When Profits Rise, Stocks Explode
To The “Sweet Spot”

The amazing thing about this technology and the company that owns it is that its profits are set to rise at an exponential rate. And that means hefty gains for shareholders.

For every up-tic, profits can explode by 3X to 20X seemingly overnight.

It’s because of something called “operational leverage.” This is where fixed costs stay the same, and the cost of materials (variable costs) rise only with every new foot of cable.

So now we’re about to hit the “sweet spot” with this company. That’s where this company’s profits on every foot of cable sold increase at an exponential rate. And that’s right where we’re headed.

Frankly, this is just the icing on the cake – and why capturing gains of 412% is inevitable.

Fact is, when profits rise, stock prices can explode…

This is what always happens to established goods that go into high demand, like the fiber company I’m talking about here.

Their stock price jumps up to 7 times as high as any increase in the price of the good!

Check out what happens in oil when the demand skyrockets…

From August 2007 to July 2008 a barrel of oil increased a nice 110%, but Evolution Petroleum soared 183%… Comstock Resources jumped 206%… and W&T Offshore popped a whopping 277%.

Or consider gold…

From March 2003 to today, the price of gold jumped 70%, yet Kinross Gold jumped 191% and Barrick Gold popped 243%.

Or iron ore…

As China increased imports threefold to build power plants and skyscrapers, iron’s price per pound climbed 82% from September 2006 to May 2008.

Yet, Russia’s Mechel Resources shot up 631%! It notched nearly 7 times the gain of the underlying commodity.

Yet the thing to know right now with fiber is that this is just one of many power plays in the making…

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