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Ian Cassel: The micro-cap megastar

Discover the investing strategy of a well-known micro-cap investor

Ian Cassel: The micro-cap megastar

Do you want to know which micro-cap stocks can become a multibagger? Ian Cassel is the man to follow. Famous for launching the 'MicroCapClub' in 2011, Ian Cassel has been investing in micro-cap companies since 2008. Over the last 15 years, Cassel and his team have discovered numerous multibagger investment opportunities. As a result, Cassel has become a celebrity in the investing industry, with more than 11,000 members in his MicroCapClub. We recently came across a podcast exploring his investment style and philosophy. Here are a few snippets from it. 'Lightning in a bottle' investing Cassel explains successful investing in a multibagger micro-cap as a 'lightning in a bottle' phenomenon. These investment opportunities are scarce and hold the potential for explosive returns to investors. However, discovering these opportunities takes work. He explains a combination of three key elements that can lead to a 'lightning in a bottle' kind of investment: Small market value as the company will undergo a discovery process. High organic growth rate. It is crucial to avoid cash-burning companies, and invest only in profitable businesses. A small number of outstanding shares ensures their scarcity and a surge in price as the demand increases. He adds, "So when you combine all three of those things — a small company, a unique, one-of-a-ki

This article was originally published on September 29, 2023.


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