COVID-19 has proven what I’ve been seeing for the past decade: the entire economy is the tech economy. You may not think that retailers like Walmart Inc. (WMT) and Target Inc. (TGT) are tech companies, but they have been boosting their revenue this past quarter on the back of multiplying e-commerce sales. It just goes to show that not only do leading tech innovators drive growth in the market, but any company, no matter what they do, can give themselves a much-needed edge by keeping up with the times. Add in the fact that growth investors, largely fueled by tech, have made more money in ten years than value investors have in thirty, and its plain to see that the road to wealth is paved with tech. There are plenty of opportunities approaching in the era of all things digital. Click to watch!
Archive for August, 2020
Cannabis companies have just found a backdoor strategy to go public and place their shares right into your hands.
What they’re doing is forming a special-purpose acquisition company (SPAC), also known as a “blank check” company. Through a SPAC, some of the smartest people in any room – lawyers, finance wizards, and startup founders – raise money through an IPO. They will then use that money to buy a company or several companies.
There’s a little bit of catch with this because you won’t know what the SPAC is going to buy until it makes an acquisition. It won’t list any specifics in its paperwork.
Accounting has been falling behind the times, but that’s all about to change.
Thompson Reuters surveyed over 300 practicing accountants about how they predict that their field will be changing by 2028. The results were overwhelmingly high-tech.
95% of everyone surveyed believed that their role is likely to change because of technology such as cloud-based tools, with 74% of that being those who believe these changes are “very likely.”
Over 70% of these accounting experts believed that bookkeeping and data collection will be automated in 2028.
And these respondents specifically believe that digital cloud technology will be the most vital area of new technology for them to understand.
One of my key rules of tech investing is to “ride the unstoppable trends.” You can take it right from the mouths of these survey respondents that the trend towards digital, cloud-based accounting is unstoppable.
This month, you’re getting a brand-new feature as a subscriber to Strategic Tech Investor. It’s called the Monthly Mailbag, where I’ll be taking some of the most pressing questions that I’ve received and answer them on video.
This month, I take a look at the ongoing drama between Apple Inc. (AAPL) and Epic Games, some of the biggest stock-splits happening in the tech world, and the outlook for federal intervention in the course of the economy.
Looking for a parking spot for 15 minutes, spending 20 minutes filling out forms, and waiting for 30 minutes or more to see your doctor is a relic of the past thanks to virtual medical appointments through our computers and phones.
And it’s easy to see why.
What’s referred to as “telemedicine” can save patients nearly two hours of their time, according to Forbes.
Being in the comfort of their own homes is also a major selling point, as a Doctor.com survey found that 91% of the respondents said telemedicine would:
- Help them stick to their appointments.
- Manage prescriptions and refills.
- Follow wellness regimens suggested by their doctor.
Keep in mind folks that telemedicine was becoming more commonplace, and then COVID-19 sent it into overdrive.
As far as hard numbers go, telemedicine forecasts B.C. (before coronavirus) show this market is only getting more valuable, climbing 127% from $35.5 billion dollars to $80.6 billion by 2025.
So those estimates could be too conservative, and I don’t want you to wait around to make money as this market gets bigger and bigger.
The good news is there’s a fire sale going on in the telemedicine market that we can take advantage of right now that will pave your road to wealth.
I’m talking about Teledoc Health Inc. (TDOC), which got slammed on August 5, closing down 19%.
The reason was that the firm is making a big buyout, one that I think is very savvy.
Several high-profile Wall Street personalities have drawn attention lately for investing in Bitcoin – most notably billionaire hedge fund manager Paul Tudor Jones.
But one investing legend was buying Bitcoin years before it became fashionable: Veteran fund manager Bill Miller.
Miller built his reputation as co-manager of Legg Mason’s Capital Management Value Trust fund in the 1990s and the early 2000s. His best-known achievement was beating the S&P 500 for 15 years straight, from 1991 to 2005.
When Miller first bought Bitcoin way back in 2014, it caught many by surprise. While his definition of “value” was broader than most – he was buying tech stocks like America Online and Dell Computer in the early 1990s – cryptocurrency was literally in a class by itself.
Many investing experts in 2014 were deriding Bitcoin as a “Ponzi scheme” devoid of any real value. Warren Buffett called it a “mirage.” Predictions Bitcoin would go to zero were common.
Apple Inc. (APPL) is more than just a phone company.
Sure, it’s sold nearly 2 billion of them since it first launched the iPhone, but this is a company that’s lead by visionaries – and visionaries are never satisfied.
Especially in tech.
They crave innovation. To be at the forefront of the next big thing. It’s in their blood.
You had that with Steve Jobs, and you it’s there with current Apple CEO Tim Cook – and it’s one of the reasons Apple is now the most valuable company in the world.
A week ago, I mentioned to you that Apple is getting into the digital payments market. It’s decisions like that which keep me coming back to the company as one of my favorite investments.
With that in mind, I want to talk about another visionary.
He founded a platform to connect people that has over 300 million users and has changed how we interact and receive our news and entertainment, but that wasn’t enough.
If you just looked at the headlines, you’d think this is the absolute worst time to invest in anything related to nuclear power.
After all, Big Media has been giving us a steady diet of stories about the benefit to the planet found in green energy.
Don’t get me wrong. I have recommended solar and related stocks in the past. The issue confronting us is that right now we don’t have nearly enough large, industrial-grade storage systems for wind or solar power.
Which brings me back around to a company that is set to double its stock, not by avoiding nuclear power, but by gladly embracing it.
That’s a good thing because right now as we speak roughly 55 nuclear power plants are being built around the world. And just the equipment part of the sector is worth $67.2 billion.
After years of anticipation, we’re very close to the first genuine crypto IPO in the U.S. stock markets.
Last week, Reuters reported that crypto exchange company Coinbase has “started plans” for an initial public offering.
The Coinbase stock offering could happen as early as this year, the report said, but sometime in 2021 is more likely.
Most assume the ticker symbol will be COIN, although the folks on StockTwits have been using CBASE.
The company has not yet sought the approval of the U.S. Securities and Exchange Commission (SEC), but is said to be in talks with investment banks and law firms.
This news should come as no surprise to Money Morning readers. I have long considered Coinbase to be the AOL of crypto. I first tagged the firm as a potential crypto IPO as far back as 2014. Three years later, I declared Coinbase the frontrunner in the race to be the first crypto company to go public.
The COVID-19 pandemic is and has been an unprecedented event, but there’s also something else to think about.
During this moment in history, we have never had a unified global effort quite like this to find an effective vaccine, and the convergence of technology and medicine that we have access to is allowing researchers to work on a vaccine at break-neck speed.
As of this writing, there are currently 28 COVID-19 vaccines in human trials, and the Trump Administration believes it will have an effective vaccine by 2021.