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The Federal Reserve finally pulled the trigger today, delivering the widely expected quarter-point cut in interest rates.

That lowers the target range for the federal funds rate from 4.25%-4.50% to 4.00%-4.25%.

It’s the first cut of 2025 and the clearest sign yet that the Fed is shifting to a new phase of gradual easing.

On its own, the cut was no surprise. Markets had been pricing in the move for months. Investors really cared about three other things:

• The message behind the cut
• The updated dot plot for future cuts and the Fed’s economic projections
• And Federal Reserve Chairman Jerome Powell’s tone in the post-meeting press conference.

Beginning with the message behind the cut, Powell himself called today a “risk management cut.”

While acknowledging that inflation has climbed modestly in recent reports, Powell suggested the balance of risks has begun to tilt more toward protecting jobs than toward fighting inflation.

That language was echoed in the official FOMC statement:

The Committee is attentive to the risks to both sides of its dual mandate and judges that downside risks to employment have risen.

Eleven of 12 Fed voters supported the quarter-point cut. The newest Fed governor, Stephen Miran, was the lone dissenter, voting for a half-point cut.

Turning to the dot plot – the Fed’s chart of each official’s view of where rates will be – the median projection now suggests roughly two more quarter-point cuts by the end of the year.

But the big story is how inconsistent the rate-cut forecasts were.

For this, let’s go to legendary investor �������°� and his Special Market Update in Growth Investor:

The disappointing thing is the dot plot was really all over the place.

Six members said they didn’t want to cut. One member said they shouldn’t have cut today – so that was a super hawk. And then two members said there should be one additional rate cut this year.

So, the hawks are in charge. So, treasury bond yields have firmed up and the dollar has also firmed up because of high rates – so the Fed is worried about unemployment but they’re not doing a lot about it.

Alongside the dots came new economic projections.

Here’s Yahoo! Finance with specifics:

Inflation is now seen rising 3.1%, the same as the previous estimate, while GDP was upgraded to 1.6% versus a 1.4% prediction made in June.

The unemployment rate is seen ticking up to 4.5% compared with the same estimate in June. The unemployment rate currently stands at 4.3%.

He acknowledged that inflation is still running above target and has ticked higher in recent months, but he put more emphasis on the cooling labor market and rising unemployment risks.

Overall, he presented a mostly balanced tone. While the cut itself was dovish, and the dot plot was mildly hawkish (relative to what bulls had wanted), Powell’s tone largely threaded the needle, though the edge goes to “dovish” because we’re now cutting rates again.

Here are select quotes or paraphrases from Powell during his press conference:

• He anticipates the effects of inflation on goods prices “to continue to build” into 2026
• That said, he also noted “The case for there being a persistent inflation outbreak is less”
• Tariffs have mostly been absorbed by companies in the supply chain, so consumers haven’t seen major price increases yet – but companies are expected to raise prices
• “The labor market is softening, and we don’t need it to soften anymore (and) don’t want it to”
• Powell said today brings a “very different picture” of labor market risks, noting it is “really cooling off”
• �������°� the varied dot plot, Powell said “not surprising to me you have a range of views”
• Looking forward, Powell said “There is no risk-free path… It is quite a difficult situation for policymakers.”

Stocks were mixed in the wake of the news with the Dow up about 0.50%, the S&P flat, and the Nasdaq down modestly.

To Louis’ point, the 10-year Treasury yield climbed to 4.076%, and the dollar edged up about 0.3%.

Overall, it’s a muted response that seems to reflect a market that isn’t quite sure what to do given the variance in the dot plot.

This puts more weight on the incoming data…

The next CPI and PCE prints will be make-or-break for the market’s bullish case. If inflation keeps moving higher, Powell’s new job-protecting tilt could run into trouble.

But if inflation comes down – or just remains steady – while jobs show only measured deterioration, the Fed will likely deliver the additional cuts sketched in the dot plot.

Of course, the drama surrounding President Trump’s tariffs and how the Supreme Court will rule about their legality is not yet resolved. But we cannot predict that outcome today.

Let’s return to his Special Market Update:

Here’s the problem folks – everybody’s discounting homes. There are layoffs in the construction industry in the last four months. So, this is part of the unemployment problem.

So, cut rates, get everybody buying homes again, and fix this part of the economy.

But they’re not doing that. They are ostriches with their head in the sand, and they are oblivious to what’s going on.

Housing is a topic that deserves a deeper dive than we have room for in today’s Digest, so we’ll circle back in the coming days for more.

For now, here’s Louis’ bottom line:

It is what it is – we have a hawkish Fed. And the Fed is basically an ostrich.

I am very disappointed in the FOMC dot plot.

But I think as unemployment continues to sputter, they’ll continue to cut. And they should cut at least three more times in my opinion.

While today marks the start of a new cutting cycle, the market didn’t exactly usher it in with trumpets and fanfare. Instead, it feels more like a conditional cycle – only if the data cooperate.

For investors, yes, the near-term backdrop is supportive – cheaper borrowing costs and an intention by the Fed to cushion the labor market – but to Louis’ point, the overall feel of today’s rate-cut wasn’t as dovish as many had hoped it would be.

We’ll report back with the perspectives of our other analysts later this week.

Have a good evening,

Jeff Remsburg

The post The Fed Delivers – and Still Disappoints appeared first on InvestorPlace.

In 1972, the legendary folk singer Joni Mitchell wrote a song that conveyed a yearning for simple, yet tangible, expressions of love and passion.

The song, “Lesson in Survival,” celebrated innately human experiences, like “quiet times by a river flowing”… “looking way out at the ocean”… and “fresh salmon frying and the tide rolling in.”

Mitchell’s soulful sentiments have never felt more relevant.

The more that artificial intelligence infiltrates our daily lives, the more we will crave uniquely human activities and increasingly safeguard and relish the nondigital aspects of our experience.

That is Lesson in Survival No. 1 in the Age of AI: Prioritizing the human experience.

But this observation does not only relate to lifestyle trends and priorities. It also relates to investment trends and priorities – and it’s a factor that investors should weigh when evaluating stocks.

Because of the inevitable human urge for connection, many of the industries that provide innately human services and experiences will thrive in the AI era. These future-proof, non-tech companies belong in my “AI Survivors” investment category.

And they are bolstered by a potentially unlikely source… Generation Z.

Gen Z is proving to be a significant force in the marketplace, and these “youngsters” are craving tangible, real-life experiences.

Just like Mitchell’s “tide rolling in,” Gen Z’s rising, nondigital tide will lift AI Survivor boats, including those in retail and other non-tech industries.

So, in today’s Smart Money, I’ll detail why this generational shift toward authentic, hands-on experiences should be heavily considered in our current AI age…

And I’ll share how you can access a company that is perfectly positioned to profit from this “return to real-life.”

Let’s jump in…

The Future Is Secondhand

Gen Z’s increasing appreciation of “real” experiences is largely evident in a pastime of the 1960s and ’70s, made popular again…

“Thrifting.”

Thrift shopping has become the new-new thing among Gen Z consumers. They have embraced thrifting because it is affordable, unique, and sustainable. Capital One Shopping reports that 83% of Gen Z have purchased or are interested in purchasing secondhand. One-third say that they “always” shop secondhand.

Gen Z did not invent thrift stores, of course, but it has anointed them with cultural cachet. Four main forces explain this phenomenon…

1. Affordability in an Age of Strain

Gen Z came of age in the shadow of the Great Recession, entered adulthood during a pandemic, and now faces inflation eating into paychecks. For this generation, secondhand isn’t just quirky – it’s rational.

2. Individuality in a Commoditized Culture

Fast fashion thrives on sameness: racks of identical blouses, TikTok-driven microtrends, copycats at every mall. Gen Z, with its obsession for self-expression, is rejecting that paradigm.Thrift shopping offers uniqueness, and there’s a thrill in the hunt.

3. Sustainability as a Social Compass

Gen Z knows the statistics: The fashion industry accounts for 10% of global carbon emissions, produces 92 million tons of textile waste annually, and guzzles water in quantities that strain rivers.Shopping secondhand is climate action you can hold in your hands — and post on Instagram.

4. The “Experience” Economy

Of Gen Z and millennial shoppers, 39% have made a purchase on a social commerce platform like TikTok in the past 12 months, a surge that has also come with increased foot traffic for in-person stores like the Salvation Army and Goodwill. In fact, Goodwill recently announced that the number of shoppers at its thrift stores has reached all-time highs.

So, even as Gen Z lives digitally, they still value physical experiences. Thrifting is tactile. The rummage through racks, the surprise of discovery, the community of local shops – all feed the craving for real-world encounters.

Older generations often saw thrift stores through a lens of necessity: places to go when you couldn’t afford better. Gen Z has flipped the script. Thrift is no longer a shame; it’s swagger.

This movement is one of the reasons why I just recommended a thrift-oriented, AI Survivor retailer to my Fry’s Investment Report subscribers.

Screen-based or store-based, thrifting is always experience-based. That’s why I believe this unusual retailer will survive the AI age, along with its excellent growth potential.

As a bonus, the company is largely immune to the impact of tariffs. Because it sources nearly all the products it sells from inside the U.S., it does not deal with the complex tariff regimes that hobble most clothing retailers.

You can click here to learn how to access all of the details about this overlooked retailer.

Not only is AI transforming everything around us, but its pace is only accelerating. Gen Z’s fierce attachment and hunger for the real and tangible is proof enough.

And those who recognize this shift are the ones positioned to profit.

But one stock isn’t enough. At Fry’s Investment Report, I’ve assembled a comprehensive list of holdings designed to protect and grow your wealth across every corner of the AI landscape.

Whether it’s a retail play, a cutting-edge robotics firm, a coffee shop, an energy company, or a chipmaker, my portfolio serves as a playbook for thriving in the inevitable AI transformation.

Click here to learn more.

Regards,

�������°�

The post Why You Should Adopt This Gen Z Mindset While Investing appeared first on InvestorPlace.

At that time – in the early 1950s – the average home price was around $8,000, while average household income was about $4,000 per year. In other words, the price-to-income ratio back then was about 2:1 – far and away from today’s reality, estimated between four- and 5X income.

By almost every measure, affordability is at all-time lows…

Unfortunately, supply is stuck near record lows as well. As of July 2025, America’s housing shortage has grown to an all-time high of 4.7 million units, according to research from Zillow.

Younger people can’t afford to buy. Older homeowners aren’t selling. New construction hasn’t kept up with demand. The result? The worst housing crisis in modern U.S. history. 

But the White House may be gearing up to do something about it.

Treasury Secretary Scott Bessent recently hinted that the administration could declare a National Housing Emergency this fall. He didn’t share details, but make no mistake: Washington has plenty of levers it could pull to reset this market. 

We’re talking tariff and material-cost relief, incentives and grants for first-time buyers, down-payment assistance, streamlined permitting, changes in housing finance, even the use of federal land for new development.

If that happens, the market will thaw; and housing stocks should fly… 

Meaning this is a prime time to start accumulating housing-related names.

How the Housing Crisis Reached a Breaking Point

To understand why a policy shock could matter so much, you need to understand just how broken things are.

Over the past four decades, the U.S. housing market was defined by one structural tailwind: falling mortgage rates. From the early 1980s until the early 2020s, 30-year mortgage rates trended down, enabling buyers to afford higher home prices while keeping monthly payments manageable.

That all changed in 2022.

Between early 2022 and late 2023, mortgage rates spiked from 3% to 8%. That’s a 500-basis-point move – the steepest increase on record, with data going back to 1990. And rates haven’t really come down since. The average 30-year mortgage has hovered around 7% for two years now.

The impact on demand has been devastating. Zillow data shows that U.S. households are now spending an average of more than 35% of their yearly income on mortgage payments for a new home, compared to less than 25% just a few years ago. 

Anything above 30% is considered “unaffordable.” Bloomberg estimates that you need nearly $120,000 in annual income to afford the average home today. But the median U.S. household income? �������°� $80,000. That math simply doesn’t work.

Of course, high rates didn’t just destroy demand. They froze supply, too.

Anyone who bought a home in the last 25 years almost certainly locked in a mortgage rate well below today’s market. Unsurprisingly, casual sellers have vanished. Why would you trade a 3% loan for a 7% one? The only people putting homes on the market are those who have to move. On top of that, elevated borrowing costs have made building new homes more expensive, choking off fresh supply.

So, here we are: low demand, low supply, sticky-high prices, and affordability in the gutter.

The Fed Can’t Fix Housing Alone

Now, rate cuts could help, and the Federal Reserve has started down that road. But let’s be realistic: this market is too broken for monetary policy alone to fix. It will take a policy sledgehammer.

That’s where the White House comes in.

If the administration does move forward with a National Housing Emergency, it has several levers it can pull, many of which could have fast, tangible impacts:

• Tariff and material cost relief. Reducing tariffs or granting exemptions on imported lumber, steel, or other key building materials could immediately lower construction costs.
• First-time buyer support. Grants, down-payment assistance, or expanded Federal Housing Administration (FHA) benefits would directly ease affordability challenges.
• Regulatory streamlining. Federal guidance could push localities to accelerate permitting timelines, especially on multifamily and affordable housing projects.
• Mortgage finance tweaks. Agencies like the Federal Housing Finance Agency (FHFA) and Department of Housing and Urban Development (HUD) could cut fees or loosen restrictions, while Fannie Mae and Freddie Mac could be nudged toward more flexible underwriting or targeted affordable housing initiatives.
• Use of federal land. Large swaths of federally owned land could be opened to housing development, particularly in areas where zoning and local politics have created bottlenecks.

Individually, none of these measures would fix the housing market. But combined, they could meaningfully boost both supply and demand within a year. And that’s the sort of synchronized intervention that could trigger a housing boom unlike anything we’ve seen since the post-financial-crisis rebound nearly two decades ago.

The Stock Market Angle: Housing Stocks That Could Soar

If the White House pulls this trigger, housing-related stocks should rip.

The obvious trade is in homebuilders. 

Lennar (LEN), PulteGroup (PHM), DR Horton (DHI), KB Home (KBH), NVR (NVR), Toll Brothers (TOL), Meritage Homes (MTH), Green Brick Partners (GRBK) – these are the blue chips of America’s housing construction industry. They’ll benefit directly from any boost in demand, lower material costs, or faster permitting timelines. Their order books will swell, their margins will expand, and their earnings will jump.

But here’s where I’d go a step further: the real upside lies in housing tech.

• Zillow (Z): The closest thing we have to a digital super-app for housing. If more buyers flood the market, Zillow becomes the go-to platform, especially for millennials and Gen Z.
• Opendoor (OPEN): The iBuying model thrives in higher-volume markets. If Washington can thaw out supply, Opendoor’s algorithm-driven instant offers will look increasingly attractive to sellers.
• Compass (COMP): A tech-first brokerage that could win market share as agents flock to platforms offering better digital tools.
• Rocket Mortgage (RKT): A policy-driven housing boom paired with falling mortgage rates could unleash a massive refi wave. And Rocket dominates that space; perhaps the biggest winner of them all.

These are structural disruptors poised to gain share as housing transactions migrate online. And a National Housing Emergency could be the catalyst that accelerates that shift.

Why Investors Need to Position for Housing Now

Housing affordability is becoming a generational issue, and it’s climbing the policy agenda.

The administration is looking for wins heading into 2026. And unlike many avenues, housing intervention has the potential to deliver visible, near-term relief to millions of families.

And since markets are forward-looking, if the White House even hints at a concrete emergency package, housing stocks could gap higher overnight. 

Waiting until the details are out will mean missing much of the move. That’s why now is the moment to start building exposure. Whether through the builders or the tech disruptors – or both – investors who position ahead of a National Housing Emergency declaration could be looking at one of the strongest tailwinds of the next 12 months.

And we think it could happen any day now. If so, the combined impact of lower material costs, more federal land, easier mortgages, and support for first-time buyers could trigger a boom unlike anything we’ve seen since the 2008 financial crisis.

The builders will benefit. But the real asymmetric upside lies in the housing tech stack – names like Zillow, Opendoor, Compass, and Rocket Mortgage.

We face the worst affordability crunch in modern history. That’s the problem. The opportunity? When the policy hammer falls, the rebound could mint fortunes. 

Most investors won’t know where to look… But �������°�’s Apogee system does. 

It’s already identified five stocks entering what he calls the “10X Zone.” And Eric is revealing every ticker right now – before the crowd catches on.

But if you want to know more, time is of the essence: this offer closes at midnight.

The post U.S. Housing Crunch: The Policy Shift That Could Trigger a Market Rebound appeared first on InvestorPlace.

Well, it is a forgone conclusion that the Federal Reserve will finally cut key interest rates at its Federal Open Market Committee (FOMC) meeting this week. And there are two main reasons why: inflation continues to moderate, and the jobs market continues to deteriorate.

The evidence has been piling up for months. And as a result, the Fed is now fresh out of excuses. It is expected to finally join the party and cut rates – as I (and others, including President Trump) have been saying were necessary for months now.

The Latest Evidence for a Cut

The latest evidence came last week, when the Bureau of Labor Statistics (BLS) revised its payroll job estimates. It revealed that it overstated 911,000 payroll jobs in the past year, March 2024 to March 2025. This is the largest payroll revision in the past 26 years!

To put this into perspective, the revision represents 0.6% of all payroll jobs, and it is literally triple the 0.2% average annual revision in the past 10 years.

Prior to this week’s revision, payroll data implied that nearly 1.8 million jobs were added in the past year through March. That represents an average of 149,000 jobs per month. But given the BLS’s revision, monthly job growth is essentially half of the original estimate.

Now, the final payroll data will be revised and released in early 2026. But before then, it’s clear that the cracks in the labor market are worse than originally estimated.

If the ailing jobs market wasn’t enough to pressure the Fed to cut key interest rates next week, then the latest inflation data certainly is. We covered both reports in last Thursday’s Market 360.

To sum up briefly, the Producer Price Index (PPI) revealed that wholesale prices declined sharply last month. In the past 12 months, headline PPI has risen 2.6%, also substantially lower than estimates for a 3.3% annual pace.

The Consumer Price Index (CPI), though, was a little warmer, up 2.9% on a yearly basis, compared to 2.7% in July.

What I’m Looking for on Wednesday

Now, the Fed has a dual mandate of taming inflation and maximizing employment. With inflation moderating and the jobs market struggling, there’s a 100% chance the Fed will cut rates on Wednesday.

Interestingly, the latest jobs and inflation data introduced calls for a bigger rate cut next week.

But the slightly warmer-than-anticipated CPI report will likely push the Fed only to cut rates by 0.25%. According to the CME FedWatch tool, there is a 96% chance that the Fed will cut key interest rates by 0.25%. Still, it will be interesting to see how the FOMC meeting plays out and what Fed Chair Jerome Powell says following the policy meeting.

The big news, though, will be the updated “dot plot,” as Wall Street is anxious to see how many rate cuts are forthcoming. Before all of the data last week, Wall Street was expecting three rate cuts. But there is now a growing probability that four rate cuts could be in the offing.

No matter how many rate cuts are signaled, the first rate cut next week should be a boon for the stock market, as investors celebrate easier monetary policy. And the stocks that will likely benefit the most from the post-FOMC party should be those with superior fundamentals.

This Week’s Ratings Changes

Already, September is shaping up to be a positive month for the stock market, with most folks excited about the upcoming rate cut. All of the major indices have meandered higher, with the Dow up 0.8%, the S&P 500 up 2% and the NASDAQ up 2.9% in the past two weeks.

Wednesday’s rate cut could guarantee stocks will buck the typical market weakness in September and actually end the month higher.

So, with this in mind, I took a fresh look at the latest institutional buying pressure and each company’s financial health and decided to revise my Stock Grader (subscription required) recommendations for 93 big blue chips (subscription required). Of these 93 stocks…

• Eleven stocks were upgraded from a Buy (B-rating) to a Strong Buy (A-rating).
• Seventeen stocks were upgraded from a Hold (C-rating) to a Buy (B-rating).
• Eleven stocks were upgraded from a Sell (D-rating) to a Hold.
• One stock was upgraded from a Strong Sell (F-rating) to a Sell.
• Nine stocks were downgraded from a Strong Buy to a Buy.
• Twenty stocks were downgraded from a Buy to a Hold.
• Fifteen stocks were downgraded from a Hold to a Sell.
• And nine stocks were downgraded from a Sell to a Strong Sell.

I’ve listed the first 10 stocks rated as Strong Buys below, but you can find a more comprehensive list – including all 93 stocks’ Fundamental and Quantitative Grades – here. Chances are that you have at least one of these stocks in your portfolio, so you may want to give this list a skim and adjust accordingly.

How to Prepare for What’s Next

Now, there may be some twists and turns, but I encourage you to view every dip as a great buying opportunity. Because some big stuff is headed our way, folks.

The fact is, we’re heading into the seasonally strong time of year, as quarter-end window dressing and the potential for an early Santa Claus rally could help fundamentally superior stocks rally even higher in the upcoming weeks and months.

But that’s just the beginning.

The Fed’s first rate cut will be the appetizer – not the main course.

The real feast comes on September 30, when President Trump’s economic playbook collides with the Fed’s pivot.

Trump has promised a boom “like the world has never seen.” And with his legacy on the line, he’s pulling out every stop now. From record tariff revenues, to trillions in onshoring deals, to historic energy and infrastructure programs, the stage is being set for a $7 trillion shockwave.

I call it the Trump Shock – a tidal wave of capital that’s about to hit a narrow group of select stocks.

And I’ve already identified five “Buy”-rated companies flashing strong buy signals in my system.

Not only do they sport superior fundamentals, but they are also backed by strong institutional buying pressure.

In other words, these are the stocks best positioned to soar as Trump’s boom collides with the Fed’s pivot.

Go here now to watch my urgent briefing.

In it, I’ll give you the name and ticker of one stock absolutely free – and show you how to access my full list of five before the Trump Shock sends them soaring.

Sincerely,

�������°�

Editor, Market 360

The Editor hereby discloses that as of the date of this email, the Editor, directly or indirectly, owns the following securities that are the subject of the commentary, analysis, opinions, advice, or recommendations in, or which are otherwise mentioned in, the essay set forth below:

Howmet Aerospace Inc. (HWM) and TechnipFMC plc (FTI)

The post Quant Ratings Updated on 93 Stocks appeared first on InvestorPlace.

In the classic short story “The Most Dangerous Game,” skilled hunter Sanger Rainsford finds himself hunted by the sadistic General Zaroff on a remote island.

To survive, Rainsford uses his hunting expertise to create several traps, one of which is the classic “Burmese Tiger Pit.” It’s a deep hole, camouflaged with a layer of leaves and branches concealing sharpened wooden stakes at the bottom.

Zaroff avoids it, but the trap kills one of his hunting dogs.

Today, we need to be careful of an “AI Tiger Pit” – a danger hidden beneath what appears to be solid ground.

At first glance, the market’s path ahead appears firm. Indexes hover near all-time highs, Q2 earnings were strong, rate cuts are coming, and the headlines are filled with promises of boundless AI-fueled gains.

But look closer, and you’ll see what could be a camouflaged pit…

A disproportionate share of earnings strength today is coming from hyperscaler spending on AI infrastructure, while the traditional driver of U.S. growth – the consumer – is beginning to show fatigue.

Are we walking straight into trouble?

In 2024, Microsoft, Amazon, Alphabet, and Meta boosted capex more than 50%, almost all of it aimed at AI infrastructure.

That momentum hasn’t slowed. Microsoft spent over $19B in Q2 2025 alone – nearly double last year’s figure – with Amazon and Alphabet close behind.

Meanwhile, McKinsey estimates that the global buildout of AI infrastructure could cost $6.7 trillion by 2030.

This firehose of spending flows downstream to AI suppliers, utilities, and chipmakers. So, it’s no wonder that when investors look at the earnings scoreboard today, they like what they see.

But as great as this hyperscaler tidal wave of spending is, it’s not the same as consumer spending that sustains a healthy economy – and the entire economy, not just the companies within the AI universe.

Here’s the top line:

• Main Street spending is flat
• Wealthy consumers are skewing the headline numbers
• Overall sentiment is deteriorating

Digging into the first point, this morning brought solid retail spending data. Sales in August clocked in at 0.6% growth, double what economists were expecting.

While this looks great, the issue is that it wasn’t adjusted for inflation.

As Wells Fargo put it:

They look really strong at face value, but some of that is just due to higher prices of product, not necessarily more volume.

After adjusting for inflation, the Richmond Fed notes that real PCE has barely budged since late 2024, a sign that consumer spending has essentially been treading water.

To be clear, spending from your average U.S. consumer isn’t falling off a cliff. But stagnant spending doesn’t support today’s expensive stock prices.

Moving on to our second point, it’s harder to see this stagnant spending from average Americans because spending from wealthy Americans is booming.

Let’s go to Bloomberg from this morning:

Wealthy consumers continue to account for a growing share of US consumer spending, highlighting the lopsided strength of the economy…

Consumers in the top 10%… accounted for 49.2% of total spending in the second quarter, the highest level in data going back to 1989.

Finally, overall consumer sentiment is deteriorating.

Let’s go to our technology expert Luke Lango from last Friday’s Innovation Investor Daily Notes:

The University of Michigan’s September Consumer Sentiment Report landed like a gut punch [Friday] morning.

The headline index fell to 55.4 from 58.2 in August, one of the ugliest readings since the Great Financial Crisis (GFC).

The Future Expectations Index collapsed to 51.8. Consumers’ outlook for their financial situation—both in the near term and over five years—hit record or near-record lows…

Historically, that kind of sentiment collapse has always marched in step with falling stock prices.

Luke runs the numbers on the other times when the University of Michigan’s Consumer Expectations Index dipped below 55 (early 1980s, early 1990s, 2008/09, 2011, and 2022), concluding:

The U.S. economy stalled out and the U.S. stock market was either in the middle of or about to enter into a >15% crash.

But this time around, we have the Consumer Expectations Index running below 55 – and yet, stocks are at record highs.

This is not sustainable forever.

Right now, many investors see “earnings are good” and stop there.

But if those earnings are being inflated by a hyperscaler spending boom that isn’t sustainable – while retail spending stagnates/slows – then the market may be more vulnerable than it looks.

So, how soon could we see a slowdown?

Many analysts believe we’re several quarters out at a minimum, but not Goldman Sachs.

Here’s Barron’s:

The AI trade is going full throttle…but it will slow down, Goldman Sachs believes, and Wall Street must be ready when that time inevitably comes…

A slowdown in AI capex growth is on the way if Goldman’s team is right.

Analysts “assume a sharp deceleration” beginning in the fourth quarter and lasting into 2026.

And a big drop could pose what they describe as a “substantial downside risk to both the AI trade and the broad S&P 500” …

As Goldman’s analysts noted, the prices of AI infrastructure stocks “have far exceeded the trajectory of near-term earnings,” which they consider a reflection of investor optimism.

Although the timing of the capex spending slowdown is important, expectations are more important…

Does Wall Street see this AI spending boom as temporary fuel – and after it ends, Wall Street will graciously accept reduced earnings that aren’t goosed by hyperscalers?

Or is Wall Street getting hooked on this volcanic spending, setting up for crushing disappointment when it inevitably slows/stops?

Tomorrow brings the September FOMC meeting where the assumption is we’ll get a quarter-point interest rate cut.

A rate cut will give consumers some breathing room, potentially extending their spending power just as corporate America searches for new sources of growth.

But the real issue that could move markets will be the forecast for additional rate cuts via the updated dot plot.

Here’s legendary investor �������°� from his Breakthrough Stocks Weekly Update:

It is a forgone conclusion that the Federal Reserve will finally cut key interest rates at its Federal Open Market Committee (FOMC) meeting [tomorrow]…

The big news, though, will be the updated “dot plot,” as Wall Street is anxious to see how many rate cuts are forthcoming.

Before all of the data [last] week, Wall Street was expecting three rate cuts.

But there is now a growing probability that four rate cuts could be in the offing.

We’ll report back.

It’s not time to abandon AI leaders or the market.

Hyperscalers are still spending aggressively, and a dovish Fed is likely to inject more fuel. But it is time to tread carefully – testing each step before plunging into a Tiger Pit.

One of the best ways to do this is by investing through a valuation lens, remembering the words from Howard Marks, co-chairman of Oaktree Capital Management:

There’s no asset so good that it can’t be overpriced and become a bad investment, and very few assets are so bad they can’t be underpriced and be a good investment.

For a head start, our macro investing expert �������°� recently released a research package that dives into which AI stocks to sell today based on their valuation, and which to buy.

For example, Eric is urging investors to sell Nvidia – a world-class company, but at its current price, perhaps not a world-class investment.

From Eric:

Nvidia’s market cap is $4.23 trillion — the largest in the world.

It trades at 56 times earnings, about double the market average…

You don’t want to stock up on overvalued or faulty companies. You want to invest in the right stocks at the right time.

In Eric’s “Sell This, Buy That” research package, he reveals – for free – which market moves he’s making today. You can access it right now, right here.

The clues suggest there are dangers on the pathway ahead, and yet, so too are rewards.

So, let’s step cautiously, but continue forward.

I’ll give Luke the final word:

If consumers don’t rebound with help from lower inflation, lower rates, and a stronger job market in the next year or two, then once AI spending cools, stocks could face a hard reset.

But that’s a longer-term risk—something for 2027 and beyond.

For now, AI is strong enough to keep driving this melt-up.

Have a good evening,

Jeff Remsburg

The post Beware the “AI Tiger Pit” appeared first on InvestorPlace.

The skeptics are out in force. They’ve got charts, historical parallels, and breathless warnings about bubbles, overvaluation, and “too much too soon.” They’ve got a laundry list of reasons why AI stocks can’t keep soaring.

I’ve got one reason why they’re all wrong…

It’s shockingly simple: Most money in the modern economy is going to AI.

That reason behind this AI delegation is why AI stocks have been soaring, and it’s why they’ll keep soaring.

And when you follow the money, the trail doesn’t just point to AI – it leads straight to the beating heart of the global economy itself.

Big Tech Is the Global Economy

Let’s stop pretending otherwise: Big Tech doesn’t just influence the global economic order — they are the global economic order. Nvidia (NVDA), Microsoft (MSFT), Apple (AAPL), Alphabet (GOOGL), Amazon (AMZN), Meta (META), Broadcom (AVGO), Taiwan Semiconductor (TSM), Tesla (TSLA) — the valuations alone tell the story.

They are all trillion-dollar companies. If Nvidia and Microsoft were countries, they would rank as the fifth and sixth largest economies in the world, bigger than India, the U.K., France, Italy, Brazil, Canada, Russia, and Mexico. Big Tech’s balance sheets make most nations look like they’re running lemonade stands.

And these are the behemoths that are going all-in on AI spending.

Not dabbling. Not cautiously allocating. They’re loading up a financial superweapon — what I call the AI Bazooka — and firing it almost exclusively at expanding AI infrastructure.

The AI Capex Explosion

The numbers are staggering. Let’s start with Meta.

Once upon a time (as recently as 2022), Meta’s annual capital expenditures hovered around $20 billion. That’s a lot of servers and networking gear, but in Big Tech land, it was business as usual. Now? Over the next 12 months, Meta is expected to spend nearly $90 billion — more than 4x in just three years — with the bulk aimed straight at AI infrastructure.

They are not alone.

Before COVID, Microsoft was consistently spending less than $15 billion a year on capex. Over the next year, they’re also expected to cross the $90 billion mark — a 6x increase in six years.

Alphabet? Annual capex was about $20 billion in 2021. This year: $95 billion.

And the grand champion of AI spending — Amazon — is set to drop more than $120 billion over the next 12 months, up about 7.5x from 2019.

Put it together, and the “Hyperscale 5” — the five largest U.S. hyperscale cloud operators who own the lion’s share of AI compute capacity — are expected to spend over $400 billion on capital expenditures in the next year alone.

In late 2022, before ChatGPT exploded into the public consciousness, that collective number was under $150 billion.

In less than three years, we’ve seen a 2.5x increase — and it’s still accelerating. Just look at that chart above. Like AI stock prices, it’s going vertical.

What Makes This Different From Any Other Spending Cycle

Tech spending cycles are nothing new. But this is different in three important ways:

That’s why I call it the AI Bazooka. It’s the concentrated firepower of the world’s richest corporations, aimed squarely at one target: AI dominance.

Where the AI Bazooka Money Lands

All that money has to find a home, and Wall Street has been more than happy to receive it. The beneficiaries are spread across the entire AI supply chain.

• MP Materials (MP) – Rare earths supplier up nearly 600% in the past year.
• Commodity producers feeding chip and component manufacturers are seeing their order books fill years in advance.

• Taiwan Semiconductor (TSM) – Up 250% since ChatGPT’s launch.
• Nvidia (NVDA) – The poster child of the AI boom, up over 1,500% in five years.

• Micron (MU), Western Digital (WDC), Seagate (STX) – All screaming to 52-week highs.

• ASML (ASML), Lam Research (LRCX), Applied Materials (AMAT) – Selling the pickaxes in this gold rush.

• Astera Labs (ALAB) – Up nearly 4x since April.
• Marvell (MRVL), Rambus (RMBS) – Essential for the high-speed data movement AI demands.

• Arista Networks (ANET) – Red-hot networking leader.
• Lumentum (LITE), Coherent (COHR) – Optics stocks hitting all-time highs.

• Constellation (CEG) – Up 50% this year.
• Vistra (VST) – Up 170% in the past year.
• Quanta Services (PWR), Eaton (ETN) – Building the AI-powered grid.

• Vertiv (VRT) – Cooling solutions darling.
• Dell (DELL) – Server rack integrator on a tear.
• Digital Realty (DLR), Equinix (EQX) – Datacenter developers cashing in.

This is the blast radius of the AI Bazooka. These stocks have been winning, and so long as the bazooka keeps firing, they’ll keep winning.

Why This AI Spending Boom Won’t Stop

The big question: Is this just a temporary surge, or a sustained trend?

Our view: It’s only just getting started.

Over $400 billion is expected to pour into AI infrastructure in the next 12 months. By 2030, we expect annual AI capital expenditures to approach $1 trillion. Big Tech’s appetite is insatiable, as every new AI model demands more compute, more storage, more bandwidth, more power.

The more they spend, the more AI integrates into daily life, which then drives even more spending. It’s a self-fueling industrial build-out on a scale the world hasn’t seen since the post-WWII economic boom.

So when pundits say AI stocks can’t keep going up, they’re ignoring the single biggest capital allocation trend in the world.

It’s not just that Big Tech wants to dominate AI. They must. The competitive stakes are existential. The company with the most compute wins the AI race. That’s why they’re emptying their vaults into chips, data centers, and power grids.

Wall Street isn’t dumb. It follows the money. And right now, the money — all the money — is headed into AI.

The Bottom Line on AI Stocks

The AI Bazooka is locked, loaded, and firing hundreds of billions of dollars into one of the most powerful technological buildouts in history. The winners are clear: AI infrastructure stocks, from chipmakers to cooling providers, are riding the blast wave.

As long as Big Tech keeps spending (and they will), these stocks will keep ripping higher. The skeptics can cling to their valuation charts and bubble metaphors. The rest of us will follow the money.

Because in this market, the AI Bazooka always finds its target.

But it isn’t just aimed at chips and data centers… 

It’s about to fire into humanoid robotics, with Tesla’s Optimus leading the charge. Morgan Stanley estimates this market could be worth trillions. But the biggest windfall won’t come from Tesla; it’ll come from the small, little-known suppliers making the actuators, sensors, and semiconductors that bring these machines to life.

If you want to be in front of the blast wave – not behind it – now’s the time to see which names are in the crosshairs.

Click here to see my full briefing before the AI Bazooka fires again.

The post Say Hello to the $400 Billion AI Bazooka Aimed at the Market appeared first on InvestorPlace.

Let’s begin today with a quick, free stock recommendation that our macro investing expert �������°� believes could grow into a 1,000%+ winner…

If you live in the Pacific Northwest, you already know this beloved chain – Dutch Bros Inc. (BROS).

This fast-growing coffee joint has already surpassed 1,000 stores and plans to expand to 4,000 – 7,000 over the next decade. Here’s Eric with more on why it’s growing so rapidly:

If you read a Reddit message board about this company or talk to anyone who frequents one of its stores, you realize quickly that Dutch Bros is not merely a place to buy coffee to go; it is a destination.

Its product offerings and overall vibe elicit the same sort of cult-like devotion that Chick-Fil-A or In-N-Out do.

But popularity alone doesn’t create a 1,000%+ stock. What about its economics?

From Eric’s original Dutch Bros recommendation to his Investment Report subscribers:

Each location is a profit-spinning machine.

In the second quarter of 2024, the average corporate store (which includes newly-constructed ones) added $149,000 in quarterly gross contribution.

…Rough back-of-envelop calculations suggest that new locations are breaking even in under three years…

Dutch Bros plans to increase its store footprint by 27% over the next year, and will do so with a combination of existing cash flows and cash-from a $150 million debt issuance in the first quarter.

Similar internally-driven growth rates could arise going forward, which means Dutch Bros will grow exponentially until it finally saturates its relevant markets, perhaps sometime in the 2030s.

Investment Report subscribers are up 79% so far, but Eric believes we’re still early in this growth story, calling Dutch Bros. “a 10-bagger opportunity hiding in plain sight.”

Eric’s first ever stock picking algorithm – called Apogee – spotted Dutch Bros in July 2024.

Apogee’s goal is to identify the shared characteristics of Eric’s 41 different stock recommendations that went on to climb 1,000%+, so we could replicate their success.

Back-testing Apogee against 14,000 stocks and 31 years of market history produced impressive results:

• A 72%-win rate, and
• An average gain of 308% on those winners.

Last week, Eric covered all this – as well as the five traits that are found in his 10X winners – in a live broadcast. The free replay is still available here, but only for another few days.

And if you like the Dutch Bros idea, Eric gives away five additional Apogee recommendations – ticker symbols and all – free of charge in the replay.

You can catch it all right here.

That’s the latest prediction from the Winklevoss twins last week, owners of the crypto exchange Gemini.

At first glance, that sounds like another dose of crypto hype. But if we look at this logically, the path to $1 million isn’t that crazy.

Today, Bitcoin’s market cap sits around $2.3 trillion. With roughly 19.9 million coins in circulation, getting to $1 million per coin would require a market cap near $20 trillion – roughly a 9X increase.

I suspect the Winklevoss twins didn’t pull that number from thin air. It’s in the same ballpark as the estimated value of all the world’s above-ground gold (in the $20–25 trillion range).

Now, consider this…

In the early 2000s, gold’s total market cap was under $2 trillion.

Today, that market cap has swelled to almost $25 trillion – about 10X growth over slightly more than two decades.

Is it fair to compare Bitcoin to gold?

Yes:

• Like gold, Bitcoin is scarce and cannot be conjured up at will
• It’s decentralized
• It offers potential inflation protection
• It’s increasingly being treated as a store of value as its volatility slowly eases

On top of that, Bitcoin has unique tailwinds:

• Institutional investors are jumping in, aided by ETF access
• Public companies are holding BTC on their balance sheets
• Some governments are adopting it as legal tender
• And policy sentiment toward crypto is gradually turning more constructive

Put it all together and – yes – it’s not crazy to make the connection between gold and Bitcoin.

And to stubborn skeptics who claim that Bitcoin is valueless because it does nothing, generates zero cash flows, and derives its value purely from emotion – congratulations, you just described gold.

Looking ahead today, can Bitcoin climb 1,000% in roughly half the time it took gold?

That’s more of a stretch – but it’s not inconceivable.

• Global debt has ballooned past $315 trillion
• Central banks continue to lean on money printing in times of crisis
• Most developed nations face negative demographics (so an acceleration of debt is likely in the cards)
• Inflation will remain a persistent threat.

Unlike gold (which can be mined), Bitcoin is built on absolute scarcity – there will only ever be 21 million coins. Plus, Bitcoin is a depreciatory asset. Consider how people lose their crypto passkeys so their Bitcoin holdings are effectively gone forever.

So, if history tells us that gold 10X’d during two decades of monetary expansion, then it isn’t crazy to imagine Bitcoin doing the same in the decade ahead – especially as global governments continue to print-and-spend us into oblivion causing investors and institutions to look for assets that can’t be diluted.

Bottom line: $1M Bitcoin in a decade will require everything to go perfectly for the crypto, but given today’s debt, inflation, and money-printing environment, it’s possible.

And, perhaps more realistically and importantly, even if it “only” climbs to say, $500K, I doubt we’ll be complaining.

Gold has been a standout performer in 2025, climbing roughly 39% year-to-date.

Over the last month, it’s gained another 9%, buoyed by expectations of U.S. rate cuts, a softer dollar, and lingering inflation and geopolitical concerns.

To be clear, gold isn’t just rising – it’s hitting fresh all-time highs, setting records more than 30 times this year. And this has happened while stocks have been hitting their own all-time highs.

That’s unusual.

Gold is supposed to languish when investors allocate into “risk on” assets like stocks looking for better returns. And the fact that this isn’t happening has our technology expert Luke Lango suggesting caution.

Let’s go to his Daily Notes in Innovation Investor:

Both gold and stocks are making new highs together right now.

Since 1970, that’s only happened four other times. In most of those instances, the market hit turbulence within months. Does that mean we’re doomed?

No.

But it does mean investors should resist the temptation of blind greed. Stay bullish, but keep your wits about you.

Bottom line: the short-term setup (next few weeks) is great, the medium-term story (next few months) is fantastic, but the long-term (next few years) requires vigilance. For now, stay long, stay strong, and stay prudent.

As we’ve detailed in other Digests, Luke believes we have another 12-18 months of bull market – especially in leading AI stocks – before we flame out. So, invest wisely – staying with bullish momentum today in both assets – but recognize the growing risk.

Here’s Luke’s final takeaway:

To be sure, gold and stocks have been hitting record highs together ever since late 2023, so this is not a new phenomenon.

But history suggests it is an unsustainable one. Something to watch…

Then you should consider stocks that are potential takeover targets.

When acquisition rumors or offers surface, share prices often jump as the market anticipates a premium buyout.

For instance, since last Wednesday, Warner Bros. Discovery’s stock has spiked 54% following reports that Paramount Skydance is preparing a majority-cash takeover bid.

So, how do you find these takeover candidates?

Well, veteran trader Jonathan Rose just put together a list of them, and he’s letting me share two names with you.

Before those details, for newer Digest readers, Jonathan is the latest analyst to join our InvestorPlace family.

He earned his stripes at the Chicago Board Options Exchange, going toe-to-toe with some of the world’s most aggressive and successful moneymakers. He’s made more than $10 million over the course of his career, profiting from bull markets, bear markets, and everything in between.

Returning to those potential takeover companies, here is Jonathan’s recent M&A Watchlist:

Qualys (QLYS)

• What they do: Cybersecurity focused on compliance and monitoring.

• Why a target: Sector consolidation + activist pressure.

• What’s happening: Reported to be weighing offers after takeover interest.

• Why care: With a $130 stock price, any deal could push it toward $170+

SentinelOne (S)

• What they do: Next-gen endpoint security, competitor to CrowdStrike.

• Why a target: Growthy asset in hot cybersecurity, but still unprofitable.

• What’s happening: Rumors Palo Alto Networks looked at a deal ($7–$10B).

• Why care: If a deal ever comes, could value shares at $23+, vs. $17 today.

And here’s Jonathan’s big-picture commentary for his entire list of takeover candidates, including Qualys and SentinelOne:

• Why now: Activist pressure, bankers being hired, and rejected bids mean these stocks are in play.

• How to trade: Look for premiums of 30%+ if deals close. Options can be a way to capture upside, but risk is high if no deal happens.

• Risk note: Rumors don’t always turn into real offers—be selective and size carefully.

We’ll continue monitoring and will report back. But Jonathan is one of the best in the biz for spotting these opportunities, so continue yourself on the inside track.

And remember, you can catch Jonathan and get his latest market ideas – totally free – every day the market is open at 11 a.m. ET in his Masters in Trading: Live broadcasts. You can sign up right here.

We’ll keep you updated on all these stories here in the Digest.

Have a good evening,

Jeff Remsburg

The post A Stock to Buy Today appeared first on InvestorPlace.

We’ve officially entered the “ber” months – September, October, November, and December. That means football, tailgates, fall/winter festivities, and holiday cheer.

And that means seasonal beverages, usually made with warming spirits.

A decade ago, few drinkers gave much thought to what mixers went into their gin and tonic or Moscow mule. Spirits commanded the spotlight; mixers stood in the wings like stagehands.

But the company I want to tell you about today has changed that script. By using natural ingredients, elegant packaging, and the aura of connoisseurship, this London-based firm has elevated mixers to costar status.

That repositioning coincided with the rise of the “drink less, but better” ethos. Millennials and Gen Z’ers drink more selectively, favoring higher-quality products with lower alcohol content, or none at all.

The result was a revolution in cocktail culture. Mixers are now mainstage, and this company – Fevertree Drinks PLC (FEVR.L) – has become the brand that successfully delivers them.

On Thursday, the company released its interim earnings report for fiscal year 2025. On the earnings call, CEO Tim Warrillow cited three global trends shaping the brand’s trajectory: premiumization, moderation, and the rise of longer, lighter drinks. Each trend fuels demand for Fever-Tree products – a portfolio that spans tonics, ginger beer, and sodas.

The real headline from the report, however, was the U.S. market. Fever-Tree’s partnership with Molson Coors Beverage Co. (TAP) is no longer a theoretical growth lever; it is an operational reality. The transition into Molson’s 400 distributors is well underway, and while the second half will still be a handover period, early results are strong.

Now, Fever-Tree’s first-half results were not perfect. But analysts minimized cyclical headwinds to cheer the company’s newfound U.S. growth engine. They correctly recognized that the U.S. transformation and margin resilience bode well for future profit growth.

Shares spiked as much as 11% on the results, with RBC, Jefferies, Goodbody, Citi, and JPMorgan all highlighting the U.S. momentum.

Shares have popped nearly 20% since.

This is great news for my subscribers at The Speculator. I recommended the company to readers at my elite-trading service after my new Apogee system signaled a “Buy” alert on it.

Fever-Tree had passed through all of Apogee’s 10X Factors, which means it has the opportunity to reach 1,000% gains.

Over the past week here at Smart Money, I’ve detailed many more details about my Apogee trading system and revealed several other companies that it has identified. (And you can learn even more about it here at my free broadcast.)

Now, let’s get to this week’s Roundup of this week’s Smart Money issues.

And then I’ll tell you more about what I expect for Fever-Tree’s future…

Smart Money Roundup

September 10, 2025

Why Settling for “Tiny Catches” Dooms Investors

The Tanners Creek Super Tournament is a notoriously awful bass fishing competition. The season-ending event has become known as a “grinder tournament” for its challenging conditions and small catches.

Today, many professional AI investors likely feel the same way about the stocks they own. But, as Thomas Yeung explains, you have an investing “superpower.” Here’s what it is…

September 11, 2025

What Sandy Koufax’s Perfect Game Taught Me �������°� Investing

As a native Californian and avid Dodgers fan, it may not come as a surprise that Sandy Koufax is my all-time favorite baseball player. But that’s not the only reason I’m mentioning his historic perfect game 60 years later.

My new stock-picking system, Apogee, hunts for a different kind of perfection: potential 1,000% winners. And it’s already found a stock that looks headed toward 1,000% gains… and I already recommended it. Let me explain…

September 13, 2025

Oracle Delivered Big… but This Stealth AI Stock Could Deliver Even Bigger

Oracle may be a legendary tech “old-timer,” but thanks to savvy, forward-looking strategic planning, it has become a dynamic AI play. For starters, it provides industry-leading cloud infrastructure solutions.

And it falls into the first of four AI categories that I use to filter and group stocks. Now, let’s take a look at why Oracle is set to continue on its multiyear course of outsized gains… and I’ll share a free Apogee stock pick that also falls into one of my four key AI categories…

September 14, 2025

Broadcom’s $10 Billion Mic-Drop: A Turning Point in AI Investing

Every once in a while, Wall Street gets a wake-up call that signals the next chapter of a megatrend. Broadcom just rang that bell. It’s $10-billion custom chip deal marks a turning point in AI hardware, signaling that hyperscalers are moving beyond Nvidia’s GPUs toward specialized XPUs.

Luke Lango details why Broadcom’s announcement is the spark of a new era in AI investing… and where the real profit opportunities could emerge as XPUs rise.

A Growth Story Worth Toasting

Fever-Tree’s recent earnings momentum demonstrates the growing strength of its “cultural moat.”

CEO Warrillow spoke repeatedly of “social occasions” – barbecues, sports events, dinner parties – where Fever-Tree has become embedded. Remember, we’ve recently entered the festive “ber” months.

This cultural embedding is what makes the brand resilient. Competitors can imitate packaging, copy flavors, or undercut on price, but they cannot easily dislodge a brand that has become a cultural default.

Now, the path ahead will not be linear. Spirits categories ebb and flow; weather affects European demand, and execution with Molson will be complex.

But the strategic direction and brand potential are clear: Fever-Tree is becoming a structurally stronger, globally diversified, cash-generative brand.

I expect Fever-Tree to flourish over the coming years.

To stay up-to-date on this intoxicating company, join me at The Speculator today.

Fever-Tree is my most recent Apogee recommendation, but it is far from the last. In fact, all of my recommendations at The Speculator will now come from this breakthrough trading system – with my final vetting, of course. Apogee and I always work together.

That means each new recommendation has the opportunity to reach 1,000% gains, just like Fever-Tree.

Click here to learn more.

Regards,

�������°�

The post The Cocktail Culture Shift Creating a 10X Stock appeared first on InvestorPlace.

The Producer Price Index (PPI) showed that wholesale prices declined sharply in the previous month. The Consumer Price Index (CPI), though, was a little warmer. The indexes took these results in stride and ended the week in the green.

Now, this week will be all about the Federal Reserve.

Based on the inflation reports from last week, a rate cut is all but guaranteed to come on Wednesday after the Federal Open Market Committee (FOMC) meeting. This decision will be followed by remarks from Fed Chair Jerome Powell.

Personally, I am most interested in the “dot plot,” which should answer the question of how many rate cuts are forthcoming. Regardless, no matter how many cuts are signaled, a rate cut this week should be a boon for the markets.

Also, the latest retail sales report is due out tomorrow morning. As a reminder, retail sales are a good indicator of broad consumer spending patterns. Currently, economists are projecting retail sales to rise 0.3% in August, down from the 0.5% rise in July.

We discussed all this and more in this week’s Navellier Market Buzz. We also touched the AI and data center build-out, tackled some subscriber questions and previewed reports from a couple of companies set to report earnings this week.

Click the image below to watch now.

To see more of my videos, subscribe to my YouTube channel here.

By the way, the latest Stock Grader updates are live (subscription required)! If you have access, you can check the grades of your stocks by clicking here.

What I’m Watching More Closely Than the Fed

The bottom line is that a rate cut this week could be a welcome boost for the market. But ultimately, the Fed’s moves are not where the real story is unfolding…

The bigger shift is coming from Washington.

Back in February, President Trump signed Executive Order #14196. You probably didn’t hear much about it from the mainstream media. But I believe it could go down as one of the most important policy moves of our time.

Why? Because in my view, it sets the stage for a revival of American economic dominance. What’s more, it could even save Social Security from collapse – and even potentially boost benefits!

And here’s the part investors can’t afford to miss: To carry out this initiative, the administration will have to partner with a handful of U.S. companies that control the “reserve accounts” sitting on trillions of dollars’ worth of untapped natural resources.

I’ve spent months digging into this – and I’ve identified three companies that have already been granted “emergency status” and fast-track approvals.

I believe their shares could skyrocket once new capital starts moving into the sector.

That’s why I released a brand-new briefing that explains:

• How Executive Order #14196 could transform the outlook for Social Security and retirement security in America,
• Why I believe this initiative is creating an urgent new bull market in critical U.S. minerals,
• And the three stocks that I expect to be the biggest winners as this plan rolls forward.

This is a rare chance to position yourself before the headlines catch up.

Click here to watch my urgent briefing now.

Sincerely,

�������°�

Editor, Market 360

The post Markets Could Move Big – Fed Meeting Preview appeared first on InvestorPlace.

This Week’s Ratings Changes:

Upgraded: Buy to Strong Buy

Downgraded: Strong Buy to Buy

Upgraded: Hold to Buy

Downgraded: Buy to Hold

Upgraded: Sell to Hold

Downgraded: Hold to Sell

Upgraded: Strong Sell to Sell

Downgraded: Sell to Strong Sell

To stay on top of my latest stock ratings, plug your holdings into Stock Grader, my proprietary stock screening tool. But, you must be a subscriber to one of my premium services. Or, if you are a member of one of my premium services, you can go here to get started.

Sincerely,

�������°�

Editor, Market 360

The post Weekly Stock Grader Analysis: Upgrades & Downgrades on Top Blue-Chip Stocks appeared first on InvestorPlace.

It feels like markets are walking a tightrope.

Wars drag on in Ukraine and the Middle East. Energy prices lurch higher on supply shocks. Washington flirts with a debt crisis while Beijing tests the limits of U.S. resolve. 

Every headline seems designed to shake confidence.

And yet, beneath the turbulence, a quieter story is unfolding…

The American AI Boom has begun.

While politicians posture and stock prices oscillate, the most important companies in the world are making some of the biggest bets in modern economic history – not overseas but right here in the U.S.

Even amid emerging crises, the AI Boom remains unfazed. Chips are shipping in record volumes. Data centers are rising from Texas to Virginia. Utilities are racing to rewire the grid. Corporations and governmental departments alike are deploying AI agents at breakneck speed.

Geopolitics threatens the market’s balance, but AI is tilting the future in a different direction. 

That divergence hides an opportunity most investors aren’t seeing – yet…

Why Nvidia Is Pouring $500 Billion Into U.S. AI Infrastructure

Let’s start with the kingmaker: Nvidia (NVDA), arguably the most important company in AI today.

The firm announced plans to invest up to $500 billion into American AI infrastructure over the next four years.

That’s half a trillion dollars.

And it’s already happening.

• Production of Nvidia’s latest chip, the Blackwell, has officially begun in Phoenix, Ariz., at Taiwan Semiconductor Manufacturing Company’s (TSM) new U.S. plant. That’s right; TSM, Taiwan’s silicon giant, is making its crown jewel chip for Nvidia on American soil.
• Nvidia is also building supercomputer manufacturing facilities in Texas through partnerships with Foxconn (FXCOF) and Wistron. That marks the first time ever Nvidia will make these machines in the U.S.
• Plus, it’s teaming up with Amkor Technology (AMKR) and Siliconware Precision Industries to develop packaging and testing operations, all based in Arizona.

Nvidia has decided that the future of AI infrastructure is American.

And it’s not the only one…

Big Tech Joins the American AI Boom

Nvidia may be the headliner, but the chorus of companies backing the American AI Boom is loud – and growing louder by the day.

• Apple (AAPL) recently pledged to invest $500 billion in the U.S. over the coming years, including the construction of a massive AI server facility in Houston, expected to open in 2026.
• Meta (META) is pumping $10 billion into its largest-ever data center campus in northeast Louisiana, exclusively dedicated to AI development.
• Microsoft (MSFT) just tripled its original proposal, announcing a $3.3 billion investment to build an AI superhub in southeast Wisconsin.
• OpenAI, Oracle (ORCL), SoftBank (SFTBY), and others have teamed up under the White House’s Project Stargate, pledging to invest up to $500 billion into AI infrastructure and innovation hubs across the U.S.

This is more than a boom. It’s an explosion.

AI Reshoring Is Now a National Security Priority

Why the sudden rush to reindustrialize America’s tech backbone?

Because this year’s trade war has exposed the fragility of globalization.

With tariffs hampering imports and geopolitical tensions simmering, Big Tech is de-risking its supply chains. And the best way to do that is to build at home.

But it’s not just about economics anymore. It’s about national security.

AI is not consigned to boosting efficiency in the office or creating artwork on a dime. It’s becoming the backbone of 21st-century power – military, economic, technological, and cultural.

Just consider Palantir (PLTR). As Bloomberg reported, “the firm’s artificial intelligence and analysis tech gathers data from third-party sensors and systems, including satellites. The tools then distill the information, giving soldiers more awareness of their surroundings and helping them hit targets faster and more accurately.”

Control over AI infrastructure means control over future prosperity.

The White House knows it. So does Nvidia, Microsoft, and every other company racing to erect fabs and data centers across the American heartland.

What began as a tariff tantrum may very well end in the largest technological buildout on U.S. soil since the interstate highway system.

AI Stocks to Watch as the U.S. Industrial AI Renaissance Accelerates

While the headlines warn about destruction, the groundwork is still being laid for creation.

And in times like these, seasoned investors often turn to a time-tested principle: stay level-headed when fear dominates the headlines. Amid uncertainty, opportunities can emerge for those who remain focused on long-term trends.

The intensifying Russia-Ukraine war has created fear. Tariffs have created pain. But through that fog, the signal is clear:

Capital is coming home. Infrastructure is being built.

AI is going domestic.

That’s rocket fuel for an American AI Boom.

So, what’s the move?

You don’t need to chase every bounce or time every dip.

Instead, what you should be doing is building your AI stock watchlist and looking for entry points as fear creates opportunity.

Focus on:

• Semiconductor leaders reshoring U.S. production (think NVDA, �������°�, TSM partners).
• AI software companies (like PLTR, AXON, META, MSFT).
• Advanced manufacturing plays in packaging, testing, and thermal systems (such as SNPS, COHR, AMAT).

For investors watching AI stocks closely, this reshoring wave signals a potential multi-year uptrend

This is the dawn of the Fourth Industrial Revolution; and it’s being built on American soil.

America Is Quietly Building the Future of AI. Are You In?

Tariffs, inflation, war, political unrest, increasingly devastating natural disasters…

Trust us when we say that we understand why a lot of people are afraid right now. 

But even amid the chaos, there’s an important picture coming into focus here.

If markets can hold steady through this level of turmoil, imagine the strength they could show in recovery.

The time to start buying AI is not when the news gets better.

It’s right now – while the future is being built, brick by brick, right here at home.

And we believe the best AI stocks to buy right now are those directly enabling this American AI Boom… 

Not through data centers or chip fabs but, rather, through a critical piece of technology that will soon be ubiquitous because of them. 

Behind the scenes, these innovations are quietly laying the foundation for something even more profound: humanoid robotics. 

Think warehouse robots that learn on the fly, medical assistants that adapt in real time, or domestic helpers that move, see, and reason like humans do.

Many expect these machines to take the world by storm over the next few years, transforming life as we know it – as well as the entire global labor market…

Advanced robotics technology could power an entirely new economy built on intelligent machines. 

And the companies building that backbone may be the biggest winners of all.

The post AI Is the New Oil – and America Is Laying the Pipeline appeared first on InvestorPlace.

Broadcom’s $10-billion custom chip deal marks a turning point in AI hardware, signaling that hyperscalers are moving beyond Nvidia’s GPUs toward specialized XPUs.

That’s why the smartest players in tech – from Alphabet to Amazon, from Microsoft to Apple – are all betting billions on XPUs. And Broadcom made itself the kingmaker in this arms race.

This shift won’t just change how AI runs. It will redirect tens of billions of dollars across the semiconductor supply chain, creating new winners at every level, from foundries to networking to robotics.

Today, InvestorPlace Senior Analyst Luke Lango will detail why Broadcom’s announcement is the spark of a new era in AI investing… and where the real profit opportunities could emerge as XPUs rise.

Take it away, Luke…

Broadcom (AVGO) just gave Wall Street a glimpse of the future of AI; and it doesn’t belong to Nvidia (NVDA) alone.

In its latest earnings report, the company stunned investors with a $10-billion bombshell: a secret hyperscale customer is ditching off-the-shelf GPUs and ordering custom-built AI chips (XPUs) instead. 

That single disclosure marks the start of a tectonic shift in AI computing – away from Nvidia’s GPUs and into a new class of purpose-built accelerators. 

We think this is the moment the AI boom enters its next act.

Here’s why…

From GPUs to XPUs: Broadcom Signals a New AI Era

For the last two years, Nvidia has dominated headlines (and stock charts) with its GPUs – the workhorse chips that train and run large AI models. 

Thus far, they have been the fuel to the AI fire, accounting for 90- to 95% of the accelerator market by revenue. And Nvidia, leading the charge here, has pulled in quite absurd amounts of revenue and profit as a result.

Since the AI Boom began in late 2022, the company’s full-year annual revenue has increased dramatically – from $26.97 billion in fiscal year (FY) 2023 to $130.5 billion in FY2025 (+284%), with its net income rising from $4.37 billion to $72.88 billion in that time (+1,568%)…

But make no mistake. That astronomical growth doesn’t mean that the future of AI compute rests solely on Nvidia’s shoulders. As AI models swell to trillions of parameters and tackle ever more specialized tasks, the blunt force of a general-purpose GPU won’t cut it. The demand now is for chips as unique as the workloads themselves – and that’s why XPUs are set to take center stage.

Unlike general-purpose GPUs, XPUs are custom chips tailored to the unique data and workload of an AI model. In this sense, the ‘X’ is a variable that represents the type of architecture best suited for any given application.

For example, a model designed to generate high-quality video, like Google’s Veo3, would require a state-of-the-art Graphics Processing Unit (GPU). Devices like Apple‘s (AAPL) iPhone – which offers Siri voice assistant, facial recognition, and predictive text ability – rely on Neural Processing Units (NPUs) to handle complex algorithms and respond quickly.

These custom-designed accelerators are built from the ground up to adeptly execute specific workloads, be it training, inference, or recommendation. As such, they allow for better performance per watt, lower cost per compute unit, and tighter ecosystem lock-in.

And what Broadcom revealed alongside its latest earnings is proof that the biggest players in tech are no longer dabbling in the shift toward XPUs. They’re now betting the farm on it.

From Alphabet’s (GOOGL) TPUs to Amazon’s (AMZN) Trainium and Microsoft’s (MSFT) Maia, the world’s largest platforms are betting billions that XPUs will define the next decade of computing. 

What was once an experiment is becoming a full-scale arms race.

Why XPUs Are Set to Outshine In the AI Market

So, how big is this transition? Let’s put numbers to it.

• Today, GPUs make up ~80- to 90% of AI chip revenue. XPUs are a ~10- to 20% slice.
• By 2030, XPUs could command closer to 25- or 30% of the market by revenue. And since inference chips are cheaper but sold in higher quantities, they could also make up a much larger share of unit volume.
• With AI accelerators’ total addressable market (TAM) projected to reach $300- to $450 billion by the early 2030s, that translates into $75- to $100 billion-plus a year shifting from GPUs to XPUs.

That’s not cannibalization so much as diversification. 

GPUs will remain the backbone for training frontier models. But inference at hyperscale? Recommendation engines? Domain-specific workloads? That’s where XPUs shine. And Big Tech wants them badly. 

Broadcom is reportedly already working with OpenAI, Google, and Meta on their own custom AI chips. And rumors suggest that the mysterious new customer that just ordered $10 billion worth of custom chips is none other than tech titan Apple. 

Clearly, Big Tech is going all-in on XPUs. 

Why? Because Nvidia has leverage on price, supply is constrained, and every hyperscaler is burning tens of billions a year on AI capex. 

If you can build your own chip and significantly save on cost – while getting better performance-per-watt – you take that deal every time.

Who Wins as XPUs Rise?

Importantly, this isn’t just a Broadcom story (though the company is the north star here). And the shift from GPUs to XPUs creates a wide circle of winners throughout the semiconductor supply chain:

‘The Other Nvidia’ and a Smaller Pure-Play

Broadcom isthe undisputed leader in custom silicon for hyperscalers; already powering Google’s TPUs, Meta’s MTIA, OpenAI’s in-house project – and now a mystery $10B customer. Add in Ethernet networking dominance with Tomahawk and Jericho, and Broadcom is becoming the ‘other Nvidia’ in the datacenter AI stack.

Marvell (MRVL)– the ‘junior’ Broadcom – provides custom application specific integrated circuits (ASICs) and merchant silicon for hyperscalers, plus strong positioning in AI networking and optics. 

Electronic Design Automation Kings

Every new XPU has to be designed with electronic design automation (EDA) tools. Whether GPU or XPU, Cadence (CDNS) and Synopsys (SNPS) sell the picks and shovels for every new AI chip project.

Leaders of Foundries & Packaging

Custom silicon doesn’t grow on trees. Taiwan Semiconductor (TSM) is the foundry-of-choice for every hyperscaler chip. Advanced packaging (2.5D/3D stacking, Chip-on-Wafer-on-Substrate (CoWoS) alternatives) is mission-critical for XPUs – which spells growth for Amkor (AMKR) and ASE (ASX).

Networking & Optical Champions

AI compute is useless without networking. Arista (ANET) dominates Ethernet switching, which is winning ground against InfiniBand in AI clusters. Coherent (COHR), Lumentum (LITE), and Fabrinet (FN) supply the optical engines that tie GPUs and XPUs together at blazing speeds.

Equipment Makers

The more diverse the chip landscape, the more complex the wafer starts. Every new, more compact design means more EUV lithography, etch, deposition, and inspection. ASML (ASML), Applied Materials (AMAT), Lam Research (LRCX), and KLA (KLAC) are the silent winners within this niche.

Dominant Hyperscalers

While not direct semiconductor plays, the economic leverage for titans like GOOGL, META, MSFT, AMZN, and AAPL is enormous. Custom XPUs mean lower AI costs, higher margins, and deeper ecosystem lock-in. That’s why Wall Street cheers every new chip rumor out of these companies.

Bottom Line: Broadcom Is Becoming the XPU Kingmaker

Broadcom’s quarterly earnings presentation was a fireworks show. 

AI revenue is up 63%, with strong fourth-quarter guidance pointing to continued outperformance ahead. 

And the ultimate kicker? A $10 billion custom AI chip deal, poised to cement the company as the kingmaker of the XPU era.

This is the future. GPUs aren’t going away – but we believe the days of the AI market being a one-horse race are numbered. 

With hyperscalers leaning in to custom-built chips, tens of billions of dollars are about to shift into new hands across the semiconductor value chain.

The smart money will follow that flow. And Broadcom may have just handed us the clearest roadmap to profits yet.

As it happens, XPUs will be vital to a particular corner of the market where we see outsized potential over the coming years… Humanoid robotics.

Think about bots like Tesla’s (TSLA) Optimus. To walk, grasp, and respond to human speech in real time, they need split-second inference at ultra-low power. GPUs are too bulky, too hot, and too costly. Only custom XPUs can deliver the efficiency and precision that make humanoids viable at scale.

That’s why we believe the rise of XPUs is inseparable from the rise of robotics. And as Big Tech tackles the need for custom chips, it’ll throw the Robotic Revolution into overdrive. 

One overlooked supplier, already building the critical components Optimus depends on, could be the biggest beneficiary of that shift. And investors who understand this link today could be positioned for outsized gains as the robot economy moves from prototype to trillion-dollar reality. 

Learn the name of this little-known supplier before Wall Street catches on.

Regards,

Luke Lango, Hypergrowth Investing

The post Broadcom’s $10 Billion Mic-Drop: A Turning Point in AI Investing appeared first on InvestorPlace.

Almost every multimillionaire investor I know has their version of “The One” – a single investment that built much of their wealth. 

Several family friends purchased Sun Microsystems in the 1980s after Sun’s cutting-edge workstations left a major impression. 

Others built their wealth from commodity stocks… semiconductor makers…. and I stumbled on airlines after the financial crisis. 

Most famous investors also have their version of “The One”… 

• Phil Fisher bought Motorola Solutions Inc. (MSI) in 1955 when it was just a radio manufacturer. 
• Warren Buffett’s partnership got an early boost with American Express Co. (AXP) in 1963. 
• SoftBank Group Corp.’s (SFTBY) Masayoshi Son invested $20 million in Alibaba Group Holding Ltd. (BABA) back in 2000. 

And that’s why identifying and buying stocks that can rise 1,000% or more are so essential. These are the kinds of investments that can turn $100,000 into $1 million… or a $10 million portfolio into a $100 million one. 

It’s how outstanding wealth is truly made. 

The best part is that these stocks are not necessarily risky. 

Last week here, I highlighted Tronox Holdings Plc (TROX), one of the world’s largest producers of titanium dioxide (TiO2), the white pigment used in paints, lubricants, and even toothpaste. There is no replacement for this essential material. 

That means a current down-cycle of TiO2 prices will eventually reverse, pushing Tronox back into the $20 range – a 4X return. Shares have already risen 25% since I highlighted it. 

Now, global macro investing expert, �������°�, has created a quantitative system that finds stocks with even greater potential. It’s a process that helps investors find “The One” investment by seeking out high-quality stocks that are “down a lot, up a little,” and fulfill several other “10X Factors.” 

This system is called Apogee, and it’s already identified several companies with 1,000% upside. 

In a special presentation he held this week, Eric goes into how Apogee works, and how it can help you find “The One” investment of your own. If you haven’t had a chance yet, I highly recommend you take a look. 

Click here to watch the replay.

The best part is that these companies are far less risky than you might expect. These are medium- and large-cap firms with excellent underlying businesses where shares have fallen from factors beyond their control. Think of companies like Nvidia Corp. (NVDA) and Apple Inc. (AAPL) after a major selloff. 

Meanwhile, to give you a sense of the power of this system, I’d like to suggest two more companies that have “fallen a lot, risen a little,” and are far safer than most investors might believe. 

Let’s jump in… 

A Potential Buyout 

It’s been a tough half-decade for biotech companies. The Biden administration passed legislation to slash drug prices, and the Trump administration has since pulled billions of dollars in funding from the industry. 

This one-two punch has sent shares of gene-editing firm Intellia Therapeutics Inc. (NTLA) into single-digit territory. In April 2025, shares hit an all-time low of $5.90, representing a 97% decline from their 2021 peak of $202. 

Yet, this promising biotech firm has all the signs of a 1,000% winner by fulfilling Apogee’s “down a lot, up a little” investment criteria.  

Since April, shares have doubled to $12 after the company announced positive three-year data from a crucial Phase 1 trial of Ionvo-z, a drug designed to combat hereditary angioedema. This genetic disorder affects roughly 1 in 50,000 people worldwide, and analysts believe Ionvo-z could generate peak sales of $1 billion as a result. The follow-up data showed that the 10 patients in the trial saw a 98% improvement in their conditions – a highly compelling sign. Lonvo-z is now well in Phase 2 trials and could reach the market as early as 2028. 

The company is also making progress on its Phase 1 study of nex-z, a separate gene-editing therapy to combat hereditary transthyretin amyloidosis. This rare disease also affects 1 in 50,000 people worldwide. However, that number can reach as high as 1 in 20 in certain populations, which makes this a potential $2 billion-per-year therapy. Nex-z is anticipated to launch by 2029. 

Analysts give these two drugs a 35% and 40% chance of regulatory approval, respectively. 

That means Intellia could be worth $10 billion to $15 billion by 2030 if either of these therapies are successful, giving it 1,220% upside from its current $1.2 billion market capitalization. 

In addition, Intellia has significant backing from established biotech firm Regeneron Pharmaceuticals Inc. (REGN). The larger firm shares 25% of development costs and profits of the nex-z program, and it provides a pathway for commercialization and marketing if the drug is approved. 

So, even though Intellia remains risky as an early-stage biotech, the company now has several proven gene-editing therapies in its pipeline and trades at a fraction of the price of its former self. 

The Chinese Robotaxi Play 

The Chinese auto market has become almost unrecognizable to most Americans. After years of cutthroat competition, many Chinese models are now cheaper, faster, and better than anything found in the United States. 

The Xiaomi SU7 Ultra, for instance, retails for just $73,000 and offers 1,500 horsepower – roughly what a $4 million Bugatti Chiron can produce. Meanwhile, the “budget” $22,000 XPeng Mona M03 EV comes with two radars, seven cameras, and 12 ultrasonic sensors to support an advanced self-driving mode. 

The modern “budget” Chinese EV

That’s why Chinese firms are also surging ahead in robotaxis – a technology enabled by advanced automobile manufacturing. Recent estimates suggest the number of self-driving taxis on Chinese streets eclipsed those in the U.S. earlier this year. Some analysts even believe China could have 4 million robotaxis on the road by 2030, a 1,600-fold increase from today. 

That creates enormous potential for WeRide Inc. (WRD), China’s largest pure-play robotaxi firm.  

The company was founded in 2017 by the former chief scientist of Baidu Inc.’s (BIDU) autonomous driving unit and has since become China’s second-largest provider of robotaxi services behind its more diversified rival, Baidu’s Apollo Go. In fact, the company was flagged back in August by InvestorPlace Senior Analyst Luke Lango’s quantitative Nexus system, a short-term trading system designed to identify stocks to buy over the next 30 days. 

Here’s what I said at the time: 

On August 21, WeRide unveiled one of its most ambitious projects yet: a one-stage, end-to-end advanced driver assistance system (ADAS) created in conjunction with Bosch, a leading supplier of components and systems to automakers… 

The opportunity here is vast. Many traditional automakers lack the programming talent to build self-driving technologies, and WeRide’s partnership with Bosch provides a compelling alternative. WeRide could eventually become its own “Tier 1” auto components supplier.   

Recent moves in WeRide’s stock price now give it the “down a lot, up a little” pattern that Eric’s longer-term Apogee system seeks out. Shares of this promising firm have now risen 60% from its April lows, reversing a massive 86% drop from earlier in the year. 

That means further long-term gains are likely for this high-potential stock. WeRide is already aggressively expanding beyond China’s borders into the Middle East and Europe – geographies where even Alphabet Inc.’s (GOOGL) Waymo has lagged. This means the Chinese firm could beat Western heavyweights at their own game.  

If all goes well, the company’s $2.6 billion valuation could have a 1,000% upside through 2030. 

The Secret to 1,000% Gains 

The best competitive anglers seem to have a “second sense” of where to cast their lines. Years of practice mean they know almost exactly where large fish tend to feed during specific times of day, even without the help of fishing radars. 

It’s why “boater” tournaments (where anglers power their own vessels) typically reel in twice the catch of “co-angler” competitions, where fishermen sit off the back of a boat captained by someone else. Boaters seek out the best fishing spots. 

In fact, the Phoenix Bass Fishing League competition at Kentucky Lake earlier this week saw the winning boater reel in 34 pounds of fish. Meanwhile, the top co-angler brought in only 13 pounds. 

Investing in 1,000% stocks works the same way. Once you know where to fish for these companies, it’s difficult not to reel in big catches. 

That’s the strategy �������°� has been using for over three decades to find over three dozen “granders” that have risen 1,000% or more. These picks include: 

• TotalEnergies SE (TTE): +1,489% 
• Adidas AG (ADDYY): +1,622% 
• Westpac Banking Corp. (WEBNF): +5,941% 

Now, Eric has distilled his intuition into a set of rules that power Apogee, his quantitative system designed to seek out these rich waters. Think of it as a fishing radar for 1,000% stocks. The system helps find where the best companies are hiding and creates opportunities to land “The One” investment of a lifetime. 

One of these factors is the “down a lot, up a little” strategy I’ve highlighted today. These are companies that have fallen far from their peak, creating enormous upside potential. Then they rise a little, signaling that a turnaround is underway. 

In a recent special presentation, Eric outlines eight other factors that make Apogee possible… and reveals five free stock picks that he and the system have already identified. 

Click here for all the details.

Until next week, 

Thomas Yeung, CFA 

Market Analyst, InvestorPlace 

Thomas Yeung is a market analyst and portfolio manager of the Omnia Portfolio, the highest-tier subscription at InvestorPlace. He is the former editor of Tom Yeung’s Profit & Protection, a free e-letter about investing to profit in good times and protecting gains during the bad.

The post 2 More Stocks With 1,000% Upside  appeared first on InvestorPlace.

Elon Musk is betting his legacy on robots.

The Tesla (TSLA) CEO has built the world’s most valuable EV company, the most successful private space firm, and one of the most disruptive energy businesses. Yet Musk says none of those are his greatest achievement… 

Instead, he believes Tesla’s humanoid robot, Optimus, could soon surpass even the iPhone as the most valuable product in history. 

Unlike a car, Optimus isn’t confined to four wheels. Powered by Tesla’s AI ‘brain’ and Full Self-Driving (FSD) tech, it can walk, lift, assemble, cook, clean, and – most importantly – learn. 

In fact, the robot is already at work inside Tesla factories and even serving guests at Tesla’s Diner in Hollywood. And Musk has promised thousands more will be manufactured this year, with sales to businesses and, eventually, consumers right around the corner.

On a recent call, Musk made his ambition plain: “Optimus will be the overwhelming majority of Tesla’s value… with the potential to generate over $10 trillion in revenue.”

This is Musk’s clearest signal yet that he sees humanoid robots – not EVs, rockets, or social media – as the technology that will define the future.

Could Musk’s Bot Outshine the iPhone?

We feel that the stars are aligning in a way that could catapult humanoid robots into the center of American industry, policy, and everyday life faster than anyone expects.

AI is evolving fast. For example, back in September 2024, most AI models averaged between 80 and 93 IQ, as measured by TrackingAI. Today, most fall between 90 and 140 (including Grok 4 of Musk’s own xAI). And that’s within less than a year!

Pair that level of intelligence with a humanlike machine body, and you have the blueprint for an unlimited, round-the-clock labor force. No sleep, wages, lunch breaks, or benefits – just productivity.

That’s a future Musk is actively building. And it’s why we think Optimus could be the most disruptive product ever launched.

This is a machine that could perform warehouse work, manage inventories, assist in factories, restaurants, and homes, patrol and secure properties, perform elder care and domestic duties…

At scale, it could easily supplement, even replace, human labor throughout the entire global economy.

Humanoid Robots: A Labor-Disrupting, Economy-Transforming Force

Let’s be real: This isn’t just a digital assistant that lives in your pocket like Siri. 

With humanoid robots, we’re talking about a physical personal assistant with a tangible impact – a potentially labor-disrupting, economy-transforming force gearing up to go mainstream.

Think about it. From steam engines to semiconductors, every major technological leap has reshaped the workforce in ways that were hard to fully grasp at the outset. 

During the Industrial Revolution, machines replaced hand-weavers, leading to the collapse of entire ‘cottage industries’ almost overnight. 

In the 20th century, Henry Ford’s assembly line made cars accessible to the masses – while also redefining labor itself, breaking skilled work into repetitive, specialized tasks. 

And as we’ve seen most recently, digital tools introduced to cut costs and boost efficiency have hollowed out sectors across the labor market. Spreadsheets and enterprise software have replaced swaths of bookkeepers and administrative assistants. Email and databases have streamlined office workflows that once required dedicated secretaries and file clerks.

In our view, humanoid robots represent the next great technological leap that will change the labor calculus entirely. 

Just as tractors once transformed agriculture and displaced millions of farmhands, these machines could reshape employment as we know it.

The Final Word on Elon Musk’s Biggest Bet Yet

Every labor shock in history has wrought destruction… and reinvention. 

History tells us not to ignore these shifts. When the tools change, so does the world.

And with the Robotics Revolution on the horizon, there may be no telling how vastly our world changes – or how quickly.

One company in particular seems poised to take the crown in this race. With Optimus taking center stage, Tesla is this industry’s clear front-runner.

Though, as we saw during industrial booms of the past, buying into the big-name stock isn’t the only path to hefty gains.

Take the PC boom of the 1990s.

Everyone was watching Dell (DELL), Compaq, and Apple (AAPL). But huge windfalls also came from the companies behind the scenes – the little-known suppliers helping bring the tech to life.

• Intel (INTC), microprocessor supplier, surged more than 10,000% between 1986 and ‘99.
• Microsoft (MSFT), whose software powered the machines, saw ~97,000% returns during that same time.
• And Applied Materials (AMAT), which made the tools that made the chips, jumped nearly 19,000%.

Or how about the dot-com boom?

Most investors chased names like AOL or Yahoo… but the infrastructure providers were also wealth-minters.

• Cisco Systems (CSCO), which powered the internet’s plumbing, rose about 35,000% from its early days to its peak.
•  Qualcomm (QCOM), a wireless infrastructure enabler, popped about 6,000% between 1995 and 2000.

Today, Tesla’s in the spotlight as it drives the robotics industry forward.

If Musk is right, Optimus won’t just change Tesla… it will change the entire economy. And history shows the biggest windfalls don’t always go to the headline company – they go to the suppliers behind the scenes.

P.S. You can stay up to speed with Luke’s latest market analysis by reading our Daily Notes! Check out the latest issue on your Innovation Investor or Early Stage Investor subscriber site.

The post How Musk’s Optimus Could Create a New Investing Boom appeared first on InvestorPlace.

A lot has changed since 1992.

We’ve gone from CD players to Spotify, from paper maps to GPS.

But some things (excluding grunge flannels) have cycled back… like major market moves for certain companies.

Like Oracle Corp. (ORCL).

On Wednesday, the company posted its biggest surge since 1992, jumping almost 40%. That came after Oracle announced blowout guidance during its second-quarter earnings call after the close on Tuesday.

Now, Oracle may be a legendary tech “old-timer,” but thanks to savvy, forward-looking strategic planning, it has become a dynamic AI play. For starters, it provides industry-leading cloud infrastructure solutions.

As such, Oracle importantly falls into the first of four investing categories that I use to filter and group stocks…

• AI Enablers
• AI Builders
• AI Appliers
• AI Survivors

This sorting method has become increasingly crucial for investors, as we need to view every new opportunity through the lens of artificial intelligence.

This critical lens has led me to AI winners… including the now “on fire” Oracle.

So, in today’s Smart Money, I’ll detail why Oracle is set to continue on its multiyear course of outsized gains.

Then, I’ll share a free stock pick flagged by my new Apogee system. It, of course, falls into one of my four key AI categories…

And it has the potential to reach 1,000% gains.

Let’s dive in…

From “Old-Timer” to World-Class AI Play

Before I go on, it is important to note that Oracle’s earnings came in slightly under Wall Street’s expectations.

Earnings of $1.47 per share came in just shy of the $1.48 per share that analysts expected. Revenue of $14.93 billion fell short of the expected $15.04 billion, although it increased 12% year-over-year from $13.3 billion.

But its second-quarter guidance solidified investors’ confidence. The company’s remaining performance obligations (contract revenues not yet recognized) increased by 359% to $455 billion.

The jaw-dropping portion of Oracle’s earnings report was the company’s guidance that annual cloud infrastructure revenue would skyrocket from $10 billion currently to more than $140 billion by 2030. In fact, this latest guidance now puts it on track to eclipse Google Cloud’s size by 2030.

Oracle’s cloud infrastructure business is a vital component in AI’s development. But Oracle does not develop AI models internally, making it an attractive cloud computing partner for firms like OpenAI that are understandably hesitant to rely on rivals like Alphabet Inc. (GOOG) or Meta Platforms Inc. (META).

Additionally, Oracle’s small but fast-growing healthcare solutions business could deliver surprisingly strong long-term growth, fueled by AI.

Oracle Health, the company’s healthcare division, announced the launch of the Oracle AI Center of Excellence for Healthcare on Thursday, which delivers resources to health systems and hospitals to deploy and optimize AI across their organizations.

When his company acquired its healthcare division after purchasing Cerner three years ago, cofounder Larry Ellison outlined a compelling plan to build a new generation of modern, secure healthcare information systems. He detailed specific benefits he expected to deliver…including enhanced AI models for researchers and drug developers.

So, Oracle has clearly transformed into a world-class AI cloud computing play.

It is a world-leading “AI Enabler,” or a company that supplies the physical materials and infrastructure required to build and operate AI systems.

We’re still in the early days of these technologies, and demand for AI computing power will only rise from here. That gives Oracle even further room to run.

I first recommended Oracle to my Fry’s Investment Report subscribers exactly one year ago. Since then, it has climbed over 80%. And I expect the stock to continue on its multiyear course of outsized gains.

Now let’s dig into where we can find potentially even bigger winners…

From Big to Bigger Gains

Rather than creating AI technologies themselves, enabler companies like Oracle support AI’s explosive growth from behind the scenes.

There are also “AI Builders,” companies that let you invest directly in AI (think chip companies),and “AI Survivors,” or “untouchable” companies resilient to AI’s disruption.

Then, there are “AI Appliers,” which are stealth AI stocks successfully integrating AI into existing business models.

My new stock-picking system, Apogee, recently identified a company in this last category.

It is Montrose Environmental Group Inc. (MEG).

Montrose is a pretty small company, with around a billion dollars in market cap. But its business model is strong. It helps companies cut through government red tape when it comes to environmental policies. Montrose uses AI and machine learning (ML) in its operations, like environmental monitoring and data analysis.

I am sharing this company with you today because it passed all 10 of Apogee’s “10X Factors.” That means it has the potential to achieve 1,000% gains.

So, it’s a new signal primed and ready to go.

In my recent 10X Breakthrough presentation, I go into more detail on Apogee’s 10X Factors and explain how I use them to spot 1,000% winners in advance.

Plus, during the broadcast, I also teach you how to access a total of three special reports that include nine investment plays on their way to 10X gains.

Simply click here to watch my new, free broadcast.

Regards,

�������°�

The post Oracle Delivered Big… but This Stealth AI Stock Could Deliver Even Bigger appeared first on InvestorPlace.

In ancient mythology, the phoenix was a bird that died in a blaze but rose from the ashes to become more beautiful than ever.

The idea of coming back from near-total destruction is appealing, and many of the stories we know about success have a phoenix-like element to them.

For example, Thomas Edison failed hundreds of times to invent a viable light bulb before finally succeeding.

Winston Churchill’s political career was considered over until the start of World War II. He subsequently went on to become Prime Minister and became a symbol of England’s determination to win the war.

Steve Jobs was forced out of Apple in 1985, only to return more than a decade later to take Apple to new heights.

Or consider George Foreman, who returned from retirement at the age of 45 to again become the heavyweight champion of the world in boxing.

The phoenix story captures a simple truth: sometimes the path to extraordinary heights begins with a plunge. What sometimes looks like the end, might just be a new beginning.

Stocks too can experience that same trajectory. Often, a stock that looks like no more than a pile of ashes can make a comeback – and make foresighted investors rich.

Global macro analyst �������°� has specialized in finding these stocks. He calls the pattern “down a lot, up a little.”

This pattern has been a key part of Eric’s methodology. It’s also been part of the 41 recommendations Eric has made that eventually surged more than 1,000%. And now, he has developed his first ever quant stock picking system – based on the shared fingerprints of those winners – to help deliver more of those returns to his subscribers.

How to Buy the Dip for Bigger Gains

Buying stocks that have gone down is an idea every investor knows. For most people it’s a concept known simply as “buy the dip.”

You can look at a chart of any stock, even the world’s biggest winners, and see times when the price dipped, offering investors a chance to get in a little more cheaply.

For instance, Netflix (NFLX) has had several dips over the last year.

Just a quick glance at that chart shows opportunities in January, March and April when investors could have taken advantage of short-term declines in to get in on the relentless grind up.

Unfortunately, many investors don’t buy the dip correctly. They buy into weak companies that never recover. Or they succumb to recency bias and never buy a great stock, out of fear that the downward trend will only continue.

Eric’s strategy is different.

What Eric looks for is an extreme version of “buy the dip.” Not a 5% or 10% pullback, but stocks that have been beaten down by 40% or even more. To the average investor, these companies look finished – just ashes, like the phoenix at the end of its life.

Mining company Freeport-McMoRan (FCX) is a great example. The stock got crushed during the commodities market collapse in the late 1990s, as you can see below.

You might remember that copper prices had collapsed. FCX dropped more than 70%, and investors wanted nothing to do with mining companies.

But then, the stock began to recover. Eric saw the “down a lot, up a little” pattern.

After doing more of his proprietary research, Eric recommended it to his subscribers. FCX went on to soar more than 1,000% over the next decade.

And now, for the first time, Eric has coded his analysis into a breakthrough system he calls Apogee.

Eric has spent the last five years, hundreds of hours of research and 5.2 million back-tests, to reverse-engineer his stock picking system.

Essentially, a set of simple but precise rules for identifying the stocks with 10X potential.

As you might imagine, one of those rules is the “down a lot, up a little” pattern we just saw.

But it’s not the only factor. When paired with other “10X Factors” Apogee identifies the opportunities that could be a launchpad for major long-term gains.

This isn’t about placing a bet on a little-known stock with great potential. During the back-tests, Apogee identified many stocks that are household names.

Earlier this week, Eric unveiled Apogee to the public. During the 10X Breakthrough event, he walked viewers through how the system recreates his thinking, and why now is the time to unveil it.

He also provided the names and tickers of five stocks that Apogee has already identified as having 1,000%+ potential. Eric calls one of them “Nvidia on Steroids.”

You can still catch the replay now, but the offer won’t be up after next week. So, I urge you to view the free event without delay by clicking here.

If you’ve ever wanted to see exactly how “Mr. 1,000%” finds his phoenix stocks — and get the names of five potential 10X opportunities — you must watch the 10X Breakthrough event before it disappears.

Enjoy your weekend,

Luis Hernandez

Editor in Chief, InvestorPlace

The post Down a Lot, Up a Little and 10X Winners appeared first on InvestorPlace.

Once left for dead as a failed SPAC trading at just $0.50, Opendoor stock has skyrocketed more than 20X in just two months. 

The turnaround has been fueled by retail investors, bold leadership changes, and a complete reimagining of the business around AI. 

Now Wall Street is asking: is this just another fleeting meme-stock spike – or the start of one of the most remarkable corporate transformations in modern history?

We think the latter…

The Rise of the Opendoor Army: Retail Investors Take Charge

Rewind to early July 2025, when Opendoor was basically a punchline.

The onetime iBuying pioneer had been reduced to a penny stock, trading for less than a buck after years of brutal losses, collapsing home volumes, and a balance sheet weighed down by money-losing inventory. Its market cap had gone from $20 billion at its SPAC peak to less than $500 million.

Then came Eric Jackson.

If you don’t know him, he’s a founding hedge fund manager at EMJ Capital. He got wrecked in 2022 after an anchor investor withdrew substantial funds during a tech downturn. But he redeemed himself with his legendary call on Carvana (CVNA), which went from $4 to $400 in just two years. 

When he says he sees a ‘100-bagger,’ people listen.

In July, Jackson tweeted that he had taken a stake in Opendoor and believed it could be his next 100-bagger. The internet took that and ran. Within days, thousands of retail traders piled in, and the ‘Opendoor Army’ was born.

At first, it looked like a classic meme-stock spike. OPEN sprinted from $0.50 to $3. Then $5. But as quickly as it came, the rally faded. By early August, Opendoor had slipped back below $2 after posting another ugly earnings report.

Everyone figured the meme trade was over.

Boy, were they wrong.

Opendoor’s Meme Stock Rally Becomes a Real Turnaround

The second act of this saga began when Anthony Pompliano – better known as ‘Pomp,’ the crypto influencer with millions of followers – disclosed that he had also taken a stake in Opendoor.

Suddenly, this wasn’t just Jackson. It was Jackson and Pomp, two widely followed internet investors both planting their flags on this struggling company.

The retail crowd doubled down. They didn’t just want the stock to go higher. They wanted to change the company itself, demanding:

And Opendoor actually listened.

In mid-August, then-CEO Carrie Wheeler abruptly resigned – the first domino to fall. Within weeks, the board was reshuffled. Rabois and Wu were invited back, with Rabois becoming Chairman. Former Shopify (SHOP) COO Kax Nejatian – a product visionary with a strong AI track record – was named CEO.

To top it off, Khosla Ventures cut a $40 million check to support the turnaround.

What started as a meme rally became a grassroots shareholder revolt that literally reinvented the company.

And the rocketed again, blasting past $10 for a 20X gain from its July lows.

The Original Vision: Reinventing Housing With iBuying

To appreciate what’s happening now, you need to remember what Opendoor was always meant to be.

Founded in 2014 by Keith Rabois, Eric Wu, and JD Ross, Opendoor’s mission was simple: make buying and selling homes as easy as buying and selling products on Amazon (AMZN).

The company pioneered ‘iBuying’ – offering instant cash offers on homes through its digital platform, then reselling those homes for profit.

The model worked… for a while. By 2019, Opendoor was moving nearly 19,000 homes annually and generating close to $5 billion in revenue. In its established metros like Phoenix, it was hitting 2% market share.

Bigtime VC Chamath Palihapitiya took it public via SPAC in 2020. The stock ripped to $40, and the valuation topped $20 billion.

Then came inflation, high interest rates, a frozen housing market – and the iBuying model broke.

Buying real estate in bulk works when home prices rise; but it’s a bloodbath when prices fall or stagnate. By 2022, Opendoor was fire-selling inventory, burning cash, and laying off staff. The stock cratered.

And by July of this year, OPEN looked dead in the water… until it was rescued by the Opendoor Army.

Opendoor’s New AI-Powered Business Model

These retail vigilantes aren’t just cheerleading. They’re re-architecting the business, giving it the foundation to endure and dominate.

The iBuying model made Opendoor a ‘hedge fund for homes’: buy inventory, hold, hope prices rise. That’s capital-intensive and risky.

The new vision? Make Opendoor the Citadel of homes.

Think about how Citadel works in equities. When you sell a stock, you’re often selling it to Citadel, who instantly flips it to another buyer. It doesn’t ‘hold’ the stock; it provides liquidity and earns a spread.

Opendoor can do the same in real estate – use AI algorithms to price homes in real time, provide instant liquidity to sellers, and match them with buyers. Only occasionally would it need to actually hold inventory.

That model:

• Leans on the company’s AI pricing expertise.
• Scales more efficiently.
• Operates with fatter margins.
• Dramatically reduces balance sheet risk.

This would transform Opendoor from a capital-hungry business into a capital-light platform.

Growth Potential: Market Share and Valuation Scenarios

Let’s run some scenarios.

• Baseline U.S. housing market: ~5.5 million homes sold annually. Average price ~$400,000; ~$2.2 trillion in transaction value every year.
• If Opendoor captures 5% market share: ~275,000 homes per year – roughly $4 billion in revenues, ~$500 million in earnings before interest, taxes, depreciation, and amortization (EBITDA) (assuming a 50-50 split between iBuying at 5% margins and AI market-making at 30% margins).
• 10% share: ~$8 billion revenues, ~$1 billion EBITDA.
• 20% share: ~$16 billion revenues, ~$2 billion EBITDA.

Now apply multiples. If Opendoor evolves into a software-style business with predictable margins, it could fetch 35X EBITDA – the going rate for premium software-as-a-service (SaaS) names.

That implies valuations from:

• $17.5 billion at 5% share. (~$25/share).
• $35 billion at 10% share. (~$50/share).
• $70 billion at 20% share. (~$100/share).

From today’s stock price, that’s anywhere from a 2.5X to 10X upside.

Why This Turnaround Has Real Momentum

Of course, we understand these are all hypotheticals. But three things make us confident this could evolve from fantasy into reality.

First, the energy driving this shift: The Opendoor Army isn’t just noise. It’s already forced a CEO change, reinstalled founders, and attracted VC backing. These investors are aligned, motivated, and loud. Retail energy has real power when channeled constructively.

Second, the talent: Kax Nejatian is not a meme CEO. He’s the real deal – a product and AI operator with Shopify and Facebook experience. With Rabois back as chairman, the leadership table is stacked with proven talent.

Third, the capital: With shares back above $10, Opendoor can easily raise hundreds of millions through a secondary. Combine that with Khosla’s $40 million and Wu’s reinvestment, and the runway is there to build.

Altogether, that’s the recipe for a real and lasting turnaround.

Though, clearly, the risks remain.

• The housing market is cyclical. If volumes stay frozen, even a better model struggles.
• AI pricing works at scale, but scaling trust in AI home valuations is tricky.
• Execution risk is massive. Transforming a company culture from balance-sheet heavy to software-light is not an overnight job.

And we can’t ignore history: most meme-stock-turned-fundamentals stories end badly. GameStop (GME) never became Amazon. AMC (AMC) never became Netflix.

But the difference here? Opendoor already has the infrastructure, the technology, and the data. It isn’t about building from scratch – it’s pivoting an existing platform.

The Future of Opendoor: Meme Hype or Lasting Transformation?

This is what makes Opendoor fascinating.

Most meme rallies are castles in the air: stock prices with no foundation. But Opendoor’s rally has created its own foundation. The Army forced out a CEO, installed a visionary operator, brought founders back, and attracted real VC money.

That’s a corporate rebirth. But now the hard part begins.

Changing management is one thing. Rebuilding a business model is another. Execution will take years, and patience will be tested. But for the first time in years, Opendoor has a real shot.

Maybe the Opendoor Army is right about this being a 100-bagger in the making. Or maybe it’s just another meme stock headed for the graveyard.

Either way, the next chapter of Opendoor is going to be one hell of a ride. And if the company does pull it off, the story we’ll tell in a few years won’t just be about a stock that went parabolic… it’ll be about the biggest business turnaround of all time.

Opendoor’s rebirth shows how fast fortunes can change when technology and capital collide. But as big as the housing market is, a different sector is boasting a trillion-dollar opportunity right now… humanoid robotics.

Tesla’s (TSLA) Optimus project is accelerating the race to put robots in every warehouse, factory, and household – and the suppliers making the critical components behind these bots could see monster profits. 

Early investors who spot these companies before ubiquity hits could be sitting on the kind of windfalls we haven’t seen since the dawn of the internet.

Discover the opportunity that could mint the next generation of 100-baggers.

The post Opendoor’s Rebirth: Can the Army Turn Meme Momentum Into Millions? appeared first on InvestorPlace.

Getting added to this index is a milestone. It signals that a company has not only grown large enough but also stable enough to stand alongside America’s most important businesses.

That’s why I’m excited to share some good news – three of my Growth Investor holdings will be added to the S&P 500 on Monday, September 22: AppLovin Corporation (APP), EMCOR Group Inc. (EME) and Robinhood Markets Inc. (HOOD).

I’ve been in the financial industry for over four decades. And it’s not every day that a company in one of my portfolios gets added to the S&P 500 – much less three.

Since this is such a rare feat, in today’s Market 360, we’re going to unpack why getting added to the S&P is a big deal. We’ll also talk about the underlying strength of these companies that made them worth picking over all the other companies on the market. And finally, since my Stock Grader system (subscription required) was able to find these winners ahead of the crowd – I’ll also tell you about how it’s helping me find the next big megatrend on the horizon.

Why Getting Added to the S&P Is a Big Deal

The S&P traces its roots back to 1923, when the Standard Statistics Company created its first stock market index of 233 companies. In 1941, the firm merged with Poor’s Publishing, forming Standard & Poor’s. Fast forward to 1957, and the modern S&P 500 was born.

Since then, it has become the most widely tracked index in the world. It’s considered a proxy for the U.S. economy. And because it’s market-cap weighted, large companies carry more influence than small ones.

For investors, it’s the key benchmark to measure performance.

That’s why inclusion in this index matters. When a stock joins the S&P, index funds have to buy in, pension plans follow and institutions take notice.

The addition to the S&P 500 should increase visibility with investors, as well as boost institutional buying pressure. So, all three stocks will likely meander higher in the upcoming weeks.

But here’s the thing – Growth Investor subscribers are already ahead of the curve. We didn’t need S&P inclusion to tell us these were winners. In fact, we’ve been enjoying some fantastic gains already, thanks to my Stock Grader system.

So, let’s take a closer look at these three companies, why we bought them and how they earned their spot in America’s most important index.

Three Growth Investor Winners in the Spotlight

EMCOR Group Inc. (EME)

EMCOR may not be a household name, but it’s a leader in mechanical and electrical construction, industrial services and energy infrastructure. The company is a key player in everything from data center builds to clean energy projects – areas that continue to see long-term investment.

The ravenous appetite for AI data centers, as well as EMCOR’s superior fundamentals, made it a Stock Grader “buy” well before Wall Street took notice.

We first added EMCOR to the Growth Investor Portfolio on Aug. 25, 2023, and the stock is up 186% since.

Now, the stock earns a B-grade from Stock Grader, which still makes it a “Buy.” And with S&P inclusion, institutions are catching up to what we already knew.

AppLovin Corporation (APP)

AppLovin operates a powerful software platform that helps app developers market, monetize and analyze their products. At the center is its machine-learning engine, AXON, which uses AI to optimize mobile ad placement and drive engagement.

As the advertising market rebounded in 2024, AppLovin’s business soared, sending shares sharply higher. Stock Grader picked up on the improving fundamentals and strong buying pressure, giving us the green light.

So, I recommended AppLovin to my Growth Investor subscribers on Feb. 28, 2024, and it has gained nearly 79%. For the record, the stock has an A-grade right now, making it a “Strong Buy.”

Robinhood Markets Inc. (HOOD)

Robinhood disrupted the retail brokerage model with commission-free trading and a slick mobile-first platform during the “meme stock” craze in the pandemic.

But the company has evolved well beyond stock trading. It’s now a major player in crypto, retirement accounts and more. It’s even moving into AI-powered research and custom trading strategies, thanks to its acquisition of the investment platform Pluto.

The company’s ambitions are lofty – it’s seeking to become an all-in-one financial solution for its users.

We added Robinhood to Growth Investor on Aug. 29, 2025, and it’s already up about 10%. It still has an A-grade in Stock Grader, making it a “Strong Buy.” And with millions of active users and a strong brand among younger investors, Robinhood is positioned to capture the next wave of growth in digital finance.

The Next Big Shift

Catching these three winners before Wall Street was forced to recognize them shows the power of Stock Grader. But the system isn’t just good at spotting individual companies – it also helps us identify tomorrow’s megatrends.

In fact, the biggest one I’m watching right now has to do with “upgrading” the dollar.  

See, on July 18, President Trump signed the GENIUS Act into law.

Among other things, this landmark legislation establishes a legal and regulatory framework for stablecoins.

Why should you care? 

Unlike volatile cryptocurrencies, these stablecoins are fully backed by U.S. Treasuries. And this “upgrade” could transform the way money moves in our economy – just like credit cards in the 1950s or mobile payments in the 2000s.

For this reason, many are calling these stablecoins “Trump Dollars” – or a new, digital form of the U.S. dollar.

This is not a niche experiment. Wall Street banks, payment giants and even retailers are already adopting the technology. And I believe it could unleash a multi-trillion-dollar boom.

I should also add that there’s a reason why this has the full backing of the Trump administration. These digital dollars, fully backed by Treasuries, are designed to fight inflation, restore dollar dominance and create massive new demand for U.S. debt.

How You Can Profit

Now, Robinhood is one of our plays on this shift, but it’s not the only one. My research has uncovered other A- and B-grade stocks tied to this megatrend – companies that could deliver outsized returns as the dollar upgrade rolls out.

In fact, thanks to the power of Stock Grader, we developed an entire widget that tracks them.

It’s called the Stablecoin Opportunity Tracker, and it covers 35 companies tied to the stablecoin revolution.

I’ve put together all the details in a special briefing on the dollar upgrade, so you can see how to position your portfolio for what could be the most important financial shift of our lifetimes.

Click here now to learn how to access my special research briefing.

Sincerely,

�������°�

Editor, Market 360

The Editor hereby discloses that as of the date of this email, the Editor, directly or indirectly, owns the following securities that are the subject of the commentary, analysis, opinions, advice, or recommendations in, or which are otherwise mentioned in, the essay set forth below:

AppLovin Corporation (APP), EMCOR Group Inc. (EME) and Robinhood Markets Inc. (HOOD)

The post Three Fresh S&P 500 Stocks – And One Even Bigger Shift Ahead appeared first on InvestorPlace.

On Wednesday, Oracle Corp. (ORCL) surged 38% after the company announced blowout guidance. It was the tech company’s best single-day performance since 1992.

As we covered in the Digest, the company reported $455 billion of orders – up 359% from a year earlier. Analysts were expecting around $180 billion.

But while that eyepopping number got all the attention, Oracle’s quarterly earnings figures missed Wall Street expectations.

Is this a sign of the top?

Missed earnings with aggressive forward guidance echo Oracle’s dot com boom/bust when expectations of massive revenues never materialized, leaving Oracle’s inflated stock price with nowhere to go but down.

But maybe it’s not that extreme…

After all, Oracle doesn’t have to be on the edge of a crash to be a poor investment. An inflated valuation can mean a stock meanders sideways for years, returning 0%.

Here’s how our macro investor expert �������°� just described buying an overvalued stock:

Inhale.

Now, without exhaling, try breathing in again.

That second breath is what buying high-priced companies feels like to institutional investors.

These professional analysts have years of experience, and they know that inflated stocks will struggle to become even more inflated.

Eric recommended Oracle to his Investment Report subscribers almost one year ago to the day (they’re up 85% as I write Friday).

Here’s his quick post-surge commentary to his subscribers about what to do with Oracle:

Sudden price jumps of this size often accompany a ringing of the cash register.

After all, profits are always wonderful to lock in. (Besides, Oracle’s earnings results did include a slight revenue and earnings miss.) 

But I recommend continuing to hold on to Oracle, as it has become no ordinary company. 

Earnings potential is part of what Eric focuses on when he looks for his next 1,000%-returning stock.

I write “next,” because he’s already dug up 41 of them (and countless triple-digit returning stocks) over his three-decade investment career.

As we’ve been highlighting this week in the Digest, Eric just released Apogee, his first ever quantitative stock-picking system. It’s engineered with the goal of identifying and quantifying the common traits, such as earnings potential and valuation, that characterize Eric’s 10-bagger recommendations.

For example, Eric wants a “just right” valuation – not overpriced, but not a distressed bargain either. The stock should be attractively undervalued and primed for growth.

And as to growth, Eric looks for a business that’s expanding at a healthy, sustainable pace, with steady revenue and profit gains – strong enough to drive a rally without risking burnout.

Eric’s original “buy” recommendation for Oracle had shades of both “fingerprints”:

[Investors might still be underestimating [Oracle’s] technological prowess and long-term earnings potential…

The company may be a legendary “old-timer” of the technology sector, but thanks to savvy, forward-looking strategic planning, it has become a dynamic AI play… 

Because Oracle’s cloud infrastructure and its healthcare operations both provide comprehensive services to entire industries, the company should benefit from the overall growth of both AI and healthcare…

That makes Oracle an unequivocal “Buy.”

Even if we don’t know which LLM will come out ahead or which drugmaker will use GenAI to discover the next cure for cancer, it’s clear that Oracle will benefit. 

For the remaining three 10X traits from Eric’s live presentation on Wednesday, you can watch the full replay for free right here.

You’ll also get the names of five brand-new stocks the system has flagged as potential 10X opportunities.

Circling back to Oracle, here’s Eric’s bottom line:

Selling Oracle today would be completely premature. That’s like selling Nvidia at $50 or Apple Inc. at $80. 

We’re still in the early days of AI technologies, and demand for AI computing power will only rise from here. That gives Oracle even further room to run, and good reason for us to stay fully invested. 

The stock is set to continue on its multi-year course of outsized gains.  

This week, our technology expert Luke Lango has been attending the All-In Summit in Los Angeles. It’s an exclusive, high-profile conference hosted by the four venture capitalist hosts of the popular All-In Podcast.

Luke has been reporting his insights and takeaways in his Innovation Investor Daily Notes.

Day One dove into uranium and the nuclear renaissance. Day Two shifted gears to robots and Physical AI, with Luke telling us, “The robots are here now, and any potential tech bubble is still a ways off.”

And then came the grand finale…

The final day featured a powerhouse lineup – Elon Musk of Tesla, Alex Karp of Palantir, and Eric Schmidt (former Google CEO), wrapping up the conference on a high note.

According to Luke, Musk doubled down on his vision that Tesla’s humanoid robot, Optimus, will be “the biggest product of all time.”

Musk also gave an update on Starlink, highlighting his ambition to turn Starlink into a single global carrier.

Schmidt had a more urgent message for attendees.

From Luke:

He hammered home the importance of SLMs (small language models) alongside LLMs.

His warning? China is currently ahead in edge AI inference — a space the U.S. can’t afford to lose.

He called for more resources toward SLMs and edge AI applications.

Luke reports that Schmidt also highlighted space as the “next big economy” (he’s a backer of Relativity Space). And he dove deep into AI’s growing role in modern warfare, particularly drones.

Let’s go to Luke’s bottom line from the entire conference:

Optimism in tech is alive and well.

AI is at the center of everything, with Physical AI (robots, drones) emerging as the next big frontier. Space is hot again. And tokenization is gaining traction.

The common denominator is this: our portfolios are anchored in exactly the right themes. We’re in the right place at the right time.

If you’re not one of Luke’s Innovation Investor subscribers and you’d like to join to find out what’s in those well-positioned portfolios, click here to learn more.

Last Friday, shares of Broadcom (AVGO) soared after the company announced a new $10 billion customer, since revealed to be OpenAI.

But while the size of this deal is eye-catching, it isn’t the most significant detail.

From Luke:

[OpenAI] is ditching off-the-shelf GPUs and ordering custom-built AI chips (XPUs) instead.

That single disclosure marks the start of a tectonic shift in AI computing – away from Nvidia’s GPUs and into a new class of purpose-built accelerators.

This is a big deal.

For the last couple of years, Nvidia and its GPUs have ruled tech. But as AI grows smarter, the chips must change.

Back to Luke:

As AI models swell to trillions of parameters and tackle ever more specialized tasks, the blunt force of a general-purpose GPU won’t cut it.

The demand now is for chips as unique as the workloads themselves – and that’s why XPUs are set to take center stage.

XPUs are tailor-made accelerators designed for specific workloads. They also offer better performance per watt, lower costs, and tighter ecosystem lock-in than general-purpose GPUs.

Big Tech is betting heavily here, with Alphabet, Amazon, Microsoft, and possibly Apple all rolling out their own custom silicon chips.

For investors, this shift isn’t just a Broadcom story, there’s a wide circle of potential winners across the semiconductor value chain – and Luke just dropped the names.

As a starting point for your research, check out:

• Broadcom: the “other Nvidia,” with custom silicon and Ethernet dominance
• Marvell (MRVL): the smaller pure-play on custom chips and networking
• Cadence (CDNS) and Synopsys (SNPS): they sell the tools every new XPU needs
• Taiwan Semiconductor Manufacturing Company (TSM): the foundry of choice, plus Amkor (AMKR) and ASE (ASX) in advanced packaging
• Arista (ANET): a leader in Ethernet switching, alongside optical suppliers Coherent (COHR), Lumentum (LITE), and Fabrinet (FN)
• ASML (ASML), Applied Materials (AMAT), Lam Research (LRCX), and KLA (KLAC): equipment makers
• GOOGL, META, MSFT, AMZN, AAPL: the hyperscalers themselves

(Disclaimer: I own SNPS, COHR, LITE, ASML, GOOGL, MSFT, AMZN, and AAPL)

Here’s Luke’s bottom line:

GPUs aren’t going away – but we believe the days of the AI market being a one-horse race are numbered. 

With hyperscalers leaning in to custom-built chips, tens of billions of dollars are about to shift into new hands across the semiconductor value chain.

The smart money will follow that flow.

Lots of potential investments for you in today’s Digest.

Eric believes Oracle’s returns are just getting started (and there’s reason to believe it could be his next 10X winner) …

Broadcom is poised to be one of tomorrow’s biggest AI leaders as enormous revenues roll in…

And the entire XPU semiconductor value chain has brisk tailwinds at its back…

We’ll keep tracking these stories here in the Digest. In the meantime, invest accordingly.

Have a good evening,

Jeff Remsburg

The post Don’t Take Profits on This Big Winner Yet appeared first on InvestorPlace.

But you and I have a unique advantage: freedom. We can walk away from overfished waters and cast our lines where the real opportunities still swim.

That’s exactly what my colleague �������°� is highlighting in the essay below. He explains why sticking with Wall Street’s favorite megacaps could leave you with scraps… and how turning to overlooked stocks instead has led him to more than 40 different 1,000% winners.

Even better, Eric has just identified five new opportunities that fit the same mold. He shared them during his 10X Breakthrough event and the full replay is still available.

Read on for Eric’s take – then be sure to watch the replay and get all five names.

*

The Tanners Creek Super Tournament is a notoriously awful bass fishing competition.

The season-ending event is held annually on the Ohio River in late September and has become known as a “grinder tournament” for its challenging conditions and small catches.

In 2024, the co-winner hauled in less than seven pounds of fish during the first day of the event – roughly the weight of a single large bass during peak seasons. At least one major competitor is skipping the event this year due to “scheduling conflicts.”

A 1-pound, 2-ounce catch source

Today, many professional AI investors likely feel the same way about the stocks they own.

Since OpenAI launched ChatGPT in 2022, shares of just 10 AI-related companies, including Nvidia Corp. (NVDA), Meta Platforms Inc. (META), and Broadcom Inc. (AVGO), have driven almost two-thirds of the S&P 500’s returns. The average of these 10 stocks now trades for 57 times forward earnings, making future gains far harder to achieve.

We’re now late into the “fishing” season for these megacap AI stocks.

Unlike competitive anglers, most institutional investors cannot walk away from this investment “tournament” because their careers depend on continued involvement. No professional money manager would last long if they refused to put pension fund assets into Nvidia. In fact, these institutional investors have added another $1.3 trillion to these 10 firms in the past 12 months.

But you don’t have to.

Today, I’m going to explain why this freedom of choice is your investment “superpower.”

Plus, I’ll show you how avoiding Wall Street’s crowded trades opens the door to true 1,000% winners.

And how a new system I’ve built helps pinpoint exactly when those overlooked stocks are ready to run…

Your Freedom of Choice

Your investment “superpower” is the ability to walk away from a low-potential tournament and find somewhere with far higher prospects.

No one’s stopping you from leaving the Ohio River to catch 200-pound bluefin tuna in Southern California or 1,000-pound black marlin off the Great Barrier Reef (assuming you have the right fishing licenses).

By the same token, no one’s forcing you to buy shares of Nvidia when 1,000% returns are simply no longer available. There will be no angry stakeholder letters, no call from The Wall Street Journal, no pink slip from the floors above. (After all, no one can fire you as an individual investor.)

Instead, you can buy shares of companies that look unpopular at the time… and then enjoy the enormous upside their low prices present. These are companies like one firm I recommended to my paid subscribers just last week.

Shares of this off-price retailer have now fallen 46% since its 2023 IPO and are now worth just $2 billion – a rounding error compared to rival TJX Cos. Inc. (TJX) and its $156.76 billion market capitalization. That means this company can rise 1,000% and still be worth one-eighth of its larger rival.

That big move down was one of the factors that caused Apogee, my new quantitative system for finding potential 1,000% winners, to flag it. With Apogee, I’ve taken my decades of experience and turned it into a computerized, quantitative set of rules to find these hidden “granders.”

My team and I designed this new system by analyzing my 41 different recommendations that went on to generate gains of 1,000% or more – along with the many triple-digit winners I’ve recommended. And we identified the common traits among them.

We then turned those common traits – I call them the 10X Factors – into this new quantitative system. Back-testing Apogee against 14,000 stocks and 31 years of market history produced impressive results: a 72%-win rate and an average gain of 308% on those winners.

I debuted this new system on Wednesday’s 10X Breakthrough event.

I’ll tell you more about that event in a minute.

But first, to help demonstrate my – and now Apogee’s – method for finding 1,000% winners, I want you to take a deep breath…

When “Playing It Safe” Means Missing Out

Without exhaling, try breathing in again.

That second breath is what buying high-priced companies feels like to institutional investors. These professional analysts have years of experience, and they know that inflated stocks will struggle to become even more inflated.

Yet, their profession forces them to buy shares anyway. And they do so knowing their customers won’t grow rich through buying inflated large-cap stocks.

Meanwhile, a separate cohort of investors mint fortunes through buying companies that have “breathed out” (i.e., fallen in price) before mounting a recovery. These are independent-minded investors like…

• Warren Buffett in GEICO…
• Phil Fisher with Texas Instruments…
• John Neff buying Ford…

And that’s precisely the playbook I’ve used for decades to identify more than three dozen 1,000% winners, including Freeport-McMoRan Inc. (FCX)and Humana Inc. (HUM).

Don’t worry if you missed my live 10X Breakthrough broadcast — the complete replay is still available for free. In it, I explain the mechanics of Apogee, run a real-time demonstration, and unveil five stocks the system has pinpointed with 1,000% upside potential.

Check it out here.

After all, there’s no reason to settle for a 1-pound, 2-ounce striped bass when you can sail off and find black marlin “granders” elsewhere.

Good investing,

�������°�

Senior Investment Analyst, InvestorPlace

The post Where the Big Winners Really Hide appeared first on InvestorPlace.

Make no mistake: we are witnessing incredible breakthroughs. Oracle’s (ORCL) stock just skyrocketed 40% in a single day – its biggest jump since 1999 – on the back of AI optimism. OpenAI’s ChatGPT reached 1 million users in just five days, the fastest uptake of any app in history. Little wonder the All-In Summit convened visionaries from Elon Musk to Google’s former CEO Eric Schmidt to debate what’s next. 

I attended this year’s summit and came away convinced that a new tech boom is underway. But is this boom different from the late-90s bubble? It can be – if we play it right. The conference revealed five key trends that could transform industries and justify the hype, from AI moving into the physical world to a resurgence of nuclear power. If you’re a tech investor or professional, understanding these five themes is crucial. Listen as I break them down in this week’s episode of Being Exponential With Luke Lango – and keep that potential bubble in the back of our minds as we do:

Physical AI Takes Off: Robots, Cars & Beyond

The era of physical AI has arrived. AI is escaping the confines of computer screens and into the real world – think robots, self-driving cars, drones, even smart glasses. In fact, as I write this, I’m literally in a car with no human driver. Phoenix, AZ has become ground zero for autonomous taxis, where Alphabet’s Waymo operates a robo-taxi service that has already completed over 1 million fully driverless rides. 

At the summit, this trend was on full display. Uber’s CEO Dara Khosrowshahi spoke about deploying self-driving cars in ride-hailing, and the CEO of Google DeepMind highlighted advances in AI-powered robotics. The message was clear: AI is moving off the cloud and onto the street. From warehouse automatons to autonomous delivery drones, physical AI could revolutionize industries from transportation to manufacturing. For investors, this validates the excitement in companies enabling real-world AI – whether it’s autonomous vehicle leaders, robotics firms, or chipmakers providing the “brains” for these machines. After years of hype, tangible AI (you can literally ride in) is here, and it’s going to be very, very big.

The Inferencing Boom: AI Chips Shift to the Edge

Another huge theme was the coming shift in AI computing from training massive models to inferencing – i.e. deploying AI in everyday use. Until now, the spotlight has been on giant data-center chips (think Nvidia GPUs) crunching data to train AI. 

But as AI models are built, the next phase is running them efficiently in real time: in your phone, car, or smart device. Summit speakers like former Google chief Eric Schmidt and Arm (ARM) CEO Rene Haas hammered this point. Haas boldly predicted that the market for edge AI chips (which power on-device inference) could ultimately surpass the market for data-center AI chips. 

Even Chamath Palihapitiya – one of the All-In Podcast hosts – quipped that “inference is going to be 100 times bigger than training.” This inferencing boom means opportunity. Companies like Arm stand to benefit if every gadget needs a neural engine. Startups building specialized AI accelerators for smartphones, cameras, and IoT devices could become the next tech stars. 

The takeaway: the AI chip frenzy isn’t slowing down – it’s broadening. We’re moving from a world of a few big AI supercomputers to one where tiny AI brains are embedded everywhere, unlocking new capabilities on the edge.

Tokenizing the Wealth Creation (Wall Street 2.0)

One of the most intriguing (and contrarian) ideas at the summit was in finance: the tokenization of assets. Vlad Tenev, CEO of Robinhood (HOOD), revealed he’s working on a way to let everyday investors buy stakes in high-flying private companies by issuing tokenized shares. 

Imagine owning a slice of a pre-IPO unicorn like OpenAI or SpaceX – companies typically reserved for venture capital and big-money funds. Robinhood actually unveiled a pilot program to offer crypto-like tokens tied to stocks of firms like SpaceX and OpenAI. 

The concept is simple but revolutionary: take a $500 million private stake, tokenize it into digital coins each backed by a sliver of that stake, and let users trade those tokens freely. This could democratize access to the massive value being created in private markets. 

At the summit, even venture capitalist David Sacks (one of the All-In hosts) perked up at the idea. Of course, regulators will have a say – and indeed, OpenAI’s team has cautioned that these tokens aren’t actual equity. But if it clears hurdles, tokenization could blur the line between public and private markets, unlock liquidity in venture investments, and give retail investors a chance to ride the growth of the next Googles and Teslas before they go public. 

Keep an eye on this trend – it has the potential to turn Wall Street on its head (and yes, likely spark new regulatory debates).

Nuclear Power’s Comeback for AI

The future of AI isn’t just about software and silicon – it’s also about energy. Training AI models and running data centers gobble up astonishing amounts of power. Enter nuclear energy – specifically, small modular reactors (SMRs) – as a clean, high-density power source for our digital future. 

At the summit, U.S. energy leaders emphasized the pivotal role next-gen nuclear reactors could play in sustaining the AI boom. We’re not talking giant 20th-century reactors that take decades to build, but compact, modular reactors that can be deployed relatively quickly and safely. 

The U.S. Energy Secretary (who spoke at the event) highlighted that while natural gas will be a crucial bridge fuel in the near term, nuclear is the long-term solution to power-hungry AI infrastructure. This isn’t just talk: major tech companies are already exploring advanced nuclear options. The International Atomic Energy Agency notes that firms are actively looking to SMRs to provide clean, reliable 24/7 power for their data centers. 

It’s easy to see why – unlike solar or wind, nuclear plants (especially modular ones) can deliver constant power without carbon emissions. If AI is truly to reshape the economy, it can’t be running on fossil fuels and intermittent energy alone. That means today’s investments in SMR developers, nuclear tech startups, and even uranium suppliers could pay off in the AI era.

In short, the world’s nerdiest new industry (AI) may soon be married to its oldest misunderstood power source (nuclear).

The New Space Economy Lifts Off

Looking beyond Earth, the summit also shined a spotlight on the space economy. Former Google CEO Eric Schmidt, now involved with rocket builder Relativity Space, declared that space is the next big economy. 

Elon Musk made news at the event too, discussing how Starlink (SpaceX’s satellite network) just acquired cell spectrum to beam broadband directly to smartphones – effectively turning satellite constellations into orbital cell towers. We’re witnessing the convergence of space tech and telecom, as seen with companies like AST SpaceMobile launching satellites to connect regular phones from orbit. 

For investors, space is no longer sci-fi; it’s becoming a real market with revenues and soaring stock prices. In fact, space stocks are already having a moment. We’ve discussed small-launch rocket company Rocket Lab (RKLB), satellite-to-phone pioneer AST SpaceMobile (AST), and earth-imaging firm Planet Labs on our podcast before. Notably, Planet Labs (PL) just delivered strong earnings and its stock exploded ~48% in a week, hitting a 52-week high. 

The excitement is driven by real business – multi-year contracts for satellite imagery and government intelligence needs. The broader point: cheaper launches (thanks to reusable rockets and 3D-printed engines), plus the insatiable demand for data and connectivity, are fueling a new space race led by private companies. This isn’t the 1960s government-led space program; it’s nimble startups and tech giants pushing upward. The coming years could see an “AWS of space” emerge (providing infrastructure in orbit), space factories printing high-value materials, and ubiquitous global internet coverage. 

The summit made one thing clear: the final frontier is open for business, and it’s accelerating fast.

The Hidden Red Flag: Is Euphoria Outpacing Reality?

After two days of soaking in these game-changing trends, I left the All-In Summit feeling extraordinarily bullish about technology’s future. But I also felt a nagging concern – a red flag waving in an otherwise clear sky. As noted earlier, nobody on stage uttered the B-word: bubble. The word “valuation” was hardly mentioned. Everyone was so optimistic (dare I say greedy?) that it reminded me of the late stages of the 1990s tech rally. 

Back then, Oracle’s stock shot up 600% in a year during the dot-com frenzy – and then came crashing down to earth. Today we’re seeing similarly heady moments; Oracle’s $250 billion one-day value gain recently had market veterans asking if this is dot-com déjà vu. As one Wall Street strategist put it, “When I see market cap increases of this scale in a single day, I can’t help but think of 1999.”

Now, I’m not calling for doom and gloom. I fundamentally believe the trends above – AI, tokenization, nuclear, space – will create immense value (and I’m positioned to profit from them). But history shows that when everyone thinks the party will never end, that’s exactly when you get knocked off the cliff. A short-term correction or shake-out in tech would be natural, even healthy, to tamp down excess. 

My advice: enjoy the boom, but watch the shot clock. In practical terms, that means stay invested in the winners, but be tactical. Take some profits on crazy spikes, keep some cash ready to buy the dip, and don’t chase hype blindly. We’ll likely bounce back from any pullback – the long-term trajectory of these tech innovations is up and to the right. Just be prepared for a few hairpin turns along the way.

In summary, the All-In Summit gave us a thrilling peek into an exponential future – one filled with autonomous machines, smarter chips, democratized finance, cleaner energy, and a capitalist cosmos overhead. 

I’m as bullish as ever on these paradigm shifts and the companies at their forefront, from Palantir to Rocket Lab. But even as we charge ahead, I’m keeping one foot on the brake. The lesson of 1999 looms: trees don’t grow to the sky, and no boom goes endlessly unchallenged. By staying both optimistic and vigilant, we can ride this exponential wave and come out on top when the tide eventually ebbs. 

The biggest shifts in markets are unfolding … are you prepared?

The post 5 All-In Summit Tech Trends Driving the Next Boom appeared first on InvestorPlace.

We dodged the “too hot to cut rates” inflation bullet.

This morning’s Consumer Price Index (CPI) report showed that prices climbed 0.4% in August. While that was slightly greater than the 0.3% forecast, it wasn’t hot enough for heartburn on Wall Street, especially because the year-over-year figure matched expectations, coming in at 2.9%.

Core CPI, which strips out volatile food and energy prices, edged 0.3% higher in August. That put the 12-month increase at 3.1%. Both numbers came in as expected.

Here are more details from CNBC:

[The CPI’s] biggest gain from a 0.4% increase in shelter costs, which account for about one-third of the weighting in the index.

Food prices jumped 0.5%, while energy was up 0.7% as gasoline rose 1.9%, likely indicating tariff impacts on prices.

While that headline month-to-month reading was slightly hotter than expected, Wall Street is brushing it off because of a surprise increase in weekly unemployment compensation filings.

For the week ending September 6, weekly unemployment filings jumped to 263,000, topping the forecast for 235,000. This is the highest reading in nearly four years.

So, with worse than expected unemployment filings outweighing slightly hotter inflation, that leaves us where we were yesterday…

All systems go for a rate cut next Wednesday.

Now, that above-forecast 0.4% monthly CPI gain essentially shuts the door on a half-point interest rate cut, but according to legendary investor �������°�, the size isn’t the main story anyway…

To make sure we’re all on the same page, the dot plot is a visual representation of where each FOMC member projects the fed funds target rate will be over the next two-to-three years.

Updated quarterly, it’s part of the Summary of Economic Projections (SEP) that contains forecasts from FOMC members on key economic indicators like GDP growth, inflation, and unemployment.

Here’s Louis from his Growth Investor Special Market Podcast yesterday:

The big news is not so much the Fed’s rate cut on next Wednesday. The big news is going to be the dot plot and how many rate cuts do we have to come.

So, before the PPI, Wall Street was expecting three. Now they’re probably expecting four.

So, we shall see.

This dot plot is especially significant because Fed members are caught in a tug-of-war today.

On one side, inflation has proven stickier than the Federal Reserve would like, as this morning’s CPI data shows. The latest 2.9% annual reading means we’re running nearly 50% higher than the Fed’s 2% inflation target.

On the other hand, the labor market is softening fast. As we’ve covered here in the Digest:

• Recent jobs numbers are concerning,
• The unemployment rate has crept to its highest level since 2021,
• And the latest unemployment filings show continued weakening.

Now, it’s clear that the Fed is finally shifting toward prioritizing labor-market weakness. Here’s Federal Reserve Chairman Jerome Powell from his speech at Jackson Hole in August:

With policy in restrictive territory, the baseline outlook and the shifting balance of risks may warrant adjusting our policy stance.

But to what extent will the Fed move given that inflation hasn’t fully come to heel?

That’s what we’ll find out in the dot plot.

If Louis is right and the updated projections show four quarter-point cuts coming, it would be supportive for stocks – as long as Wall Street continues to believe the damage in the labor market hasn’t gone too far, too fast.

As veteran trader Jonathan Rose reminds us, the bond market has a voice of its own – and just because the Fed might be cutting rates, that doesn’t mean bond traders will play along.

Backing up, after the longest inversion in history, the yield curve has finally flipped back into positive territory. Some see that as a green light for the economy, while others view it as calm before the storm. Whatever it is, it’s not insignificant.

As Jonathan writes in Saturday’s Masters in Trading: Live update:

It isn’t noise, it’s the market’s smoke alarm.

Through the fed funds rate, the Fed can tug at the short end of the yield curve – 3-month, 6-month, 2-year yields. But the long end (the 10-year and 30-year) belongs to the market. The Fed can’t change those rates.

So, even though Powell & Co. are poised to cut rates next week – and possibly for months to come – Jonathan has a warning:

The long end could actually rise at the same time.

That kind of steepening isn’t healthy. It’s artificial, it’s political.

And while the Fed tries to “thread the needle,” the free market pushes back.

That pushback matters for traders like Jonathan.

He writes that, in the near term, stocks could cheer cuts, with rate-sensitive sectors like tech, REITs, and growth companies getting a lift. But the risk is what happens after…

If unemployment continues to tick higher, corporate earnings will weaken, just as long-term borrowing costs climb. That’s not the sort of steepening that fuels bull markets.

Back to Jonathan:

A truly supportive steep curve gives markets room to run. A policy-driven steepening does the opposite.

It means borrowing costs for mortgages, corporate bonds, and long-term investment rise just as the Fed is trying to stimulate growth.

That disconnect has marked the start of trouble in past cycles — 2007–08 being the clearest example.

Jonathan’s recommendation?

Enjoy the rally if/when cuts arrive, but keep your eyes on the bond market.

But it would be “be smarter about how you trade the market.”

On that note, we continue to urge you to look at Lyft Inc. (LYFT), which is one of Jonathan’s trades we recently put on your radar.

You can get the full story in our August 11 Digest here, but in short, within President Trump’s recently passed “Big Beautiful Bill” is a retroactive change to how U.S. companies can expense their research and development – and it’s a huge tailwind for Lyft.

Since we profiled Jonathan’s work in that Digest, LYFT shares have soared 40%.

As for Jonathan, he recommended his Advanced Notice subscribers buy LYFT calls on August 28 – two weeks ago today. Yesterday, they closed out the trade for a 209% profit.

I reached out to Jonathan to get his thoughts on Lyft today. Given that he just closed the trade, does that mean newcomers are too late?

From Jonathan:

This isn’t a “too late” trade — it’s a “just getting started” trade.

The run from $13.50 to $19 was the easy money, but it also woke up institutions to the R&D tailwind that’s still being priced in.

LYFT has been a forgotten stock, and that’s exactly why I liked it. Now it’s coming back on the radar.

If you’ve already taken profits, great — that’s discipline. But don’t walk away. LYFT can still push higher, and I want exposure on any controlled pullback.

In other words: Book your gains, but keep some skin in the game.

We’ll continue to track and report back.

And to catch Jonathan each day in his free Masters in Trading: Live updates (where he’ll tip you off on trades like LYFT), click here.

Luke, our technology expert, is currently at the All-In Summit in Los Angeles. It’s an exclusive, high-profile conference organized by the four venture capitalist hosts of the popular All-In podcast.

He’s reporting his insights and takeaways in his Innovation Investor Daily Notes.

In Luke’s first report back, which we highlighted yesterday, uranium and nuclear energy was a huge topic – after all, how are we going to power all our AI advancements? In his second update, robots took center stage.

From Luke’s Daily Notes:

Everywhere you look, there are robots on display: a humanoid from Unitree striding confidently, a Boston Dynamics dog leaping for applause, a Chef Robotics arm boxing food with superhuman speed.

It feels less like science fiction and more like the early innings of history being written…

Robots are here, in the flesh (or carbon fiber and steel), and it’s stunning to see the progress.

The energy in the room confirms what we’ve been saying for months now: The Physical AI wave has officially arrived.

Luke writes that the excitement is real, the progress undeniable – but the mood in the room also reminds him of how bubbles begin:

You can sense it in every conversation and every presentation. Investors and founders racing ahead, convinced the future is theirs to claim.

That kind of energy is exciting. But it also tells us something important… that the seeds of the next great tech bubble are already being sown.

He points to Rene Haas, CEO of Arm Holdings (ARM), who, in Luke’s words, “essentially said: if you think the AI chip boom has peaked, think again.”

Haas said that “billions of devices” powered by AI silicon will eclipse today’s data center demand.

Meanwhile, Uber Technologies Inc. (UBER) CEO Dara Khosrowshahi is preparing for a future where autonomous cars and even flying taxis become mainstream. Khosrowshahi expects that aerial ridesharing will become a real business line within the decade.

And Luke highlighted Demis Hassabis, CEO of Google DeepMind, speaking about his company’s latest push into multimodal AI. Luke’s takeaway is that if Alphabet Inc. (GOOGL) becomes the market leader for supplying robotic operating systems, “that’s a multitrillion-dollar rerating waiting to happen.

Here’s his overall takeaway from Day 2:

If you came into this event worried that the AI boom was fizzling, you would have left convinced that it’s only just beginning…

The robots are here now, and any potential tech bubble is still a ways off.

Investors who don’t position themselves accordingly today are going to miss one of the biggest technology booms of our lifetimes.

You can be sure that Luke will be leveraging what he learned at the conference to steer his subscribers into the best related investments. To learn about joining Luke in Innovation Investor to access those coming picks and insights, click here.

Yesterday morning, our macro strategist �������°� introduced Apogee, his first quantitative stock-picking system in more than three decades of investing.

This new system was designed by analyzing the common traits behind Eric’s 41 different recommendations that each went on to generate gains of 1,000% or more – along with the countless triple-digit winners he’s recommended over the years.

Back-testing Apogee against 14,000 stocks and 31 years of market history produced impressive results: a 72%-win rate and an average gain of 308% on those winners.

If you missed the live presentation, there’s still time to watch the full replay for free.

In it, you’ll get a complete breakdown of how Apogee works – plus the names of five brand-new stocks the system has flagged as potential 10X opportunities.

We’ll keep you updated on all these stories here in the Digest.

Have a good evening,

Jeff Remsburg

The post All Systems Go for a Rate Cut appeared first on InvestorPlace.

It’s the season of transition where warm afternoons can give way to chilly evenings, and where the forecast can change quickly from sunny skies to sudden rain.

That same sense of unpredictability is shaping the economic landscape right now.

And just like checking the morning forecast, this week brought us the latest reading on the economy’s conditions.

The Consumer Price Index (CPI) and the Producer Price Index (PPI) serve as our inflation weather reports, showing whether the skies are beginning to clear or whether storm clouds may still be building.

In recent months, we’ve seen signs of cooling. Energy prices have eased, and some food costs are finally drifting lower. But dig a little deeper, and you’ll find plenty of lingering warmth. Shelter, healthcare and key service categories remain stubbornly elevated, creating sticky conditions that refuse to clear out on their own.

A decisive break lower could give the Federal Reserve room to cut key interest rates, potentially sending the market higher. But persistent price pressure might force the Fed to keep policy tight, prolonging the higher-for-longer environment that weighs on growth and adds to market volatility.

In other words, the stakes couldn’t be higher. Every shift in the “forecast” matters.

So, in today’s Market 360, we’ll dig into the CPI and PPI numbers, what they signal about the Fed’s next move – and why this uncertain backdrop makes a proven system more important than ever.

Producer Price Index

Yesterday’s PPI report showed a drop in wholesale inflation, falling 0.1% in August. Additionally, July was revised down to a 0.7% increase (it was 0.9% earlier). I want to remind you that the July increase was all due to wholesale diesel costs.

In the past 12 months, the PPI is now running at a 2.6% annual pace. That was substantially below economists’ expectations of a 3.3% increase. Also, the PPI has been negative in three of the past six months.

Excluding food, energy and trade, “core” PPI declined 0.1%, or 2.8% year-over-year. Economists were looking for a 0.3% rise.

Looking further into the report, wholesale service costs declined 0.2%, so that was a very nice surprise. Goods prices, excluding food and energy, rose 0.3%. The only glitch in the report was something called “trade services,” and that spiked 1.7%. But that’s a new indicator, and it’s very controversial, so I recommend we just ignore that for now.

I should add that wholesale energy costs declined 0.4%. And we may see more of that in upcoming months as seasonal demand drops in the fall – except for natural gas. When it gets cold, that’ll pick up. But in the fall, we have nice weather, so natural gas demand will be falling until it gets cold.

Consumer Price Index

This morning’s CPI report showed an uptick in consumer inflation. In August, consumer prices rose 2.9% over the past year, up from 2.7% in July, but on par with economist expectations. Month over month, prices rose 0.4% compared to July’s 0.2% increase. Economists were looking for a 0.3% increase.

Core CPI, which excludes food and energy, rose 0.3% in August, marking the strongest monthly rise in six months. Year over year, prices were up 3.1%.

The main culprit behind this rise was both food and shelter costs. More specifically, shelter, or owner’s equivalent rent, rose 0.4% in August and was the largest factor in this month’s increase. Meanwhile, the food index increased 0.5% on the month as “food at home” rose 0.6% and “food away from home” increased 0.3%.

Digging a little deeper, the energy index rose 0.7%, driven by gasoline, which was up 1.9% over the month.

Bottom line, this report was all about owner’s equivalent rent. And since it didn’t crack, neither did the CPI. But what does all this mean for next week’s Fed meeting?

The Focus Turns to the Fed

After the PPI news, Treasury yields fell sharply. There were even rumblings of a 50-basis-point rate cut. The CPI data was a mixed bag, but it shouldn’t change the narrative at this point. Here’s why…

The reality is that there are widening cracks in the labor market. Last Friday, the latest unemployment report showed only 22,000 jobs were added in August, and the unemployment rate rose to 4.3%. That’s down from the 73,000 jobs that were created in July. Economists were looking for 75,000 jobs in August.

And just this week, unemployment claims surged by 27,000 to 263,000. That’s the highest level since October 2021. Economists were expecting claims to decline by 2,000.

So, clearly, there’s a problem in the labor market. Remember, the Fed has a dual mandate of stable inflation and maximum employment – and that’s what will force the Fed to cut next week.

In fact, in the wake of last week’s dismal jobs reports, the CME FedWatch jumped to a 100% chance of a key interest rate cut at the September Federal Open Market Committee (FOMC) meeting.

I suspect the Fed will stick with a 0.25% rate cut instead of a “jumbo” 0.5% cut, since it doesn’t want to “panic” or show that it’s grossly behind where key interest rates should be. That’s why the big news next week is going to be the dot plot and how many rate cuts we may have coming down the pipeline.

The Bottom Line

Now, here’s what I want you to remember going into next week…

No matter what the Fed does – whether it cuts rates by a half-point, a quarter-point or holds steady – uncertainty will remain. Inflation has cooled in some areas but remains sticky in others. Growth is uneven. And volatility is unlikely to fade anytime soon.

That’s why I always stress the importance of having a proven system. Markets can swing on a single headline, but a disciplined, repeatable process helps you tune out the noise and act with confidence.

My InvestorPlace colleague �������°� has built exactly that. Over his 30-year career, Eric has uncovered 41 different 10-baggers – including gains of 7,992% on Bitcoin and 2,045% on BHP Group. Now, he’s turned his lifetime of experience into a powerful new tool called Apogee.

Apogee scans thousands of stocks to identify when a company enters what Eric calls the “10X Pattern.” In back tests, it would have flagged Apple, Inc. (AAPL) before its 4,285% run… Amazon.com, Inc. (AMZN) before its 1,115% surge… and NVIDIA Corporation (NVDA) before its 1,871% climb.

The difference is, Apogee doesn’t chase hype. It targets high-quality companies that have already been “down a lot” and are just beginning to move “up a little.” That’s the sweet spot Eric has used for decades to find safer, more sustainable 1,000% winners.

And right now, Apogee has lit up five new buy signals. Eric reveals all five names during his 10X Breakthrough event.

If you haven’t watched it yet, I encourage you to do so right now. Because in an environment where the “forecast” changes week by week, having a rules-based strategy could make all the difference.

You can catch Eric’s 10X Breakthrough replay right here.

Sincerely,

�������°�

Editor, Market 360

The Editor hereby discloses that as of the date of this email, the Editor, directly or indirectly, owns the following securities that are the subject of the commentary, analysis, opinions, advice, or recommendations in, or which are otherwise mentioned in, the essay set forth below:

NVIDIA Corporation (NVDA)

The post This Week’s Inflation Reports May Have Been Cloudy, But the “Forecast” for Rate Cuts Is Still Clear… appeared first on InvestorPlace.

On September 9, 1965, iconic Los Angeles Dodgers pitcher Sandy Koufax walked up to the pitcher’s mound at Dodger Stadium, ready to square off against the Chicago Cubs.

He lifted his cap up, pulled it back down, and then… whiz.

Baseballs started flying.

Koufax retired batter after batter. 27 up, 27 down. 14 strikeouts included.

In a 1-0 win, Koufax threw a “perfect game.” Not a single Cubs player reached base by any means, not by hit, walk, or error.

There have only been 24 perfect games in Major League Baseball history, out of 238,500 total. At the time, Koufax became the sixth pitcher in the modern era to achieve a perfect game in the regular season.

“You start out every game to pitch a perfect game,” Koufax said earlier this summer, in reflection of the 60^th anniversary of his achievement. “You’re not going to, and you know it. You just give up your goals grudgingly as you go. This one, I didn’t have to give it up.”

As a native Californian and avid Dodgers fan, it may not come as a surprise that Sandy Koufax happens to be my all-time favorite baseball player. But that’s not the only reason I’m mentioning his historic, perfect game 60 years later.

My new stock-picking system, Apogee, hunts for a different kind of perfection: potential 1,000% winners.  

Like Koufax’s masterpiece of a game, these setups are rare.

But I have a confession…

While I “officially” debuted Apogee during a free event yesterday, I quietly put Apogee to the test across my services starting months ago.

And it’s already found a stock that looks headed toward 1,000% gains… and I recommended it.

Let me explain…

A Winner From My “Right-Hand Machine”

You see, a lot of elbow grease goes into creating an investment system that actually works. In my case, more than 30 years of experiential insights and five years of detailed testing and optimization, along with rigorous back-testing.

And finally, months of real-world beta testing.

During that testing period, which started more than a year ago, I reviewed each recommendation that my system produced… but did not actively act upon it. After all, I was still in the beta testing phase.

But in some cases, the picks that Apogee produced were simply too compelling to ignore.

Dutch Bros Inc. (BROS) was one of those recommendations.

If you live in the Pacific Northwest, you probably know this company and may even frequent its drive-through coffee kiosks.

However, despite the “West Coast credentials” I shared above, I had never heard of this Oregon-based coffee juggernaut.

That is until my Apogee system flashed a “Buy” on Dutch Bros in July of 2024.

This boutique coffee company competes with Starbucks Corp. (SBUX)… and “competes” is putting it nicely. It’s eating Starbucks’ lunch – or, should I say, drinking its coffee.

Dutch Bros has a phenomenal business model because it is even more capital-light than rivals. As a drive-through coffeeshop, the firm has no hot kitchens, no public bathrooms, and no inside seating areas. According to third-party estimates, startup costs per location can be as low as $150,000 – less than half of the cheapest strip-mall Burger King.

Meanwhile, each Dutch Bros location is a profit-spinning machine. In the second quarter of 2025, the average corporate store added $162,946in quarterly gross contribution.

The company does not publish cash-on-cash returns, but rough back-of-envelop calculations suggest that new locations are breaking even in under three years. 

The result is a multibagger opportunity hiding in plain sight.

So, after Apogee flashed its “Buy” signal, I conducted a detailed analysis on Dutch Bros., just like I would for any prospective investment. And after vetting the company myself, I recommended a call option on the company to my Leverage subscribers on July 1, 2024.

Since then, my subscribers have booked partial gains of 161% and 290%… and we’re letting a final tranche run

I also recommended the company’s stock to my Fry’s Investment Report subscribers on August 5, 2024. And the stock doubled in a matter of months. In fact, it was one of my standout recommendations of last year.

Suffice it to say, I’m thrilled with Apogee’s stock-picking results.

As Koufax earned the nickname “The Left Arm of God” for his extraordinary left-handed pitching, I would say that Apogee is my “Right-Hand Machine” for its ability to identify optimal risk-reward opportunities, with the potential to achieve 10X gains.

In effect, Apogee put a great stock right under my nose and told me to buy it.

But Dutch Bros is just one, tiny example of what Apogee can do…

The “Perfect Portfolio”

At my 10X Breakthrough event yesterday, I revealed how my system’s 10X potential unlocks and uncovers stocks that most folks haven’t heard of it – and that most investors haven’t considered.

This is one of the most exciting aspects of Apogee.

Not only does it identify great stocks on the verge of their own “perfect game,” or huge upside moves, but many are virtually unknown.

My system starts with 14,000 stocks per day, and filters those down through a series of 10 gates, until it arrives at just a handful of names. Many days, Apogee identifies only one or two (or zero) stocks as “Buys.”

It is a very rigorous test. And a very exacting one, to boot.

I detailed all of the nuts and bolts of my Apogee system in yesterday’s broadcast. I also reveal Apogee’s first five “official” recommendations – ticker symbols and all – free of charge.

Check out a replay of the special event here.

Play ball!

Regards,

�������°�

The post What Sandy Koufax’s Perfect Game Taught Me �������°� Investing appeared first on InvestorPlace.

Because unlike in the past, when businesses spent resulting incremental liquidity on buybacks or office expansions, today’s corporate boardrooms have just one singular obsession: Artificial Intelligence.

That’s why we’re confident that the flood of liquidity coming after the Fed cuts rates this month isn’t going toward more cubicles, delivery vans, or advertising slots. 

It’ll go straight into GPUs, data centers, software pilots, and robotics development and rollouts instead. 

In other words, it’s time to get ready for the next parabolic leg of this market.

And we think we know just how to play it…

The Policy Backdrop: Inflation, Jobs, and the Federal Reserve Pivot

After the fastest rate-hiking cycle in 40 years, the Fed is now poised to pivot. 

Inflation has cooled significantly from its 9% high in 2022, currently measuring 2.9% – much closer to the Federal Reserve’s 2% target. 

August’s Consumer Price Index (CPI) data did show headline CPI rose 0.4% on the month, faster than the 0.3% median economist forecast and double the pace of July. But core CPI rose 0.3% month-over-month, coming in as expected. 

Importantly, the index’s 0.13% rise in core goods prices reflects a substantial slowdown for the category. It was the smallest increase since March, suggesting past tariffs are no longer a major driver of inflation.

Meanwhile, unemployment is on the rise. Initial jobless claims rose by 27,000 to 263,000 for the week ending Sept. 6 – the highest level in almost four years. 

Financial conditions have tightened just enough to give Fed Board Chair Powell & Co. cover… 

Especially considering all the pressure from the Trump administration, the new Fed governors, the mortgage fraud case against the central bank’s Lisa Cook… 

It all points to one thing: rate cuts.

Why Lower Interest Rates Funnel Liquidity Straight Into AI

The first is likely to be a 25-basis-point cut coming later this month, with more to follow over the next 12 to 18 months. All told, the market is expecting at least five cuts into the end of 2026. 

Those lower policy rates will result in cheaper corporate bonds, bank loans, and overall capital, helping to stimulate the U.S. economy. 

Now, here’s why this matters so much right now…

When the cost of capital falls, companies ask themselves, “Where can we deploy new dollars for the highest ROI?” In 1995, it was supply chain buildouts. In ’98, it was the internet. 2009 was all about cloud infrastructure.

Today, there’s no debate. C-suite surveys and boardroom chatter all point to the same thing: AI is priority No. 1.

Every extra dollar freed up by falling rates has a high probability of flowing directly into AI initiatives. Just think about the tidal wave that’s building:

• Hyperscalers’ – i.e. Microsoft (MSFT), Alphabet (GOOGL), Amazon (AMZN), and Meta (META) – capital expenditure (capex) are running at record levels. Rate cuts lower their financing costs and boost free cash flow: fuel for another round of $100 billion-plus AI buildouts.
• Enterprises are cautiously piloting AI software. Lower borrowing costs and improved liquidity confidence will nudge them from ‘pilot’ to ‘deployment.’ 
• Startups should see venture funding return with a vengeance. Limited partners (LPs) re-risk when the 10-year yield falls, capitalizing seed-to-Series B AI projects – and creating the next pipeline of innovation.

Liquidity feeds capex, which feeds earnings, which feeds stock prices. Reflexivity takes over. Rising stock prices make it easier to raise capital, which funds more projects – and drives more stock gains.

What It Means for Investors

The implications here are simple: the incoming rate-cut cycle will most likely accelerate the AI Boom. And investors who get positioned before this tidal wave hits should benefit disproportionately. 

Here’s where we see the best opportunities.

When capital is cheap, hyperscalers don’t hesitate. Every incremental data center means more demand for:

• Accelerators – Nvidia (NVDA), �������°� (�������°�): GPUs remain the choke point of the AI economy. With demand far outstripping supply, hyperscalers are on pace to spend more than $200 billion annually on AI chips and infrastructure. Rate cuts lower financing costs, allowing Microsoft, Google, Amazon, and Meta to expand orders without stressing free cash flow. Nvidia’s CUDA ecosystem and �������°�’s MI300 series stand to capture that demand directly.
• Memory – Micron (MU): AI workloads require multiples more DRAM and high-bandwidth memory (HBM) than traditional cloud tasks. Micron’s HBM3E rollout is already sold out into 2025. Lower rates extend enterprise budgets, accelerating adoption cycles.
• Networking – Arista (ANET), Broadcom (AVGO), Marvell (MRVL): Training large language models requires ultra-low latency interconnects. Ethernet and custom ASIC demand surges as clusters scale from thousands to tens of thousands of GPUs. These suppliers capture that bottleneck.
• Power & Cooling – Vertiv (VRT), Eaton (ETN): A single AI data center can consume as much power as a mid-size city. Vertiv’s liquid cooling solutions and Eaton’s electrical management systems sit at the center of hyperscaler RFPs. Lower rates = more buildouts = more orders.
• Servers & Integrators – Dell (DELL), Supermicro (SMCI): These firms stitch together GPU clusters into deployable racks. Supermicro is already growing triple digits by capitalizing on its nimbleness. Cheaper capital fuels the next wave of hyperscale orders, directly boosting backlog and margins.

These are the ‘first movers.’ They feel the benefit within quarters of the first cut.

Once enterprises loosen budgets, the software layer benefits:

• Palantir (PLTR): Already positioned as the “operating system for AI,” Palantir is scaling deployments across government and commercial clients. Lower rates accelerate customer willingness to move from pilots to enterprise-wide rollouts.
• ServiceNow (NOW): Its AI copilots are embedding into workflows across HR, IT, and customer support. As CIOs free up budget from falling financing costs, they’ll prioritize productivity tools with demonstrable ROI.
• Datadog (DDOG), Elastic (ESTC), CrowdStrike (CRWD): Observability, search, and cybersecurity are all being transformed by AI. Rate-driven capex unlocks the ability for enterprises to not just experiment but standardize these tools across entire organizations.

This is the six- to 12-month lag effect: enterprises wait for macro clarity, then deploy capital at scale.

Cheaper money means moonshot robotics projects suddenly make financial sense. 

• Tesla (TSLA): Optimus humanoid robots move closer to commercial viability when financing costs fall, as deployment is heavily capex-driven.
• Boston Dynamics and warehouse automation players: Robotics-as-a-service models thrive when hurdle rates compress.
• Critical suppliers like MP Materials (MP), Ambarella (AMBA): Rare-earth magnets (MP) and edge vision chips (AMBA) are critical to scaling robotic and autonomous systems. As liquidity improves, funding flows downstream into the component suppliers that make physical AI possible.

This is the long-duration call: rate cuts extend investment horizons, making robotics projects with uncertain near-term payoffs much more attractive on a discounted cash-flow basis.

Will Rate Cuts Create Another Bubble – or a Durable AI Boom?

Of course, bearish skeptics may point to what happened after the Fed cut rates in 1998-99 and say, ‘not so fast.’ 

At that time, Long-Term Capital Management – a high-profile hedge fund that executed  highly leveraged trading strategies – collapsed following Russia’s debt default. This forced the U.S. government to coordinate a $3.6-billion bailout to prevent a potential global financial crisis.

The Federal Reserve went on to cut rates after this crisis, and that subsequent liquidity helped supercharge the dot-com bubble. The Nasdaq doubled in 18 months, then imploded. Could history repeat?

Yes… but there’s one key difference here. Often, the darlings of the dot-com era were pre-profit, pre-revenue. But today’s AI leaders are cash machines. 

Nvidia, Broadcom, Microsoft – these titans aren’t anywhere close to Pets.com. They’re throwing off tens of billions in free cash flow.

Of course, there will be froth. Some of 2025’s AI IPOs will look absurd. But the core of this boom is built on real earnings power. That’s a critical distinction.

The Final Word: How Federal Reserve Policy Could Reshape AI Investing

With multiple Fed rate cuts coming – starting just days from now – a flood of liquidity is headed straight for the markets. And every CFO in America knows exactly where to funnel it: AI.

This policy shift should be a supercharger for the most powerful growth theme of our generation. The monetary tide is turning, and it’ll flow straight into artificial intelligence. 

Investors who catch this wave early could ride it for years.

Now here’s where the story gets even bigger.

Most headlines focus on GPUs and data centers. But the real moonshot is what happens when that same cheap capital accelerates Physical AI: robots that walk, work – and reshape trillion-dollar industries.

Tesla’s Optimus, Boston Dynamics’ humanoids, and warehouse automation are no longer ‘someday’ ideas. With hurdle rates set to fall, they’ll suddenly be fundable. And the opportunity therein is massive: robotics could penetrate everything from logistics to elder care to manufacturing, unlocking a multi-trillion-dollar total addressable market.

That’s why the smartest money isn’t just chasing Nvidia; it’s hunting the critical suppliers that turn robots into capable workers. This is where fortunes will be made in the next phase of the AI boom.

We’ve prepared a special briefing on Tesla’s Optimus – and the vital suppliers behind the coming robotics revolution – to help you prepare for it.

The post Fed Rate Cuts Are Coming – And May Ignite the AI Economy appeared first on InvestorPlace.

Before we dive in today, thank you to the thousands of investors who joined this morning’s 10X Breakthrough event with our macro expert �������°�.

Eric unveiled Apogee, his first-ever quantitative stock-picking system, based on his 30+ years of investing.

The goal was to reverse-engineer the specific markers of Eric’s 41 different stock recommendations that went on to return 1,000%+ (not to mention the hundreds of triple-digit winners he’s racked up over the decades). We wanted to identify and quantify what they had in common so that we could find new 10X candidates.

After five years of development and 5.2 million backtests, we’ve found them. In testing across 14,000 stocks and 31 years of market data, Apogee delivered a 72%-win rate with an average gain of 308% on winners.

If you couldn’t attend this morning, you can catch a free replay right here. Beyond the full breakdown of Eric’s system, you’ll also get the names of five brand-new 10X opportunities Apogee just uncovered – completely free.

Here’s Eric:

During this morning’s broadcast, I showed how I use Apogee’s 10X Factors to spot potential big long-term winners in advance.

I also gave away five “official” recommendations and explained why they’re set to rise 1,000% or more in the coming years.

Click here to catch it all.

Wholesale prices fell slightly last month, taking forecasters by surprise.

The Producer Price Index (PPI) dropped 0.1%, far below the estimate for a 0.3% gain. Remember, this number popped 0.7% in July, so that was a huge reversal.

Meanwhile, August’s year-over-year rate dropped to 2.6%, a noticeable decrease from 3.1% in July.

Core PPI, which strips out volatile food and energy prices, also fell 0.1% against the same expectation of a 0.3% rise. The 12-month increase climbed 2.8%.

Combined with signs of cooling in the labor market, this softer inflation print all but cements an interest-rate cut at next Wednesday’s September FOMC meeting – though we need to get through tomorrow’s Consumer Price Index report relatively unscathed.

Here’s legendary investor �������°� with what to look for tomorrow. From this morning’s Flash Alert in Growth Investor:

When we get the CPI tomorrow, it’s all going to be about owner’s equivalent rent.

If that cracks, then the CPI cracks. It falls dramatically, and we’re in good shape.

Now, it’s been declining in recent months, as I mentioned on Fox Business this morning. It was last at a 0.2% increase. If it can get to zero, that would be wonderful. And then inflation is fixed.

Now, many analysts are wondering whether next Wednesday will bring a quarter- or half-basis-point cut. As I write Wednesday, the CME Group’s FedWatch Tool puts 88% odds on a quarter-point cut and 12% odds on a half-point.

But Louis says this isn’t the most important issue:

The big news is not so much the Fed’s rate cut on next Wednesday. The big news is going to be the dot plot and how many rate cuts do we have to come.

So, before the PPI, Wall Street was expecting three. Now they’re probably expecting four.

So, we shall see.

Bottom line: Barring a massively “hotter than expected” surprise in CPI tomorrow, we’re locked and loaded for rate cuts – it’s just a matter of “how many?”

We’re living through one of the most exciting moments in market history.

Artificial intelligence is not just another tech trend – it’s a full-blown industrial revolution in real time. The potential fortunes to be made are immense.

For the latest evidence of this, look at the Oracle’s cloud demand numbers from yesterday’s earnings report…

The company reported that it has $455 billion of orders – up 359% from a year earlier. Analysts were expecting around $180 billion.

Wall Street is a bit dumfounded at the enormity, and Oracle is exploding 40% higher as I write.

But while some AI companies like Oracle will go on to dominate tomorrow’s economy, plenty of others will fizzle out. The question every serious investor must ask is: how do we put the odds on our side?

The answer may not be in trying to pick the consumer-facing winners. Instead, the potentially safer route is owning the raw power behind AI’s rise.

As we’ve profiled many times here in the Digest, AI is unbelievably energy-hungry. Training and running these models requires a staggering amount of electricity – so much that the data centers powering AI are straining the grid in ways we’ve never seen before.

Wind and solar can help, but they can’t supply the always-on, high-capacity baseload power AI demands.

So, what can?

Nuclear.

We already know that the tech giants are turning to nuclear.

Microsoft, Amazon, and Google are backing nuclear projects, while Meta has gone a step further, signing a 20-year deal with Constellation Energy to guarantee nuclear power for its AI operations.

But last week brought another ringing endorsement for nuclear – on a country level.

According to Citi Research, the markets have dramatically underestimated how much nuclear power and uranium China will be consuming over the next decade.

Let’s go to veteran trader, Jonathan Rose from yesterday’s Masters in Trading: Live update:

China’s nuclear expansion is so aggressive it will consume one-third of global uranium supply by 2030. That’s a structural shift investors can’t ignore.

Just how aggressive will China’s expansion become?

Here’s how it all breaks down…

• By 2026: Imports will rise to ~55M lbs/year. That’s nearly 30% of world production.

• By 2030: China will operate ~96 reactors. Demand should grow to 58–68M lbs/year, equaling one-third of the global supply.

• By 2040: The fleet will swell to 170 reactors. From there, demand will easily top 90M lbs/year, or 35–40% of global consumption.

Put it all together – and China is on track to become the uranium whale.

Now, that’s just the demand side of the equation. Consider supply…

Here’s Forbes from last week:

Operational problems at two of the world’s biggest uranium mines is crimping supply.

Canada’s Cameco said it was expecting a shortfall in production at its McArthur River mine while Kazatomprom, the national uranium company of Kazakhstan, has downgraded next year’s production estimates.

The net result is that the uranium market could be hit by a 20-million-pound decline on earlier supply forecasts.

You can play this either as a long-term anchor position in your portfolio or a short-term trade, which is how Jonathan approaches it.

I want to cover more ground in today’s Digest, but for a deeper dive into Jonathan’s specific action steps, check out yesterday’s free Masters in Trading: Live episode where he goes into more detail and highlights some of his favorite uranium picks.

From Jonathan:

From CCJ and UUUU to UEC plus 5 more – I’ll show you exactly how to position for uranium’s next leg up.

And if you want to learn more about the specific trading strategy behind Jonathan’s picks, check out his Masters in Trading Challenge right here.

This week, Luke is at the All-In Summit in Los Angeles. It’s an exclusive, high-profile conference hosted by the four venture capitalist hosts of the popular All-In Podcast.

He’s reporting his insights and takeaways in his Innovation Investor Daily Notes. Let’s go to Monday’s update:

Chris Wright (US Energy Secretary) delivered a clear message: get Washington out of the way and let nuclear “fly again.”

The tone was unmistakably pro-permitting, pro-build, and explicitly bullish on small modular reactors.

My takeaway: the policy wind is shifting from “why nuclear?” to “how fast can we deploy it?”

That’s constructive for the SMR complex and broader nuclear value chain over a multi-year horizon.

In recent months, Luke has provided multiple ways to play nuclear, one of which has been utility companies.

For a few ideas for your own research, consider:

• Constellation Energy (CEG): It operates the largest fleet of nuclear power plants in the U.S. to meet rising electricity demands from sources like AI data centers.
• Vistra (VST): It operates the second-largest competitive fleet of nuclear power plants in the U.S. The company significantly expanded its nuclear portfolio in 2023 with the acquisition of Energy Harbor.
• NextEra Energy (NEE): As the largest producer of renewable energy from wind and sun, NEE’s nuclear operations are part of a broader, more diversified clean energy portfolio.

And for all of Luke’s nuclear/uranium/AI picks in Innovation Investor, click here.

Recently, Eric dove into the investment case, confirming our point above – nuclear/uranium is one of the best, longest-legs, relatively safest ways to play the AI boom:

This new high-profile demand for nuclear power from Big Tech and, sooner than we think, Artificial General Intelligence, could accelerate growth and profitability in the uranium industry.

To capitalize on that potential, I recommend investing in what’s turning into one of the “soundest” plays in the stock market: the uranium sector.

One name for your research that Eric (and Jonathan) highlight is Cameco Corp. (CCJ), It’s one of the world’s largest uranium producers.

It has high-grade assets such as the McArthur River and Cigar Lake mines that offer significant cost advantages over competitors. Plus, it has a 49% stake in Westinghouse Electric, giving it exposure to the growing demand for “small modular reactors” (SMRs), one of the hottest corners of nuclear.

You can also look into Energy Fuels Inc. (UUUU). I’ll note that Eric’s Speculator subscribers made more than 300% on their UUUU trade in the spring.

And that brings us back to how we opened today’s Digest – with Apogee and the reverse-engineering of how Eric has found his triple- and quadruple-digit winners over the decades. Again, if you missed it, click here to check out the free replay of this morning’s event.

As for nuclear, whether you want to trade it or buy it for the long haul, the tailwinds are strong. Give this opportunity a look.

Have a good evening,

Jeff Remsburg

The post A September Rate Cut Is a Lock, Unless…. appeared first on InvestorPlace.

The Tanners Creek Super Tournament is a notoriously awful bass fishing competition.

The season-ending event is held annually on the Ohio River in late September and has become known as a “grinder tournament” for its challenging conditions and small catches.

In 2024, the co-winner hauled in less than seven pounds of fish during the first day of the event – roughly the weight of a single large bass during peak seasons. At least one major competitor is skipping the event this year due to “scheduling conflicts.”

A 1-pound, 2-ounce catch

Today, many professional AI investors likely feel the same way about the stocks they own.

Since OpenAI launched ChatGPT in 2022, shares of just 10 AI-related companies, including Nvidia Corp. (NVDA), Meta Platforms Inc. (META), and Broadcom Inc. (AVGO), have driven almost two-thirds of the S&P 500’s returns. The average of these 10 now trades for 57 times forward earnings, making future gains far harder to achieve.

We’re now late into the “fishing” season for these megacap AI stocks.

Also, unlike competitive anglers, most institutional investors cannot walk away from this investment “tournament” because their careers depend on continued involvement.

No professional money manager would last long if they refused to put pension fund assets into Nvidia. In fact, these institutional investors have added another $1.3 trillion to these 10 firms in the past 12 months.

But you don’t have to.

This is your investment “superpower.”

Let me explain…

Your “Superpower”: Walking Away

It’s the ability to walk away from a low-potential tournament and find somewhere with far higher prospects.

No one’s stopping you from leaving the Ohio River to catch 200-pound bluefin tuna in Southern California or 1,000-pound black marlin off the Great Barrier Reef (assuming you have the right fishing licenses).

And by the same token, no one’s forcing you to buy shares of Nvidia when 1,000% returns are simply no longer available. There will be no angry stakeholder letters, no call from The Wall Street Journal, no pink slip from the floors above. (After all, no one can fire you as an individual investor.)

Instead, you’re able to buy shares of companies that look unpopular at the time… and then enjoy the enormous upside their low prices present. These are companies like one firm Eric recommended to his paid subscribers just last week.

Shares of this off-price retailer have now fallen 47% since its 2023 IPO and are now worth just $2 billion – a rounding error compared to rival TJX Cos. Inc.’s (TJX) $155 billion market capitalization. That means this company can rise 1,000% and still be worth one-eighth of its larger rival.

That big move down was one of the factors that caused Apogee, Eric’s new quantitative system for finding potential 1,000% winners, to flag it.

With Apogee, Eric has taken his decades of experience and turned it into a computerized, quantitative set of rules to find these hidden “granders.”

He debuted his new system at this morning’s 10X Breakthrough event. During that free broadcast, he also gave away that system’s first five picks.

Eric sends out his appreciation to everyone who joined him this morning. But if you missed that free event or just need to see it again to get those free picks, you can catch our replay of the broadcast here.

Eric himself will be back here tomorrow with his next Smart Money.

In the meantime, in order to help demonstrate Eric’s “secret” to finding 1,000% winners, I want you to imagine taking a deep breath…

When “Playing It Safe” Means Missing Out

Without exhaling, try breathing in again. 

That second breath is called breath stacking, a therapy used to help athletes strengthen their lung capacity. 

This makes every breath feel like a gasp for air, and it mirrors how institutional investors feel when buying high-priced companies. They know the initial expansion is already over, and that the second one will be far harder than the first. 

Yet, these professional investors are often forced to buy high-priced stocks anyway since their customers demand it. Imagine the headlines if a major pension fund failed to own shares of Nvidia or Apple Inc. (AAPL). 

And so, these large funds buy stocks that have surged in value, knowing fully that their customers will probably not get rich from this strategy. 

Meanwhile, a separate cohort of investors mint fortunes through buying companies that have “breathed out” (i.e., fallen in price) before mounting a recovery. These are independent-minded investors like…

• Warren Buffett in GEICO…
• Phil Fisher with Texas Instruments…
• John Neff buying Ford…

These investors waited on the sidelines for high-quality stocks to fall first. And only after these compannies went “down a lot” did they jump in. 

And that’s precisely the playbook Eric has used for decades to identify over three dozen 1,000% winners.

So once again, Eric and I thank you for watching his 10X Breakthrough event this morning.

And if you weren’t there, I urge you to watch a replay of that special free presentation right now. There, you’ll see Eric cover Apogee, his brand-new quantitative system for finding potential 1,000% winners.

After all, there’s no reason to settle for a 1-pound, 2-ounce striped bass when you can sail off and find black marlin “granders” elsewhere.

Until next week,

Thomas Yeung, CFA

Market Analyst, InvestorPlace

The post Why Settling for “Tiny Catches” Dooms Investors appeared first on InvestorPlace.

In its latest earnings report, the company stunned investors with a $10-billion bombshell: a secret hyperscale customer is ditching off-the-shelf GPUs and ordering custom-built AI chips (XPUs) instead. 

That single disclosure marks the start of a tectonic shift in AI computing – away from Nvidia’s GPUs and into a new class of purpose-built accelerators. 

We think this is the moment the AI boom enters its next act.

Here’s why…

From GPUs to XPUs: Broadcom Signals a New AI Era

For the last two years, Nvidia has dominated headlines (and stock charts) with its GPUs – the workhorse chips that train and run large AI models. 

Thus far, they have been the fuel to the AI fire, accounting for 90- to 95% of the accelerator market by revenue. And Nvidia, leading the charge here, has pulled in quite absurd amounts of revenue and profit as a result.

Since the AI Boom began in late 2022, the company’s full-year annual revenue has increased dramatically – from $26.97 billion in fiscal year (FY) 2023 to $130.5 billion in FY2025 (+284%), with its net income rising from $4.37 billion to $72.88 billion in that time (+1,568%)…

But make no mistake. That astronomical growth doesn’t mean that the future of AI compute rests solely on Nvidia’s shoulders. As AI models swell to trillions of parameters and tackle ever more specialized tasks, the blunt force of a general-purpose GPU won’t cut it. The demand now is for chips as unique as the workloads themselves – and that’s why XPUs are set to take center stage.

Unlike general-purpose GPUs, XPUs are custom chips tailored to the unique data and workload of an AI model. In this sense, the ‘X’ is a variable that represents the type of architecture best suited for any given application.

For example, a model designed to generate high-quality video, like Google’s Veo3, would require a state-of-the-art Graphics Processing Unit (GPU). Devices like Apple‘s (AAPL) iPhone – which offers Siri voice assistant, facial recognition, and predictive text ability – rely on Neural Processing Units (NPUs) to handle complex algorithms and respond quickly.

These custom-designed accelerators are built from the ground up to adeptly execute specific workloads, be it training, inference, or recommendation. As such, they allow for better performance per watt, lower cost per compute unit, and tighter ecosystem lock-in.

And what Broadcom revealed alongside its latest earnings is proof that the biggest players in tech are no longer dabbling in the shift toward XPUs. They’re now betting the farm on it.

From Alphabet’s (GOOGL) TPUs to Amazon’s (AMZN) Trainium and Microsoft’s (MSFT) Maia, the world’s largest platforms are betting billions that XPUs will define the next decade of computing. 

What was once an experiment is becoming a full-scale arms race.

Why XPUs Are Set to Outshine In the AI Market

So, how big is this transition? Let’s put numbers to it.

• Today, GPUs make up ~80- to 90% of AI chip revenue. XPUs are a ~10- to 20% slice.
• By 2030, XPUs could command closer to 25- or 30% of the market by revenue. And since inference chips are cheaper but sold in higher quantities, they could also make up a much larger share of unit volume.
• With AI accelerators’ total addressable market (TAM) projected to reach $300- to $450 billion by the early 2030s, that translates into $75- to $100 billion-plus a year shifting from GPUs to XPUs.

That’s not cannibalization so much as diversification. 

GPUs will remain the backbone for training frontier models. But inference at hyperscale? Recommendation engines? Domain-specific workloads? That’s where XPUs shine. And Big Tech wants them badly. 

Broadcom is reportedly already working with OpenAI, Google, and Meta on their own custom AI chips. And rumors suggest that the mysterious new customer that just ordered $10 billion worth of custom chips is none other than tech titan Apple. 

Clearly, Big Tech is going all-in on XPUs. 

Why? Because Nvidia has leverage on price, supply is constrained, and every hyperscaler is burning tens of billions a year on AI capex. 

If you can build your own chip and significantly save on cost – while getting better performance-per-watt – you take that deal every time.

Who Wins as XPUs Rise?

Importantly, this isn’t just a Broadcom story (though the company is the north star here). And the shift from GPUs to XPUs creates a wide circle of winners throughout the semiconductor supply chain:

Broadcom is the undisputed leader in custom silicon for hyperscalers; already powering Google’s TPUs, Meta’s MTIA, OpenAI’s in-house project – and now a mystery $10B customer. Add in Ethernet networking dominance with Tomahawk and Jericho, and Broadcom is becoming the ‘other Nvidia’ in the datacenter AI stack.

Marvell (MRVL) – the ‘junior’ Broadcom – provides custom application specific integrated circuits (ASICs) and merchant silicon for hyperscalers, plus strong positioning in AI networking and optics. 

Every new XPU has to be designed with electronic design automation (EDA) tools. Whether GPU or XPU, Cadence (CDNS) and Synopsys (SNPS) sell the picks and shovels for every new AI chip project.

Custom silicon doesn’t grow on trees. Taiwan Semiconductor (TSM) is the foundry-of-choice for every hyperscaler chip. Advanced packaging (2.5D/3D stacking, Chip-on-Wafer-on-Substrate (CoWoS) alternatives) is mission-critical for XPUs – which spells growth for Amkor (AMKR) and ASE (ASX).

AI compute is useless without networking. Arista (ANET) dominates Ethernet switching, which is winning ground against InfiniBand in AI clusters. Coherent (COHR), Lumentum (LITE), and Fabrinet (FN) supply the optical engines that tie GPUs and XPUs together at blazing speeds.

The more diverse the chip landscape, the more complex the wafer starts. Every new, more compact design means more EUV lithography, etch, deposition, and inspection. ASML (ASML), Applied Materials (AMAT), Lam Research (LRCX), and KLA (KLAC) are the silent winners within this niche.

While not direct semiconductor plays, the economic leverage for titans like GOOGL, META, MSFT, AMZN, and AAPL is enormous. Custom XPUs mean lower AI costs, higher margins, and deeper ecosystem lock-in. That’s why Wall Street cheers every new chip rumor out of these companies.

Bottom Line: Broadcom Is Becoming the XPU Kingmaker

Broadcom’s quarterly earnings presentation was a fireworks show. 

AI revenue is up 63%, with strong fourth-quarter guidance pointing to continued outperformance ahead. 

And the ultimate kicker? A $10 billion custom AI chip deal, poised to cement the company as the kingmaker of the XPU era.

This is the future. GPUs aren’t going away – but we believe the days of the AI market being a one-horse race are numbered. 

With hyperscalers leaning in to custom-built chips, tens of billions of dollars are about to shift into new hands across the semiconductor value chain.

The smart money will follow that flow. And Broadcom may have just handed us the clearest roadmap to profits yet.

As it happens, XPUs will be vital to a particular corner of the market where we see outsized potential over the coming years… Humanoid robotics.

Think about bots like Tesla’s (TSLA) Optimus. To walk, grasp, and respond to human speech in real time, they need split-second inference at ultra-low power. GPUs are too bulky, too hot, and too costly. Only custom XPUs can deliver the efficiency and precision that make humanoids viable at scale.

That’s why we believe the rise of XPUs is inseparable from the rise of robotics. And as Big Tech tackles the need for custom chips, it’ll throw the Robotic Revolution into overdrive. 

One overlooked supplier, already building the critical components Optimus depends on, could be the biggest beneficiary of that shift. And investors who understand this link today could be positioned for outsized gains as the robot economy moves from prototype to trillion-dollar reality. 

Learn the name of this little-known supplier before Wall Street catches on.

The post Broadcom’s $10 Billion Mic-Drop: A Turning Point in AI Investing appeared first on InvestorPlace.

Before we jump in, a reminder that tomorrow morning at 10:00 a.m. Eastern, �������°� is debuting his new 10X Stock System – and giving away five free stock picks.

If you’re new to the Digest, over the past 30 years, �������°� has built a reputation as one of the sharpest macro investors in the business – and he has the track record to prove it: 41 different stocks that went on to return 1,000%+.

Since Eric has been with InvestorPlace, the question many of us have asked is “can we decode and replicate Eric’s success?”

After five years of rigorous research and 5.2 million back tests, the answer is “Yes!”

Tomorrow morning, Eric is unveiling Apogee – his first-ever quantitative stock-picking system that effectively reverse-engineers how he has found his biggest winners. During the 10X Breakthrough event, Eric will walk you through how the system recreates his thinking, and why now is the time to unveil it.

Most important: He’ll give you the names and tickers of five stocks that Apogee has already identified as having 1,000%+ potential. Eric calls one of them “Nvidia on Steroids.”

If you’re looking for a smarter way to invest that fuses decades of hands-on experience with the speed and power of machine-driven analysis, tomorrow morning at 10:00 a.m. Eastern is for you.

And feel free to tune in simply to learn what the research identified as the “fingerprints” of Eric’s 10X winners. If you’re more of a do-it-yourselfer, this proven framework could be a tremendous resource for you.

Click here to reserve your seat, and we’ll see you tomorrow.

In last Friday’s Digest, we reported on the awful nonfarm payroll report.

As a quick refresh, only 22,000 jobs were added in August – miles below the 75,000 that economists had expected (already an underwhelming number).

Let’s get more color from our hypergrowth expert, Luke Lango, in his Innovation Investor Daily Notes:

Hiring slowed to basically zero, unemployment climbed to a four‑year high, wage growth cooled, and prior months’ job growth was revised lower.

In short, it was the ugliest jobs report since COVID.

The U.S. economy added just 22,000 jobs last month. That is one of the weakest job growth numbers since Covid.

Indeed, the three weakest job growth numbers since Covid all happened in the last four months (May, June, and now August).

The six-month moving average of job growth has slipped to 60,000 jobs per month.

Excluding Covid, that is the lowest since 2010 and historically a level consistent with an economy that is slipping into a recession.

The U.S. worker feels this labor market weakness, and it’s showing up in the sentiment data.

Yesterday, a New York Federal Reserve survey found that confidence in the ability to move from one job to another has hit a record low.

From CNBC:

Respondents to the central bank’s monthly Survey of Consumer Expectations for August indicated a 44.9% probability of finding another job after losing their current one.

The reading tumbled 5.8 percentage points from the prior month and is the lowest in the survey’s history dating back to June 2013.

And this morning brought a new concerning headline.

From The Wall Street Journal:

U.S. Added 911,000 Fewer Jobs in the Year Ending in March – Revised job numbers show significantly weaker labor picture than earlier reports indicated

The article reports that this reduction means we’ve lost slightly more than half of the jobs we believed had been created.

If the new calculation holds, the average pace of jobs gains per month will fall from 147,000 to just 70,000.

As Luke just noted, job growth has fallen to levels consistent with an economy that is slipping into a recession.

But if we look at earnings, there’s no recession within a thousand miles.

To illustrate, let’s go to legendary investor �������°�, the analyst behind Growth Investor:

One of the primary factors fueling the summer melt-up is the spectacular earnings environment.

It should remain one of the main driving forces under stocks in the upcoming months, too.

According to my favorite economist, Ed Yardeni, the second quarter represents the strongest earnings surprise percentage ever recorded in the 39 years that he has observed quarterly earnings results. The average earnings surprise was a whopping 8.8%.

Yardeni also points out that with 92% of S&P 500 companies reporting, second-quarter earnings rose an average of 10.6%.

So, what’s happening here?

How do we account for record earnings while the labor market is showing signs of going off the rails?

Once upon a time, the economy and stock market were intertwined partners in a dance…

Economic growth and labor market strength fueled corporate profits, which in turn drove stock prices.

You could almost tell where the market was heading by watching employment stats and a handful of leading economic indicators. Profits emerged from real economic activity – consumers spent, companies staffed up, productivity hummed. That link made sense.

But AI is rewriting that script…

This groundbreaking technology isn’t just turbo-charging productivity, it’s unraveling the traditional relationship between jobs, earnings, and capital flows.

From the research shop Chmura in a June research piece:

Since the introduction of ChatGPT, the impact of generative AI on the labor market can be seen directly in job postings.

Since October 2022, one month before the release of ChatGPT, job postings declined 25% while the S&P 500 increased 53%.

Hiring also fell during this period, albeit to a lesser extent than job postings. Hires from the Bureau of Labor Statistics JOLTS survey declined almost 10% as the S&P 500 increased over 50%.

Chmura goes on to highlight that since October 2022, the S&P 500 Information Technology sector soared more than 100%. And over that same period, job postings for computer occupations, including software developers, programmers, and database architects, have cratered 53%.

Yes, there’s likely an AI bubble brewing that will eventually correct (more on that in a moment). But for some companies, their stock market gains are justified because of enormous earnings growth.

Back to Louis:

We’re living in a brave new world that’s increasingly dependent on AI to enhance productivity and, in turn, boost GDP (gross domestic product) growth.

Over the next several years, AI will continue to invade our lives, as robots boost productivity on factory and warehouse floors, and advances like self-driving become more common.

Bottom line: We’re in an incredible environment for stock market appreciation

Those record earnings that Yardeni just highlighted come from a tiny subset of stocks.

It just so happens that they’re the market’s largest companies, so they wield an outsized influence on S&P’s headline earnings number.

Let’s go to the research shop Apollo from back in July:

The concentration in the S&P 500 has returned to extreme levels, with the top 10 companies accounting for 40% of the index’s market capitalization and a record-high share of earnings, see chart below.

If you can’t see the chart above clearly, the Top 10 companies account for more than 25% of all the profits in the S&P 500.

Let’s return to Luke for more color on this:

Today, we have a tale of two economies.

There’s the AI Economy, humming along with relentless momentum, booming innovation, and insatiable enterprise demand.

Then there’s the Everything Else Economy — consumer, travel, discretionary — which is feeling the brunt of tariffs, economic uncertainty, and a pinch of macro paranoia.

As evidence that you needto be all-in with AI, take a look at the profit growth rates for the Magnificent 7 tech stocks (firmly in the AI Economy) and the S&P 493 (which comprises some AI Economy stocks, but also a lot of Everything Else Economy stocks).

[Last] quarter, the Mag 7 is expected to grow profits by 26%, versus just 2% growth for the S&P 493.

AI enables companies to fatten margins – laying off workers while keeping productivity high. So, profits and stock prices can thrive even as the labor market slows.

But here’s the thing…

This shift has barely begun. Mass layoffs aren’t here right now. While this is a “low hire” market, it’s also a “low fire” one.

But it won’t remain this way. As we’ve detailed here in the Digest, we’re currently in a transition phase, not the end point.

From the New York Fed’s blog:

Looking ahead, firms anticipate more significant layoffs and scaled-back hiring as they continue to integrate AI into their operations.

As just one illustration why, take Goldman Sachs…

For over a century, Goldman needed six bankers – working for two straight weeks – to draft an IPO prospectus.

Well, Goldman CEO David Solomon says AI can now do 95% of that work…in minutes.

So, what do you think will eventually happen to Goldman’s headcount?

This underscores Luke’s point above…

There’s “AI” – with what it represents for cutting-edge technologies, related stocks, and wealth creation for those who are a part of shift…

And then there’s “everything else” – the stocks of yesterday’s economy, the business models that can’t adapt, and the huge swathes of workers who will be redundant as AI proliferates.

Luke’s takeaway is simple: You need to be all-in with AI stocks. Everything else isn’t even growing in real terms.

That’s a real risk not to be dismissed.

Luke has gone on record agreeing that AI will eventually hit its bubble phase, ultimately ending in a fiery crash. But not anytime soon:

Over the next 12 months — and likely longer — the AI train will keep barreling down the tracks.

Also, we need to consider one more wrinkle for why this boom could last longer…

If leading AI stocks capture the bulk of labor-market efficiency gains, premium valuations could be justified.

Morgan Stanley estimates AI could add as much as $16 trillion in value to the S&P 500 over time. If so, then the PE multiple for companies most effectively scaling AI should be reset upward.

The question is how we’ll know when a new normal is in place.

Clearly, we’ll be tracking top-line growth and margin expansion, but a new variable will likely take more spotlight…

Profit per employee.

As AI allows companies to generate more with leaner workforces, this metric will highlight who’s truly extracting value from automation.

A rising figure here suggests that margins are expanding not because of topline growth, but because each remaining worker is being augmented by technology. And that could justify higher multiples for the best-positioned stocks.

Of course, at some point, you’ve cut all the employees you can, and top-line revenue must grow. But if no one has a job at that point, even leading AI companies could run into headwinds.

But that’s much farther down the road with many “what ifs?” between now and then.

Both Louis and Luke have been preparing their readers for this shift.

Louis has gone on record saying we’re racing toward a seminal moment in American history – what he calls “The Economic Singularity.” That’s the point where most economic activity is controlled by an elite few who own and operate the AI systems.

To help investors get ahead of this transformation, he’s assembled a research package spotlighting a handful of leading AI stocks poised to benefit.

Luke, meanwhile, has turned his attention to humanoids and robotics – zeroing in on Tesla’s Optimus robot. Elon Musk recently predicted it could be “10 times bigger than the biggest product ever made.”

Luke has found a backdoor play on Optimus that could be one of the most compelling ways to invest in this next evolution of AI/humanoids. You can check out his research right here.

Whether your best fit is Louis’ path or Luke’s, the important thing is to start moving.

The “tale of two economies” will only grow more divergent from here – and our best shot at not just surviving it, but thriving from it, will come from aligning ourselves with AI tech leaders generating snowballing profits.

Have a good evening,

Jeff Remsburg

The post Why You Need to Own AI Stocks Today appeared first on InvestorPlace.

Eric’s new framework, Apogee, is built to do one thing exceptionally well: Find the rare, established companies that are down a lot, then up a little – the “blue-sky after the storm” sweet spot where risk is falling and upside is opening. It’s a rules-based way to pursue 1,000% winners without swinging at every pitch.

In the article below, Eric explains how Apogee turns his global-macro playbook into code – why it caught Amazon.com, Inc. (AMZN) at the right time yet skipped higher-drama names – and how five new signals just lit up across his 14,000-stock universe.

If you want to see Apogee work in real time – and get the five names – Eric will reveal them during his free 10X Breakthrough event tomorrow at 10 a.m. Eastern. Reserve your seat here. I’ll let Eric take it from here…

*

Every successful investor has a system. A “north star” that guides their decisions through good times and bad.

Some rely on algorithms…

Others lean on fundamentals…

Even contrarian legends like Warren Buffett and John Templeton followed repeatable playbooks.

That’s because luck can make you right once… but only a process can make you right again and again.

Apogee is the culmination ofmy process.

In the essay I shared with you yesterday, we went over why my new computerized stock-picking system – Apogee – picks certain stocks but not others.

As we saw, during extensive backtests, it picked Amazon.com Inc. (AMZN) before it went on to gain 1,115%. But it avoided Tesla Inc. (TSLA) before that stock went on to big gains… but took investors on just about the riskiest, wildest ride the stock market has ever seen.

As I’ll even further reiterate in a video I’ll share with you tomorrow… it’s a rules‑based trading system built for one thing: finding 1,000% winners without taking outsized risks.

How?

By fishing in a corner of the market that most investors ignore: established, high-quality companies that have fallen a lot… and risen a little.

This “sweet spot” represents a stretch of blue skies right after a storm – the moment when the clouds are parting and prices are ready to soar again.

Over my career, this system of investing has helped me find:

• Sturm, Ruger & Co. Inc. (RGR)+1,543%…
• BHP Group Ltd. (BHP) +2,045%…

• Humana Inc. (HUM) +3,591%…
• And 38 other 1,000%+ gainers.

And during those backtests, Apogee – basically my “mental” system turned into code —  identified:

• Nvidia Corp. (NVDA) before it generated 1,871% gains…
• Cadence Design Systems Inc. (CDNS)before it went on to 1,551% profits…
• And Apple Inc. (AAPL) before its 4,285% run.

And now, I’d like to share some more about Apogee and how it works with you…

The Apogee Difference

Most systems chase what’s already hot. If a stock has already doubled in price, you can bet that trend-seeking algorithms and hot-money day- traders are piling in.

These momentum-driven traders are hoping for more gains… and their crowding can often inflate hot stocks into full-blown bubbles.

Of course, we all know what happens after that.

Apogee does the opposite. It’s more like a “contrarian robot” that avoids these speculative bets that can lose 80%… 90%… 95% of their value almost overnight.

In other words, Apogee is the patient investor waiting to buy high-quality companies after the bubble bursts and things are set to rebound.

Consider Humana, a recommendation I made back in 2000 after shares of the health insurance firm had fallen 70%. The company had just swung from a $200 million profit to a $400 million loss, and investors were betting on more pain to come.

After all, when insurers announce a “failure to align our pricing with cost trends,” the resulting problems can often last decades. Dozens of insurance companies have folded because someone years before wrote policies on Florida real estate or assumed that long-term care would only cost $20,000 a year.

Yet, health insurance companies have an important quirk. You see, this is one of the few corners of the insurance market where prices are renegotiated yearly. Companies like Humana can simply raise prices the following year if premiums are too low. In addition, the medical cost increases of the late 1990s were largely triggered by a one-time event, the Balanced Budget Act of 1997.

That meant Humana quickly swung back to a profit in 2000, sending shares straight back up. By 2007, it had returned 500%. Seven years later, 1,000%. And by 2020, shares had returned a stunning 3,591%.

Not bad for an established company with hundreds of thousands of subscribers.

How Does Apogee Work?

Humana was an incredible investment because it followed the key tenets – the 10X Factors – I used to build Apogee.

These same principles have also helped me identify several dozen other 1,000% winners over my investment career. Of course, on my own, I can’t apply these screens to every stock in the market and dig up every single potential 10X winner. I’m only human.

However, now that we’ve computerized them in Apogee, I can do exactly that… every single day.

And here’s the best thing:

These sorts of1,000% winners are safer than most people think.

That’s because my system is built to wait. It lets fear do its work, lets the numbers start improving, and only then starts to act.

We’re talking about firms like Humana, Bayer AG (BAYRY), and Adidas AG (ADDYY) – established names you can feel comfortable sizing like a real investment, not the $50 microcap lotto tickets people brag about at the golf course.

That’s what makes Apogee so different.

Most days, Apogee does nothing. And that’s by design. Great deals don’t arrive on command, and forcing trades only creates bloated portfolios filled with mediocre bets.

Nor does the system try to own every rally or predict every twist. After all, the goal of investment is to make money, not to be busy.

And it’s certainly not buying up speculative bets like companies that keep selling new shares at your expense, penny stock promises, or the latest investment fad. Sure, some of those can jump 1,000% in the short term, but I know almost no one who got wealthy through consistently buying speculative bets.

Instead, Apogee concentrates on being right when it matters.

An Important Announcement

Apogee has recently flagged five different “Buys” across my universe of 14,000 stocks. These companies look much like Humana in 2000 – they’re all trading at incredible discounts and have simultaneously entered a “sweet spot” that looks ready for a 1,000% breakout.

This almost never happens.

That’s why I’m unveiling my system for the first time ever at my 10X Breakthrough broadcast tomorrow, at 10 a.m. Eastern.

During that broadcast, I’ll show how I use those 10X Factors to spot potential big long-term winners in advance. And I’ll show you how the system and I work together – man + machine – to make my final stock picks.

Most importantly, I’m going to give you these five “official” recommendations and tell you why they’re set to rise 1,000% or more in the coming years.

That’s why I urge you to reserve your spot for tomorrow’s free event now.

I’ll see you there.  

�������°�

Senior Investment Analyst, InvestorPlace

The post 5 New Buy Signals That Could Soar 1,000% appeared first on InvestorPlace.

That lesson reaches far beyond chess. In investing, human instinct alone often misses signals hidden deep in the data. Algorithms alone can crunch numbers but lack vision, judgment, and imagination. Together, though, they can see what others don’t.

That’s the promise of cobotic investing: harnessing AI to scale human intuition. The problem is most investors are still stuck in the old dichotomy – choosing between gut feel and mechanical models, when the real edge comes from blending the two. And the proof is piling up: just as Kasparov’s hybrid players rewrote the history of chess, cobotic systems are beginning to rewrite the history of markets.

The Next Evolution of Stock Picking

If you’ve ever wished you could spot the next  Amazon (AMZN), Nvidia (NVDA), or Apple (AAPL) at the moment before it turned, this is the strategy designed to make that possible. What comes next is how �������°� has built Apogee – a cobotic system that fuses his decades of winning instincts with algorithmic firepower – to hunt down the market’s true 10X opportunities.

When people think about the future of artificial intelligence, they picture robots on factory floors or algorithms writing code. What usually does not come to mind is the human sitting opposite the machine, who guides it, molds its outputs, and ensures the final result is genuine.

For decades, investors have had to choose between gut instinct and cold, mechanical models. One often misses nuance. The other misses vision. But what happens when you combine the two?

You get “cobotics” – a new era where man and machine work together to find the market’s biggest winners.

And the results aren’t just incremental. They’re exponential. Imagine being able to systematically spot the next Amazon, Nvidia, or Apple at the exact moment their fortunes were about to change.

That’s the power of cobotics… And it’s about to transform the way we invest.

Investing With Apogee: Where Human Insight Meets AI Power

This isn’t science fiction – it’s happening now…

My colleague �������°�, one of the world’s top stock pickers, has built a system that embodies this synergy. It’s called Apogee, and it’s essentially Eric’s famed investing strategy turned into code.

Eric isn’t new to huge winners; he’s nicknamed “Mr. 1,000%” because he’s delivered more than 40 stock picks with 1,000%-plus gains (averaging an astonishing 3,057% each) over his career.

Now he’s downloaded decades of expertise into Apogee – a computerized stock-picker designed to pinpoint the next 10X opportunities automatically.

Apogee is a data-crunching beast. Eric ran 5.2 million back-tests on his system – analyzing 14,000 stocks across 31 years of market history – to hone its predictive power.

Today, Apogee scans the entire market every single day to identify a very specific pattern – a signature “10X Pattern” – that flags future big winners. It blends Eric’s human macro insight with algorithmic precision, the epitome of what Eric calls “cobotic investing” (collaboration between man and machine).

Five Key 10X Factors

In practice, Apogee zeroes in on stocks that meet five key 10X Factors… The five signals that tend to show up right before a stock breaks out:

In other words, Apogee hunts in what Eric calls the “blue sky” sweet spot – that brief window just after a storm, “when the clouds are parting and prices are ready to soar again.”

Zeroing In on Wall Street’s Biggest Winners

Humana (HUM) is a perfect example.

In 2000, Humana’s stock had been crushed (down about 70% from its peak) amid a temporary crisis. But the company quickly returned to profitability by adjusting its pricing, and the stock began ticking back up.

At that moment, Humana was trading at a reasonable valuation, its revenues were climbing at a moderate clip, and it was starting to outperform the market – a textbook 10X Pattern. Investors who recognized those signals and bought in were richly rewarded: by 2020, Humana had soared 3,591%.

Apogee’s extensive backtests reveal that many of the market’s biggest champions fit this mold. For instance, the system “picked” Amazon in advance of its 1,115% rally – while wisely avoiding a high-flyer like Tesla (TSLA) (which rocketed but with extreme volatility).

It flagged Nvidia before an incredible 1,871% surge, and Apple ahead of a 4,285% climb. Even a less obvious name, Cadence Design Systems (CDNS), was identified by Apogee just before a 1,551% run-up.

In each case, the stocks had fallen hard, begun to recover, hit that valuation sweet spot, showed improving fundamentals, and quietly started beating the market. Apogee spotted the cobotic sweet spot that human investors alone might have missed.

Crucially, Apogee isn’t a black box working in isolation – it’s a partnership of man and machine.

Eric sets the strategic vision (focusing on big-picture trends and solid fundamentals) and the AI system does the heavy lifting, combing through thousands of stocks to find those rare gems. As Eric has said, the system and he “work together – man + machine – to make [the] final stock picks.”

This collaborative approach means Apogee doesn’t chase hype or day-trade every blip. It patiently waits for the right setup, then Eric applies a final layer of human judgment to confirm the pick.

The result is a cobotic investing process that can consistently beat the market by marrying human intuition with AI’s unrelenting data analysis.

The Future of Investing Is Cobotic

We’re now standing at the dawn of a new investing era.

Those who cling solely to gut instinct or rely only on blind algorithms will get left behind. The next decade will belong to investors who harness AI tools to scale their intuition and make smarter decisions.

Cobotic investing means you can cast a vastly wider net without sacrificing insight – you let AI sift through mountains of data to surface opportunities, then apply your human touch to seize the best ones.

It’s not about AI replacing investors; it’s about AI empowering investors to see what others miss. Imagine having an investing sidekick that works 24/7, never gets tired, and can instantly compare thousands of stocks to your criteria – that’s what Apogee and systems like it offer. With such tools, one person can do the work of an army of analysts, and do it better.

In fact, this revolution is already bearing fruit.

Final Word on a Breakthrough Cobotic Approach

As of right now, Apogee has just flagged five new stocks that hit all five of those 10X factors – five companies that look “much like Humana in 2000,” trading at huge discounts and poised for massive breakouts.

Any one of these could be the next Amazon or Nvidia. And Eric is going to reveal all five at his upcoming 10X Breakthrough event. This is a live, online briefing where Apogee’s findings will be unveiled to the public for the first time. It happens tomorrow at 10 a.m. EST.

Consider this my personal invitation to you. I strongly urge you to join us for this special event and see cobotic investing in action. You’ll get the names and details of Apogee’s five newly identified 10X stock opportunities, and you’ll learn how this man-machine system finds big winners before they erupt. If you’re serious about dominating the market in the coming years, you don’t want to miss this. Eric will be breaking down how Apogee works and, most importantly, handing you those five stock picks with explosive potential.

This could very well be a turning point in your investing journey – the moment you start leveraging AI to amplify your own investing savvy.

The event is free to attend, and it kicks off tomorrow at 10:00 a.m. Eastern.

Reserve your spot now, and come see how the future of investing works.

Eric will be there, ready to share this breakthrough with you. The age of cobotic investing has arrived – join us and be a part of it.

We’ll see you at the 10X Breakthrough!

The post Cobotic Investing: Man Plus Machine Makes the Smartest Trades appeared first on InvestorPlace.

This Week’s Ratings Changes:

Upgraded: Buy to Strong Buy

Downgraded: Strong Buy to Buy

Upgraded: Hold to Buy

Downgraded: Buy to Hold

Upgraded: Sell to Hold

Downgraded: Hold to Sell

Upgraded: Strong Sell to Sell

Downgraded: Sell to Strong Sell

To stay on top of my latest stock ratings, plug your holdings into Stock Grader, my proprietary stock screening tool. But, you must be a subscriber to one of my premium services. Or, if you are a member of one of my premium services, you can go here to get started.

Sincerely,

�������°�

Editor, Market 360

The post Weekly Stock Grader Analysis: Upgrades & Downgrades on Top Blue-Chip Stocks appeared first on InvestorPlace.

Quick – without thinking – which one of your children is your favorite?

Yes, yes, you love them equally but in different ways…

Unfortunately, investing doesn’t usually work like that. Most of us have a very clear “favorite child,” that we lavish with far too much attention…

I’m not referring to a particular stock, but to the U.S. stock market.

This tendency has a name: “home country bias.”

Put simply, it’s the habit of overweighting investments from your home country far beyond what a balanced, global portfolio would suggest – and Americans are some of the worst offenders.

State Street Investment Management found that, last year, 81.3% of the average U.S. stock portfolio was allocated to domestic stocks. This jumbo allocation comes despite U.S. stocks making up only 48.6% of the global stock market cap (as of early 2025) according to Visual Capitalist.

Bottom line: We own way more of our own market than we should based on a global market-cap weighting – despite U.S. stocks having some of the most expensive valuations in history.

No.

They have in recent years, but they don’t always.

And more recently, as my colleague and global macro investing expert �������°� just pointed out, the U.S. hasn’t been the world’s star performer lately:

The S&P reached its highest level on record late last month.

Yet, the best-performing companies from July 19 to August 19 were not in the S&P 500, which only notched a 2% gain in that stretch. Average valuations were already too high for that…

Instead, that prize goes to Japan, with an 11.2% gain.

And this isn’t cherry-picking.

As you can see below, the iShares MSCI Japan ETF (EWJ) is handily beating the S&P 500 here in 2025 – about 19% higher versus the S&P’s 11% return.

Plus, valuations of Japanese stocks provide a lot more runway for additional gains before they begin to approach today’s lofty U.S. valuations.

According to WorldPERatio.com, Japan’s stock market price-to-earnings (PE) ratio is just 16.36 – nearly 40% less than the U.S.’s 26.41 PE.

If Eric is right, this is a great opportunity for massive upside with reduced risk relative to expensive U.S. stocks:

This is just the start of a greater Japanese trend… and it should signal your attention to stocks outside of the United States.

There are a handful of reasons why Japan is on Eric’s radar today – shareholder returns, fresh capital inflows, M&A activity, AI adoption, and inflation tailwinds – but they all support a broader framework that Eric loves when he searches for opportunities…

“From ‘down a lot’ to ‘up a little.’”

This framework takes advantage of asymmetry.

When an asset has already suffered a massive drawdown, much of the bad news is usually priced in. Sometimes, washed-out prices reflect worse news than actually exists.

Overall, expectations for these stocks are low, valuations are compressed, and investor sentiment is in the dumpster. This creates an environment wherein even modest improvements – a turnaround in earnings, new leadership, regulatory reform, or a mild uptick in investor perception – can spark outsized gains.

Plus, additional downside is often limited because the market has already punished the stock – meanwhile, the upside can be enormous as the first signs of recovery attract new buyers.

Bottom line: It’s in that gray zone between “exhausted pessimism” and “cautious optimism” where some of the market’s biggest winners are born.

For decades, Eric used this approach in foreign markets to find some of his biggest winners. Here he is with one such example:

In 1996, I recommended buying Banque Nationale de Paris, a major French bank that, after a series of mergers, is now known as BNP Paribas SA (BNP.PA).

BNP has delivered a whopping 1,355% gain in the three decades since.

Like Japan was when I recommended that $12.9 billion ETF, BNP was down a lot… but up a little.

Of course, you don’t have to look abroad. Eric has found plenty of domestic 10-baggers too. In fact, the total count – domestic and foreign – clocks in at 41.

But whether domestic or abroad, this “from ‘down a lot’ to ‘up a little’” framework has been the primary driver of Eric’s quadruple-digit returns.

Eric has spent the past five years refining his “10X Breakthrough” system, which isolates the exact characteristics shared by his biggest winners before they soared.

Two of those factors are the “down a lot” and “up a little” dynamics we’ve just discussed. And Japan is the latest real-world example of why this framework works.

On Wednesday at 10 a.m. ET, Eric is unveiling this system publicly for the very first time in a special event. He’ll show exactly how he combines the system’s machine-powered analysis with his three decades of experience to pinpoint a select few stocks with 10X potential.

He’s even planning to reveal his first five official recommendations – including their names, ticker symbols, and the exact dates when his system flagged them as “Buys.”

If you’re overweight U.S. stocks… looking for more attractive valuations… or simply interested in 10X investment ideas, this is the event for you.

You don’t have to abandon your “favorite child.” But as an investor, it’s wise to give the others some attention too.

Click here to reserve your seat for Wednesday’s event.

As you can see below, since topping out on August 13 at an all-time high of roughly $123,000, Bitcoin has been making a series of “lower highs” and “lower lows.”

It’s now trading at the same level as far back as May.

But our crypto expert Luke Lango has a different take…

It’s less about Bitcoin waning, and more about altcoins strengthening – exactly what crypto investors should want to see.

From Luke’s issue of Ultimate Crypto at the end of last month:

One phrase nicely sums up the crypto markets recently: quiet on the surface, loud under the hood. 

Recently, the tape flashed a familiar tell wherein Bitcoin dozed but altcoins danced. If you’ve been waiting for Altcoin Season, we think it has finally arrived. 

In recent weeks, Bitcoin has been shuffling between the low $110Ks and low $113Ks and finished flat-to-down, basically a yawn at the headline index level.

That’s not bearish—it’s the rotation you want.

When BTC goes sideways and the rest of the board prints green, that’s capital sliding down the risk curve.

But what about this past week? Altcoins ran into some headwinds.

Back to Luke:

Zoom out. The best buying opportunities usually arrive wrapped in short-term fear.

The market frets about regulation or macro data, dumps a few points, and then months later you realize those dips were gifts.

This feels like one of those moments.

Stablecoins are poised to transform global payments, the Fed is about to provide rocket fuel, and the timeline for both may have just accelerated.

Bottom line: short-term noise is creating long-term opportunity.

Luke goes on to write that we’re finally in the early innings of “Altcoin Season” – a period when many altcoins experience significant price increases and outperform Bitcoin.

Luke says that we have about another year before this cycle peaks. And during that time, he still expects the grandaddy crypto to climb to $150K–$200K.

But he believes smaller, leading altcoins will likely beat out Bitcoin’s percentage gains.

If you’re looking for which corners of the altcoin world to focus on for the biggest returns, Luke favors names levered to stablecoin adoption and tokenization rails.

Here’s his bottom line for today:

We remain bullish on Bitcoin and Ethereum as core holdings.

But if you’ve been waiting for a window to “load up” on select alts, this is the kind of market you plan for.

For newer Digest readers, Jonathan is the latest analyst to join our InvestorPlace family.

He earned his stripes at the Chicago Board Options Exchange, going toe-to-toe with some of the world’s most aggressive and successful moneymakers. He’s made more than $10 million over the course of his career, profiting from bull markets, bear markets, and everything in between.

Frankly, Jonathan has been crushing the market here in 2025. A few such examples in Advanced Notice from the last few months include:

• ETHA call spread: +275.33% (less than a month in the trade)
• U Call Spread: +227.03% (about a month and a half in the trade)
• MP Call Spread +700.00% (about half a month in the trade)

And here in the Digest, we’ve put two of Jonathan’s recent trades on your radar: QXO and LYFT. Both are off to good starts…

We profiled QXO in our 8/26 Digest, less than two weeks ago. It’s up about 4% since. And featured LYFT last Wednesday – it’s already up 3%

Today, let’s quickly profile another: Karman (KRMN).

It’s a small-cap defense contractor that builds missile and rocket components.

After introducing Karman, Jonathan zeroes in on what really has him excited:

KRMN’s market cap is still under $5 billion. That means we’re in before the herd. But there’s more.

Since April, we’ve watched a massive divergence grow between the Nasdaq 100 and the Russell 2000.

Big tech has been ripping while small caps have lagged. That kind of divergence is a coiled spring, and when it releases, it’s small caps that get the explosive move.

Layer in the Federal Reserve hinting at lowering rates, and that’s rocket fuel.

We’re running long today, but for a deeper dive into the opportunity, check out Jonathan’s free Masters in Trading Live episode “5 Reasons to Buy KRMN.”

And remember, you can catch Jonathan and get his latest market ideas – totally free – every day the market is open at 11 a.m. ET in his Masters in Trading Live broadcasts. You can sign up right here.

Circling to Karman, I’ll let Jonathan take us out:

When I look at KRMN, I see a powerful policy tailwind. Deep government ties. And market that’s still sleeping on the story.

That’s the exact recipe that’s given us our biggest winners. And I believe KRMN is next in line.

Have a good evening,

Jeff Remsburg

The post Less Risk/More Upside With This Trade appeared first on InvestorPlace.

The main culprit for the weakness was the dismal jobs report on Friday. The latest unemployment report showed only 22,000 jobs were added in August, and the unemployment rate rose to 4.3%. That’s down from the 73,000 jobs created in July. Economists were looking for 75,000 jobs in August.

Adding to the weakness last week, bond vigilantes shook the market and sent yields spiking in Britain and France on budget stress. That pressure rippled briefly into the U.S., but domestic yields have eased back a bit.

This week, stocks are attempting to regroup before we get the latest inflation reports midweek.

On Wednesday morning, the Producer Price Index (PPI) will be released. Economists are looking for a 0.3% increase in August, compared to a 0.9% bump in July.

Then, on Thursday morning, the Consumer Price Index (CPI) numbers will also drop. Economists expect an increase of 0.3% in August, or 2.9% year-over-year, compared to 0.2% in July – or 2.7% year-over-year.

These are the last inflation reports before the Federal Reserve’s meeting next week. As you know, I am expecting a key interest rate cut during this meeting. I discussed why in this week’s Navellier Market Buzz. We also touched on the latest data from the Institute for Supply Management (ISM), tackled some subscriber questions and previewed reports from a couple of companies as we wrap up earnings season.

Click the image below to watch now.

Now, here’s something else you may find interesting… I recently performed my quarterly back test of my Stock Grader system (subscription required) and my 8-factor fundamental model.

What I found is that fundamentally superior stocks continue to rise to the top. Although the breadth and power of the stock market has improved, mean reversion algorithms have actually tightened the breadth and power of the overall stock market.

So, the latest back test confirmed that the top 25% of stocks in Stock Grader and the top 15% of stocks in my 8-factor fundamental model remain the best places to invest.

In other words, it’s imperative you own fundamentally superior stocks. And that’s why I was excited to learn that my friend and colleague �������°� is ready to roll out a computerized system of his own…

Here’s what I find so interesting about this. Eric is what you’d call a “macro” expert. He focuses on big themes and trends, and then drills down during his research to find the best plays for investors.

He’s also one of the best “contrarian” minds in the market.

Put it all together, and Eric’s track record speaks for itself, having already delivered 41 different recommendations that have soared 1,000% or more.

But now, he’s distilled all of his experience into a computerized system he calls Apogee.

It’s designed to spot when a beaten-down stock is about to enter the rare “10X Pattern.”

And during the five years of testing this system across 14,000 stocks and 31 years, Apogee delivered a whopping 308% average gain on winners and had a 72% win rate.

In short, Eric has pulled off something really impressive – using a systematic approach to capture the way he invests. 

And here’s the best part: You can get the names and tickers of five fresh 10X opportunities Apogee has uncovered right now – for free.

All you have to do is join Eric for his 10X Breakthrough event on Wednesday at 10 am Eastern.

If you’re serious about finding the next market winners, you’ll want to hear what Eric has to say. 

Go here to secure your spot now.

Sincerely,

�������°�

Editor, Market 360

The post Jobs, Inflation, Bonds, Earnings – What to Expect appeared first on InvestorPlace.

It’s a bird… it’s a plane… it’s a Starlink satellite.

In 2019, Elon Musk’s SpaceX began launching Starlink satellites. Now, around 7,600 of them dot Earth’s low orbit.

Around 2,000 of those were deployed this year, alone.

Now, I don’t mention these small satellites to comment on Starlink’s pursuits… but to better describe an orbital term…

Apogee.

It’s a word you’ve heard me use here at Smart Money over the last week, as it’s the name of my new stock-picking system, which I’ve been telling you about. (Also, I’ll be hosting a free broadcast event on Wednesday, at 10 a.m. Eastern, where I’ll be debuting Apogee to the public for the very first time. Just click here to reserve your spot.)

And, I’ll admit, apogee is an odd word.

In astronomy, apogee describes the point in an object’s orbit when it is farthest away from the body around which it is orbiting. The image below illustrates this point between a satellite (Starlink, or otherwise) and Earth.

Now in finance, apogee describes when a stock is furthest away from its ultimate potential.

So, you can think of Earth in the image above as a company. Let’s say, Amazon.com Inc. (AMZN), when the stock had crashed after the early-2000s dot-com bust.

The satellite would then represent the company’s highest gain potential. In the early 2000s, there was quite a distance between Amazon and its true potential.

For investors, it feels natural, smart even, to turn away from a company at its lowest point. And I understand. Who wants to add a down-and-out company to their portfolio? The risk feels too great, and the reward seems nowhere in sight.

But that is why I named my new trading system Apogee. It finds stocks when they are furthest away from their true potential and gives a buy signal as they are moving toward that potential.

My system follows a series of patterns to identify if – and when – a company starts moving toward its great potential. This distinction separates my trading system from others… and creates an incredibly high ceiling for optimizing returns.

This risk-reward profile is at the center of Apogee’s decision-making. The point of my system is to find stocks with massive potential and relatively little downside risk.

And I’d like to share one of Apogee’s first official picks with you today, ticker and all.

But first, let’s take a look back at what we covered here at Smart Money last week.

Smart Money Roundup

September 3, 2025

Why Japan May Be the Market That Supercharges Your Portfolio

International stocks can end up being some of the biggest winners in your portfolio. And due to valuation and structural reform, a new cycle of Japanese outperformance is underway.

This is just the start of a greater Japanese trend… and it should signal your attention to stocks outside of the United States. Tom Yeung breaks down the country’s economic journey and then explains how you can diversify some of capital into select foreign investments. Click here to read more.

September 4, 2025

The Hidden Sweet Spot Where 1,000% Winners Live

For the first time, I have translated my internal locating system into a computerized, quantitative set of rules… a powerful new stock-picking system designed to pinpoint precisely when a stock enters the 10X pattern.

Think of it as a fishing radar… or distilling decades of oceanographic science into five simple “10X Factors.” I’d like to give you a sense of what to expect from my system… and share one of its first five “official” recommendations.

September 6, 2025

Why My System Didn’t Pick Tesla… but Dug Up 1,115% Gains in Amazon

My new system – Apogee – has discovered all the factors behind my 41 1,000%-plus gainers. However, Apogee is not designed to pick up every single company that does well. It’s designed to pick companies at their most optimal point.

So, I’d like to share why it selectively identifies certain winners – like Amazon – while bypassing other big names… like Tesla. This discernment is a key feature of Apogee. Click here to continue reading.

September 7, 2025

5 Fresh Buy Signals: Your Shot at 1,000% Winners

Every successful investor has a system. A “north star” that guides their decisions through good times and bad. That’s because luck can make you right once… but only a process can make you right again and again. Apogee is the culmination of my process.

Apogee recently flagged five different “Buys” across a universe of 14,000 stocks. These are all trading at incredible discounts and have simultaneously entered a “sweet spot” that looks ready for a 1,000% breakout. Here’s how to find out more about them…

An Apogee Official Pick

It’s important to note that my Apogee system doesn’t flag every good stock… or even every great one.

It waits for a specific combination of factors: a company must have experienced at least a 40% “down a lot” drop from its highs, then a period of stabilization that turns into an “up a little” move, eventually triggering the rare buy signal.

And as promised, here is one of the Apogee’s picks…

It’s Tidewater Inc. (TDW), a cutting-edge energy play. The company provides ships and equipment to offshore energy firms… both wind and oil and gas.

We all know AI is driving energy demand through the roof, and this company is helping to fill the gap right now.

I’ll reveal four more of the system’s original recommendations, including their names and ticker symbols, during my 10X Breakthrough event on Wednesday, September 10, at 10 a.m. Eastern.

Finally, I’ll demonstrate the system in real time. You’ll watch it sort through a universe of 14,000 stocks… and pinpoint the very, very few with 10X potential.

My special event is only two days away – and this is my last chance to talk to you between now and then – so you’ll want to be sure to reserve your spot here.

I’ll see you there!

Regards,

�������°�

The post What Satellites Can Teach Us �������°� 1,000% Stocks appeared first on InvestorPlace.

What if the next great leap in AI doesn’t come from faster chips or bigger models … but from machines that think like us?

AI is everywhere – transforming content, cracking cybersecurity, accelerating drug discovery. But it’s hitting a wall. Traditional processors (CPUs and GPUs) are power-hungry, linear, and built for tasks they were never meant to handle.

Enter neuromorphic computing: a brain-inspired breakthrough that mimics how biological neurons actually fire and learn. Unlike conventional chips, these processors act like living brains: firing only when needed, running in parallel, and sipping power rather than guzzling it. Early systems are already handling pattern recognition, sensor fusion, and real-time decision-making at the edge … where AI truly needs to live.

This isn’t science fiction. It’s happening now. And if you’ve been chasing AI plays for GPU booms or chatbot hype, you might be looking the wrong way. Because the next wave of AI infrastructure – one that could make machines smarter, faster, and vastly more efficient – may not run on silicon as we know it.

It’s early. But the groundwork is already being laid by names you know … and some you’ve never heard of. And for investors who recognize the shift before Wall Street does, the payoff could be profound. 

Here’s what you need to know…

The Next Frontier in AI: Why Neuromorphic Chips Matter Now

From where we sit, the timing for neuromorphic computing couldn’t be better. 

AI workloads are exploding. Edge devices are proliferating. Power consumption is becoming a major bottleneck. And everyone from chipmakers to neuroscientists is looking for the next leap forward beyond brute-force deep learning.

Neuromorphic computing could be that leap.

And this is more than a hypothetical; these devices have already been built. And while early and small, they are showing lots of promise. 

According to Intel (INTC), its experimental Loihi 2 neuromorphic chip has demonstrated energy savings of up to 100x over conventional CPUs and GPUs for certain inference tasks. And Cortical Labs’ DishBrain system, which combines living neurons with silicon, has already shown the ability to learn simple games like Pong in real time.

But these achievements could be just the tip of the iceberg for what’s to come.

Where Neuromorphic AI Can Deliver the Biggest Impact

Though not yet at scale, we see real-world application potential across multiple high-growth sectors, like:

• Edge AI: Neuromorphic chips are ideal for smart sensors, drones, autonomous vehicles, robotics – any system that needs to make decisions locally, with minimal power draw. For instance, they can enable drones to recognize obstacles and adjust flight paths in real time without draining battery life. In autonomous vehicles, these systems can process inputs from cameras, radar, and lidar to make split-second decisions while conserving energy.
• Healthcare: These chips could be used in portable diagnostic devices that monitor patient vitals and detect anomalies instantly, such as wearable ECG monitors that flag irregular heart rhythms. They could also power adaptive prosthetics that respond to neural signals from the user’s body, creating more intuitive movement. Researchers are also exploring neuromorphic processors as the backbone of brain-computer interfaces to achieve more seamless two-way communication between humans and machines.
• Cybersecurity: Since neuromorphic systems excel at detecting subtle patterns and anomalies, they are well-suited for identifying unusual behavior in data traffic that may signal a cyberattack.
• Finance: In the financial sector, neuromorphic processors could be used to analyze high-frequency trading data or detect fraud in complex, noisy data streams – i.e. identifying unusual patterns in credit card transactions or spotting early signs of market manipulation.
• Energy efficiency: As AI workloads grow exponentially – particularly in data centers – power consumption has become a major concern. Neuromorphic chips, modeled after the brain’s energy-efficient architecture, can dramatically reduce the power needed for tasks like image recognition or language processing.

Who’s Building Neuromorphic Chips – And Who Stands to Profit

A small but growing group of companies is building the neuromorphic future. Some are public. Most are still private. But the investment landscape is already starting to take shape.

There is BrainChip Holdings (BRCHF): the purest publicly traded neuromorphic play – albeit a very risky one. The company makes the Akida chip, a neuromorphic processor designed for ultra-low-power edge AI. It’s already being used in smart sensors and defense applications. 

BrainChip also holds IP licensing and development agreements with major entities (including Renesas, MegaChips, Mercedes, NASA, and Raytheon, as well as a cybersecurity project with Quantum Ventura tied to the U.S. Department of Energy).

Revenue is still modest, and the company is largely unproven. But if neuromorphic computing hits an inflection point, the potential upside could be massive.

On the more stable side, we have Intel. The blue-chip tech giant is dabbling in neuromorphic computing. 

Its Loihi project is one of the most advanced neuromorphic research platforms. And while it’s not yet a commercial product, Intel has the resources, IP, and foundry capacity to scale if neuromorphic demand accelerates. Think of it as a “call option” in this emerging field.

In a similar vein, there’s also IBM (IBM). Its TrueNorth chip helped pioneer the neuromorphic field. Today, IBM remains a powerhouse in brain-inspired computing, neurosynaptic research, and AI infrastructure. 

It’s a slower-moving giant, but it’s quietly investing in the foundational tech of the future.

Potential Key Players Across the Neuromorphic Supply Chain

Further down the supply chain are Analog Devices (ADI) and Lattice Semiconductor (LSCC) – two potential supplier plays on neuromorphic computing. 

Since these systems rely heavily on analog signal processing and mixed-signal semiconductors, ADI could benefit greatly. 

Meanwhile, Lattice is focused on low-power field-programmable gate arrays (FPGAs) for edge applications – essentially, customizable mini-computer chips that can be programmed to do specific tasks. 

While not explicitly neuromorphic, Lattice is well-positioned to benefit from increased demand for adaptable, low-latency AI inference platforms at the edge.

There’s also Cadence (CDNS) and Synopsys (SNPS) to consider. After all, designing neuromorphic chips isn’t easy. It requires new tools, simulation software, and mixed-signal modeling. These electronic design automation (EDA) companies are the picks-and-shovels plays on the whole space.

Other picks-and-shovels plays?

• Specialty memory makers (Micron (MU), for resistive RAM and phase-change memory)
• Foundry toolmakers (Applied Materials (AMAT), Lam Research (LRCX))
• Sensor and signal companies (Ambarella (AMBA), Cognex (CGNX))
• AI edge infrastructure suppliers (Qualcomm (QCOM), Nvidia (NVDA))

With a diversified approach, you get exposure to the ecosystem without betting it all on a single chipmaker.

The Final Word on the Silent Revolution That Could Outperform Nvidia

Neuromorphic computing isn’t just the next chip upgrade; it’s a radical leap forward. These brain-inspired systems promise to make machines smarter, faster, and far more energy-efficient. 

If they deliver, they won’t just improve AI… they’ll redefine it.

And like every breakthrough before it, the biggest gains go to those who get in before the crowd catches on.

This is the kind of opportunity that could turn small-cap pioneers into market leaders – and supercharge the incumbents building tomorrow’s AI infrastructure.

It may be early days for neuromorphic computing, but it’s no longer theoretical. 

The seeds are planted. The architecture is real. And the use cases are arriving fast.

In fact, there’s one we’re particularly bullish on… humanoid robotics.

Humanoid robotics is no longer sci-fi … it’s the next frontier of AI. These machines require real-time, low-power intelligence that only neuromorphic and next-gen AI chips can deliver. As adoption accelerates, the companies building this tech could anchor a trillion-dollar disruption.

That’s why we’re zeroed in on this space.

Today’s breakthroughs in robotics are possible because AI chips are finally fast enough to simulate robots entirely in virtual space: testing millions of actions digitally before a single move happens in the real world.

Imagine a robot learning to sew by practicing millions of stitches overnight, without ever touching fabric.

This shift is reaching a tipping point, revealing the kind of opportunity that could turn small-cap pioneers into market leaders. And we’re got our sights set on one little-known firm ready to step into the limelight.

The post Brain-Inspired AI Is Coming Faster Than You Think appeared first on InvestorPlace.

Every successful investor has a system. A “north star” that guides their decisions through good times and bad.

Some rely on algorithms…

Others lean on fundamentals…

Even contrarian legends like Warren Buffett and John Templeton followed repeatable playbooks.

That’s because luck can make you right once… but only a process can make you right again and again.

Apogee is the culmination of my process.

In the essay I shared with you yesterday, we went over why my new computerized stock-picking system – Apogee – picks certain stocks but not others.

As we saw, during extensive backtests, it picked Amazon.com Inc. (AMZN) before it went on to gain 1,115%. But it avoided Tesla Inc. (TSLA) before that stock went on to big gains… but took investors on just about the riskiest, wildest ride the stock market has ever seen.

As I’ll even further reiterate in a video I’ll share with you tomorrow… it’s a rules‑based trading system built for one thing: finding 1,000% winners without taking outsized risks.

How?

By fishing in a corner of the market that most investors ignore: established, high-quality companies that have fallen a lot… and risen a little.

This “sweet spot” represents a stretch of blue skies right after a storm – the moment when the clouds are parting and prices are ready to soar again.

Over my career, this system of investing has helped me find:

• Sturm, Ruger & Co. Inc. (RGR) +1,543%…
• BHP Group Ltd. (BHP) +2,045%…

• Humana Inc. (HUM) +3,591%…
• And 38 other 1,000%+ gainers.

And during those backtests, Apogee – basically my “mental” system turned into code —  identified:

• Nvidia Corp. (NVDA) before it generated 1,871% gains…
• Cadence Design Systems Inc. (CDNS) before it went on to 1,551% profits…
• And Apple Inc. (AAPL) before its 4,285% run.

And now, I’d like to share some more about Apogee and how it works with you…

The Apogee Difference

Most systems chase what’s already hot. If a stock has already doubled in price, you can bet that trend-seeking algorithms and hot-money day- traders are piling in.

These momentum-driven traders are hoping for more gains… and their crowding can often inflate hot stocks into full-blown bubbles.

Of course, we all know what happens after that.

Apogee does the opposite. It’s more like a “contrarian robot” that avoids these speculative bets that can lose 80%… 90%… 95% of their value almost overnight.

In other words, Apogee is the patient investor waiting to buy high-quality companies after the bubble bursts and things are set to rebound.

Consider Humana, a recommendation I made back in 2000 after shares of the health insurance firm had fallen 70%. The company had just swung from a $200 million profit to a $400 million loss, and investors were betting on more pain to come.

After all, when insurers announce a “failure to align our pricing with cost trends,” the resulting problems can often last decades. Dozens of insurance companies have folded because someone years before wrote policies on Florida real estate or assumed that long-term care would only cost $20,000 a year.

Yet, health insurance companies have an important quirk. You see, this is one of the few corners of the insurance market where prices are renegotiated yearly. Companies like Humana can simply raise prices the following year if premiums are too low. In addition, the medical cost increases of the late 1990s were largely triggered by a one-time event, the Balanced Budget Act of 1997.

That meant Humana quickly swung back to a profit in 2000, sending shares straight back up. By 2007, it had returned 500%. Seven years later, 1,000%. And by 2020, shares had returned a stunning 3,591%.

Not bad for an established company with hundreds of thousands of subscribers.

How Does Apogee Work?

Humana was an incredible investment because it followed the key tenets – the 10X Factors – I used to build Apogee.

These same principles have also helped me identify several dozen other 1,000% winners over my investment career. Of course, on my own, I can’t apply these screens to every stock in the market and dig up every single potential 10X winner. I’m only human.

However, now that we’ve computerized them in Apogee, I can do exactly that… every single day.

And here’s the best thing:

These sorts of 1,000% winners are safer than most people think.

That’s because my system is built to wait. It lets fear do its work, lets the numbers start improving, and only then starts to act.

We’re talking about firms like Humana, BayerAG (BAYRY), and Adidas AG (ADDYY) – established names you can feel comfortable sizing like a real investment, not the $50 microcap lotto tickets people brag about at the golf course.

That’s what makes Apogee so different.

Most days, Apogee does nothing. And that’s by design. Great deals don’t arrive on command, and forcing trades only creates bloated portfolios filled with mediocre bets.

Nor does the system try to own every rally or predict every twist. After all, the goal of investment is to make money, not to be busy.

And it’s certainly not buying up speculative bets like companies that keep selling new shares at your expense, penny stock promises, or the latest investment fad. Sure, some of those can jump 1,000% in the short term, but I know almost no one who got wealthy through consistently buying speculative bets.

Instead, Apogee concentrates on being right when it matters.

An Important Announcement

Apogee has recently flagged five different “Buys” across my universe of 14,000 stocks. These companies look much like Humana in 2000 – they’re all trading at incredible discounts and have simultaneously entered a “sweet spot” that looks ready for a 1,000% breakout.

This almost never happens.

That’s why I’m unveiling my system for the first time ever at my 10X Breakthrough broadcast on September 10, at 10 a.m. Eastern.

During that broadcast, I’ll show how I use those 10X Factors to spot potential big long-term winners in advance. And I’ll show you how the system and I work together – man + machine – to make my final stock picks.

Most importantly, I’m going to give you these five “official” recommendations and tell you why they’re set to rise 1,000% or more in the coming years.

That’s why I urge you to reserve your spot for that September 10 free event now.

I’ll see you there.  

�������°�

The post 5 Fresh Buy Signals: Your Shot at 1,000% Winners appeared first on InvestorPlace.

There’s a saying on Wall Street that the best time to buy is when there’s blood in the streets. 

Sounds easy, right? 

After all, that’s how investors like Warren Buffett made their billions. For instance, he bought… 

• Wells Fargo & Co. (WFC) during the 1989-’90 savings and loan crisis… 
• Goldman Sachs Group Inc. (GS) and Bank of America Corp. (BAC) in the depths of the 2008 financial crisis… 
• And Dominion Energy Inc. (D) during the COVID-19 pandemic. 

But then, what if you saw a stock graph that looks like this? 

Because that’s what “blood in the streets” looks like at the bottom… an ugly combination of falling share prices, several dead cat bounces, and then even further drops. 

In fact, the graph above shows shares of Oersted A/S (DNNGY), an offshore wind company that recently saw the Trump administration halt its $1.5 billion megaproject off Rhode Island. The Danish company’s stock has fallen almost 90% since its 2021 peak, and it could drop further as the U.S. president continues his war on wind power. 

That’s the trouble with buying companies during panics. Bad news typically brings more bad news, so falling stocks tend to keep dropping. After all, a firm that’s lost 90% of its value is simply one that’s gone down 80%… and then fallen another 50%.  

Yet, many of the top investment gurus seem to have a second sense of when markets and individual stocks are ready to rebound. They’re the ones standing on the sidelines, patiently waiting for the right moment to pounce. 

In fact, that’s precisely what InvestorPlace Senior Analyst �������°� has been doing for the past three decades. 

Since 1992, he’s been picking companies that have gone on to produce 10X gains, like: 

• BHP Group Ltd. (BHP) +2,045% 
• Sturm, Ruger & Co. Inc. (RGR) +1,543% 
• Humana Inc. (HUM) +3,591% 

And each of these followed a similar pattern. Shares would first plummet on factors beyond the company’s control. And right as things seemed most dire, Eric would jump in and invest for a 1,000% return. 

Now, Eric has refined this “second sense” – his “mental” system – into a quantitative playbook. This new computerized system, Apogee, incorporates the factors behind his 41 investments that returned 1,000% or more. By doing so, he’s turning decades of intuition and knowledge into a repeatable process. 

The system, of course, isn’t always flashing “Buy.” It’s not every day that a potential 1,000% winner walks through the door. Besides, it’s always better to wait for a fat pitch than swing wildly at whatever comes down the lane. 

But now, Apogee is flagging not one… but three different stocks to buy. And Eric will reveal all three of those stocks – including their names and tickers – in during a free broadcast at 10 a.m. Eastern on Wednesday, September 10. In this presentation, he will go into detail about the Apogee system and reveal its first three “official” recommendations.  

These are all firms he believes can rise 1,000% or more. 

Click here for details and to get your name on the guest list for Eric’s full reveal on Wednesday.

Until then, I’d like to cover one of the key elements to his system – something he calls “down a lot, up a little.” When combined with other factors, this powerful signal can help investors buy when there’s blood in the streets while not getting hurt in the process. 

And the best way to do this is with two illustrations… 

Down a Lot… Up a Little 

In August, I recommended Tronox Holdings PLC (TROX), one of America’s top makers of titanium dioxide (TiO2), the whitening compound found in paints, toothpastes, and more. Shares had fallen 86% since 2021 on weakening TiO2 prices, and the company was valued as if the market would never recover. 

This is the “down a lot” part of Eric and Apogee’s 10 investment criteria. A company must have fallen far from its peak before its shares look attractive. After all, it’s easier for a cheap company to rise 1,000% than an expensive one to do the same. 

Since then, Tronox has mounted a modest recovery. Shares have risen 16% since mid-August thanks to rising commodity prices, improving sentiment, and several bullish economic reports. Over the past weeks, prices of TiO2 in China have edged higher while those elsewhere have stopped falling. 

[source]

This is the “up a little” sign that signals a turnaround could be underway… the green shoots that chase away short sellers and algorithmic traders.  

There’s good reason to expect more upside from here. 

First, American manufacturing is in better shape than most seem to realize. The S&P Manufacturing Purchasing Managers’ Index (PMI) rose to 53.0 in August, its strongest improvement since May 2022. (Any figure above 50.0 signals an expansion.) PMI in the European Union and China also sits above 50.0. These are highly bullish signs for Tronox, because TiO2 prices are determined by industrial demand. 

Second, Tronox’s stock is cheap compared to its historical average. Shares trade for just 0.4X book value – below the 1.4X seen in more typical times. This gives TROX an unusual amount of upside from re-rating alone. (This is where multiples re-expand to meet their historic averages.) 

Finally, Tronox remains the same well-run firm it was in 2021, when shares traded above $25. Selling costs have not budged, and the firm continues to reinvest in its highly productive mines worldwide. 

And so, shares of this promising firm have 400% to 600% upside, even after a recent uptick. I’m reemphasizing TROX again this week as shares begin their “up a little” climb. 

Stored Energy 

Another company that’s been hammered by bad news is Fluence Energy Inc. (FLNC), a clean-energy firm that’s expecting to see revenues decline 3% this year. The firm specializes in building battery-powered energy storage for American utility companies, and uncertainty surrounding import tariffs has sent a chill through the industry. It’s hard to sell projects when it’s unclear whether imported batteries will have a 25% import tax or 114% one. 

In addition, Fluence has suffered delays in ramping up its U.S. manufacturing facilities. By April 2025, shares had fallen under $4, from a previous high of $40. 

Investors should sense an opportunity. Since the depths of the “Liberation Day” selloff, Fluence’s shares have rebounded 80% as growth comes back into the cards. Analysts expect fiscal 2026 revenue to surge 22%, and 19% in 2027. Meanwhile, net income is expected to flip back positive next year as Fluence’s American manufacturing facilities come online. 

One key growth area comes from abroad. Fluence recently signed two contracts worth $700 million in Australia, which have helped bring its backlog to roughly $6 billion – enough to sustain 24 months of revenue. To international buyers, it matters little what American tariff rates are. 

The other is from American utilities themselves. Many power companies are now returning to the market as the Trump administration clarifies import tariffs. As Fluence CEO Julian Nebreda noted it in recent earnings call remarks, all contracts that were halted due to tariffs have been reactivated. AI-focused data centers have high and variable energy needs, and lithium-ion batteries are often the only practical solution.  

Here’s from Nebreda during his official third-quarter earnings call remarks: 

These workloads are not only energy intensive. They are also highly variable. Training large AI models or processing inference tasks can lead to solid spikes in power consumption, placing immense strains on the grid and creating localized reliability challenges.  

This is where battery energy storage can play a critical and unique role that cannot be filled by conventional sources of generation or renewables. [It] can act as a buffer, absorbing rapid surges in power and releasing it during high-demand intervals, effectively leveling out the fluctuations that come with AI-driven compute cycles. 

In addition, battery prices have now fallen far enough that they are competitive with gas turbines. According to data from BloombergNEF, power costs from battery storage systems fell 40% to $165/kilowatt-hour in 2024. It’s now slightly below the roughly $169/kWh average cost of gas peaker plants. 

That’s turning Fluence into a potential 500% to 600% winner. Battery power demands will only go up, not down, and Fluence has built out the production capacity and distribution network to ride these secular trends. 

The Apogee Difference 

Readers will quickly notice there’s far more to Tronox and Fluence than “down a lot, up a little.” These firms operate in must-have industries – sectors where demand isn’t going away just because of temporary disruptions. 

Titanium dioxide will always be needed for paints, plastics, and coatings. Battery storage will always be critical as AI data centers expand and renewable energy reshapes the grid. These firms also have years of operating history and strong growth prospects. 

That’s how Eric’s Apogee system sets itself apart. It doesn’t just find beaten-down companies… it looks for the ones with clear paths to recovery and identifies the right moment to buy in. It will likely know, for instance, when wind power firm Oersted flips to a “buy.” 

In his upcoming special broadcast on September 10 (reserve your spot here), Eric will reveal the details of his Apogee system and reveal, for free, its first five official recommendations. All of them have the potential for 1,000%+ gains. 

I’ll have more to share next Sunday — including another sneak peek into Eric’s strategy and several more companies demonstrating Apogee’s “buy” signal. 

Until then, be sure to sign up for Eric’s special presentation… and be ready to act when opportunity knocks. 

And I’ll see you here next week. 

Regards, 

Thomas Yeung, CFA 

Market Analyst, InvestorPlace 

Thomas Yeung is a market analyst and portfolio manager of the Omnia Portfolio, the highest-tier subscription at InvestorPlace. He is the former editor of Tom Yeung’s Profit & Protection, a free e-letter about investing to profit in good times and protecting gains during the bad.

The post How to Score 1,000% Returns Without Really Trying appeared first on InvestorPlace.

My colleague �������°� agrees; and he’s built something extraordinary to harness it. 

His new system, Apogee, combines decades of investing wisdom with machine precision. It hunts where most investors fear to tread – stocks beaten down 40% or more – then screens them through 10 critical “gates” before Eric applies his professional lens. The result? A system that back-tested 308% average gains on winners and a 72% win rate. 

That’s why I’ve asked Eric to walk you through Apogee today: so you can see exactly how this breakthrough could put you in front of the market’s next 10X run…

In 1952, Texas oil magnate Alfred Glassell Jr. visited Cabo Blanco, a small fishing village in the northwestern corner of Peru. A previous trip to Bermuda hooked him on big-game fishing, and marine scientists tipped him off that the equatorial currents off the coast of Peru might offer even better opportunities. 

So, on April 7, Glassell boarded his lobster boat off the coast of Cabo Blanco… 

And caught the first recorded fish weighing over 1,000 pounds. 

If the story ended there, we would probably chalk that feat to luck. After all, nature has a habit of producing outliers, including albino rhinos, 60-year-old horses, and a 24,000-pound elephant named Henry whose remains were donated to the Smithsonian for safekeeping. 

Alfred Gassell’s 1,026-pound black marlin could have been a one-off. 

But Cabo Blanco continued to produce. Over the following 16 years, the fishing site produced over 30 “granders,” including 24 world records and a 1,560-pound black marlin that measured 174 inches in length, pictured below. 

Even Ernest Hemingway caught a 700-pound marlin there in 1956 while filming the motion picture based on his novel “The Old Man and the Sea.”

It turns out that Cabo Blanco sits in an oceanographic “sweet spot,” where a cold, nutrient-rich current meets warm equatorial waters. These unusual factors produced enormous amounts of food for plankton blooms, sustaining an abnormally large food chain. 

Apex predators, such as black marlin and swordfish, could grow with nearly no constraints. 

A similar process exists for finding stock “granders” – reasonably established companies that rise 1,000% or more. And much like big-game fish, these types of firms tend to cluster in certain places. 

Once you find these special locations, it becomes much more common to reel in these big winners. 

Over the past three decades, I have refined the process of identifying the investment “sweet spots” that produce these 10X winners, including… 

• Sturm, Ruger & Co. Inc. (RGR) +1,543%…
• BHP Group Ltd. (BHP) +2,045%…
• And Humana Inc. (HUM) +3,591%.

And now, for the first time, I have translated my internal locating system into a computerized, quantitative set of rules… a system that I now use to find these potential 1,000% winners. 

Think of it as a fishing radar… or distilling decades of oceanographic science into five simple “10X Factors.”

It’s a powerful new stock-picking system designed to pinpoint precisely when a stock enters the 10X pattern. Then I work with it – man + machine – to make my final recommendations.

Today, I’d like to give you a sense of what to expect from my system… 

And share one of its first five “official” recommendations.

The Secret to 1,000% Returns 

One of the core tenets of my new system is a pattern I call “down a lot, up a little.” 

This is where prices of a well-established company fall sharply for reasons beyond its control (down a lot)… and then begin a modest recovery (up a little). 

When used in conjunction with three other essential “10X factors,” my new system unearths stocks at bargain-basement prices while avoiding “false dawn” moments where falling shares keep going down. 

One notable example of this is Humana, a health insurance firm I recommended back in 2000 after prices had fallen by two-thirds. The company was hit with a perfect storm of Medicare reimbursement challenges from the Balanced Budget Act of 1997 and a terminated merger with United Health Group. 

These events proved temporary, and shares of Humana rebounded threefold over the next several years. 

Investors were given another chance to buy in during the depths of the 2007-’08 financial crisis. 

At the time, Wall Street considered every insurance firm “uninvestable.” Dozens of these companies had written policies on bonds and mortgage-backed securities, and those toxic assets were now blowing up blue-chip insurers. 

Ambac… Lincoln National… AIG. No one knew which company would go under next because most insurance and reinsurance firms were not required to disclose what they owned. 

But Humana was a special case. Unlike other insurance companies, health insurers renegotiate insurance policies annually. That means Humana’s assets during the financial crisis were surprisingly short-term to match its short-term liabilities. 

In fact, Humana’s assets in 2007 had a duration of just 2.6 years – well below the 7.0 years typically seen at other insurers. 

Even better, almost all of Humana’s assets were categorized as available for sale, which meant they were also stated at fair market value. This made Humana’s balance sheet seem worse than it was (allowing investors to get in for cheaper), while paradoxically making it less likely for the insurer to blow up. 

And so, when the time came for Humana to recover, it did so with force: up 100% after a year… 250% after two years… 300% after four…

By the time 2014 had rolled around, Humana shares had returned a stunning 3,591% from my original investment.

10X Stock Finds: A New Humana in the Making 

In one of my paid services, I’m now seeing a similar setup in a company that lost 70% of its value between 2022 and 2024 after a global crash in fertilizer prices.

High fertilizer costs triggered by Russia’s invasion of Ukraine caused many farmers to reduce consumption, creating a cascading effect up the supply chain. 

As shown in the graph below, the producer price index for fertilizer manufacturers fell hard in the following year. 

Prices are now recovering. Since 2024, overall producer prices in the U.S. fertilizer manufacturing industry have risen 10%. They now sit 40% higher than their 20-year average, and analysts expect more gains to come. A shortage in China is growing particularly severe. 

Investors should sense an opportunity. A fertilizer I recommend to my paid members continues to trade below its 20-year average, as shown in the graph below. 

This is precisely what the “down a lot, up a little” pattern that my new system searches for looks like – a massive selloff of a high-quality company followed by the beginnings of a recovery. 

Meanwhile, this company remains one of the lowest-cost fertilizer producers in the industry, thanks to its vertical integration, and closures of higher-cost sites, and tariff-resistant production sites in the U.S. South. 

Of course, its upside is more modest than Humana’s 3,591% gain. We might expect a 100% gain, given its milder 2022 selloff. (This would make it more like Hemingway’s 700-pound catch.)

But this shows how even a humble fertilizer producer can trade at prices well below its fair value… and how this “down a lot, up a little” method of finding 1,000% winners can apply to 100%, 200%, and 500% gainers as well. 

Many investors go their entire lives without ever finding a 1,000% winner. Many don’t even try after hearing about the risks surrounding small-cap stocks and/or sky-high valuations. 

If you count yourself among those “many,” let me point out two key facts about my new system… 

The Importance of 10X Winners

The first is that many of its picks are household names. According to the 5.2 million backtests my team put together, Apogee would have picked out Nvidia Corp.’s (NVDA) 1,871% run… Apple Inc.’s (AAPL) 4,285% surge… and others like them.

And it mirrors perfectly the type of stocks that I often favor. These are established firms trading on the Nasdaq and NYSE exchanges… not exotic bets on three-person startups. 

The second is that these picks are stable enough that you can feel safe investing a reasonable amount of capital. These aren’t the $50 wagers on microcaps that people brag about at the golf course. 

Together, that means the stocks my system and I work together to recommend are the type of investments where even a single winner can reasonably turn a $2 million nest egg into $4 million… or a $10 million investment portfolio into a $20 million one. 

You only need to invest 10% of a portfolio into a company that rises 10X to roughly double your money. 

I’m unveiling that system for the first time ever at my 10X Breakthrough broadcast on Wednesday, September 10, at 10 a.m. ET. You can reserve your spot for that free event by going here.

During that broadcast, I’ll show how I use those five 10X Factors to spot potential big long-term winners in advance. And how the system and I work together – man + machine – to make my final stock picks.

As promised above, I can reveal one of the system’s first five “official” recommendations now.

It’s Five Below Inc. (FIVE), a discount retailer based in Philadelphia. The stock entered the 10X Zone on May 12. It’s moving fast, though, and the time to strike is now.

I’ll reveal four more of the system’s original recommendations… including their names, ticker symbols, and “10X Dates” – exactly when they flashed “Buy” in my new system – during my 10X Breakthrough event.

Finally, I’ll demonstrate the system in real time. You’ll watch it sort through a universe of 14,000 stocks… and pinpoint the very, very few with 10X potential. 

Reserve your spot for that free September 10 event now – and I’ll see you there. 

The post How One Pattern Predicted Nvidia’s 1,871% Run appeared first on InvestorPlace.

In 1984, one of Gary Larson’s Far Side cartoons pictured two cavemen. One hoisted up the feet of the other, who was lying face-down in the dirt.

The caption read…

“Barrow”—precursor to the game of “wheelbarrow.”

The gag is that predating the invention of wheel, humans had to “play” wheelbarrow without the rolling tool.

Now well-equipped with the revolutionary device, we can laugh at these poor cartoon cavemen, our faces squeaky clean and our lives streamlined by tools.

Tools, like the wheel, have long given us humans unique advantages for success. They work as physical extensions of the human body.

And now, thanks to technological advancements like AI, tools can work as an extension of the human mind, too.

And I’ve been working on a project over the last five years to add the “wheel” to my investing “barrow,” so to speak.

Let me explain…

My strategy has always been big picture. The technical term is “global macro investing.”

I’ve always started the process by looking at worldwide financial phenomena. That’s the global.

Next, I’m looking for major macroeconomic trends that create unique investment opportunities. That’s the macro. Only then do I drill down to find the stocks poised to ride those trends.

Generally, you can find opportunities buried inside any major global trend. AI, for example, can push a stock higher for years.

So, you can think of my global macro investing approach as the foundational “barrow.”

But now, thanks to advancements in computing technology, I have added the “wheel” part to the equation.

My new system – Apogee – has discovered all the factors behind my 41 1,000%-plus gainers and turned that into a computerized “wheel.” It finds stocks when they are furthest away their true potential, and gives a buy signal as they are moving toward that potential.

It makes for a less humorous comic, but an even more successful investment strategy.

Today, I’d like to share why it selectively identifies certain winners – like Amazon.com Inc. (AMZN) – while bypassing other big names… like Tesla Inc. (TSLA).

Let’s dive in…

Racking Up the Gains

First, I’d like to share how my macro-investing approach works in action.

In February 2023, when AI was the newest megatrend to burst onto the scene, I recommended Amazon to my Fry’s Investment Report subscribers.

I said in my initial recommendation…

To be honest, I never imagined recommending such a high-profile stock. But I’m making a rare exception because I believe the AI investment opportunity is exceptionally large and that these companies will be among the earliest major beneficiaries…

For many of us, these giant companies and their trillion-dollar valuations seem like grand monuments to past achievements – not cutting-edge investment opportunities.

AI is demolishing that narrative. It is creating an entirely new foundation for explosive growth at companies like Microsoft, Amazon, and Alphabet.

These big tech names are perfectly positioned to capitalize on the early phases of our new AI boom. That’s because when it comes to creating and deploying AI technologies, bigger is often better…

In effect, the Big Tech companies are AI. They have the money and the muscle to create valuable AI solutions and then apply those solutions to spectacular commercial effect – i.e., make boatloads of money.

And I was correct.

�������°� 17 months after my initial recommendation, I sold half of the stock for a partial gain of 115%. By comparison, the S&P 500 index had gained just 41% in the same time period.

A few months later, as Big Tech started the monstrously expensive investment of sowing a new crop of data centers, AI infrastructure, and services, I recommended exiting the remaining one-half position of Amazon for a 100% gain.

In all, my subscribers had the opportunity to book triple-digit gains on Amazon – twice.

But what’s better than a triple-digit gain?

A 10X one.

And that’s exactly what my Apogee system detected…

To train my system, I ran 5.2 million backtests, dating back 30 years, on approximately 14,000 stocks.

And in those backtests, Apogee flagged Amazon.

This is because my system uses a host of proprietary indicators to unearth 10X opportunities. To put it simply, I call these indicators my 10X Pattern.

Here’s a short summary of how it works…

And Amazon checked all of the boxes.

First, it had crashed nearly 90% after the early-2000s “dot com” bust. Factor #1, check.

But its revenues had also shot up 26% over the prior 12-month period, putting its revenue growth in a “sweet spot.” Factor #2, check.

My system then ran Amazon through the rest of its proprietary indicators. It confirmed that Amazon had entered the 10X pattern and triggered a buy signal.

Factor #3, check.

Here’s what happened next…

A 1,115% gain.

Now, my triple-digit gains on Amazon were sizable, but Apogee’s pick delivered about 1,000% more than that.

And it didn’t just flag Amazon. It generated 1,871% on Nvidia Corp. (NVDA)… 1,551% on Cadence Design Systems Inc. (CDNS)… and 4,285% on Apple Inc. (AAPL) during extensive back-tests.

However, Apogee is not designed to pick up every single company that does well.

Instead, it’s designed to pick up a company at its most optimal point.

Here’s what that means…

Why Apogee Avoided Tesla

It identifies stocks with massive potential and relatively small downside risk. That is why it recommended Amazon only after the stock had tanked, and then passed my 10X pattern.

That means that some big winners – like Tesla for example – don’t make the cut. Among my other 10X factors, it has not fallen 40% from its all-time high. So, my system did not flag Tesla.

Although the EV maker has fallen more than 40%, the company was never quite strong enough to warrant a significant investment. In fact, Tesla was fairly close to bankruptcy several times – a risk I find unacceptable in my recommendations to subscribers.

In December 2008, Tesla only made payroll after Daimler injected $50 million into the ailing firm. In 2013, it was operating with “maybe one to two weeks of money.” And in 2017, the mismanaged ramp-up of the Model 3 meant the company was burning through $7,430 per minute.

This discernment is a key feature of Apogee, not a bug. Companies like Tesla are exceedingly rare, and I’m not interested in making longshot bets that don’t pan out 99% of the time.

And it also why the next pick that comes out of this system could be the next Amazon… the next Nvidia… or the next Apple.

I’m unveiling this system for the first time ever at my 10X Breakthrough broadcast on September 10, at 10 a.m. ET. You can reserve your spot for that free event by going here.

During that broadcast, I’ll show how I use those five 10X Factors to spot potential big long-term winners in advance.

I will also reveal five of the system’s first “official” recommendations – including their names, ticker symbols, and when they flashed “Buy” in my new system – during my 10X Breakthrough event, for free.

One of these picks is an obscure robotics play that could very well be on its way to becoming the next Nvidia.

So, you won’t want to miss out on this event.

You can click here to reserve your spot for this special event now.

Regards,

�������°�

The post Why My System Didn’t Pick Tesla… but Dug Up 1,115% Gains in Amazon appeared first on InvestorPlace.

April 13, 2003, was a landmark day in human development.

On that day, scientists who had been working for more than a decade announced the completion of the Human Genome Project (HGP).

For those not familiar, the goal of the HGP was to develop a highly accurate, publicly available reference sequence of the human genome. Essentially, the map for creating a human being at the genetic level.

Using this information, scientists can develop new ways to treat genetic diseases by finding gene mutations, developing personalized medicine tailored down to the individual and create targeted therapies.

Instead of treating everyone with the same therapy, doctors can develop specific treatments based on an individual’s specific genetic makeup.

This achievement provided the roadmap for hundreds of therapies now and on the horizon.

This same idea inspired Global Macro Analyst �������°�’s research over the last five years.

His goal wasn’t to map human DNA, but to uncover the “genetic blueprint,” that shows up repeatedly in stocks that can soar 1,000% or more. Just like with human health, that level of data could provide the roadmap to many more 10X winners.

And when it comes to finding the biggest winners, not many have a track record like Eric. If you’re new to the Digest, Eric has one of the most enviable track records in the industry.

Over the last three decades, Eric has had his own formula for success.

He’s used it to recommend more than 40 10X winners, including:

• Sturm, Ruger & Co. Inc. (RGR) +1,543%…
• BHP Group Ltd. (BHP) +2,045%…
• Humana Inc. (HUM) +3,591%.

But could there be even more?

After thousands of hours of testing, Eric made a huge leap forward. He has taken the system that existed previously only in his head and translated it into a computerized, quantitative set of rules… a system to find potential 1,000% winners. 

It’s a powerful new stock-picking system designed to pinpoint precisely when a stock enters the 10X pattern. Then Eric layers on his own evaluation to make his final recommendations.

You’re going to have a chance to see this breakthrough in action next week, when Eric will reveal how man and machine work together to find those potential 10X winners.

And I’m going to share one of his first five “official” recommendations.

Successful Picks and the Limits

For more than 30 years, Eric’s success was built on global macro analysis, contrarian instincts, and the ability to spot world-changing trends. His method has delivered 41 stock recommendations that each went on to soar more than 1,000%.

That’s why we often refer to him as “Mr. 1,000%.”

You don’t get that nickname with luck.

How do you find a 10X winner?

Let’s walk through one…

In 2000, insurance giant Humana (HUM) looked like a hopeless cause. After dropping about 60% from its highs, most investors wouldn’t even look at the stock.

But Eric saw something different.

He saw that it was well run, that it was boosting high-margin insurance lines and positioning itself for long-term growth.

Most investors saw a plunging stock. Eric saw an opportunity for a big winner and recommended it to his subscribers.

His recommendation paid off spectacularly. Over time, Humana shares went on to climb more than 4,000%.

That’s the kind of potential winner Eric has spent decades identifying. Now, he has expanded his analysis and found the genetic blueprint for these stocks.

Eric’s research took him years and consisted of more than 5.2 million back-tests, over 14,000 stocks.

The results? Apogee outperforms the S&P 500 by 4,200%. That only makes sense, if you have identified the “genetic markers” of 10X stocks.

And next week, for the first time, Eric is unveiling Apogee to the public.

At a free special event on Wednesday, at 10 a.m. Eastern time, Eric will demonstrate the Apogee system live! At the 10X Breakthrough event, he’ll explain the DNA of 10x winners, how he uses five specific factors to spot potential bit long-term winners … long before anyone else has spotted them.

Eric has given me permission to reveal one of the system’s first five “official” recommendations now.

Five Below Inc. (FIVE) is a discount retailer based in Philadelphia. The stock entered the 10X Zone on May 12, and it’s moving fast.

Eric will explain how his system found FIVE and will reveal four more of the system’s original recommendations… including their names, ticker symbols, and “10X Dates” – exactly when they flashed “Buy” in this new system – during the 10X Breakthrough event.

But remember—these kinds of stocks don’t stay in their buy zones forever. That’s why it’s critical you join us for this special premiere event.

Click this link to sign up to attend the event, absolutely free.

This is the Human Genome Project for investing, and you can be there when the world hears about it for the very first time.

Enjoy your weekend,

Luis Hernandez

Editor in Chief, InvestorPlace

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Long story short, it was dreadful. Hiring stalled. Unemployment jumped to a four-year high. Wage growth cooled. And the government quietly revised June and July job gains lower, too. It was the ugliest jobs report since the COVID crash, and it spooked investors right out of stocks.

But this terrible, awful, no-good jobs report is actually exactly what the stock market needed…

Because it wasn’t so bad that we’re suddenly staring down a full-blown recession. Instead, it was just bad enough to guarantee that the Federal Reserve is about to unleash a full-blown rate-cutting bonanza. 

And if you’ve been around long enough, you know that non-recessionary rate-cut cycles are the stuff bull markets are made of.

In other words: this latest crash is shaping up to be a fabulous investment opportunity…

Breaking Down the Labor Market Weakness

As we said, the most recent labor data was just plain bad.

The U.S. economy added just 22,000 jobs in August. Wall Street was looking for something closer to 75,000, as July reflected around 79,000 jobs added to the labor market. 

These are weak numbers all around. And they’ve been that way for a while. Over the past six months, average monthly job creation has slowed to about 60,000 jobs. That’s the weakest six-month average since 2010, excluding the COVID collapse.

Unemployment climbed to 4.3%, the highest since 2021. Wage growth slipped from 3.9% to 3.7%, while inflation is running at 2.8%. That means real wages are barely growing at +0.9%. And the revisions shaved another 21,000 jobs off the June and July totals.

That’s ugly any way you slice it.

Historically, whenever job growth slows this much for this long, the economy is either already in or is about to fall into recession.

But here’s the silver lining.

Job growth is still positive. Unemployment, while higher, is still comfortably below 5%. And wages are still rising at nearly a 4% clip. 

This is a labor market that’s weakening, yes, but not collapsing.

And that matters – because the Fed has the tools to stabilize a labor market that’s on the brink. Rate cuts don’t cure outright recessions. But they can prevent borderline weakness from snowballing into something worse.

That’s exactly the setup we have today: an economy flashing yellow lights – weak enough to force the Fed’s hand, yet strong enough to recover once that stimulus arrives.

Why This Jobs Report Isn’t All Doom and Gloom

Wall Street wasted no time recalibrating expectations after this latest data.

Futures markets are now pricing in 100% odds of a quarter-point rate cut later this month. There’s even a 15% chance the Fed goes bigger with a half-point cut. And investors expect this is just the beginning, with another cut in October, followed by another in December. That’s three cuts before year-end.

And it won’t stop there. Current market pricing implies six total cuts between now and the end of 2026.

Six rate cuts in 15 months would open the floodgates, so to speak.

When the Fed cuts rates, money gets cheaper. Credit loosens. Liquidity builds. And that liquidity has to go somewhere.

Some of it goes into real estate. Some goes into business expansion. A lot of it ends up in stocks.

That’s why history is so clear on this point: outside of recessions, rate cuts are rocket fuel for equities.

• In 1995, the Fed cut rates as job growth softened. Stocks surged 25%-plus over the following year.
• After the Asian financial crisis and the Long-Term Capital Management scare, the central bank cut rates in 1998. The Nasdaq went on to post its best year ever, nearly doubling in 12 months.
• In 2019, the Fed cut rates after trade war fears slowed growth. Stocks soared in 2020 (right up until the COVID-19 crash). The S&P 500 returned nearly 30% in a single year.

The pattern is consistent: weak data sparks rate cuts, rate cuts spark liquidity, liquidity sparks rallies.

And right now, we’re at the beginning of that cycle.

Weak Jobs Data Can Fuel Bull Markets

To be blunt, today’s jobs report was the “Goldilocks bad” that investors secretly wanted.

It was bad enough to force Fed Board Chair Jerome Powell & Co. to pull out the scissors and start cutting rates – but not so bad that we need to start pricing in a brutal recession…

Perhaps the perfect setup for a 12-month meltup.

Just consider the present backdrop:

• Corporate earnings are still solid, especially in AI-powered tech.
• Inflation is moderating, running comfortably below 3%.
• The Fed is primed to cut multiple times.
• The subsequent liquidity boom will flow into financial markets, with stocks likely being the biggest beneficiaries

That’s how bull markets are born.

If history is any guide, the next 12 months could be spectacular.

The Bottom Line: August Jobs Spark Fed-Driven Opportunity

Yes, the August jobs report was ugly; the weakest in years. Stocks crashed because traders panicked in response to the headlines.

But the silver lining here should shine brightly enough for all to see.

This jobs data was weak enough to guarantee aggressive Fed rate cuts without signalling a recession. That’s the sweet spot: a setup that has powered every major non-recessionary bull market over the past 40 years.

So, we don’t think you should fear this week’s selloff. Rather, embrace it. Understand that it means we’re likely about to get multiple rate cuts, more liquidity, and more upside pressure on stocks.

The last time the Fed did this in 1998, the Nasdaq doubled in a year.

We may not see that exact outcome this time. But the direction is clear. A new bull market is brewing. August’s ugly jobs report just lit the fuse.

And if you want to make the most of the upside that’s coming, there may be no opportunity greater than that in robotics stocks.

According to Morgan Stanley, this could become a $30 trillion market over the next few decades… larger than the entire e-commerce and cloud computing sectors combined.

Why? Because humanoid robots won’t just generate videos or write code. They’ll do the jobs. Real, physical tasks in factories, on farms; in homes, hospitals, and warehouses. Every job the global economy depends on could be automated, accelerated, and made profitable at scale.

And clearly, it’s all happening faster than most expect.

See our top AI and humanoid robotics plays for 2025 and beyond.

The post The August Jobs Report Spooked Wall Street, But History Says Buy appeared first on InvestorPlace.

The yield curve has gone from an obscure chart on bond desks to front-page material because it’s one of the few indicators that consistently front-runs the big turns in the economy.

I still remember back in 2006, when the curve inverted ahead of the financial crisis. Hardly anyone outside of bankers, economists, hardcore investors and bond traders knew what it meant. But by 2008, every newspaper in America was running stories about the “inverted yield curve” that had signaled disaster. That moment put the yield curve on the public’s radar for good. 

Now, whenever it flips or steepens dramatically, people pay attention – because history has shown it isn’t noise, it’s the market’s smoke alarm.

And here we are again in 2025. After the longest inversion in history, the yield curve has snapped back into positive territory. Some pundits are calling it a sign of confidence. Others say it’s the prelude to a recession… 

Either way, it’s the bond market’s way of telling us one thing — “Pay attention!”

What the Yield Curve Actually Is

At its core, the yield curve is a simple graph showing the interest rates the U.S. government pays to borrow money — from 3-month Treasury bills all the way out to 30-year bonds.

Under normal conditions, the curve slopes upward: short-term rates are low, long-term rates are higher. That’s logical. If you’re going to lend your money for 30 years, you demand a higher return than if you’re parking it for 3 months.

But when that slope flattens – or worse, inverts – everything changes. An inversion is when short-term rates rise above long-term rates. That’s the bond market screaming: “Trouble ahead.” Historically, every U.S. recession since 1960 has been preceded by a yield curve inversion. Not a coincidence. A warning.

On the flip side, when the curve steepens – long rates moving further above short rates – it can mean one of two things: optimism about growth, or panic as the Fed slashes short-term rates into a weakening economy. Context is everything.

Winding Through History

Let’s walk through a few key chapters to see how the yield curve has guided traders before.

Back in 1999 to 2002, the yield curve was unusually flat. Short-term and long-term rates were nearly indistinguishable, which is exactly the setup we see today. That flattening was a clear sign of stress building beneath the surface. Not long after, the dot-com bubble burst and the S&P was hammered. Traders who were paying attention to the curve already had reason to be cautious before the headlines caught up.

From 2003 to 2007, the curve regained a beautiful, healthy upward slope. Short-term borrowing costs were low, long-term rates higher, and that “normal” curve gave the economy plenty of fuel. Equities responded with one of the strongest bull markets in history. A sloping, healthy curve acted as the wind at the market’s back, and anyone who stayed long during those years was rewarded.

But by 2006 into 2008, the story flipped again. The yield curve inverted, signaling that short-term borrowing costs were too high compared to long-term expectations. Bond traders saw the risk building months before it spilled into equities. Then came the financial crisis, which devastated global markets. I’ll never forget it because 2008 ended up being my best trading year ever—not because the market was “good,” but because the yield curve told me exactly where the danger was rising.

From 2009 through 2019, short-term rates were pinned near zero, and the curve steepened sharply. That gave companies and consumers cheap access to credit, creating the perfect environment for risk assets to run. Stocks climbed steadily during this decade-long expansion, with the steep curve acting like rocket fuel underneath the rally. It’s a textbook example of how supportive a healthy, upward-sloping curve can be for equities.

In 2019 into 2020, the curve began to invert once more. At the time, many commentators debated whether it was just a false alarm. Then COVID hit and the sharpest recession of our lifetimes followed. The inversion was the bond market’s smoke alarm ringing loud and clear before the chaos arrived. It reminded everyone—once again—that ignoring the curve is a costly mistake.

More recently, from 2022 through 2024, we saw the longest yield curve inversion in U.S. history. The 2-year yield stayed above the 10-year for more than two straight years, breaking every prior record. Economists, traders, and journalists all sounded the alarm, with many predicting an imminent recession. But the economy proved surprisingly resilient. Inflation cooled, unemployment stayed low, and growth chugged along, leading some to wonder if this was the rare case where the curve’s warning might not come true.

Why the Curve Matters Right Now

Here’s where we stand in 2025. After the longest inversion on record – more than two straight years – the curve has un-inverted and started steepening again.

The 2-year yield now sits about half a point below the 10-year. Meanwhile, the 3-month to 10-year spread, one of the Fed’s favorite gauges, is basically flat.

A few key factors are driving these dynamics:

• The Fed pivoted. After hiking aggressively in 2022–23, they’ve already started cutting rates modestly. That pulled short-term yields down.
  
• The economy’s held up. Stronger labor markets, resilient consumer spending, and business investment surprised a lot of people.
  
• Long-term rates caught up. Investors demand more yield for holding long bonds, reflecting both resilience and heavy Treasury issuance.
  

Some see this as a bullish sign—the possibility of a soft landing where inflation comes under control without a recession. Others see it as history repeating: the curve un-inverting right before the slowdown actually arrives. Either way, the bond market is speaking, and the curve is once again at the center of the story.

The thing to always remember is this: the Fed only controls the short end of the curve. Powell and company can push down 3-month, 6-month, even 2-year rates. But the long end — the 10-year, the 30-year — that belongs to the market. And right now, I think that’s where the real risk is hiding.

In my view, the Fed is 100% going to cut in September. That’s going to drag short-term yields lower. But here’s the kicker: the long end could actually rise at the same time. That kind of steepening isn’t healthy. It’s artificial, it’s political — and while the Fed tries to “thread the needle,” the free market pushes back.

Cut too little, and they risk driving us into a recession. Cut too much, and inflation expectations can come unanchored. That’s the knife’s edge they’re walking.

We’ve seen that movie before. Back in 2007 and 2008, the Fed tiptoed into cuts but didn’t want to pre-commit to a deeper easing cycle. They tried to control the short end while the long end refused to play along. The curve steepened — not because growth was booming, but because the bond market smelled trouble. We all know what happened next.

What This Means for Traders

Here’s where all this history comes together. Right now, we’re at the start of another tightening cycle. The Fed has pivoted from aggressive hikes to modest cuts, but policy is still restrictive, and the market is wrestling with how long this phase will last.

Short-term, stocks are likely to rally when the Fed cuts. Rate-sensitive names — tech, REITs, anything tied to cheap borrowing — tend to pop when yields at the front end fall.

But the real concern is what happens if unemployment keeps ticking higher. The Fed can lower 3-month, 6-month, or even 2-year rates, but they can’t control the 10-year or 30-year. And if the labor market weakens, earnings pressure will mount just as long-term yields climb. That’s the recipe for an “artificial” steepening — one that signals stress rather than strength.

A truly supportive steep curve gives markets room to run. A policy-driven steepening does the opposite. It means borrowing costs for mortgages, corporate bonds, and long-term investment rise just as the Fed is trying to stimulate growth. That disconnect has marked the start of trouble in past cycles — 2007–08 being the clearest example.

So the underlying question traders need to ask is: How has the market performed when the Fed has moved rates in the past? The yield curve gives us the roadmap.

The good news is you don’t have to guess. Tools like the St. Louis Fed’s FRED database or — my personal favorite — StockCharts’ dynamic yield curve let you line up past tightening cycles against S&P performance. The patterns are there in black and white. Study them, and you’ll see the relationship between Fed cuts, yield curve shifts, and equity performance.

And there’s more good news for traders looking to keep their money at work wherever the markets ultimately end up…

While we can’t say for sure what happens beyond September, none of us should be panicking or sitting on the sidelines.

If there’s one thing this market has taught us, it’s that uncertainty creates volatility. And here at Masters in Trading, we’ve been absolutely crushing volatile markets all year.

From that major victory trading an Ethererum ETF that wasn’t on anyone’s radar …
To our massive wins in stocks like TMC (a play on deep-sea exploration) and QXO (builder consolidation)…

Masters in Trading has consistently delivered unique setups with massive upside potential – wherever volatility takes shape.

And the Masters in Trading Challenge is designed to show you exactly how we pull off volatile trade setups with conviction, process, and solid options fundamentals.
You can click here to learn more and sign up for the Masters in Trading Options Challenge.

In trading, the edge comes from anticipating what most people only recognize in hindsight. Right now, the curve is telling us that risk is elevated, the Fed’s hands are tied to the short end, and the long end could still surprise us.

Know the curve. Respect its history. And trade with your eyes open. The yield curve is telling a story — and it’s one you can’t afford to ignore.

Remember, the creative trader wins.

Jonathan Rose,

Founder, Masters in Trading

P.S., While the yield curve may be flashing its warning, there’s another story unfolding right now that could hand traders a very different kind of opportunity.

On Sept. 10th at 10 a.m. ET, my colleague �������°� is set to reveal an obscure AI robotics company he’s calling “Nvidia on Steroids.” His new Apogee stock-picking model flagged this name using the same rare 10X Pattern that appeared before Nvidia’s 1,871% run, Apple’s 4,285% surge, and Amazon’s 1,115% climb.

Eric will be unveiling the full details of this opportunity — down to the ticker symbol — in a special event called �������°�’s 10X Breakthrough. It doesn’t cost a dime to attend, but you need to reserve your seat. [Click here to secure your spot now.]

The post The Market’s Smoke Alarm: What the Yield Curve Is Telling Traders in 2025 appeared first on InvestorPlace.

That’s why I want to highlight the work of my InvestorPlace colleague, �������°�. For decades, Eric has thrived as a global macro investor – uncovering massive trends and turning them into extraordinary returns, including 41 separate 10-baggers. But his latest project takes things to another level.

Eric has built a system called Apogee – a tool that works like an extension of the investor’s mind. It runs millions of calculations, filters through thousands of stocks and isolates the rare few that are entering what Eric calls the “10X Pattern.” In his essay below, he explains why Apogee flagged Amazon.com, Inc. (AMZN) early in its life… and just as importantly, why it passed on Tesla, Inc. (TSLA).

It’s a fascinating glimpse into the future of investing. And if you’d like to see this system in action – and learn the names of five stocks Apogee has just signaled – Eric is sharing them during his free 10X Breakthrough event on September 10 at 10 a.m. Eastern.

I encourage you to read on and then reserve your spot.

*

Hello, Reader.

In 1984, one of Gary Larson’s Far Side cartoons pictured two cavemen. One hoisted up the feet of the other, who was lying face-down in the dirt.

The caption read…

“Barrow”—precursor to the game of “wheelbarrow.”

The gag is that predating the invention of wheel, humans had to “play” wheelbarrow without the rolling tool.

Now well-equipped with the revolutionary device, we can laugh at these poor cartoon cavemen, our faces squeaky clean and our lives streamlined by tools.

Tools, like the wheel, have long given us humans unique advantages for success. They work as physical extensions of the human body.

And now, thanks to technological advancements like AI, tools can work as an extension of the human mind, too.

And I’ve been working on a project over the last five years to add the “wheel” to my investing “barrow,” so to speak.

Let me explain…

My strategy has always been big picture. The technical term is “global macro investing.”

I’ve always started the process by looking at worldwide financial phenomena. That’s the global.

Next, I’m looking for major macroeconomic trends that create unique investment opportunities. That’s the macro. Only then do I drill down to find the stocks poised to ride those trends.

Generally, you can find opportunities buried inside any major global trend. AI, for example, can push a stock higher for years.

So, you can think of my global macro investing approach as the foundational “barrow.”

But now, thanks to advancements in computing technology, I have added the “wheel” part to the equation.

My new system – Apogee – has discovered all the factors behind my 41 1,000%-plus gainers and turned that into a computerized “wheel.” It finds stocks when they are furthest away their true potential, and gives a buy signal as they are moving toward that potential.

It makes for a less humorous comic, but an even more successful investment strategy.

Today, I’d like to share why it selectively identifies certain winners – like Amazon.com Inc. (AMZN)– while bypassing other big names… like Tesla Inc. (TSLA).

Let’s dive in…

Racking Up the Gains

First, I’d like to share how my macro-investing approach works in action.

In February 2023, when AI was the newest megatrend to burst onto the scene, I recommended Amazon to my Fry’s Investment Reportsubscribers.

I said in my initial recommendation…

To be honest, I never imagined recommending such a high-profile stock. But I’m making a rare exception because I believe the AI investment opportunity is exceptionally large and that these companies will be among the earliest major beneficiaries…

For many of us, these giant companies and their trillion-dollar valuations seem like grand monuments to past achievements – not cutting-edge investment opportunities.

AI is demolishing that narrative. It is creating an entirely new foundation for explosive growth at companies like Microsoft, Amazon, and Alphabet.

These big tech names are perfectly positioned to capitalize on the early phases of our new AI boom. That’s because when it comes to creating and deploying AI technologies, bigger is often better…

In effect, the Big Tech companies are AI. They have the money and the muscle to create valuable AI solutions and then apply those solutions to spectacular commercial effect – i.e., make boatloads of money.

And I was correct.

�������°� 17 months after my initial recommendation, I sold half of the stock for a partial gain of 115%. By comparison, the S&P 500 index had gained just 41% in the same time period.

A few months later, as Big Tech started the monstrously expensive investment of sowing a new crop of data centers, AI infrastructure, and services, I recommended exiting the remaining one-half position of Amazon for a 100% gain.

In all, my subscribers had the opportunity to book triple-digit gains on Amazon – twice.

But what’s better than a triple-digit gain?

A 10X one.

And that’s exactly what my Apogee system detected…

To train my system, I ran 5.2 million backtests, dating back 30 years, on approximately 14,000 stocks.

And in those backtests, Apogee flagged Amazon.

This is because my system uses a host of proprietary indicators to unearth 10X opportunities. To put it simply, I call these indicators my 10X Pattern.

Here’s a short summary of how it works…

And Amazon checked all of the boxes.

First, it had crashed nearly 90% after the early-2000s “dot com” bust. Factor #1, check.

But its revenues had also shot up 26% over the prior 12-month period, putting its revenue growth in a “sweet spot.” Factor #2, check.

My system then ran Amazon through the rest of its proprietary indicators. It confirmed that Amazon had entered the 10X pattern and triggered a buy signal.

Factor #3, check.

Here’s what happened next…

A 1,115% gain.

Now, my triple-digit gains on Amazon were sizable, but Apogee’s pick delivered about 1,000% more than that.

And it didn’t just flag Amazon. It generated 1,871% on Nvidia Corp. (NVDA)… 1,551% on Cadence Design Systems Inc. (CDNS)… and 4,285% on Apple Inc. (AAPL) during extensive back-tests.

However, Apogee is not designed to pick up every single company that does well.

Instead, it’s designed to pick up a company at its most optimal point.

Here’s what that means…

Why Apogee Avoided Tesla

It identifies stocks with massive potential and relatively small downside risk. That is why it recommended Amazon only after the stock had tanked, and then passed my 10X pattern.

That means that some big winners – like Teslafor example – don’t make the cut. Among my other 10X factors, it has not fallen 40% from its all-time high. So, my system did not flag Tesla.

Although the EV maker has fallen more than 40%, the company was never quite strong enough to warrant a significant investment. In fact, Tesla was fairly close to bankruptcy several times – a risk I find unacceptable in my recommendations to subscribers.

In December 2008, Tesla only made payroll after Daimler injected $50 million into the ailing firm. In 2013, it was operating with “maybe one to two weeks of money.” And in 2017, the mismanaged ramp-up of the Model 3 meant the company was burning through $7,430 per minute.

This discernment is a key feature of Apogee, not a bug. Companies like Tesla are exceedingly rare, and I’m not interested in making longshot bets that don’t pan out 99% of the time.

And it also why the next pick that comes out of this system could be the next Amazon… the next Nvidia… … or the next Apple.

I’m unveiling this system for the first time ever at my 10X Breakthrough broadcast on September 10, at 10 a.m. ET. You can reserve your spot for that free event by going here.

During that broadcast, I’ll show how I use those five 10X Factors to spot potential big long-term winners in advance.

I will also reveal five of the system’s first “official” recommendations – including their names, ticker symbols, and when they flashed “Buy” in my new system – during my 10X Breakthrough event, for free.

One of these picks is an obscure robotics play that could very well be on its way to becoming the next Nvidia.

So, you won’t want to miss out on this event.

You can click here to reserve your spot for this special event now.

Regards,

�������°�

Senior Investment Analyst, InvestorPlace

The post How to Get In on a Stock at the Perfect Time appeared first on InvestorPlace.

This morning’s U.S. nonfarm payroll report delivered a sobering surprise…

Only 22,000 jobs were added in August – miles below the 75,000 that economists had expected (already an underwhelming number).

Meanwhile, the unemployment rate rose to 4.3%, its highest level since late 2021.

But the real surprise was the revision of the June data. After the number was adjusted lower by 27,000 jobs, it revealed a net loss of 13,000 – the first contraction since the pandemic.

Directly after the opening bell, Wall Street tried to put a positive spin on the data – the old “bad news is good news” routine. Stocks opened higher as investors leaned into the idea that the weak data virtually guarantees a September rate cut.

But that optimism faded as traders focused less on the coming rate cut and more on what the jobs data revealed about the broader economy…

Weak job creation, rising unemployment, and downward revisions all point to an economy slowing more sharply than expected (while inflation has been climbing) – that’s not a backdrop for healthy earnings or sustained stock gains.

Translation: “Bad news is bad news.”

This is why the chatter about a 50-basis-point cut in September ramped up this morning, just as we predicted.

In last Friday’s Digest, I wrote “If we see weaker-than-expected data [in Friday’s jobs report], a September rate cut is a lock, and speculation about 50 basis points of cut will fill headlines.”

Right on cue, here’s CNBC from this morning:

Traders put a half-point cut in play for mid-month following the payrolls data with traders now seeing about a [14%] chance of that happening, according to the CME Group’s FedWatch tool…

That’s up from a zero chance of a super-sized cut the day before.

Futures data shows traders believe it’s certain the Fed will cut rates a quarter point from their current 4.25% to 4.50% range at its next policy meeting on Sept. 17.

As I wrote in yesterday’s Digest, a 50-basis-point cut would be unwise. It would send the wrong signal – less “confidence” and more “fear.” But we’ll see.

Now, though stocks are falling, there is one asset that’s surging this morning on the disappointing news…

We’ve been waiting for gold to push through overhead resistance – and it’s finally happened. As I write, gold is up about 1% today.

To recap, let’s rewind to our July 29 Digest:

Since peaking in late April at $3,432, gold has been trading sideways, unable to break through resistance at the general $3,430 level.

But notice what’s happening…

Gold is setting up a bullish “ascending triangle” technical formation.

This is a popular pattern used in technical analysis to identify potential breakout opportunities. It’s bullish, suggesting that an existing uptrend will likely continue after the pattern completes…

To trade this pattern, wait for gold to break definitively above the upper resistance line around $3,430.

Fast forward to Friday, August 8, when gold futures hit a new high above $3,500 when President Donald Trump discussed tariffing gold bars.

Here’s how that looked.

But we weren’t convinced this was an official breakout to buy.

Our skepticism was borne from Luke Lango’s trading system in Breakout Trader. Here’s Luke explaining:

A common mistake traders make is overlooking the importance of volume, leading them to buy into a trade that appears to be breaking out on weak volume, only to see it fizzle and reverse…

For a [true] breakout, bullish price action is a requirement, but it alone is not sufficient. That rising price needs the support of outsized volume.

Though gold futures briefly popped on heavier-than-usual volume, we suggested waiting, writing:

We want a significant and sustained increase in bullish trading volume.

Well, that sustained bullish trading volume never materialized. And over the ensuing sessions, gold dropped – until last week, when the yellow metal made a new run at resistance and broke it convincingly.

Below is how that looked. Note the spike in volume corresponding with Tuesday’s 2% pop (in green). And don’t miss how volume eased yesterday as traders took profits.

This is what we want to see – heavier buying volume on “up” days, and reduced selling volume on “down” days.

Now, here again, we want to see outsized and sustained bullish trading volume, but we’re off to a good start.

One example is Westgold Resources (WGXRF).

It’s an Australian gold mining, exploration, and development company that our macro investing expert �������°� recommended to his Speculator subscribers back in 2020. They’re currently sitting on open gains of 703% as I write Friday.

Below we look at WGXRF, which is up 45% over the last month, while gold has climbed just 5% during the same period.

Tying back to our trade trigger of volume, notice this summer’s relatively low volume on “down” and “sideways” days and the heavier volume on “up” days.

We expect gold to continue to climb – especially in the wake of today’s disappointing jobs numbers (and our government’s inability to keep its spending in check).

And, of course, it should provide a good portfolio hedge if today’s stock market turns lower. But don’t overlook top-tier miners. If gold does well, they’ll do even better.

Here’s Eric’s take:

Most investors ignore gold stocks completely.

But these overlooked and underappreciated stocks are capable of delivering great results, especially when most other investments are not.

It’s a bonus pick he just released in the run-up to next Wednesday’s 10X Breakthrough event at 10:00 a.m. Eastern. In tomorrow’s Digest, co-Digest-writer Luis Hernandez will reveal it to you.

But today, let’s briefly cover how Eric finds these 10X winners. After all, while most investors have never caught even one “10X winner” in their lifetime, Eric has found 41 of them.

For decades, Eric accomplished this by relying on a macro-first approach – identifying big-picture trends and then drilling down to find the individual companies poised to benefit. That process worked extraordinarily well.

But over the past five years, Eric has gone a step further. With the help of InvestorPlace’s quantitative research team, he has conducted more than 5.2 million data backtests to identify what all his biggest winners had in common.

The result is his first-ever stock-picking algorithm – a system he calls Apogee. It distills decades of experience into a set of simple but precise rules.

One of those rules is what Eric calls the “down a lot, up a little” pattern. It describes situations where a high-quality stock suffers a steep but temporary selloff, then begins to recover.

(For you Buffett fans, this has shades of his classic quote, “A great investment opportunity occurs when a marvelous business encounters a one-time, huge, but solvable problem.”)

In the right circumstances – when paired with other “10X Factors” – this setup can be the launchpad for major long-term gains.

It’s important to point out that with this system, you’re not gambling on, say, tiny biotech stocks that have never turned a profit. Many of the stocks that Apogee identified in its backtests are household names.

Back to Eric:

According to the backtests my team put together, Apogee would have picked out Nvidia Corp.’s (NVDA) 1,871% run… Apple Inc.’s (AAPL) 4,285% surge… and others like them.

And it mirrors perfectly the type of stocks that I often favor. These are established firms trading on the Nasdaq and NYSE exchanges… not exotic bets on three-person startups…

The stocks my system and I work together to recommend are the type of investments where even a single winner can reasonably turn a $2 million nest egg into $4 million…

Eric believes opportunities like this are still out there today – and that Apogee can help identify them with greater accuracy and speed than ever before.

Even better, he’ll reveal five official stock recommendations from Apogee including a company he’s calling “Nvidia on Steroids.”

And again – be sure to check out tomorrow’s Digest from Luis, where he’ll give away one of Eric’s picks.

I’ll give Eric our final word:

I’m unveiling my system for the first time ever at my 10X Breakthrough broadcast on September 10, at 10 a.m. ET.

I’ll show how I use five 10X Factors to spot potential big long-term winners in advance. And how the system and I work together – man + machine – to make my final stock picks.

Finally, I’ll reveal the system’s first five “official” recommendations… including their names, ticker symbols, and “10X Dates” – exactly when they flashed “Buy” in my new system.

Reserve your spot for that September 10 free event now – and I’ll see you there.

Have a good evening,

Jeff Remsburg

The post How to Respond After Weak Jobs Data Reveals a Sputtering Economy appeared first on InvestorPlace.

Historically, this is when Wall Street starts to cool off, too.

You see, September has a reputation as the market’s weakest month. Maybe it’s because much of Wall Street and Europe are on extended summer vacations and the “B” team is still in charge. Or it could be because a lot of folks sell before the September 15 quarterly tax deadline.

Consider this: Morningstar reports that September is the only month since 1926 that the stock market averages a loss. Since 1926, large-cap stocks have declined an average of 0.9% in September. In more recent history, FactSet notes that the S&P 500 has dropped an average of 1.7% in September since 2000.

Either way, we usually brace for the worst in September. But here’s the thing… you can’t always trust seasonal sayings or market clichés.

Consider the old saying, “sell in May and go away.” That didn’t work out too well this year, as stocks “melted up” in June, July and even August (another seasonally weak month). During this three-month period, the Dow rose 7.7%, the S&P 500 climbed 9.3% and the NASDAQ soared 12.3%.

So, everyone who sold prior to the Memorial Day holiday is kicking themselves right about now.

Now, given the market’s phenomenal run, I know many people are wondering if the market surge can continue.

Well, if this summer has taught us anything, it’s that historical precedent does not guarantee future results.

Personally, I’m feeling a little more bullish than normal heading into September. That’s because several forces are driving the stock market’s summer melt-up – and three of them remain in play. Combined, they should continue to support higher stock prices in the upcoming weeks and months.

So, in today’s Market 360, let’s look at each of them and what they mean for your portfolio. I’ll also share how a brand-new system from my friend and InvestorPlace colleague, �������°�, could help you find the market’s biggest winners during this rally.

Reason #1: Strong Corporate Earnings

One of the primary factors fueling the summer melt-up is the spectacular earnings environment. It should remain one of the main driving forces under stocks in the upcoming months, too.

According to my favorite economist, Ed Yardeni, the second quarter represents the strongest earnings surprise percentage ever recorded in the 39 years that he has observed quarterly earnings results. The average earnings surprise was a whopping 8.8%. Yardeni also points out that with 92% of S&P 500 companies reporting, second-quarter earnings rose an average of 10.6%.

The latest Earnings Insight from FactSet also reiterates this point. Their latest numbers show that with more than 98% of S&P 500 companies reporting, 81% have posted a positive earnings surprise. They also report that the S&P 500 has posted a 7.7% average earnings surprise and 11.9% average earnings growth.

Reason #2: Monetary Easing

During the Federal Reserve’s annual meeting in Jackson Hole last week, Fed Chair Jerome Powell signaled that the central bank is set to cut key interest rates at its September meeting.

As we discussed in a previous Market 360, Powell noted that the “downside risks to employment are rising.” So, it appears the Fed’s unemployment mandate is now overshadowing inflation fears. Powell also recognized that there’s been a drop in economic growth due partly to a slowdown in consumer spending.

But the comment that really caught Wall Street’s attention was when Powell admitted, “Our policy rate is now 100 basis points closer to neutral than it was a year ago.” In other words, not only is the Fed going to cut key interest rates by 25 basis points in September, but more are on the way.

So, the stage is set for a key interest rate cut, and in turn, a continuation of the summer rally.

Now, the key interest rate cut is expected when the Fed’s next meeting wraps up on September 17. That should spark more buying pressure and drive stocks higher, especially in the second half of the month.

Reason #3: AI-Led Productivity Gains

We’re living in a brave new world that’s increasingly dependent on AI to enhance productivity and, in turn, boost GDP (gross domestic product) growth. Over the next several years, AI will continue to invade our lives, as robots boost productivity on factory and warehouse floors, and advances like self-driving become more common. Home assistant robots are still more than a decade away.

But, overall, the AI-led productivity gains will help reduce inflationary pressures, strengthen the U.S. dollar and boost GDP growth.

For example, my leading artificial intelligence play, NVIDIA Corporation (NVDA), dominated the headlines last week. The company released its quarterly results on Wednesday, August 29, after the market closed.

The reality is that NVIDIA is overpowering the world with its market dominance of AI chips. And that was apparent in its latest results. (We covered NVDA’s earnings in this Market 360 issue.)

Given NVIDIA’s AI dominance, it now has a market capitalization that accounts for 3.6% of global GDP, according to Deutsche Bank. To put this into perspective, NVIDIA’s market cap is now bigger than the entire stock market capitalizations of the U.K., France and Germany. Only China, India and Japan have stock market capitalizations larger than NVIDIA.

Another company that’s dominating in the AI space is Palantir Technologies, Inc. (PLTR). In fact, it may be putting AI to work more effectively than many of its peers. Through its government contracts, Palantir helps upgrade and modernize key agencies, including the U.S. Department of Defense, the CIA and the NSA.

Those contracts have paid off. In the second quarter, Palantir reported 48% year-over-year revenue growth and 47% earnings growth. The company beat Wall Street’s expectations on both the top and bottom line – and even raised its guidance for 2025.

What All This Means

Bottom line: We’re in an incredible environment for stock market appreciation.

The analyst community expects earnings momentum to remain robust for the foreseeable future, with the S&P 500 expected to achieve 7.2% average earnings growth in the third quarter and 7% average earnings growth in the fourth quarter. Full-year earnings are forecast to grow by an average of 10.3%.

The fact that the Fed is set to cut key interest rates in September is a very welcome development. The “dot plot” of future key interest rate cuts will be carefully scrutinized, but I think at least four key interest rate cuts are on the table.

And the AI race continues to heat up, with the U.S. leading the way. The fact is, AI and the subsequent productivity growth can help counteract the poor demographics that plague much of the world, so AI should help boost overall global GDP.

So, I expect a robust year-end rally fueled by strong corporate earnings, lower interest rates and AI-led productivity gains.

A Breakthrough Worth Waiting For

I’ll, of course, continue using my Stock Grader system (subscription required) to uncover the strongest stocks during this market melt-up. It’s my go-to tool for separating the winners from the losers – and it’s never been more important to have a proven system in place.

But I’m not the only one turning to data-driven investing right now. For the first time ever, my friend and longtime colleague �������°� is rolling out a computerized system of his own.

Eric is no ordinary analyst. He’s delivered an incredible 41 different recommendations that each went on to soar 1,000% or more – including massive wins like 7,992% on Bitcoin and 2,045% on BHP Group Ltd. (BHP).

And now he’s distilled decades of experience into a machine he calls Apogee.

During the five years of testing this system across 14,000 stocks and 31 years of history, Apogee delivered a whopping 308% average gain on winners and had a 72% win rate. If this system were live in years past, it could have pinpointed Apple Inc. (AAPL), Amazon.com, Inc. (AMZN) and NVIDIA before their massive runs.

In short, Apogee is designed to spot when a beaten-down stock is about to enter the rare “10X Pattern.”

And here’s the best part: Eric’s giving you the names and tickers of five fresh 10X opportunities Apogee has uncovered right now – for free.

I can’t stress enough that opportunities like this don’t come around often. One 10X winner alone can turn a $1,000 stake into $10,000. And Eric’s Apogee system is built to find them again and again.

So if you’re serious about capitalizing on the next wave of market winners, you’ll want to hear what Eric has to say. Click here now to secure your spot for �������°�’s 10X Breakthrough event and get all five tickers.

Sincerely,

�������°�

Editor, Market 360

The Editor hereby discloses that as of the date of this email, the Editor, directly or indirectly, owns the following securities that are the subject of the commentary, analysis, opinions, advice, or recommendations in, or which are otherwise mentioned in, the essay set forth below:

NVIDIA Corporation (NVDA) and Palantir Technologies, Inc. (PLTR)

The post 3 Reasons the Summer Melt-Up Isn’t Over Yet appeared first on InvestorPlace.

To learn more, watch this week’s Being Exponential podcast, focusing on the AI rally’s winners, its pitfalls, and how we’re powering this exponential era:

Riding the AI Wave: For Now, Not Forever

I’ve said it before: every boom turns into a bust. That’s just how capitalism works. Think back to the dot-com bubble. Internet stocks soared in the late 1990s, peaked in 2000, and then crashed. But here’s the thing — the biggest gains of that era came in its final innings. That’s exactly where I believe we are with AI today.

Tech stocks in the 2020s have been tracking the dot-com boom almost perfectly. If the pattern holds, the most explosive phase is right around the corner. I don’t think it’s time to exit AI stocks. Instead, I want to ride the rally while it’s alive … and be ready to grab a chair when the music stops.

Take Nvidia (NVDA).

The company just posted stellar earnings: revenue up more than 50% year over year, data-center sales booming, and strong guidance for more growth ahead.

Yet the stock dipped a few percent afterward. To me, that shows investors are cautious — but it doesn’t change my thesis.

I see Nvidia as the Qualcomm of this era, the must-own chipmaker of the AI boom. At 25× forward earnings with ~30% annual profit growth potential, I’m a buyer on weakness.

I expect Nvidia to have a blockbuster final act in this cycle.

AI Stock Winners: Who’s Firing on All Cylinders

Not all companies are sharing equally in the AI wave. Some are clear winners, with reaccelerating growth and expanding margins. Those are the ones I want to own.

They include:

• CrowdStrike (CRWD) – AI adoption creates more data and more cyber threats. CrowdStrike’s AI-powered security platform protects that larger attack surface. Last quarter, the company delivered a clean beat-and-raise, with revenue growth accelerating again and margins expanding. I see CrowdStrike as a durable AI winner.
• Snowflake (SNOW) – More AI apps mean more data to manage. Snowflake provides the data backbone enterprises need. It just posted its first quarter of reaccelerating growth since early 2024, with revenue up 32% and profits surging. The stock recently broke out to new highs, and I think it has a path back toward its all-time peak if this trend continues.
• Pure Storage (PSTG) – This is a quiet AI beneficiary. Meta is now using Pure Storage’s flash technology for AI data centers. Revenue is climbing, margins are improving, and the stock just hit multi-year highs. I see it as another company firing on all cylinders.
• Autodesk (ADSK) – Here’s an established software name reinventing itself with AI. Autodesk is benefiting both from AI data center buildouts (construction software) and from adding AI features into its design products. Growth is solid, margins are expanding, and the stock still looks reasonably valued.

Other names I’m bullish on include Marvell Technology (MRVL), which is helping tech giants build custom AI chips, and Ambarella (AMBA), which makes vision chips for robots, drones, and other edge AI devices. These aren’t just side plays — they’re the picks and shovels that make the AI revolution possible.

The Flip Side: AI’s Impact on Jobs and Wealth

Of course, not everything about this boom is rosy.

I’ve been warning that AI is reshaping the labor market — and not in everyone’s favor. A recent Stanford study confirmed what I’ve been saying: since the launch of ChatGPT, employment for 22- to 25-year-olds in AI-exposed jobs has dropped 13%. Young software developers and customer service reps have been hit hardest.

Look at Salesforce (CRM) as an example.

The company cut 4,000 customer service jobs after deploying AI chatbots — and its stock added more than $100 billion in value at the same time.

That’s the AI wealth divide in action: capital owners are getting richer, while wage earners are being squeezed out.

This is why I keep pounding the table: if you want to hedge against AI’s risks, you need to be invested in the companies leading the boom.

The labor class is losing out. The capital class is winning. And you want to be on the winning side.

Powering the AI Revolution

There’s also the question of energy.

AI takes enormous power. A single ChatGPT query consumes almost 10× the electricity of a Google search.

Data center energy use could more than double by 2030. Big Tech knows this, and they’re moving aggressively into nuclear.

Microsoft (MSFT) is restarting the old Three Mile Island plant to power its AI data centers. Amazon (AMZN) bought a nuclear-powered data center campus.

Alphabet (GOOGL) is investing in nuclear fusion. Nuclear will be the long-term energy source for AI.

But in the short term, natural gas will probably fill the gap until nuclear capacity ramps up.

Enabling the Next Leap: Better Batteries

AI isn’t just in the cloud. It’s moving into devices — from smart glasses to drones. That means batteries matter more than ever.

Enovix (ENVX) just announced a breakthrough: its new battery charges to 80% in under 30 minutes, roughly twice as fast as today’s smartphone batteries.

If Apple (AAPL), Meta (META), or Samsung adopt it, Enovix could see explosive growth.

I see it as a compelling long-term AI battery play.

The Bottom Line: Play Ball

The AI revolution is creating enormous opportunities — and risks.

Yes, this boom will eventually turn into a bust. But I believe we still have 12 to 24 months of powerful gains ahead.

My advice is simple: play ball. Don’t sit this one out.

Own the companies proving themselves as AI winners — names like Nvidia, CrowdStrike, Snowflake, Pure Storage, and others.

The gold rush won’t last forever, but while it does, you want to be “AI with AI” (all-in with AI).

(For more in-depth discussion and stock-specific analysis, be sure to listen to the full podcast episode. And stay tuned – next week the team teases a dive into humanoid robots, which could be another game-changer on the horizon.)

The post AI’s Gold Rush: Tech Winners, Job Shake-Ups, and Powering the Boom appeared first on InvestorPlace.

This week has brought some concerning economic data in the lead-up to tomorrow’s all-important jobs report.

Tuesday, we got the August ISM Manufacturing Report – a monthly indicator that shows the health of the U.S. manufacturing sector.

Here’s our hypergrowth expert Luke Lango from Tuesday’s Innovation Investor Daily Notes:

On the surface, the data looked fine: the headline ISM index actually topped expectations, new orders ticked higher, and prices paid edged lower.

But the devil was in the details—and in this case, the details screamed trouble…

Every month, the ISM publishes commentary from 10 manufacturing firms. [On Tuesday], all 10 were negative. Some even said business conditions are worse than during the 2008–09 Financial Crisis.

The throughline was blunt: tariffs are hammering costs, breaking supply chains, and choking demand both at home and abroad.

The tone? Contraction, instability, and deep concern.

To Luke’s point about “tariffs are hammering costs,” yesterday, Yahoo! Finance highlighted an ISM survey respondent from the electrical equipment industry. This person said his company has raised prices 24%, but it’s all going to offset tariffs – zero margin expansion.

Next, yesterday brought an underwhelming Job Openings and Labor Turnover Survey (JOLTs) report.

Here’s MarketWatch:

The number of job openings in the U.S. fell in July to the second-lowest level since the pandemic, while hiring patterns signaled the labor market has weakened.

Job postings dropped to 7.18 million in July from 7.36 million in the prior month… It was the lowest level since last fall and the second smallest reading since 2020…

Companies simply aren’t hiring as many people as they grapple with ongoing uncertainty tied to higher U.S. tariffs.

And while today’s jobs market has been described as “low hire, low fire,” those firings are, in fact, picking up.

Here’s more color from the latest report from outplacement firm Challenger, Gray & Christmas, released this morning:

U.S.-based employers announced 85,979 job cuts in August, up 39% from the 62,075 announced in July. It is up 13% from the 75,891 announced in the same month last year…

So far this year, companies have announced 892,362 job cuts, the highest YTD since 2020 when 1,963,458 were announced.

It is up 66% from the 536,421 job cuts announced through the first eight months of last year and is up 17% from the 2024 full year total of 761,358.

And that brings us to this morning’s ADP Jobs report.

Whereas forecasts called for privately run businesses to add 75,000 jobs in August – already a middling number – the figure came in at just 54,000.

Here’s Nela Richardson, chief economist of ADP:

The year started with strong job growth, but that momentum has been whipsawed by uncertainty.

A variety of things could explain the hiring slowdown, including labor shortages, skittish consumers, and AI disruptions.

The ADP jobs report should be taken with a grain of salt. It isn’t a great predictor of the official jobs report that we’ll get tomorrow morning. Still, not a great sign.

As I write Thursday, stocks are slightly higher in the wake of the poor report. There’s no selloff because Wall Street views the jobs weakness as supportive of rate cuts from the Fed in two weeks.

Bottom line: So far, this week’s data tells us that the Fed can no longer focus purely on inflation risk. We’ll see what tomorrow’s jobs report says.

With economic data trending the wrong direction, we’re likely in for interest-rate cuts, the question is “how many?”

As we covered in the Digest, in his speech at the Jackson Hole Symposium last month, Federal Reserve Chair Jerome Powell signaled that the Fed is set to cut key interest rates at its September meeting in less than two weeks.

Some analysts have floated the idea that the Fed should consider a 50-basis-point cut in September. To me, that move would read less “confidence” and more “fear.”

A half-point cut would essentially be the Fed saying, “we believe the bond market’s message,” and that the economic slowdown risk is bigger than they’ve admitted. So, I wouldn’t put money on 50 basis points in September, but the odds of multiple cuts this year are rising.

On that note, let’s go to legendary investor �������°� from his September issue of Growth Investor:

[In Jackon Hole, what], really caught Wall Street’s attention was when Powell admitted, “Our policy rate is now 100 basis points closer to neutral than it was a year ago.”

In other words, not only is the Fed going to cut key interest rates by 25 basis points in September, but more are on the way…

The “dot plot” of future key interest rate cuts will be carefully scrutinized, but I think at least four key interest rate cuts are on the table.

Yesterday, Federal Reserve Governor Christopher Waller – one of the frontrunners to replace Powell as Fed Chair in 2026 – echoed Louis’ call for multiple rate cuts:

When the labor market turns bad, it turns bad fast…

So, for me, I think we need to start cutting rates at the next meeting…

I would say over the next three or six months, we could see multiple cuts coming in.

Whether it’s like every other meeting, every meeting, we’ll have to wait and see [what] the data says.

Given this backdrop, what’s the path for stocks?

Let’s circle back to Luke:

Eventually, tariffs, reinflation, and political instability will weigh enough to flip the narrative from AI Boom to AI Bust. But we’re not there yet…

That’s a 2026–27 problem, not a September 2025 problem. Which is why we continue to view pullbacks like today’s as buying opportunities.

The trade is simple: buy all dips while the AI Boom remains intact.

Even better, the technical triggers that Luke has been watching for a short-term entry point just triggered.

From Luke on Tuesday:

The S&P 500 topped out in July and bottomed out in August right around 6,380. The Nasdaq topped out in July and bottomed out in August right around 21,100.

Both the S&P 500 and Nasdaq are hovering around those levels today.

If they bounce here, that’s a green light to buy. If not, we’re probably heading for the 50-day moving averages, which would mean another 1–2% downside.

Since then, both the S&P 500 and Nasdaq have, indeed, bounced. As I write Thursday, the S&P trades at 6,459 (above 6,380) and the Nasdaq is at 21,526 (above 21,100).

So, we can put Luke in the “bullish” camp.

And Louis?

Here’s his market forecast:

We’re in an incredible environment for stock market appreciation.

The analyst community expects earnings momentum to remain robust for the foreseeable future, with the S&P 500 expected to achieve 7.2% average earnings growth in the third quarter and 7% average earnings growth in the fourth quarter.

Full-year earnings are forecast to grow by an average of 10.3%…

I expect a robust year-end rally fueled by strong corporate earnings, lower interest rates and AI-led productivity gains.

Another checkmark by “bullish.”

Obviously, we should be ready for historical September volatility to throw us a curveball, but the broader year-end outlook appears solid.

How to maximize your late-year returns

If you want to make a lot of money this fall (and beyond), here’s a simple plan…

Follow the advice from someone who’s already made other investors a tremendous amount of money.

In other words, forget lip service and promises, and focus more on actual results.

And on that note, Louis and Luke don’t corner the market here at InvestorPlace.

Our macro investing expert �������°� has one of the most impressive “results” oriented track records in our business. Here are a few of his bona fides:

He’s picked 41 stocks that went up 1,000% or more (most investors are lucky to get 1 such 10-bagger) …

In 2016, some of the world’s best money managers and stock pickers – including Leon Cooperman, David Einhorn, Bill Ackman – participated in an annual investing contest. Eric beat them all, winning the contest with a one-year gain of 150%…

And his recent track record speaks for itself. I’m browsing his various investment newsletters, seeing 2025 Trade Alerts and open portfolio returns including:

• “Book a Quick 100% Gain on Teradyne Calls”
• Aviat Networks Inc. open return 213.65%
• “Bank 1,000% Gain on Corning Calls”
• Lynas Corp. open return 450.48%
• “Book 350% Gains on Canada Goose Calls”
• Westgold Resources open gain 699.59%
• “Book 200% Gains on Canada Goose”
• Freeport-McMoRan open gain 217.63%
• “Book Gains of Nearly 300% on Dutch Bros Calls”

For years, Eric achieved these results the old-fashioned way – using a macro framework to identify big-picture trends, after which he’d dig deeper to find the best investments to ride those trends. His approach relied primarily on time-intensive research and hard-won experience.

But over the last five years, he’s leveraged InvestorPlace’s financial and quantitative resources to use computer analysis to pinpoint – numerically – exactly what his biggest winners have had in common. And after 5.2 million backtests, he’s succeeded.

The result is the first stock-picking algorithm that Eric has ever used, something he’s calling “Apogee.”

Next Wednesday at 10:00 a.m. Eastern, Eric is holding a live event to walk through the five “10X Factors” that all his 1,000%+ winners have had in common

Plus, he’ll demo his system in real time, then reveal the system’s first five “official” recommendations – including the tickers. To be clear, that’s five free stock recommendations he’ll be giving out to attendees.

The first one Eric has called “Nvidia on Steroids.” It’s relatively obscure and is combining AI and robotics in a unique way.

We’ll bring you more details on next Wednesday’s event over the coming days, but to reserve your seat right now, just click here.

All eyes on tomorrow’s jobs report – we’ll circle back.

Have a good evening,

Jeff Remsburg

The post What Will Push the Fed to Cut Rates appeared first on InvestorPlace.

That’s why I was especially intrigued when my InvestorPlace colleague, �������°�, told me he’d developed a powerful new system of his own.

Eric has always had a knack for uncovering the rare stocks that can rise 1,000% or more. Now, he’s built a computerized tool called Apogee that takes his decades of experience and translates it into a series of precise “gates” every stock must pass before he’ll recommend it.

In the essay below, Eric explains the unusual inspiration behind Apogee… and shows how it works to find stocks entering what he calls the “10X Pattern.” It’s a fascinating look at how man and machine can work together to spot tomorrow’s biggest winners.

And on September 10 at 10 a.m. Eastern, Eric will be sharing the names and ticker symbols of five stocks currently flashing “Buy” in this system during his free 10X Breakthrough event. I encourage you to reserve your spot here… and then keep reading below for Eric’s full story.

*

In 1952, Texas oil magnate Alfred Glassell Jr. visited Cabo Blanco, a small fishing village in the northwestern corner of Peru. A previous trip to Bermuda hooked him on big-game fishing, and marine scientists tipped him off that the equatorial currents off the coast of Peru might offer even better opportunities.

So, on April 7, Glassell boarded his lobster boat off the coast of Cabo Blanco…

And caught the first recorded fish weighing over 1,000 pounds.

If the story ended there, we would probably chalk that feat to luck. After all, nature has a habit of producing outliers, including albino rhinos, 60-year-old horses, and a 24,000-pound elephant named Henry whose remains were donated to the Smithsonian for safekeeping.

Alfred Gassell’s 1,026-pound black marlin could have been a one-off.

But Cabo Blanco continued to produce. Over the following 16 years, the fishing site produced over 30 “granders,” including 24 world records and a 1,560-pound black marlin that measured 174 inches in length, pictured below.

Even Ernest Hemingway caught a 700-pound marlin there in 1956 while filming the motion picture based on his novel The Old Man and the Sea.

It turns out that Cabo Blanco sits in an oceanographic “sweet spot,” where a cold, nutrient-rich current meets warm equatorial waters. These unusual factors produced enormous amounts of food for plankton blooms, sustaining an abnormally large food chain.

Apex predators, such as black marlin and swordfish, could grow with nearly no constraints.

A similar process exists for finding stock “granders” – reasonably established companies that rise 1,000% or more. And much like big-game fish, these types of firms tend to cluster in certain places.

Once you find these special locations, it becomes much more common to reel in these big winners.

Over the past three decades, I have refined the process of identifying the investment “sweet spots” that produce these 10X winners, including…

• Sturm, Ruger & Co. Inc. (RGR) +1,543%…
• BHP Group Ltd. (BHP) +2,045%…
• And Humana Inc. (HUM) +3,591%.

And now, for the first time, I have translated my internal locating system into a computerized, quantitative set of rules… a system that I now use to find these potential 1,000% winners.

Think of it as a fishing radar… or distilling decades of oceanographic science into five simple “10X Factors.”

It’s a powerful new stock-picking system designed to pinpoint precisely when a stock enters the 10X pattern. Then I work with it – man + machine – to make my final recommendations.

Today, I’d like to give you a sense of what to expect from my system…

And share one of its first five “official” recommendations.

The Secret to 1,000% Returns

One of the core tenets of my new system is a pattern I call “down a lot, up a little.”

This is where prices of a well-established company fall sharply for reasons beyond its control (down a lot)… and then begin a modest recovery (up a little).

When used in conjunction with three other essential “10X factors,” my new system unearths stocks at bargain-basement prices while avoiding “false dawn” moments where falling shares keep going down.

One notable example of this is Humana, a health insurance firm I recommended back in 2000 after prices had fallen by two-thirds. The company was hit with a perfect storm of Medicare reimbursement challenges from the Balanced Budget Act of 1997 and a terminated merger with United Health Group.

These events proved temporary, and shares of Humana rebounded threefold over the next several years.

Investors were given another chance to buy in during the depths of the 2007-’08 financial crisis.

At the time, Wall Street considered every insurance firm “uninvestable.” Dozens of these companies had written policies on bonds and mortgage-backed securities, and those toxic assets were now blowing up blue-chip insurers.

Ambac… Lincoln National… AIG. No one knew which company would go under next because most insurance and reinsurance firms were not required to disclose what they owned.

But Humana was a special case. Unlike other insurance companies, health insurers renegotiate insurance policies annually. That means Humana’s assets during the financial crisis were surprisingly short-term to match its short-term liabilities.

In fact, Humana’s assets in 2007 had a duration of just 2.6 years – well below the 7.0 years typically seen at other insurers.

Even better, almost all of Humana’s assets were categorized as available for sale, which meant they were also stated at fair market value. This made Humana’s balance sheet seem worse than it was (allowing investors to get in for cheaper), while paradoxically making it less likely for the insurer to blow up.

And so, when the time came for Humana to recover, it did so with force: up 100% after a year… 250% after two years… 300% after four…

By the time 2014 had rolled around, Humana shares had returned a stunning 3,591% from my original investment.

A New Humana in the Making

In one of my paid services, I’m now seeing a similar setup in a company that lost 70% of its value between 2022 and 2024 after a global crash in fertilizer prices.

High fertilizer costs triggered by Russia’s invasion of Ukraine caused many farmers to reduce consumption, creating a cascading effect up the supply chain.

As shown in the graph below, the producer price index for fertilizer manufacturers fell hard in the following year.

Prices are now recovering. Since 2024, overall producer prices in the U.S. fertilizer manufacturing industry have risen 10%. They now sit 40% higher than their 20-year average, and analysts expect more gains to come. A shortage in China is growing particularly severe.

Investors should sense an opportunity. A fertilizer I recommend to my paid members continues to trade below its 20-year average, as shown in the graph below.

This is precisely what a the “down a lot, up a little” pattern that my new system searches for looks like – a massive selloff of a high-quality company followed by the beginnings of a recovery.

Meanwhile, this company remains one of the lowest-cost fertilizer producers in the industry, thanks to its vertical integration, and closures of higher-cost sites, and tariff-resistant production sites in the U.S. South.

Of course, its upside is more modest than Humana’s 3,591% gain. We might expect a 100% gain, given its milder 2022 selloff. (This would make it more like Hemingway’s 700-pound catch.)

But this shows how even a humble fertilizer producer can trade at prices well below its fair value… and how this “down a lot, up a little” method of finding 1,000% winners can apply to 100%, 200%, and 500% gainers as well.

Many investors go their entire lives without ever finding a 1,000% winner. Many don’t even try after hearing about the risks surrounding small-cap stocks and/or sky-high valuations.

If you count yourself among those “many,” let me point out two key facts about my new system…

The Importance of 10X Winners

The first is that many of its picks are household names. According to the 5.2 million backtests my team put together, Apogee would have picked out Nvidia Corp.’s (NVDA) 1,871% run… Apple Inc.’s(AAPL) 4,285% surge… and others like them.

And it mirrors perfectly the type of stocks that I often favor. These are established firms trading on the Nasdaq and NYSE exchanges… not exotic bets on three-person startups.

The second is that these picks are stable enough that you can feel safe investing a reasonable amount of capital. These aren’t the $50 wagers on microcaps that people brag about at the golf course.

Together, that means the stocks my system and I work together to recommend are the type of investments where even a single winner can reasonably turn a $2 million nest egg into $4 million… or a $10 million investment portfolio into a $20 million one.

You only need to invest 10% of a portfolio into a company that rises 10X to roughly double your money.

I’m unveiling that system for the first time ever at my 10X Breakthrough broadcast on September 10, at 10 a.m. ET. You can reserve your spot for that free event by going here.

During that broadcast, I’ll show how I use those five 10X Factors to spot potential big long-term winners in advance. And how the system and I work together – man + machine – to make my final stock picks.

As promised above, I can reveal one of the system’s first five “official” recommendations now.

It’s Five Below Inc. (FIVE), a discount retailer based in Philadelphia. The stock entered the 10X Zone on May 12. It’s moving fast, though, and the time to strike is now.

I’ll reveal four more of the system’s original recommendations… including their names, ticker symbols, and “10X Dates” – exactly when they flashed “Buy” in my new system – during my 10X Breakthrough event.

Finally, I’ll demonstrate the system in real time. You’ll watch it sort through a universe of 14,000 stocks… and pinpoint the very, very few with 10X potential.

Reserve your spot for that September 10 free event now – and I’ll see you there. 

Regards,

�������°�

Senior Investment Analyst, InvestorPlace

The post How to Fish for the Market’s 1,000% Winners appeared first on InvestorPlace.

So, on April 7, Glassell boarded his lobster boat off the coast of Cabo Blanco…

And caught the first recorded fish weighing over 1,000 pounds.

If the story ended there, we would probably chalk that feat to luck. After all, nature has a habit of producing outliers, including albino rhinos, 60-year-old horses, and a 24,000-pound elephant named Henry whose remains were donated to the Smithsonian for safekeeping.

Alfred Gassell’s 1,026-pound black marlin could have been a one-off.

But Cabo Blanco continued to produce. Over the following 16 years, the fishing site produced over 30 “granders,” including 24 world records and a 1,560-pound black marlin that measured 174 inches in length, pictured below.

Even Ernest Hemingway caught a 700-pound marlin there in 1956 while filming the motion picture based on his novel The Old Man and the Sea.

It turns out that Cabo Blanco sits in an oceanographic “sweet spot,” where a cold, nutrient-rich current meets warm equatorial waters. These unusual factors produced enormous amounts of food for plankton blooms, sustaining an abnormally large food chain.

Apex predators, such as black marlin and swordfish, could grow with nearly no constraints.

A similar process exists for finding stock “granders” – reasonably established companies that rise 1,000% or more. And much like big-game fish, these types of firms tend to cluster in certain places.

Once you find these special locations, it becomes much more common to reel in these big winners.

Over the past three decades, I have refined the process of identifying the investment “sweet spots” that produce these 10X winners, including…

• Sturm, Ruger & Co. Inc. (RGR) +1,543%…
• BHP Group Ltd. (BHP) +2,045%…
• And Humana Inc. (HUM) +3,591%.

And now, for the first time, I have translated my internal locating system into a computerized, quantitative set of rules… a system that I now use to find these potential 1,000% winners.

Think of it as a fishing radar… or distilling decades of oceanographic science into five simple “10X Factors.”

It’s a powerful new stock-picking system designed to pinpoint precisely when a stock enters the 10X pattern. Then I work with it – man + machine – to make my final recommendations.

Today, I’d like to give you a sense of what to expect from my system…

And share one of its first five “official” recommendations.

The Secret to 1,000% Returns

One of the core tenets of my new system is a pattern I call “down a lot, up a little.”

This is where prices of a well-established company fall sharply for reasons beyond its control (down a lot)… and then begin a modest recovery (up a little).

When used in conjunction with three other essential “10X factors,” my new system unearths stocks at bargain-basement prices while avoiding “false dawn” moments where falling shares keep going down.

One notable example of this is Humana, a health insurance firm I recommended back in 2000 after prices had fallen by two-thirds. The company was hit with a perfect storm of Medicare reimbursement challenges from the Balanced Budget Act of 1997 and a terminated merger with United Health Group.

These events proved temporary, and shares of Humana rebounded threefold over the next several years.

Investors were given another chance to buy in during the depths of the 2007-’08 financial crisis.

At the time, Wall Street considered every insurance firm “uninvestable.” Dozens of these companies had written policies on bonds and mortgage-backed securities, and those toxic assets were now blowing up blue-chip insurers.

Ambac… Lincoln National… AIG. No one knew which company would go under next because most insurance and reinsurance firms were not required to disclose what they owned.

But Humana was a special case. Unlike other insurance companies, health insurers renegotiate insurance policies annually. That means Humana’s assets during the financial crisis were surprisingly short-term to match its short-term liabilities.

In fact, Humana’s assets in 2007 had a duration of just 2.6 years – well below the 7.0 years typically seen at other insurers.

Even better, almost all of Humana’s assets were categorized as available for sale, which meant they were also stated at fair market value. This made Humana’s balance sheet seem worse than it was (allowing investors to get in for cheaper), while paradoxically making it less likely for the insurer to blow up.

And so, when the time came for Humana to recover, it did so with force: up 100% after a year… 250% after two years… 300% after four…

By the time 2014 had rolled around, Humana shares had returned a stunning 3,591% from my original investment.

A New Humana in the Making

In one of my paid services, I’m now seeing a similar setup in a company that lost 70% of its value between 2022 and 2024 after a global crash in fertilizer prices.

High fertilizer costs triggered by Russia’s invasion of Ukraine caused many farmers to reduce consumption, creating a cascading effect up the supply chain.

As shown in the graph below, the producer price index for fertilizer manufacturers fell hard in the following year.

Prices are now recovering. Since 2024, overall producer prices in the U.S. fertilizer manufacturing industry have risen 10%. They now sit 40% higher than their 20-year average, and analysts expect more gains to come. A shortage in China is growing particularly severe.

Investors should sense an opportunity. A fertilizer I recommend to my paid members continues to trade below its 20-year average, as shown in the graph below.

This is precisely what a the “down a lot, up a little” pattern that my new system searches for looks like – a massive selloff of a high-quality company followed by the beginnings of a recovery.

Meanwhile, this company remains one of the lowest-cost fertilizer producers in the industry, thanks to its vertical integration, and closures of higher-cost sites, and tariff-resistant production sites in the U.S. South.

Of course, its upside is more modest than Humana’s 3,591% gain. We might expect a 100% gain, given its milder 2022 selloff. (This would make it more like Hemingway’s 700-pound catch.)

But this shows how even a humble fertilizer producer can trade at prices well below its fair value… and how this “down a lot, up a little” method of finding 1,000% winners can apply to 100%, 200%, and 500% gainers as well.

Many investors go their entire lives without ever finding a 1,000% winner. Many don’t even try after hearing about the risks surrounding small-cap stocks and/or sky-high valuations.

If you count yourself among those “many,” let me point out two key facts about my new system…

The Importance of 10X Winners

The first is that many of its picks are household names. According to the 5.2 million backtests my team put together, Apogee would have picked out Nvidia Corp.’s (NVDA) 1,871% run… Apple Inc.’s (AAPL) 4,285% surge… and others like them.

And it mirrors perfectly the type of stocks that I often favor. These are established firms trading on the Nasdaq and NYSE exchanges… not exotic bets on three-person startups.

The second is that these picks are stable enough that you can feel safe investing a reasonable amount of capital. These aren’t the $50 wagers on microcaps that people brag about at the golf course.

Together, that means the stocks my system and I work together to recommend are the type of investments where even a single winner can reasonably turn a $2 million nest egg into $4 million… or a $10 million investment portfolio into a $20 million one.

You only need to invest 10% of a portfolio into a company that rises 10X to roughly double your money.

I’m unveiling that system for the first time ever at my 10X Breakthrough broadcast on September 10, at 10 a.m. ET. You can reserve your spot for that free event by going here.

During that broadcast, I’ll show how I use those five 10X Factors to spot potential big long-term winners in advance. And how the system and I work together – man + machine – to make my final stock picks.

As promised above, I can reveal one of the system’s first five “official” recommendations now.

It’s Five Below Inc. (FIVE), a discount retailer based in Philadelphia. The stock entered the 10X Zone on May 12. It’s moving fast, though, and the time to strike is now.

I’ll reveal four more of the system’s original recommendations… including their names, ticker symbols, and “10X Dates” – exactly when they flashed “Buy” in my new system – during my 10X Breakthrough event.

Finally, I’ll demonstrate the system in real time. You’ll watch it sort through a universe of 14,000 stocks… and pinpoint the very, very few with 10X potential.

Reserve your spot for that September 10 free event now – and I’ll see you there. 

Regards,

�������°�

Senior Investment Analyst, InvestorPlace

The post The Hidden Sweet Spot Where 1,000% Winners Live appeared first on InvestorPlace.