A Short History of Cabot
Stock Market Analysis Video
In Case You Missed It
— Special Offer —
We’re Celebrating 40 Market-Beating Years With 1 Year
When we launched Cabot Market Letter in 1970, we did it
with one goal in mind: To provide
you with the most profitable investment advice on the planet. Since then, we’ve
doubled our readers’ money 24 times!
For these reasons, we’d like to give you one year of the
Cabot Market Letter FREE as part of a special 40th anniversary offer. But hurry, this offer ends in 48 hours!
This Tuesday, October 12, marks the 40th anniversary of
Cabot Market Letter, our flagship publication. Today, we work in a beautiful,
old library in Salem, Massachusetts, but Cabot had humble beginnings at a farm
down the road that gave the company its name.
Carlton Lutts, a trained engineer with a love for
investing, started writing Cabot Market Letter in 1970. At first, the venture
was part-time, but eventually, the newsletter brought in enough money that
Carlton could work on it full time and Cabot was born.
The stocks Carlton recommended in that first issue were
Crown Cork & Seal, Maytag, Cabot Corp., Ford Motor of Canada, Mattel,
Kaufman & Broad, Adams-Mills and Beech Aircraft. Timothy Lutts, Carlton’s
son who now heads Cabot, and his four siblings helped with production, doing tasks
like typing addresses on envelopes, folding, stuffing and mailing. In the early days Tim, (along with
other neighborhood children) were paid in ice cream sundaes.
(Pictured here is the typewriter that Carlton used to
produce the first issue of Cabot Market Letter. He was inspired by the two
quotes tacked to it. They read: “You can be a winner, if you try.”
And, “No venture can succeed so long as it remains in your mind. Launch
Tim eventually took over editing Cabot Market Letter, but
passed the reins on to Michael Cintolo a few years ago to focus more on the
business aspects of Cabot (he still does a lot of writing though, you’ve likely
seen it here many times). Mike came to Cabot right after his college graduation
more than a decade ago after first reading the Market Letter when his dad
subscribed during Mike’s high school years.
Last year, I interviewed both Tim and Mike, who still
heads up the Letter, and when asked the most important lessons Carlton taught
them, they both responded that it was his focus on optimism. Mike had this to
“Carlton really taught me the value of optimism-we
used to joke that his favorite phrase was “Frequently Wrong … Never in
Doubt!” But seriously, his
optimism was really a confidence in the future, of our country, of our company,
and of the stock market. So I
would say the biggest lesson he taught me was simply the value of staying
positive and realizing that no matter how bad things may seem, there are
brighter days ahead.”
In fact, the first issue of Cabot Market Letter (pictured
here) was titled “It’s Time to be an Optimist.” And it’s a theme that
continues at Cabot today. When asked recently how he feels about Cabot’s 40th
anniversary, Tim responded by saying: “It feels good, but it’s not an
endpoint. It’s just a waypoint on our journey.”
In that journey, Cabot Market Letter has used its
proprietary market timing indicators and growth stock selection criteria to
pick winning stocks. In just the past decade, our subscribers have made big
profits in Amazon, Apple, Crocs, eResearch, Expedia, First Solar, Google, Green
Mountain Coffee Roasters, International Game Technology, Qualcomm, Taser and XM
Satellite Radio and more.
Currently, subscribers have nabbed profits of over 200%
in Baidu (BIDU), which Mike has said is likely the #1 stock of the bull market.
Baidu, first recommended by Cabot Market Letter in July 2009, is China’s
leading Internet search engine. And after Google’s scuffle with the Chinese
government this year, the company has seen its market share-and stock-explode
Mike recently had this to say about the stock:
“After four months of consolidation, Baidu broke out
decisively a couple of weeks ago and soared nearly 20 points in less than two
weeks. But near the end of that advance, the stock gapped up three days in a
row; such action is almost always a sign that a short-term reversal is coming.
(The only real exception is when those gaps occur following earnings reports.)
Sure enough, BIDU gave up about half of those gains in the days that followed.
But we think the stock’s uptrend and the fi rm’s growth are
intact–impressively, estimates call for revenue growth to continue to
accelerate in the third and fourth quarters. A drop all the way back down to
the mid-80s would look abnormal, but right here, BIDU looks like a solid buy as
long as you can hold through expected choppiness in the days ahead.”
To learn more about Baidu and other top stocks featured
in Cabot Market Letter, click here. Don’t forget that our special 40th
anniversary offer expires tomorrow, October 10, at midnight. Subscribe now and
get one year free!
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Your Future Wealth is in China
Our subscribers have earned profits totaling over 680% on
our recommendations in the last year! And that’s just the beginning. Cabot
China & Emerging Markets Report Editor Paul Goodwin says … “These
numbers translate into cumulative profits of 100% … 200% … even 1,000%+ if
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And the best place to discover these high-potential
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In case you didn’t get a chance to read all the issues of
Cabot Wealth Advisory this week and want to catch up on any investing and stock
tips you might have missed, there are links below to each issue.
On Monday, Chloe Lutts discussed how her job editing the
Dick Davis Digests allows her to see investing patterns and trends as they
emerge. She discussed a theme that’s come up frequently, electronic payments,
and a stock that many of the experts she reads have recommended. Featured
stocks: VeriFone (PAY).
On Thursday, Paul Goodwin discussed the important of
keeping it simple and some rules that you can use to keep an even keel during
earnings season. Paul also discussed a Chinese stock for your Watch List.
Featured stock: 51job (JOBS).
Until next time,
Editor of Cabot Wealth Advisory
P.S. If you’ve never visited our Facebook page, or just
haven’t been there in a while, I urge you to check it out. There are some great
photos of our recent trip to Cabot Farm and other office happenings. And while
you’re there, show us some love and “Like” our page!