| Charles Sizemore
Chief Investment Strategist, The Freeport Society | SPONSORED  Luke just dropped a bombshell on his readers. He said AI could be about to send hundreds of stocks crashing and a few well positioned stocks soaring.
This is the AI story nobody is talking about. | By Luke Lango, Senior Investment Analyst, Hypergrowth Investing All year long, chip stocks like Nvidia (NVDA) have been the hottest AI investments on Wall Street. NVDA itself is already up more than 134% year-to-date – even amid the worst tech selloff since the AI bull market began in early 2023.! But we believe the AI industry is rapidly approaching a critical inflection point. And soon, a different kind of stock will reign supreme. Move aside, chip stocks. It's time for the software stock boom. You see, AI chip stocks were the AI Revolution's "first phase," as the industry's "picks and shovels." But we think that trend has mostly played out. Companies spent billions on a chip buying spree in 2023 and 2024. So, what will they do now? They certainly won't just sit on them. What they will do is create new AI models and applications, which is exactly why software stocks should boom this through the rest of the year and into 2025. Welcome to the Second Phase of the AI Revolution We'll likely see hundreds of new AI software applications emerge over the next 12 months. Those applications will proliferate throughout society. And by the end of 2025, we'll be drowning in AI software. We're already starting to see early signs of this. For example, AI software provider Palantir (PLTR) says that demand for its Artificial Intelligence Platform (AIP) software is very strong. And just this week, Alphabet (GOOGL) reported strengthening growth in its core cloud business due to accelerating demand for its infrastructure and generative AI solutions. The company also reported that its core Search business is benefiting from new features like AI Overviews, which is proving very popular among younger users. What's more, management mentioned AI about 100 times on the quarterly conference call, with CEO Sundar Pichai emphasizing that currently, the risk of Alphabet underinvesting in AI is far bigger than the risk of overinvesting. Our takeaway? One of the world's largest tech companies is going all-in with AI – and has no intention of slowing down anytime soon. It seems pretty clear to us that the AI software boom is kicking off. We think this boom will give rise to some huge stock winners. After all, the dot-com boom – which we view as a great parallel for the AI boom – also played out in two phases: an infrastructure boom followed by a software boom. The infrastructure boom occurred throughout the 1990s, as the telecom infrastructure necessary to power the internet was built out. Internet hardware stocks like Qualcomm (QCOM) and Cisco (CSCO) soared during this era. This was followed by the software boom of the 2000s and 2010s. Internet applications and services were built atop the infrastructure that was established in the 1990s. And during this era, internet software stocks like Amazon (AMZN), Netflix (NFLX), and Microsoft (MSFT) soared. The Final Word A year ago, I teamed up with fellow Freeport Society friends Louis Navellier and Eric Fry to talk about how AI would impact every aspect of the economy and markets. Fast-forward to today, and everything we've predicted is playing out. Although AI continues to dominate the financial news and stock market, millions of investors remain in the dark about a new AI breakthrough. New research shows thousands of stocks could soon be impacted by this new breakthrough… This transition presents us with a unique investment opportunity — one that's about to send shockwaves through the stock market. And we want to make sure you know about it. That's why I teamed up with Louis and Eric again recently to discuss this crucial shift where AI software stocks will outperform chipmakers and developers. You can watch this discussion here… but be warned. My publisher will be pulling this video down soon. During our time together, we explore the immediate steps you can take to protect yourself from impending destruction while potentially multiplying your investment tenfold as the AI Revolution enters "Phase 2." Watch the replay now… and get ready! Talk again soon, | 
No comments:
Post a Comment