains.

Others are up over 500%. Almost all have doubled.

You can see all our stock picks, research and performance for free on our portfolio page.

So how do we pick the stocks with the highest chance of success?

Today we want to share with you HOW we analyse and choose our stock picks.

"Small cap stocks" are tiny, early stage ASX listed companies, many in resources, energy or technology that have potential for 1,000%-plus gains.

It’s a corner of the market that the team at the Next Investors has been investing in for many years.

We have taken decades of learnings, experience and many expensive lessons from investing in the small cap markets.

We have collated it all into an eBook for you:

“How to Make Money Investing in Small Cap Stocks”


This eBook will help you improve your small cap stock analysis skills during the holiday break and hit the ground running in 2021.

Feel free to share it with anyone who wants to start investing in small cap stocks but might not know where to start.

In the eBook, we outline each of the steps we take in making an investment decision, including our 20 point checklist to identify small cap stocks with the best potential for large returns.

In the ebook you will learn:

  • What NOT to do when investing
  • Our investment strategy (including when to sell)
  • Stocks we are currently invested in
  • Introduction to investing in small cap resources stocks
  • Our 20 point checklist for investing in small cap stocks
  • How to deal with hype on social media, chat rooms and internet forums
  • Tips and exercises to train you to analyse your own investments
  • Psychological tricks your brain will play on you

Again, we invest in small, early stage resource, energy and technology stocks — those with potential to increase by at least 1,000%.

These are very high risk, early stage investments. Many will fail, so only invest money that you are prepared to lose.

We encourage all our readers to do their own research, and understand what they are investing in. At the end of the day, all investors are responsible for their own decisions and we hope the exercises in our eBook will help you improve your analytical skills.

Many of the risks and potential pitfalls of small cap investing are fully explained in the eBook.

We hope you had great success in your investing during 2020, and can use the holiday break to brush up on your investing knowledge ready for 2021.

Next Investors