Long Strategies From a Top Short-Seller

Updated

The following video is part of our "Motley Fool Conversations" series, in which analyst John Reeves and advisor David Meier discuss topics across the investing world.

The great short-seller Jim Chanos utilizes four tactics for finding winning short ideas. In this video, David and John consider if doing the opposite of what Chanos recommends is an effective way to find long ideas for their 10-bagger portfolio. Interestingly, Chanos says that he never shorts a stock solely on valuation. John and David believe strongly that investors should avoid selling great companies just because they may appear "overvalued." After all, it takes time for 10-baggers to emerge.

Motley Fool co-founder David Gardner has found a few 10-baggers over the course of his career. Recently, he identified a small-cap health-care company that he believes is poised for monster returns. To uncover this top pick today, enjoy the special free report: "Discover the Next Rule-Breaking Multibagger." Don't miss out on this limited-time offer and your opportunity to discover this game-changing company before the market does. Click here to access your report -- it's totally free.

At the time thisarticle was published David Meier has no positions in the stocks mentioned above. John Reeves owns shares of Google and Verizon Communications. The Motley Fool owns shares of Google, InvenSense, and LinkedIn.Motley Fool newsletter services recommendGoogle, and LinkedIn. Try any of our Foolish newsletter servicesfree for 30 days. We Fools may not all hold the same opinions, but we all believe thatconsidering a diverse range of insightsmakes us better investors. The Motley Fool has adisclosure policy.

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