Steve McDonald: Hi, everybody. I’m Steve McDonald. This is your Market Wake-Up Call. Our focus this week is on the next Google – parent company Alphabet (Nasdaq: GOOGL) – the next Apple (Nasdaq: AAPL) or any of the mega-return stocks that we all drool over. Now, Google came to market on August 19, 2004, at $85 a share. And if you purchased 10 shares of stock at that time, today it’s worth more than $25,000. That’s 2,841% in 14 years. Pretty amazing, right? Well, we’ll see how amazing that actually is.

Our guest today produced 2,733% in just six months, and it wasn’t a one-time thing. He’s had multiple three- and four-digit returns in far less time than it took Google, Microsoft (Nasdaq: MSFT) or any of the other so-called world-changing tech or online retail stocks to return similar amounts. And as you’ll see, these mega-money plays aren’t just in the tech or biotech sectors. That’s where most of us assume they’ll come from, but hold on. Something as mundane as nearsightedness – actually the worldwide increase in the incidence of nearsightedness, which no one I’m sure considers world-changing – could drive the next Google. Today’s guest also says he has a new record-setting winner that could be as high as 4,397%. And it is definitely not from any of the industries or sectors you might assume.

Now, when I looked at the earnings, revenues and growth estimates of the nearsightedness thing, I almost fell out of my chair. They’re stunning. This stuff is mundane, boring, not at all techy and certainly not newsworthy. But it has made and still makes a ton of money, and you can’t argue with results. Emerging Trends Strategist Matthew Carr is our guest today. He is the Editor of The VIPER Alert and The Oxford Club’s best stock picker, and today he’s here to talk about how he’s doing it. Welcome, Matthew.

Matthew Carr: Thanks for having me, Steve.

Steve McDonald: It’s my pleasure. Let’s start off with the nearsightedness company. I’ve got to be honest with you. When you told me about it, I literally almost fell out of my chair. How did you find it? What kind of returns are you expecting? And how much have you made so far?

Matthew Carr: It was pretty amazing. The company appeared in my VIPER System because of its metrics. Net income increased 5,000% last year, non-GAAP earnings per share (EPS) were 2,600% and revenue is up more than 35%, with that growth expected to accelerate in the second quarter. And all of that is due to the company’s market, which really is staggering. As I started researching, I found that 58% of the U.S. population suffers from nearsightedness, or myopia. That’s pretty insane, but in China, it’s a much larger problem than that. Almost 90% of teenagers and young adults are nearsighted. That’s up from between 10% to 20% a little more than 60 years ago. But here’s the thing: This is a global problem that’s only going to get worse. By 2050, it’s projected that half of the world’s population will be nearsighted. That’s roughly 5 billion people, and it’s all because of our smartphones and computers. So what kind of returns are we talking about for this company? That’s hard to say, but I can tell you the addressable market is massive. And it is this mundane thing, but it’s really exciting because this company is firing on all cylinders. We just opened the position, so our gains aren’t that extraordinary at the moment, but I expect this to have a really, really good run.

Steve McDonald: Now, why do you think most people think of only tech or biotech as the next big thing? I mean, when you think about it, there are more than 100 different industries. It doesn’t make sense to have that kind of a focus.

Matthew Carr: Tech and biotech are associated with these big gains. They’re always the companies that are at the forefront of major breakthroughs, whether they be medical, sociological or obviously technological. During the dot-com boom, we had millionaires minted overnight as these tech stocks soared.

I personally am a big fan of tech, especially small cap tech, but that’s not the only place for growth. There are dozens of different industries, just like you said. That means there are always a lot of places for investors to mine for opportunities – to find these stocks that are going to shoot up 100%, 200%, 400% or more. In the VIPER System, we focus largely on what I call 20-20 stocks. These are companies that have 20% earnings growth and 20% revenue growth. And you can find them in a wide variety of sectors. So it’s always mining for these companies across a bunch of different industries, not just two or three of the hottest.

Steve McDonald: Now, every fundamental analyst uses the same measures – earnings, revenues and growth. You can throw in return on equity and 200-day moving average – that sort of thing. We all rely on those, but not everybody’s getting the same numbers you’re getting. So you’ve got to be doing something different. What’s going on?

Matthew Carr: Very true. If you want to outperform the average or get out in front of the crowd, you can’t be doing what everybody else is doing. That’s the way I always see it. So for me, there’s a lot that goes into finding great stocks. I’m always on the hunt for value. I’m always looking for a big pullback in shares. I look at income, especially operating income, profits, earnings and revenue. That’s where the VIPER System acronym comes from – those key pieces. And the two basic metrics are going to be these 20-20 stocks. Those are, once again, those stocks that have at least 20% revenue growth and at least 20% earnings growth year over year. I’m looking for small caps that are like that, that have had a recent pullback and that the system believes shares are undervalued compared with future growth. That’s the most important key. So you can look at a lot of those different pieces, but I found this little secret sauce of just these five are really great.

Steve McDonald: Now, you’re calling for a winner of 4,397%. You already hold the biggest return any Oxford Club analyst ever made. It’s 2,700%, or something like that. These are big numbers. What kind of time frame are we talking about for this more than 4,000% gain, and how do you come up with a number like that?

Matthew Carr: Well, the system looks at the future market, the addressable market and earnings. And of course, it calculates in the current share price, and that’s what that forecast is based on – all these metrics. And the time frame can vary. We play both shares and calls on every single one of our positions, so the gains can add up quite quickly or come quite quickly. The other thing is that The VIPER Alert is the only service doing one recommendation per week. That’s 52 per year, and our goal is to average a triple-digit gain per week. No other VIP Trading Service at The Oxford Club is doing it, and that’s because of the strength of the system and its ability to find these great stocks.

Steve McDonald: You’re telling me my bonds aren’t going to return triple digits?

Matthew Carr: They could.

Steve McDonald: They could. It could start raining alligators too. It’s phenomenal. I’ve watched you over the years, and your work is just ridiculous. The numbers keep coming out. I don’t know how you do it, but I’m glad you’re doing it. Matthew, thanks so much for being with us.

Matthew Carr: Thank you, Steve.

Steve McDonald: And for everybody here at the Market Wake-Up Call, I’m Steve McDonald. Make sure you take a look at the link below. It’s an amazing system this guy is working, and I’ll see you all next week.

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