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Tech Winners and Losers are Decided Right Here



FB, AMZN, ADBE: CASH FROM OPERATIONS


PREFACE
Headlines can confuse even the simplest of realities when it comes to company growth and stock performance. If we examine the large cap technology space and look for the company’s growth cash from operations the most, we find a list of superstar stocks that are outperforming the market.




LARGE CAP TECHNOLOGY CASH FROM OPERATIONS
Let's first look at all technology companies with market caps greater than $25 billion and rank them by cash from operations one-year growth.



The top three growing cash from operations companies are Facebook Inc. (NASDAQ:FB), Adobe Systems Incorporated (NASDAQ:ADBE) and Amazon.com Inc. (NASDAQ:AMZN). As for the stock performance, Adobe Systems Incorporated is up 22.5%, Amazon.com Inc. is up 66.9% and Facebook Inc. is up 43.2%. Those numbers compare to the S&P 500, which has returned -0.3% (negative). Those top three companies compare with the bottom three which returned 34.9% for HPE, -5.1% for EBAY and 3.6% for ADP.

LARGE CAP TECHNOLOGY CASH FROM OPERATIONS: LOOK BACK BIAS
It's easy to write this off as look back bias but that would be in correct. Facebook Inc., Adobe Systems Incorporated and Amazon.com Inc. did beat projections from last year as a whole, but in general, this cash from operations growth was forecast pretty accurately all the way last year. These are hardly surprises.

WHY THIS MATTERS
Earnings projections and cash from operations trends alone can never capture the force that truly drives growth for a company. The kind of growth that creates companies like Apple, and Facebook, comes from fundamental changes in technology and the economy. At Capital Market Labs, we identify these transformations, and the companies that will benefit most from them to find the "next Apple" or the "next Google." Our research sits side-by-side with Goldman Sachs, Morgan Stanley and the rest on professional terminals, but we are the anti-institution. Our purpose is to break the information monopoly held by the top .1%.

Each company in our 'Top Picks' is the single winner in an exploding thematic shift like artificial intelligence, Internet of Things, drones, biotech and more. In fact, here are just two of the trends that will radically affect the future that we are ahead of:



That light green colored bar (4G) is soon going to be larger than the dark colored bar (3G). 4G usage will grow from 330 million people today to nearly 2 billion in five years. CML Pro has named the single winner that will power this transformation. Then there's cyber security:



Market correction or not, recession or not, the growth in this area is a near certainty, even if projections come down, this is happening. CML Pro has named the single best cyber security stock to benefit from this theme.

These are just two of the themes we have identified and this is just one of the fantastic reports CML Pro members get along with all the visual tools, the precious few thematic top picks for 2016, research dossiers and alerts. For a limited time we are offering CML Pro at a 90% discount for $10/mo. with a lifetime guaranteed rate. Join Us: Get the most advanced premium research delivered to your inbox along with access to visual tools and data that until now has only been made available to the top 1%.

Thanks for reading, friends. The author is long Apple and NVIDIA shares.