An AI-driven stock-picking strategy targeting small-cap companies delivered nearly 6% returns in August, more than double the Russell 1000’s 2.39% gain, as selected holdings posted outsized gains.
The ProPicks AI model, launched in November 2023, has since accumulated a cumulative return of 189.85%, surpassing the S&P 500 by 108.66 percentage points. The strategy is currently offered as part of a promotional subscription priced at under $8 per month, representing a discount of up to 55%.
Among the top performers in August, Mativ Holdings surged 41.47% following a 47.1% earnings-per-share surprise, with revenue reaching $531.8 million and free cash flow rising 24%. Ramaco Resources advanced 40.89%, supported by an 8.3% revenue beat to $144.8 million and a 19% sequential increase in EBITDA, while mining costs remained below $100 per ton.
Peabody Energy gained 29.22% in August, extending a weekly advance of 9.1%, as second-quarter revenue reached $1 billion, a 12.7% year-over-year increase. The stock, trading near $23 per share—approximately 56% of its 52-week high—carries a price-to-book ratio of 0.81, with Wall Street’s consensus target at $34. The company holds $575 million in cash, reduced debt to $335 million, and secured roughly $700 million in federal support under the Defense Production Act. Its Centurion metallurgical mine is expected to return to full production in the second half of 2026, coinciding with an estimated 13% rise in coal-fired power generation driven by demand from AI and data centers.
Haemonetics climbed 26.63% in August, bringing its total gain since selection to 98.61%, supported by first-quarter EPS of $1.14 on revenue of $339.4 million, 8% organic growth in its Plasma segment, and a long-term supply agreement with CSL Plasma.
Inspire Medical Systems rose 21.63% in August, with a weekly gain of 6.4%, after reporting EPS of $0.24 versus a loss of $0.09 expected, on revenue of $211.1 million—a 30% year-over-year increase. The company raised its full-year revenue guidance to a range of $783 million to $795 million. Prior to selection, the stock traded at about 34% of its 52-week high near an entry price of $68. Its fiscal 2025 annual revenue grew approximately 14% to $912 million, EBITDA surged over 50%, and fourth-quarter results beat expectations by more than 140%, with gross margins near 85% and a PEG ratio of 0.07. The total addressable market for its products exceeds $10 billion.
The AI strategy’s outperformance contrasts with broader equity benchmarks, including the S&P Midcap 400, which rose 1.14% in the same period. The model’s track record since inception has drawn attention amid broader market volatility, including Nvidia’s recent recovery from its longest daily losing streak since September 2022.
