Superperformance Stocks By Richard Love Pdf !free! [ Web ]

Unlike many growth investors of his era, Love stresses capital preservation. He recommends a strict stop-loss — typically 7–8% below the purchase price — and a trailing stop as the stock advances. He also notes that when quarterly earnings growth falls below 15–20% for two consecutive quarters, it is time to re-evaluate or sell.

Love does not use “superperformance” loosely. For him, a superperformance stock is one that rises at least 300% to 1,000% within a few years, driven not by speculation but by genuine business expansion. Unlike short-term momentum plays, these stocks exhibit durable competitive advantages, rising profit margins, and increasing return on equity. Love emphasizes that such stocks are rare — perhaps 1–2% of all publicly traded companies in any given cycle. superperformance stocks by richard love pdf

Some critics argue Love’s criteria are too restrictive, leading to false negatives (missing stocks like early Amazon or Tesla, which had negative earnings for years). Others note that in today’s algorithmic and options-driven markets, volume confirmation patterns differ. Nevertheless, the core idea — finding high-quality growth with institutional demand and technical strength — underpins the strategies of later investors like William O’Neil (CAN SLIM). Unlike many growth investors of his era, Love