Tesla (TSLA) is well positioned to dominate the EV space. Tesla
(TSLA) cars are so high tech that you are basically driving a laptop computer down street with zero emissions. With
the release of the Model 3 this year, Model S and Model X interest has actually spiked. There was a fear by Tesla and
Wall St. analysts' that sales of Model S and X would suffer as a result of of Model 3. This turned out to be very much
the opposite which is a huge bullish surprise.
With the backlog currently over 500,000 cars, Elon Musk is on record
telling shareholders that we should have ZERO doubt that the company will be producing at least 10,000 Model 3 cars per week
at some point in late 2018. With the company expanding into other segements such as Big Rig trucks and a 2018 announcement
of the Model Y (lower cost version of the Model X), we are about to witness one of the highest growing companies in history.
Fully autonomous vehicles are just years away and self driving cars will be the normal in 10-20 years. Tesla
will likely charge $6,000-$10,000 for the autonomous software upgrade per car when the U.S Government approves the technology.
For those who cannot afford a Tesla, you will be able to lease a Tesla and then send it out into the field as a taxi and earn
income while you are not using it. The new semi truck will be fully autonomous and take the place of a real driver.
Tesla will improve the battery range and technology in the years and decades ahead which is why they will continue to lead
the shift in this business.
The main points are Tesla (TSLA) has the best battery technology in the
world and they are the largest buyer of Lithium in the world. The Gigafactory in Nevada will be pumping out as many
batteries as possible and they will need to build at least five more in the next 5-7 years. You will hear a lot of chatter
from other car companies on how they will easily compete with Tesla. I don't think it will be that easy because people
won't settle for ugly cars (GM and Ford) with poor batteries. To mass produce electric cars with outstanding batteries
to meet consumer demand is the special sauce other companies just won't have.
In conclusion, a few years ago competitors
laughed at Tesla. Now it appears they are scared. China is easing rules that will potentially allow Tesla to opens
its doors in that country without a partner. If this happens, China will be Tesla's biggest market in the world.
Fully autonomous vehicles will soon be legal and it will hit fast and hard and TSLA stock will rock. Tesla Motor and
Tesla Energy will be a dominate businesses and this $55 billion company can easily grow to $700 billion in 10-15 years.
For now, we will take one year at a time and I believe TSLA stock will rally 30-40% from $330 at some point in 2018.
Small Caps Bull 3x Russell 2000 (TNA) - I continue to be bullish on shares of TNA and this
ETF remains my best stock 2018 as an ETF. Why is TNA my top stock pick for 2018? The stock continues to outperform
and beat the major averages year after year. Investing in TNA is easy and all you really have to do is buy when we see
a major 20% or more correction because shares always return to a new high.
If you don't know what TNA is about,
it consists of futures contracts of the Russell 2000 but triple leverage. When the Russell 2000 rises 1%, TNA rises
3% and vice versa when things go down. Shares are super volatile and is a great way to play catch up if you are not
beating the S&P 500 at one point in the year.
They say there is no sure thing in the stock market but I strongly
disagree. History shows us that one thing comes true 100% of the time. The stock market ALWAYS returns
to a new high after every pullback, correction, or crash, ALWAYS! Investing in stock market ETF's tied to the major
indexes is the greatest investment you can make in 2018. Buy TNA on a correction into the $40's as we will see this
ETF hit $70's in 2018. My wife bought TNA right before the election split at a split adjusted price of $32 per share.
TNA is now up 102% since November.
Best Stocks 2018 - Shake Shack (SHAK) continues
to bounce around $30 and produce nice 10-30% rallies. Continue to buy at or below $30 in 2018.
Intexon (XON) is another top stock for 2018. This company uses Synthetic Biology
to regulate gene programs which make products better. They are active in the Energy, Health, Food, and Agriculture sectors.
One big product coming to market in 2018 is a non-browning Apple. The company is also working on some exciting
products in the Energy and Biotech industries.
Bill Miller of Legg Mason, who named Amazon (AMZN) a stock to buy
at $40 nine years ago, said XON is the stock of the decade at $35. XON has been forgotten but just rallied from $17
to $20 so I feel shares could rebound into the $30's in 2018. XON is a strong buy stock right now!
IBM (IBM) - IBM is another one of my top stocks for 2018. Warren
Buffett sold some of his stake in the $180's and now shares are testing the $140's again. I view IBM a strong buy below
$150 for the long term and believe this stock can reach the $170's in 2018. IBM is a strong buy stock!
As always, if a stock market crash occurs in 2018, my top stock picks are
TNA, SPXL, and UDOW. The stock market always returns to new highs after a correction or crash so these three etf's will
follow back up as well. If these three stock picks ever crash during a market decline, sell your bad stocks and switch
into these three.
If you are looking for a few hot penny stocks in 2018, check out PULM, HTGM, FCSC which are my penny stocks to watch 2018.