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These stocks doubled in 2016: They will double again in 2017

NVIDIA (NVDA)

I own NVDA stock. I have owned NVDA stock—without selling any shares or buying additional shares—since 2001 or 2002, far, far longer than I have ever held any other stock. Also, in the last four years, I have pointed investors in the direction of NVDA many, many times. In 2016, of course, NVIDIA had an incredible, breakout year, rising 223%! A triple! With mustard!

I picked NVIDIA because at the time, graphics processing looked like it would become a huge market (which it has, but slowly), and NVIDIA was already trying to break into other chip markets. They had the best graphics processing technology and an aggressive plan of expansion, so even though 15 years passed, I had no reason to re-think the plan.

Now, of course, NVDIA has moved to take a dominant position in auto chips, a very different industry from graphics processing and one I, unfortunately, don’t know as well. So I’ll have to keep a close eye on what technology analysts are saying about the relative strength of different auto chips. If another company takes a technological lead, I’ll blow out of NVIDIA so fast I’ll leave skid marks. Sentimentality is an indulgence that can cost you dearly.

NVDA
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Julian Close

Julian Close became a stockbroker in 1995. In his 20 years of market experience, he has seen all market conditions and written about every aspect of investing. Julian has also written extensively on corporate best practices and even written reports for the United Nations. He graduated from Davidson College in 1993 and received a Master of Arts in Teaching from Mary Baldwin College in 2011. You can see closing trades for all Julian's long and short positions and track his long term performance via twitter: @JulianClose_MIC.