Want to know how to find ten-baggers?

Not guess. Not chase whatever’s trending online.

Actually find stocks with the potential to 10X.

Most investors think that kind of return comes from luck.

It doesn’t.

It comes from narrowing the field… and then knowing exactly what to look for.

One of the best tools I use to do this is something called a stock screener.

A stock screener is exactly what it sounds like.

Instead of manually digging through thousands of stocks, you set specific criteria and “screen” stocks based on the criteria you choose.

Think of it like searching for a house.

You don’t look at every home in the country.

You filter by price, location, size, number of bedrooms.

A stock screener works the same way.

You can filter by valuation, growth, profitability, balance sheet strength, and more.

Out of thousands of companies, you’re left with a small list that actually fits what you’re looking for.

And if your criteria are good… that list can be incredibly powerful.

Which brings me to one of the most famous screeners ever created.

The “Ten-Bagger” Screener

The term “ten-bagger” was popularized by Wall Street legend Peter Lynch.

It simply means a stock that goes up 10X.

Lynch’s knack for identifying ten-baggers played a major role in him turning every $10,000 invested into more than $280,000 during his time managing Fidelity’s Magellan Fund.

But Lynch didn’t rely on guesswork to find them.

He utilized a special stock screener to narrow his focus.

Here are the exact filters of Peter Lynch’s “Ten-Bagger” Screener:

1. Trailing P/E under 25 – You don’t want to overpay for current earnings.

2. Forward P/E under 15 – The future valuation should look even cheaper as the company grows.

3. Debt-to-equity under 35% – Lower debt reduces risk if the business hits a rough patch.

4. EPS growth above 15% – This is the engine. Without strong earnings growth, you don’t get big winners.

5. PEG ratio under 2 – You want growth at a reasonable price.

6. Market cap above $5 billion – Big enough to be proven, but still small enough to grow.

These filters are simple.

But when you apply them together, something interesting happens.

98% of stocks disappear.

Only 10 Out of 500 Stocks Make the Cut

I ran this screener across the S&P 500 using Finviz.com – my favorite free website to screen great investments.

Out of 500 companies…

Only 10 passed.

That alone should tell you how rare this setup is.

Here’s what showed up:

• Micron (MU), Sandisk (SNDK), and Western Digital (WDC) are all benefiting from the AI-driven memory and data storage boom.

• Chevron (CVX) is an oil and gas giant with strong cash flow and a reasonable valuation.

• EQT Corp. (EQT) and Expand Energy (EXE) are major natural gas producers benefiting from growing electricity demand, AI data centers, and LNG exports.

• First Solar (FSLR) is America’s largest solar manufacturer and another beneficiary of rapidly rising U.S. electricity demand.

• Newmont (NEM) is the world’s largest gold producer, giving investors leveraged exposure to higher gold prices.

• Nucor (NUE) is America’s largest steel producer and stands to benefit from increased spending on data centers, factories, and power infrastructure.

• Regeneron (REGN) is a highly profitable biotech company with blockbuster drugs and a deep pipeline of potential future treatments.

Which Stocks Are Ten-Baggers?

Let’s be realistic here.

Not all of these stocks have ten-bagger potential.

I’m ruling out Chevron, EQT, Expand Energy, Nucor, and Newmont.

These are already large, mature businesses operating in industries where growth is heavily tied to commodity prices and economic cycles.

I can certainly see these companies being good investments. I just don’t see a realistic path to 10X from here.

The three memory and storage stocks immediately jump out to me – Micron, Sandisk, and Western Digital.

AI is creating enormous demand for memory and storage, and we’re still in the early stages of the data center buildout.

Micron is already a $1.2 trillion company, so another 10X would be extremely difficult.

That would put it around twice the size of the world’s current largest company – Nvidia.

But Sandisk and Western Digital are considerably smaller.

If the AI storage boom continues, I can at least see a path toward much larger valuations.

First Solar is interesting for a similar reason. America needs significantly more electricity, and solar will almost certainly be part of the solution.

First Solar also has the advantage of being one of the few major U.S.-based manufacturers.

And then there’s Regeneron.

Biotech is one of the few industries where a single breakthrough product can completely change a company’s growth trajectory.

And Regeneron already has a highly profitable business and a deep pipeline of potential new drugs.

Will all of these become ten-baggers?

Almost certainly not.

But if you asked me which stocks in the S&P 500 had the best chance?

I’d point to these with their rare combinations of growth, valuation, and enough runway to produce truly outsized returns.

You can run this screen yourself on the “Screener” tab of Finviz.com.

It’s free and was good enough for one of the best investors of all time to use.

We should use it ourselves.