Paul Andreola and Brandon Mackie
Paul Andreola has one focus in his research: fundamental cash flow and earnings in micro-cap and smallcap companies. His successful track record in getting 100%-1000% returns from his stocks comes from studying financial statement and industry reports, so by the time he talks to management—he knows as much about the company and the industry as they do. Paul has honed his skills from 30 years of varied smallcap experience.He has been the co-founder of two public companies and CEO and director of another—all three in the technology space. He also helped raise the initial funding for each. This experience gives him an important view when he is interviewing management for newsletter stock picks. He knows the pitfalls and mistakes that management teams must avoid. Paul also spent 10 years as a retail stockbroker, again focusing exclusively on smallcaps. He knows the capital structures that work and don’t work in the microcap space. He knows the company, the industry, AND the stock. Paul’s goal is to be first in identifying smallcap growth stocks before they are discovered by the broader market. That involves hours of exhaustive fundamental research, and then drawing on a tight network of experienced and senior contacts. There are no resource stocks in Paul’s portfolio—which is where most of Canada’s smallcap crowd focuses. The Canadian microcap market – especially the non-resource space – is a huge opportunity for investors willing to dig deep and uncover these hidden gems. Paul understands the intricacies of the public markets and the challenges smallcap companies face. He is now funneling all that experience and discipline into a newsletter called Smallcap Discoveries. When he is not scanning quarterly reports, Paul can be found playing with one of his four children. Brandon Mackie – Writer and Researcher BAM Tie ColorBrandon is a passionate microcap investor. He has developed a specific set of criteria for selecting investment ideas. The key attributes include: 1. attractive business models 2. compelling valuations 3. quality management teams He then conducts intensive research—talking to management teams, industry contacts, and other like-minded investors. His philosophy is to know his stocks better than anyone else and build a concentrated portfolio around them. Based in Texas, Brandon spent several years as a project manager and engineer with a multi-national oil company—a place where he could use BSc in Chemical and Biomolecular Engineering. That’s where he developed his technical writing skills. But then he got the investing bug. He started reading articles and books by the gurus of value investing – Warren Buffett and Ben Graham. He was hooked. After following boring large cap stocks for a while, he began channeling all that experience to microcap stocks with cash flow. After being completely self-taught in the investing arena, he couldn’t get enough. He started getting all these ideas about stocks and companies…so he began writing a blog, which he has now rolled into www.smallcapdiscoveries.com. Brandon writes about stocks he likes, but he also writes about process—how he thinks, and he analyzes his mistakes in an honest, raw manner. That’s where a lot of the best information is for retail investors. But picking winners is what Brandon and Paul do.
Articles by Paul Andreola and
POSTED ON May 04, 2015 BY Paul Andreola and Brandon Mackie

Here’s some smallcap statistics we shared with some fellow investors on Twitter: The second stat is eye-popping. Over 60%! There’s a pretty strong correlation here. Subscribers of SCD will know profitability is almost always a requirement for us. It’s one of only two criteria we won’t compromise on. The biggest winners we have seen have… Continue Reading

POSTED ON March 24, 2015 BY Paul Andreola and Brandon Mackie

Corporate profits for US companies—especially small caps—could be set to soar 20% in the first half of 2015. That’s what happens when the CPI—the Consumer Price Index—breaks up and away from the PPI—the Producer Price Index. The chart below (courtesy of Unit Economics in Boston) shows that the Consumer Price Index has only moved slightly… Continue Reading

POSTED ON March 09, 2015 BY Paul Andreola and Brandon Mackie

[Editor’s note, Paul Andreola and Brandon Mackie have teamed up with Keith Schaefer’s group to publish the new Small Cap Discoveries newsletter. This morning Paul and Brandon shared their favourite investing blogs, original link here and reprinted blow with permission] Close that Bloomberg tab, cancel your subscription to Barron’s, and don’t you dare even think… Continue Reading

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