The Three Microcaps Most Likely to 10X Next

Trading microcap stocks from the Oxford Microcap Trader portfolio is the best way to get ahead in any market. These small but powerful stocks have 10X potential and routinely outperform the broader market, regardless of whether it is moving up, down, or sideways.

My microcap strategy not only works in any condition but excels. The historical performance of my strategy versus the S&P 500 is phenomenal over every time period tested by my research team.

It beat the market over one year… three years… five years… 15 years…  20 years… and even 25 years…

While the S&P 500 delivered a 590% return over that period, the strategy behind Oxford Microcap Trader could have crushed it with a 3,679% return.

That’s more than six times better than the S&P 500. It’s safer, too, with the ability to take on less risk than you would by parking your money in “safe” blue chips because of how low the share prices are on microcap stocks.

See, with microcaps, a little money can go a very long way. You have to put less money at risk to make a big return. For instance, take a look at Allstate, the insurance giant, versus Heritage Insurance, a microcap in the same industry.

Both have done well for themselves over the past two years. Allstate jumped from $126 to $193 while Heritage went from $1.41 to $10.04. That’s a gain of 53% versus 612%. In order to make, say, $100,000 on the trade, you’d need to have invested $188,000 into Allstate compared with just $16,000 in Heritage.

With my microcap strategy, you don’t need to buy into Wall Street’s lie that to achieve big returns you have to take big risks. With $16,000 in Heritage, you could have made the same $100,000 you would have made with $188,000 in Allstate.

Now, tell me, would you rather put $188,000 at risk or $16,000?

And, even better, the strategy is dead simple. It all boils down to a handful of qualities the best microcaps all possess…

First, it should have three quarters of sales/revenue growth in a row. This is how you separate the penny stocks from the microcaps. Penny stocks are gimmicks that often have no products or services to begin with.

Second, I’m looking for a microcap that has increased its earnings per share over the past year. In the entire history of the stock market, no metric has had more impact than rising EPS. At the end of the day, profits are what make a successful business.

The third is a bit more complex.

I’m looking for stocks with an RSI (relative strength index) greater than 40 over the last 14 days. Most traditional investors don’t use the RSI. But it is important when it comes to momentum. An RSI above 40 indicates that buying pressure is driving a stock higher. That’s precisely when you should buy in.

Fourth, I target companies with the most recent insider trading. When insiders are buying shares of their own company, it’s the ultimate sign of confidence that a stock is on the upswing. Large insider buying is rare and usually only happens when the company’s leadership is certain it’s going to go higher…

The three microcaps in this report have all four of those qualities and represent your next opportunity to collect 10X profits fast…

I Can See Clearly Now

In a market obsessed with chasing the next big trend, be it AI or cannabis or cryptocurrency, it’s refreshing to see a simple company doing well.

Despite the media hype surrounding whatever the latest gimmick is, often some of the best investments in the market are the simple and straightforward companies whose business models and products can be described in a sentence. Two at most.

Case in point, I give you Warby Parker Inc. (NYSE: WRBY). Based in New York, Warby Parker is the premier online retailer for eyewear, ranging from eyeglasses and sunglasses to blue-light glasses and contact lenses…

And believe it or not, that’s one of the best growth industries to be in.

Some people are born with poor eyesight. But most people develop vision problems as they age, leading to 166.5 million adults in the U.S. wearing glasses – that’s 63.7% of the population.

Before the invention of modern corrective eyewear in 1750, poor eyesight, especially in the young, was debilitating and could lead to premature death and a lower quality of life. But today that’s changed, thanks to quality corrective lenses being readily available.

With our rapidly growing and aging population, the U.S. reading glasses market alone is expected to be valued at $22.56 billion by 2030.

And Warby Parker will be there to meet that need in the market and profit handsomely from it. It easily meets every metric in my system, and I currently own this stock myself.

Let’s start with revenue.

Over the last three quarters, sales are up 10%, 16%, and 13% to $161.9 million, $200 million, and $188.2 million, respectively. Annual revenue for 2023 totaled $669.8 million, up 12% over 2022’s. That’s exactly what I like to see for the first metric of my microcap strategy.

Up next is earnings per share (EPS). Warby Parker’s EPS is up a stunning 102%, and its gross margins come in at a massive 56%, meeting my second metric.

The company’s RSI is sitting at 57.83, which is high but not problematically so. All it means is the pressure on it is neutral as opposed to it having high buying or selling pressure. Consider my third metric satisfied.

Finally, the kicker. Insiders are loading up on shares. In the last three months alone, they’ve purchased 245,000 shares, an investment of more than $4 million. So the fourth metric is satisfied. But that’s not all Warby Parker has going for it.

Most other financial metrics are looking great across the board. The company holds $237.96 million in cash to fuel its growth moving forward.

It has a positive debt-to-equity ratio of 0.58, which is refreshing in a market in which so many companies are up to their necks in debt.

Finally, Warby Parker is on a long-term growth trend. Its three-quarter growth streak isn’t a fluke. Over the last three years, its revenue has increased at a compound annual growth rate (CAGR) of 13.88%.

At current prices, Warby Parker is an absolute bargain. This is an opportunity you don’t need glasses to see clearly. Pick up some shares as soon as you can.

Action to Take: Buy Warby Parker (NYSE: WRBY) at market. Set a 25% trailing stop to protect your principal and your profits.

Electric Eye

Eyeglasses have been the standard way to treat vision problems for almost 300 years at this point. But medical science moves ever onward… And my second 10X microcap has developed the next evolution of corrective lenses.

The main problem with glasses and even with contact lenses is that they can fall off or out of your eye, get scratched, and break. But Staar Surgical Company (Nasdaq: STAA) has the solution…

Implantable lenses.

The company’s unique EVO ICL is essentially a contact lens that is implanted in the eye. But instead of being made from glass, it’s a proprietary collagen and polymer blend that Staar calls “Collamer.”

And while this technology is cutting-edge, it’s not some untested experiment. Staar has sold and implanted 3 million lenses around the world. The EVO ICL has been reviewed in 200-plus clinical papers. And the company has been developing the lenses for 30 years, making it as safe and effective as possible.

The implant provides patients with sharp vision, day or night. It is completely reversible and does not cause dry eye syndrome, and both the procedure and the recovery time are quick. It also offers a bit of UV protection…

It’s no wonder that 99.4% of EVO ICL patients would choose it again.  

What’s more, Staar can take advantage of the same growth market that Warby Parker can. The EVO ICL can be used to treat two conditions, myopia (nearsightedness) and astigmatism. Myopia already affects every third person in the world today and will affect every other person in the world by 2050.

All of those people can be helped by Staar’s EVO ICL lenses. Staar is a biotechnical juggernaut in the making…

Sales are up in each of the last three quarters, easily satisfying my first metric. In Q4 2023, sales surged 19.1% to $76.3 million. In Q1 2024, sales spiked 5.2% to 77.4 million. And in Q2 2024, they shot up another 7.3% to $99 million.

Staar also meets my second metric: EPS for 2023 was up 15% over 2022’s. And in the latest quarter, EPS surged 19.9%. In addition, this company has a near-perfect RSI of just over 40, which tells me this is a great time to buy and meets my third metric.

And on the insider front, Staar’s leadership clearly knows this stock is headed up in the near future. Over the past 12 months, 13 company insiders have collectively purchased just over $30 million worth of shares. So that’s my fourth metric sorted.

The rest of Staar’s financial metrics also look great. Cash reserves stand at $235 million, and it has a positive debt-to-equity ratio. It has also been on a long-term growth trend, with revenues climbing at a CAGR of 19.75% over the past five years.

The global eyecare market is worth over $70 billion. It’s a huge market, and this microcap could become a major player. You’ll want to pick up some shares as soon as possible to maximize the 10X potential here.

Action to Take: Buy Staar Surgical Company (Nasdaq: STAA) at market. Set a 25% trailing stop to protect your principal and your profits.

Prepare for Takeoff

As much as we’d rather forget those years, I’m sure we all remember the halt in global travel that came with the COVID-19 pandemic…

Around the world, planes were grounded, airports were vacant, and people stayed home. But as soon as travel restrictions lifted, people took to the skies once more. And now travel is back to its pre-pandemic levels.

And thanks to Sabre Corporation (Nasdaq: SABR), booking the trip of a lifetime is easier now than it’s ever been.

Sabre provides software and technology solutions for the travel industry worldwide. It creates the software for mobile apps, airport check-in kiosks, online travel sites, and booking software for car rentals, hotel, and airline reservations.

Altogether, 400 airlines, 400,000 travel agents, 38 car rental brands, 30 rail lines, and 40% of the world’s leading hotel brands work with Sabre. What’s more, the company just signed a 10-year partnership with Google to power travel searches online.

Despite its single-digit share price, Sabre is far from a penny stock…

Its revenue has gone up over each of the last three quarters. It grew 8.9% year over year to $687.1 million in Q4 2023. It grew 5.4% to $782.9 million in Q1 2024. And it topped $767.2 million in Q2 2024, up 4% year over year. And in a longer context, over the past three years, revenue has been increasing at a CAGR of 30.52%.

And that was coming off the incredible annual revenue for 2023 that was up 14.6% to $2.9 billion in total. This one easily meets my first metric.

EPS is seeing similar growth. It just improved by 70%, meeting the requirement of my second metric.

The company’s RSI is sitting at just over 47 right now, which is a little on the high end but still well within the limits I look for and easily satisfies my third metric.

In response to that growth, insiders have been scooping up shares rapidly. Over the past 12 months, four insiders have collectively purchased $427,878 worth of shares. This checks the box for my fourth metric.

Sabre is one you’ll want to pick up before it takes off and leaves everyone else behind.

Action to Take: Buy Sabre Corporation (Nasdaq: SABR) at market. Set a 25% trailing stop to protect your principal and your profits.

Microcap Mogul

The three microcaps in this report have every quality and then some of stocks that turned into 10X winners in the past. But their tiny size means I can’t recommend them to a large audience. Even a few thousand people buying shares at once could cause a massive bump and crash.

But as a member of Oxford Microcap Trader, you can take advantage of these profit-packed companies at the lowest possible prices, investing far less than you would have to with a large cap. And when Wall Street finally notices that sales are doubling and tripling… it will jump in, and the stock will rocket to the moon.

The stocks in this report are ideal microcaps, small and innovative companies with growing revenue and profits, strong RSI scores, and massive insider buying. There is no better recipe for stock market success.