Neil's Top 40
This strategy is a selection of our current favourite stocks from across the other strategies highlighted on W4.0.
- 1 month
- +21.9%
- 1 year
- +80.1%
- All-time
- +110.3%
Follow Neil's Top 40 with full transparency into every holding.
The Thesis
The underlying rationale for this strategy is simply to select the stocks with the greatest potential upside from the list of favoured strategies already highlighted on in other W4.0 strategies. This strategy is focused on attractive total return with an emphasis on capital appreciation. The blend of stocks covers many different industries from semiconductors to retail banking, and multiple geographies including China, the US, Germany, France, the Netherlands, Taiwan, Korea and the UK.
The Strategy
There is no preconceived asset allocation to sector, industry, or geography in this strategy.
Strategy performance
Since inception (Apr 2025)
Past performance is not a reliable indicator of future results. The value of investments and any income from them can go down as well as up. Returns shown are illustrative and based on historical data.
Spotlight
Why we picked Micron Technology
Micron, a globally leading semiconductor company founded in Idaho in 1978, designs, develops, manufactures and sells computer memory and data storage products, including DRAM, NAND flash memory, HBM chips and solid-state drives. Its products are used across a wide range of applications in AI, 5G, data centres, edge computing and consumer devices in industries as diverse as healthcare, automotive and mobile communications. Micron is a global technology business with manufacturing sites across the US, Japan, Taiwan, China, Malaysia, and Singapore. It employs over 50,000 people. The business is listed on NASDAQ and has a market value of US$105bn. Its forecast revenues for the year ending August 2025 of US$32.3bn are significantly higher than the cyclically depressed two previous years in which memory chip pricing was especially weak. This cyclical recovery is forecast to gain strength over the next three years, during which consensus forecasts show Micron’s earnings per share will nearly double from 2025 levels. Its balance sheet is strong, with less than US$6 billion in debt and less than half of the forecast EBITDA in 2025. The stock trades on a PE to August 2025 of 13.5x, which falls over the next three years to less than 7x consensus earnings in 2028.
The investment case
Although the memory market is notoriously cyclical, after a very difficult two years, the industry is now recovering as strong demand drivers led by AI investment, the global shift to EVs and a less challenging consumer electronics environment play out. I believe these factors will help Micron’s share price to recover after a disappointing last four years in which, around some volatility, the price has traded sideways. If, as I suspect, the price can recover the ground lost since the second quarter of 2024, when it peaked at over US$153 per share, this will deliver an attractive total return of more than 60%.
Strategy DNA
Composition at a glance
Holdings
The Companies
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