To make money, you need to follow the money.
Not Bob next door’s money and the hot stock tip he likes to give you over the backyard fence.
I mean the Big Money – Wall Street – institutions and funds that invest sums equal to the annual economic output of entire nations.
That’s what really moves stock prices.
The big secret on Wall Street is that upward of 70% of the money flowing in and out of stocks comes from these deep-pocketed investors.
To reliably make money as an investor, all you have to do is wait for a large institution to start pouring millions – or even billions – of dollars into a stock and ride that trade higher.
Of course, you need a reliable way of tracking when a Wall Street whale makes their move.
But imagine being able to see where Wall Street money is flowing in real time instead of reading about it weeks later or waiting for quarterly filings.
That’s what my Quantum Edge system does. It spots these massive trades as they’re happening so you can ride them higher.
Legally, I might add.
I’m not tapping insider information, hacking into systems, or anything else like that. I spent nearly 12 years on Wall Street – including 11 years at financial services firm Cantor Fitzgerald – executing these massive institutional trades, and I created proprietary algorithms that sniff them out.
I was one of the few people on Wall Street who executed trades for clients worth $1 billion and up. I know how to pick up on the “footprints” of folks like me who are making these big trades.
So today, let’s look at a stock that my Quantum Edge system is flagging as the recipient of Big Money flows.
To be honest, I wasn’t all that familiar with this stock when it started showing up in my data late last year. But that’s not the first time the system alerted me to a lesser-known stock poised to run higher.
Over the years, my system has flagged relatively unknown stocks that have gone on to climb 437%… 723%… and even more than 3,000%.
And this stock is doing some interesting things with AI – which is likely what’s making it so popular on Wall Street right now.
So let’s dive in…
Wall Street Loves This AI Adopter
The company my system has flagged is Sportradar (SRAD).
And it turns out to be a fascinating company at the intersection of sports, technology, and betting – three massive industries.
Sportradar has one of the largest sports data networks in the world. It provides real-time stats and betting odds to the biggest leagues and betting operators in the world.
Its clients fall into three categories…
- Sports leagues and federations, such as the NBA, NHL, and MLB
- Media companies such as ESPN, Yahoo Sports, Google, and Apple
- Sports betting operators such as DraftKings, FanDuel, and Caesars Sportsbook
Sportradar is also an AI adopter – the kind of company Big Money is looking for right now. The company is using AI to help sportsbooks and sports teams with insights, simulations, and performance analytics.
For instance, instead of sending human scouts to log plays, it’s training computer vision models to watch games via video feeds and generate live stats in real time.
It’s also using machine learning to set live odds dynamically during games. The AI ingests betting flows, player performance data, and historical stats to adjust odds second by second. This makes Sportradar more valuable to sportsbooks because it reduces their risk.
The company is even using AI to flag suspicious betting patterns that indicate potential match-fixing. This is a big deal for regulators and leagues – and gives Sportradar a wide “moat.”
That’s one reason Big Money has been piling in over the past 12 months. You can see that in the 35 green bars on the chart below.
Each shows a day where an unusually big amount of money flowed into Sportradar’s stock.
You can also see how much those signals powered shares higher. That’s a classic accumulation pattern – Big Money investors have been quietly buying up shares over time.
My system also registers unusually large selling of shares, which is visualized with a red line. Notice there are zero red lines on that chart. We can see Big Money bought and did not dump shares, even in the market-wide wipeout in early April.
Zooming in on the World’s Best Stocks
Seeing Big Money flowing into a stock is almost always a great sign.
But if you’ve invested for any length of time, you know that money also flows into bad stocks. Or hyped stocks. Or fad stocks.
We don’t want those.
As important as institutional money flows are, they’re not the only factor to consider. The best investments with the highest probability of success are the high-quality companies scooped up by Big Money.
That’s why my Quantum Edge system also uses proprietary quantitative analysis not only to track inflows and outflows, but also to grade the stocks experiencing these unusually large money flows.
The system produces what I call the Quantum Score. It gives us a quick read on how healthy a stock is based on different fundamental and technical indicators.
Sportradar has stellar grades to go along with impressive inflows.
SRAD’s 95.5 Quantum Score is nearly as good as it gets. It is supported by an equally outstanding fundamental rating (95.7) and technical rating (95.4).
The fundamental analysis looks at earnings and sales growth, debt, valuation, and more. The technicals include indicators such as relative strength (a measure of how a stock is performing compared to the overall market), moving averages trendlines, closeness to recent highs, and more.
Sportradar shows the classic twofer of winning stocks – Big Money flowing in and high quant ratings. It’s exactly the type of stock that led the Quantum Edge system to outperform the S&P 500 by more than 5- 1 since 1990, according to TradeSmith’s back tests.
I don’t like SRAD because I have a soft spot for data, although I am a complete data nerd. I like SRAD because of the data – the quant ratings and money flows. I recommended it in January to my Quantum Edge Pro subscribers, and we’re up 62% since then.
And the Big Money flows my system is picking up on indicate more gains to come.
Talk soon,
Jason Bodner
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Source: TradeSmith