Joel Litman, a professional trader, and investment analyst released a presentation called Alpha Profit Code.
It concerns a forensic system that he believes has uncovered one of the greatest wealth transfers in modern history and he says that he has found stocks to play this new $12 trillion trend.
In this article, I give you an overview of what the Alpha Profit Code is all about and the stocks that Joel is teasing.
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What is Alpha Profit Code?
In the Alpha Profit Code presentation, Joel Litman was focusing on “the complete disruption of a $12 trillion industry” that he says is arguably the most critical industry on the planet.
He is referring to the healthcare industry.
Litman believes that we have a situation that may create one of the most extreme wealth transfers in the history of the modern world and for the companies involved, it could mean billions of dollars in pure profit.
As an investor, he says that you can make a series of 250%… 500%… even 1,000% gains in less time than you think.
He says that he knows all this because his trading system, Alpha Profit Code, revealed it to him.
This system allows him to take a scientific approach to the market. He doesn’t just take company reports, numbers, or press releases at face value and for this, he is often going against mainstream advice.
The Alpha Profit Code has identified five stocks associated with the healthcare industry with the potential to be massive winners.
How the Alpha Profit Code Works
Alpha is a term used in the investment world to describe a measure of the performance of an investment. It is the excess return of the investment relative to the benchmark. It gauges a strategy’s ability to beat the market.
Joel Litman says that his trading system is designed to beat the market and make alpha.
How does it achieve this?
When Joel Litman is reading the financial disclosures of a company, he does not just internalize the numbers at face value because he believes that discrepancies are lingering below the surface.
He says that Wall Street brokers and so-called “media experts” make the mistake of looking at the numbers at face value and they miss out on these discrepancies.
Joel believes that in finding those discrepancies, he will find the stocks that are primed to go on massive runs.
So far, he has identified over 130 flaws and discrepancies in the general accounting standards used to keep the books of most American corporations.
Therefore, when you apply his scientific approach and correct these 130 flaws, the outlook of a stock can change drastically.
Joel and his team analyze 25,000+ stocks per week. When they screen the stocks, they adjust the numbers based on their forensic analysis. They correct the financial reports to account for all 130 general accounting flaws.
After that, they locate the stocks that are highly undervalued – or overvalued – by the market because of these accounting flaws because his numbers reveal the true picture.
With a clearer picture of what Joel believes is the true financial state of these companies, he narrows down his list to anywhere from 30 to 200 stocks (out of the thousands on the stock market).
Next, he takes a closer look at company operations, who’s running the company, what their long-term strategies are, and what industries are critical to their growth.
This allows him to narrow down the list even further.
He takes it a step further and analyzes quarterly earnings calls by the CEOs using an electro-audiogram (EAG). It analyzes the CEO’s pitch and voice patterns and Litman says that it’s like putting every CEO through a sophisticated lie-detector test.
His system has nine different speech markers it uses to gauge whether the speaker believes what he’s saying. If the speaker is hiding something, the system will catch it. It can also pick up on hidden excitement.
Having walked you through that, the Alpha Profit Code sounds a lot like another system Joel Litman has talked about in the past called the L.O.C.K. System. You should check out the full review of that system (which I’ve linked to) to catch those similarities.
Investment Opportunities from the Alpha Profit Code
Joel says that the healthcare system in the US is broken because people pay a lot of money for the services (more than most other countries). This means that there is an opening for companies that are going to improve the situation.
He has identified five such companies that he thinks could make for good investments.
Joel Litman says that technological advancements in the healthcare industry have been impressive.
Now he claims that the digitization of the industry has made data more important because, without large amounts of accurate data, complex medical devices either won’t work at all or will be ineffective.
Therefore, he thinks that the companies that supply the data stand to be the biggest winners out of this revolution.
The first stock on Joel Litman’s list is CVS Health – the retail pharmacy company with nearly 10,000 stores across the United States. Its ticker symbol is “CVS.”
Joel says that CVS has been positioning itself behind the scenes to become the biggest health care data company in the world within the next few years.
He says that he wouldn’t be surprised if the value of CVS shares doubled within the next 12 months.
Stock #2: The Data King’s Billion-Dollar Bet
The second company on Joel’s radar has invested $1 billion in data.
Joel describes this company,
“They’ve been providing electronic medical records for the past decade, with 3 million health care providers using their systems each day.
In all, this company has data on nearly 250 million patients worldwide.
So as more and more hospitals and doctors understand the importance of gathering data and dive headfirst into the seismic $12 trillion revolution we’re witnessing…
This company could be an absolute moonshot.
In fact, over the past six months, the company has already started rewarding investors handsomely.”
Details regarding this company are in a special report called The Data King’s Billion Dollar Bet.
Stock #3: One Stock to Rule the $657 Billion Healthtech Industry.
With all that data, the next important thing to do is process it to get useful information.
This third company does that. It applies advanced analytics to optimize data.
Joel Litman tells us that right now, they manage 498 million records and they just agreed to a $925 million deal with two other companies that could help bring their technology to an entirely new level.
Joel has written a report called One Stock to Rule the $657 Billion Healthtech Industry where he explains why he believes this stock could at least double in the coming months.
Stock #4: The Future of Medicine and the End of Cancer
Joel Litman says that with all the data being collected in hospitals, one of the most powerful things coming to the market will be personalized health care – with it, treatments will be tailored to an individual’s genetic profile.
He has identified one company that is working on such solutions. Here is what he says about it,
“They just pulled in $1 billion in a single quarter this year, driven by insane demand for their gene sequencing tech for everything from diagnosing rare diseases to tracking the spread of the coronavirus.
Even with this incredible success, they’re still growing.
They’re currently on the verge of an unprecedented technology that can detect early signs of 50 types of cancer by analyzing DNA.”
Details regarding this company are in a special report called The Future of Medicine and the End of Cancer.
Stock #5: The Great Hospital Shakeups
The fifth company is working on ways to make hospitals more efficient.
He says that with the current wait times, people take too long to be served.
This company is taking data from its 185 hospitals and 2,000+ sites of care across the United States where they treat over 32 million patients every year and using it to improve the patient experience.
On top of that, they are sharing their findings with the health care community as a whole (along with government agencies) to improve care worldwide. Details about the company are in a special report called The Great Hospital Shakeups.
If you want to get a copy of all four reports for free, you have to sign up for Joel’s stock advisory service, Hidden Alpha.
Who is Joel Litman?
Joel Litman is the founder of Altimetry, a boutique investment research firm that gives investment advice to retail investors. At Altimetry, Joel edits Hidden Alpha and other research services.
Mr. Litman is the Chief Investment Strategist of Valens Securities, Inc. and Valens Research, which provide institutional investors with research solutions. He is on the board of an Asian brokerage firm called COL Financial Group too.
Joel specializes in equities, macroeconomic strategy, and corporate credit.
He graduated from Waterville High School and got his BS degree in accounting from DePaul University. He has an MBA degree from the Kellogg School of Management. Joel is a CPA and a member of the CFA Institute.
He has taught or guest lectured at several universities, including Wharton, University of Chicago Booth, and Harvard Business School.
His work has been featured on Forbes, Seeking Alpha, Barron’s, the Harvard Business Review, and CNBC.
Hidden Alpha Review
Joel Litman’s Hidden Alpha is one of the more popular investment newsletters offered by Altimetry.
When you sign up for it, you get:
- 12 issues of the Hidden Alpha newsletter. Joel Litman will send you a new report with a brand-new way to profit on the first Monday of every month.
- Access to Joel Litman’s archived research reports and recommendations.
You get the aforementioned special reports for free with the four companies Joel teased in the pitch.
Hidden Alpha Pricing
Hidden Alpha costs $49 for one year if you sign up through the link at the end of the presentation.
However, you will only pay $49 for your first year according to the fine print at the bottom of the order page that reads:
“Hidden Alpha will automatically renew on an annual basis until you properly cancel. Upon renewal for your Hidden Alpha, Altimetry will charge $199 (plus applicable taxes) to your credit card or other means of payment which we will retain on file”
If you don’t want to keep paying that, you can cancel your membership before the subscription renews.
The Hidden Alpha Refund Policy
Hidden Alpha has a 60-day money-back guarantee.
You should re-read the terms of this refund policy in the terms and conditions before you sign up because they may have changed the terms by the time you sign up for the newsletter.
Closing Remarks on Alpha Profit Code
Joel Litman’s premise in this presentation is that hospitals are digitizing thus generating a lot of data. He believes that the companies that solve the big data problem in the healthcare industry will be great investments.
He has a trading system called the Alpha Profit Code that has spotted five stocks to invest in within this space. One of these stocks is CVS.
To get more insights from the Alpha Profit Code, you have to sign up for Joel Litman’s Hidden Alpha newsletter.
Before you go…
Want to see my no.1 recommendation for making money online?
This made us 6-figures in the last 3 months: