Want to know how to find ten-baggers?

Not guess. Actually find stocks that have the potential to 10x in value.

One of the best tools I use is the “ten-bagger” stock screener.

I ran it yesterday across the S&P 500.

Out of 500 stocks, only six made the cut.

And out of the six, only one piqued my interest.

Here are the rules for the 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.

I didn’t make these parameters up myself.

Peter Lynch built one of the greatest track records in investing history using this exact stock screener.

Over his 13 years managing Fidelity’s Magellan Fund, he turned every $10,000 invested into more than $280,000.

When I ran this screener yesterday, I was shocked to find six companies in the S&P 500 met these specifications.

• Coterra Energy and Expand Energy are both energy companies benefiting from strong commodity pricing and disciplined capital allocation.

• Everest Group is an insurance and reinsurance business. Not exciting on the surface, but these companies can quietly compound capital at high rates when underwriting is strong.

• First Solar is one of the few U.S.-based solar manufacturers. With global demand for energy rising and supply chains shifting back to the U.S., it sits in a very favorable position.

• Micron Technology is a memory chip producer. This is a cyclical business, but demand is currently off the charts due to AI, data centers, and cloud infrastructure buildouts.

• Newmont Corporation is the world’s largest gold producer. It offers leverage to gold prices while still meeting the screen’s requirements for profitability and valuation.

Micron is the stock that really caught my eye.

It’s shown up recently in a few screeners I’ve run.

• Demand for its memory chips is off the charts.

• Supply is likely constrained until 2028.

• Earnings estimates for the company have doubled in the last 30 days.

• The stock trades at just 4 times forward earnings.

• The company is retiring debt to solidify its balance sheet.

I’m watching Micron closely for a possible addition to my Million Mission portfolio.

The stock is at an important level as I write. The next few days will be important.

Could this stock be the next ten-bagger spotted by Lynch’s screener?

It could. Although it’s unlikely given it’s already a $425 billion company.

But I don’t see why this stock couldn’t double again over the next few months.

At 4x forward earnings, growing fast, and while retiring debt?

There’s a trade to be made here.

Thanks, Mr. Lynch.