“You Won’t Read About ‘Duke St. Trusts’ in Bloomberg… “But for Over a Decade they’ve Minted Returns Like 197.7%, 3,265.6%, and even 5,389.9%!
Rise and shine all ye partakers! “Duke Trusts”… quickly prompts you of the well-known tobacco tycoon Doris Duke and Trusts created for the management of his wealth at Hillsborough Township, New Jersey.
Let us decipher the misnomer! The Foolies seem to have used their corporal location @ Duke Street in Alexandria, VA when they refer to the stocks they are touting, but they have a very different theme this time for touting their picks they call them the Duke St Trusts with up to 5000 % returns, quite intriguing for a teaser ad.
Well the huge profits they are talking about in their ad are real- though for long term investors who are able to hold on-through turbulent spells. Some of their picks like Amazon, Netflix, and Priceline had a very brilliant run up and made investors very rich.
Investors who were bold enough to buy after Motley Fool recommended them and when the market wrote them off as very expensive stocks though. Folks who are looking for such returns yet again are cautioned, I think you have sensed my undertone at that…Of course not all their picks are so rewarding although they have consistently beaten the S&P 500 over the last 10 or 15 years.
But again they have been pitching “Duke Trusts”, in their latest teaser ad; they are calling them “Duke St. Trusts” Well, they aren’t trusts literally, Motley Fool conversing in their ad are an assortment stocks.
As usual the ad is signed by their editor Austin Smith saving the Gardner brothers the hassle of gyrating with sales touts, and he phrased it pleasingly enough.
“Don’t Let 2013 Happen Again. Your Next Opportunity Starts Now (and It May Be Your Last) “While I’m fully expecting returns that will make the best investments of 2013 look like a molehill:
The quote from their ad is hinting us at the fact that they are touting stocks they have pitched in the past and are re-recommending them again. By the tone of the ad they seem to be running a rehashed version of their well-known Unmistakable Signal ad – that was an instant hit for different picks obviously!
Unless you wait, that is, because I guarantee that the chance to uncover 2014’s Duke St. Trusts won’t be available forever. Tom and David could pull this offer as soon as tomorrow if they come to their senses and realize what they’re giving away.
Intrigued enough? We will try to decipher the stocks they are touting. Well, the “Duke St. Trusts” are “stocks picked by Motley Fool Stock Advisor” and they are re-recommending them again after eight years, on the pretext that they are even better now.
So what are the stocks?
Before I let the cat out of the bag let us ponder over the stocks they have been recommending time and again over the years. They are Whole Foods, Marvel, 3D Systems, but which are the ones they have been touting now whose yields are better!
More clues please…
“Duke St. Trust #1 — ‘is a best-in-breed manufacturer… it sells to the military… a gutsy management team… already has more than twice the market share as Honda in 1 vital market. Stock could easily double (and zoom further from there.)’
“Duke St. Trust #2 -– ‘One of the best IPOs I’ve ever seen… with only 62 locations, you’re getting in on the ground floor of a business revolution… Has been on ‘Fortune ’s 100 best’ list for 14 years straight….
Not many clues but it could be any ones wild guess that the first “Duke St. Trust #1 is Polaris Industries (PII), it’s their past recommendation as well and it’s quite intriguing that they are into manufacturing all-terrain vehicles (ATV) and off-road vehicles (ORV) in US, Canada, and Europe markets.
Quite interestingly they are steadily intensifying their global reach, acquired an Indian Brand in April 2011, in November 2011 they acquired Goupil Industries, and Global Electric Motorcars LLC (GEM), while this April they acquired Kolpin Outdoors Inc, they seem to be on an acquisition spree.
As far as I am concerned I would bet against Polaris, the Oxford Emerging Trend Trader was also touting this stock, owing to their expansion in snowmobiles which did not happen. I would put my money somewhere else honestly! (more on this in my next writeup)
And the Duke St. Trust #2 – is the Container Store (TCS) there’s no doubt about it, owned by a private equity firm Leonard Green & Partners, which had a tremendous growth trajectory for six years in a row. Before going public for $18 a share a few months back and quickly hitting $40 and now back to $30 after the initial excitement waned.
Container Store (TCS) a retailer that targets urban areas where people have the money but no time for shopping hassles. Container Store has an edge on competition with staff that sells exclusive stuff to up-scale customers from their own ELFA brand closet solutions. That’s the reason why I vouch for investing at these prices.
I believe this company is cheap at these levels after the initial euphoria has calmed down.
But still not profitable, so this is a growth story. If you have any of your own musings do share them with us in the comment box below.
Disclosure: I don’t have any positions in any stocks mentioned herein, and no plans to initiate any in the near future as well.