Best Investment Right Now
The markets have been extremely volatile of late. It’s all about AI, but there is a different question being asked.
“There’s no question that AI is going to be successful, but all this money that is being spent – which companies are going to succeed?” – Nigel Green, deVere CEO.
The NASDAQ is in correction territory after losing 3% this week as several of the Magnificent 7 report massive spending on AI. Will they start making profit from AI once all this infrastructure and research is developed? Investors want to start seeing profits from AI companies sooner than later. Is now the time to buy AI stock at lower prices before they rise again?
Chip providers are currently at the top of the food chain, but many big techs will start producing their own chips to save costs, though it will take time. There are opportunities to invest in chip providers. Also, energy companies are going to continue to do well. It’s not just about the Middle East. It’s just a fact that more and more energy is going to be used by AI.
AI is the future, and the question is not if AI will win, but who is going to make profits from it? There are opportunities for investors.
Microsoft recorded the largest-ever single-day jump, with a 15% stock price increase adding nearly $450 billion to its market cap. Its best day since 2008. This is largely due to its cloud-based performance in Q4. Azure accelerated to 43% for Q4 and is expected to hit 45% this quarter while Copilot passed the $100 billion revenue mark.
This puts Microsoft’s market cap at $3,35 trillion, pushing it up to the 4th most valuable company. This shows that its $190 billion data build-out investment is starting to show returns, a signal that many big tech investors are looking for.
Please note, the above is for educational purposes only and does not constitute advice. You should always contact your adviser for a personal consultation.
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