High Conviction Pick of the Week; New Investing Journey Draws Me to Elderberries

I’d like to open this email with a pick of the week. Late Friday, we issued an alert on our premium Twitter feed, stating that we added to our position in one of our favorite stocks after it pulled back. We think it’s ridiculous that the stock has fallen under $1.00. However, we feel that shares will reach new highs after the company reports Q2 results.

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Now, on to my next topic. As a part of my personal investing journey, I have begun to seek out privately-owned companies that may have potential for growth.  My hope is that this journey will be successful so that I can eventually bring these opportunities to GEO. If investing in private companies is something you desire to add to your investing strategy, maybe it will resonate with you.

The company I’m about to tell you about, Rell Brook, began during the Covid-19 pandemic. The brand was created with the purpose of supporting immune systems through all-natural, organic elderberry products, and was founded by a personal friend of mine, Janese Jiles.

“Rell Brook’s products are naturally anti-inflammatory and help to fight common cold, flu, runny noses and post-nasal drip. Elderberry loosens embedded phlegm and helps to clear the respiratory passages by removing mucus from the lungs. This can help minimize allergic reactions that can cause hay fever, stuffiness, and tightness in the chest. It’s also used to reduce sinus pain and contains inflammatory properties that help those with arthritis.”

As I evaluate Rell Brook from an investing perspective I need to consider:

• Janese is working with limited capital
• The beverage industry can be hard to crack
• Janese needs a larger sales force to  scale the business
• Competition already exists in Rell Brook’s niche.
• How are its products different?

On the positive side,  Rell Brook’s products are currently sold in 7 stores throughout  South Florida, a feat she has accomplished on her own with her own limited capital.

As many of you know, Peter Lynch is my investing hero, and I look to his anecdotes often when investment opportunities come along. Lynch found some of his best investment opportunities when he was out with his family, traveling, or talking with friends and associates. As one famous story goes,

“One day his wife excitedly told him how much she liked L’eggs pantyhose, a new product she’d just tried out. After looking into the company’s prospects and liking what he saw, Lynch bought the Hanes Company, maker of L’eggs, and his fund investors realized a 30-fold appreciation in Hanes stock.”

A favorite Lynch quote of mine is, “invest in what you know.” So, I tried Rell Brook’s products and so far, like them! I wanted to see what you thought about the products to help me decide whether I should continue to explore this investment .

What I love about Rell Brook is that Janese has a great story behind how her brand was created. Her great dedication is apparent and she is incredibly passionate about her brand. As you know, these are key characteristics that I look for in management.

After being diagnosed with lupus four years ago, Janese set out to find new ways to support her immune system and discovered elderberries, which she used to create her own lemonade and tea to prevent colds and infections.

Janese has generously offered to send a free sample of her tea to any of our members who are interested, as well as some additional information on Rell Brook. If you’d like to try the tea and find out more, let us know by sending your name and address to [email protected].  If you would like to find out more information online, you can visit www.rellbrook.com and use the code MONEYTALKS for 20% off any order you make.

Thank you and wish me luck! 

~Maj Soueidan

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