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Who Wins the Kentucky Derby of CEOs?


Bust out your finest millinery hats and pour me a mint julep, it’s Derby time. I know that there are plenty of parallels between betting the ponies and investing in stocks. So today I’m going to give you some good old fashioned advice on how to play the ponies that you can apply to the stock market. Remember, you bet the jockey, not the horse. 

In horse racing it means you look at the tiny little guy on top of the horse. In the stock market, you look at who is running the company. Over the years, genius CEOs have led investors to those huge 100-1 gains. Putting your money on Bill Gates or Steve Jobs would have reaped incredible rewards. But those days are behind us now. And while we could go on and on about our favorite horses, Seabiscuit, Man O’War, Secretariat, Mr. Ed, Torri Spelling, this is about making profits today. So let’s see what the starting grid looks like. Just like I do in my Home Run Investor service, I’m looking for stocks that could potentialyl double over the next couple of years. Check out my recent picks and big winners by clicking below for you free trial. 

The favorite to double your money over the next few years is Tesla TSLA CEO Elon Musk. I feel like if I ever met him we’d have an awkward conversation about the weather for a few minutes. He’s not the smoothest talker, and I find that endearing. He’s a super-nerd that’s trying to make the world a better place. Hyperloops, a manned mission to Mars, and a bunch of electric, self-driving cars getting you from place to place. He’s the 2:1 odds on favorite here. 

Speaking of Super nerds, I’ve got Facebook’s FB Mark Zuckerberg. Zuck’s all about using Facebook to connect the world and help make it a better place too. He thinks Facebook can help wipe some diseases from the face of the Earth. Bet the Winklevoss twins wouldn’t have thought that way. Put Zuck at 3:1. 

Then there’s Amazon’s AMZN Jeff Bezos. Bezos doesn’t want to make the world a better place like the first couple hippies on this list. Bezos wants to crush the souls of every would-be competitor on Earth. So he basically wants to enslave all of us. If he was more intimidating looking I’d be scared, but look at him. He could actually be a horse jockey. And that laugh. Never underestimate the strength of a bald man. Also 3:1. 

How about Gary Freidman from Restoration Hardware RH? This guy is a player. He’s the Casanova of the list here. Every picture I see him, surrounded by models. Maybe he’s been taking too much advice from his crew because RH has been taking a tumble lately. I know what he’s missing. That beard is just pretending right now. Gary, you need a little #beardgamestrong. 5:1. 

A longshot here is Jack Dorsey of Twitter TWTR. This guy created his fortune 140 characters at a time. After an absence he’s back at the helm of the blue bird. Could this deal with the NFL be the start of live streaming Twitter sports events or is Twitter doomed to become the next Yahoo? 10:1.

I can tell you that right out of the gate, Bezos is pulling ahead with Amazon. The stock is a Zacks Rank #2 (Buy) coming off a great earnings report where their AWS cloud services revenues really showed strong growth. Look for that to be a huge driver of profits moving forward. As a result, twelve analysts increased their earnings estimates for the current year. That pushed up our Zacks Consensus Estimate from $4.61 to $5.42.

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AMAZON.COM INC (AMZN): Free Stock Analysis Report
TESLA MOTORS (TSLA): Free Stock Analysis Report
FACEBOOK INC-A (FB): Free Stock Analysis Report
RESTORATION HDW (RH): Free Stock Analysis Report
TWITTER INC (TWTR): Free Stock Analysis Report
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