SPC Premium Dossier: The "Foundation" Stock for the Next Bull Market

I’m not a betting guy by nature.

But one of the wagers I’d gladly make is this: I’ll bet that 90% of the folks reading this know the old market maxim: “Buy Low and Sell High.”

I’d also be willing to bet that most of you have had a basic economics class at some point in your lives – meaning you have a working understanding of “Econ 101,” and the power of supply and demand.

If you know these two things, you know enough to be a Wealth Builder – and to make a fortune in stocks.

And in this Stock Picker’s Corner (SPC) Premium Dossier, I’m going to show you one stock that can get you started … and serve as the “foundation for your fortune.”

And if you’re not an SPC Premium member, let me show you a little bit more … to whet your appetite and show you what you’re missing.

Let’s get started.

Just as there’s a difference between being “intelligent” and “smart,” there’s a difference between “awareness” and “understanding.”

For instance, just about everyone is aware that the stock market is a decent place to make money. But they don’t understand why.

They don’t understand that (as oversimplified as it sounds), stocks tend to go up. The stock market has a definite “lean” to the long side. And some of the very best days come against some of the very worst backdrops.

So the real market maxim – the one that Wealth Builders like us believe – isn’t “Buy Low and Sell High.”

It’s “Buy Low … and Buy Low again … and Buy Low again … and Buy Low again – and Build Wealth in the Long Run.”

Think about it … if you know that stocks tend to go up in the long run … the odds are strong that if you invest in a good company today, the stock price today will be “cheaper” than the stock price next year, in five years or a decade from now.

So you don’t obsess over today’s prices: You’re focused on the “Next Bull Market” – the bull market that comes next year … or five years after that.

I know what you’re saying: “Okay Bill, I get that … and it’s great. But where does the Econ 101 stuff come into play?”

I’m so glad you asked.

With everything staying the same (or ceteris paribus, as Jack Helmuth, one of my RIT MBA professors was fond of saying … I love that word), we know that if demand for something rises and its supply holds steady, the price of that “something” tends to increase.

And we know that, ceteris paribus, if the supply of that “something” falls, but demand holds steady, the price will probably increase.

But what if that demand rises even as supplies fall?

Then (ceteris paribus … there’s that word again) prices go crazy.

Here’s where it gets interesting.

There’s a stock I know well that combines BOTH of these precepts – with a third one thrown in as a bonus.

• It’s a “Next Bull Market Stock.”

• Demand for its shares will keep rising in the next few years – even as the supply of its shares are likely to get cut … possibly at an accelerating rate.

• And it’s a terrific company – one of the best, in fact; and yet most investors don’t yet understand this dynamic.

That’s why it’s one of the inaugural stocks in the SPC Model Portfolio.

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