Stock Expert: Here’s My “Cheat Code” That Turned $35,000 Into $10M In 5 Years!

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**Jack Selby** (0:52)
What was the most you've ever made on a single trade?

**Kevin Xu** (0:55)
I made a million dollars and lost a million dollars in back-to-back days. Like that changes a man.

**Jack Selby** (1:00)
GameStop is back at it again. Shares skyrocketed more than 100% on Wednesday.

**Kevin Xu** (1:05)
I was one of the earliest whales on GameStop. I put in $1.3 million.

**Graham Stephan** (1:10)
How much would you have made?

**Kevin Xu** (1:11)
Oh my God.

**Graham Stephan** (1:14)
So you're known for trading $35,000 into more than $10 million in two years trading stocks. How did you do this when everybody else loses money?

**Kevin Xu** (1:24)
I'm a swing trader. I'm not an investor. I have a couple of rules that are very strict that I follow. No margin. Don't chase the stock.
Figure out the life you want to live and double it.

**Graham Stephan** (1:35)
How do you know you're not going to lose everything?

**Kevin Xu** (1:37)
The main things I'm looking for is a store. Go all in and figure out, do you have an edge?
Concentration makes wealth, diversification keeps it.

**Graham Stephan** (1:46)
So in your opinion, what do you think is the next 10X opportunity from here? Kevin, thank you so much for coming on The Iced Coffee Hour.

**Kevin Xu** (1:58)
Thanks for having me.

**Graham Stephan** (1:59)
So you're known on Twitter and Wall Street Bets for turning $35,000 into $10 million. You posted each trade during the meme stock era. Then once you reached your number, you diversified to lock in the profits. I got to say that's what every single investor dreams of doing.
To be able to achieve that, if you could walk us through your biggest winners and your biggest losers.

**Kevin Xu** (2:20)
Yeah, sure. The first trade was the biggest percent win. I made 2X in a month off APT. The craziest trade was actually RKT, Rocket Mortgages. I made a million dollars and lost a million dollars in back-to-back days.

**Graham Stephan** (2:34)
How does that happen?

**Kevin Xu** (2:35)
It was getting squeezy. This was right after the GameStop thing in January, February, March or something like that. I think they had a high short interest ratio, maybe they were getting a squeeze, so I kind of rolled this wave up 70 percent, and the next day, I kind of lost it all really, really quickly.

**Jack Selby** (2:48)
What percentage of your net worth was that at the time, to gain a million dollars and lose it in two days?

**Kevin Xu** (2:54)
This is 100 percent, I had no other money.

**Jack Selby** (2:56)
But you didn't go down to zero.

**Kevin Xu** (2:57)
No, no, no. Well, my style is I would go all in one single stock at a time. No margin, no options, no crypto. I don't touch anything that could in theory go to zero overnight.
If you're 100 percent invested in a single stock, in a good stock, in a good company, this is legit, the worst is maybe a 20 percent drop on earnings or something like that. That was the medallion I had.
I was working a very stable job at Google, making $300,000 a year. I had this 401k that couldn't touch until I'm 65 Why not just keep yoloing it? I just kept working. I just kept going all in, one stock at a time, one stock at a time, chasing balances, chasing earnings reports. I mean, this was 2020 to 21, right? So like everything went up. I mean, there were definitely some big losses there too. But for the most part, yeah, I just kept doing that all the way to 10 million.

**Graham Stephan** (3:46)
Why do so many people fail to do what you've done?