Be Careful Investing in the Fake Meat Megatrend
Investing in a company on the ground floor of a megatrend seems like it should be a winning strategy. Sometimes it is. Buying Amazon during the early days of e-commerce has paid off big, assuming you held on during some brutal price drops.
But it doesn't always work. The automobile was one of the biggest megatrends of the past century, but almost every car company that has ever existed has disappeared, and the survivors have delivered mixed results. Ford's stock price is about even with where it was in 1990, for example.
You have to get the megatrend and the company right, and there's still no guarantee that your investment will work out. If you're unlucky enough to get the megatrend wrong, you're in for a world of pain.
Source Fool.com
