next amazon share

How to find the next AMAZON share? #issue 1

How to find the next AMAZON share? #issue 1

Introduction

Have you got that special unicorn/hidden gem/millionaire stock in your portfolio? Have you held a share long enough for it to grow multiple times (multi-bagger)? Did you commit to Apple, Amazon, Facebook or Netflix before it became the multi-billion worldwide company today? I am sure you were there when they started but never realised about owning a share of their company.

Welcome to my new blog series on: 'HOW TO FIND THE NEXT AMAZON SHARE'.

Diamonds are Forever

During the spring of 1999, I made my first online purchase from Amazon for a book called 'Dummies Guide to Guitar'. It took about 2 weeks for the air freight delivery all the way from Seattle across the Pacific Ocean to my little hometown in Brunei. I was pretty certain Jeff Bezos packed it himself in his home garage back then (*wishful thinking*).

During my first weekend of University in October 2000, I picked up a free Guardian newspaper and in the business section an author highly recommended investors to buy a small start-up company called Amazon. A decade later this company would be worth hundreds of billions of pounds.

Do you want to find your next AMAZON share?

How much would I have today? (14th June 2018)

100 shares on 20th August 2004 @ $54.16 each

TODAY – $170,486.00

100 shares on 24th May 2002 @ $1.21 each

TODAY – $37,993.00

 

100 shares on 20th August 2004 @ $54.16 each

TODAY – $114,230.00

 

So how do I find 
the next AMAZON Share?

ANSWER

DISRUPTIVE TECHNOLOGY

What is Disruptive Technology?

Disruptive technology is basically a new innovative product and/or service developed to create new market to gather users/clients away from established market leading firms. It’s like a ‘David and Goliath’ story where a new start-up company comes in and pulls clients away with a completely new service and improving lives.

One good example is Kodak back in the 90s. Kodak didn’t enter the digital era sooner because they were keen to keep its film technology going. The likes of Sony, Nikon and Canon, invested heavily and move onto a new era and killed the film industry completely. These companies then prosper and grew larger than Kodak ever was.

Case Examples of Disruptive Technology?

The infamous UBER, also known as the taxi business killer. This company is still private and secured money from private investment from all over the world. Regardless of the lawsuits, there is only one way for this company, ↑.

UBER doesn’t own any taxi’s but making billions of dollars every year.

AirBnB is a modest company, set up by two poor university students during a weekend conference where hotels were sold out all over town. Setting up their apartment with airbeds and charging a fraction of the price to aid visitors from outside town for accommodation. 

Today, AirBnB has yet to own a single hotel or accommodation but bringing in billions of dollars globally every year.

Amazon needs no introduction. We all know that Amazon is responsible for bankrupting a-lot of high street shops.

Started off as online book company operating from a small home garage in Settle earning their initial billions by disruptive brick and mortar business.

So whats your point?

Do not expect matured companies like Coke, America Express, JNJ, 3M or  Shell to grow five or ten folds in the next 20 years. These household names companies are only good for increasing dividend reinvestment portfolios.

Do not expect current powerhouse like Facebook, Apple, Goole, Netflix or Amazon to grow ten more folds in the next decade. They have grown over 1000% and will no longer exceed the same expectation. Sorry, the boat has sailed.

It’s time to find these hidden gem companies which will develop the next disruptive product or service. These companies surface and succeed once every blue moon (i.e every 5 years). 

So when you are doing your research on the potential share purchase of a new hidden gem. Ask the question:

Does this company have the next Disruptive Technology edge?

Final Words

End of #issue 1. I am sure you are disappointed that I didn’t reveal any of these hidden gems? Please be patient as I want to educate you and plant that SEED in your mind to make you aware and grow your knowledge of the technological advancement of this modern business world. 

Homework: What is the current Disruptive Technology trend? (Pls leave comments below)

See you at #issue 2!

From,

Dr Alex Koh
Founder and CEO of MooMooCoo.com
Family Finance Made Simple

Copyright © *2018* *MooMooCoo*, All rights reserved.

Our mailing address is: alexkoh@moomoocoo.com

2 Comments

  1. Thanks for the great article Dr. Alex Koh!
    I believe there will be many disruptive technologies in the near future.
    For example 3d printers and scanners, electric cars, connected glasses, virtual reality games, etc. They are right now underestimated by the market, although they have huge potential.

    Keep up with the good work!
    Best regards

    1. Author

      Thanks Stefano. You are on the same wavelength as me! I like the connected glasses. I am dissappointed why google dropped it two years ago. I hope to release #issue 2 soon with the industry from my research.

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