Archive for October, 2020
In the midst of a nasty recession, anyone looking to build a brand new $12 billion manufacturing plant really stands out.
And in this case, it’s not the price tag that is the most important part of the deal.
It’s the fact that it’s all about what lies at the heart of our fast-moving digital economy.
Indeed, the devices to be made there are nothing short of critical because they power everything from mobile devices to PCs to artificial intelligence.
Of course, I’m talking about semiconductors. The new plant in Arizona, big enough to employ 1,600 people, will produce some of the most advanced chips ever released.
The news comes as the chip sector continues to post solid gains in a weak, COVID-focused economy.
For August, the last month for full data, global chip sales showed a yearly gain of 4.9% to $34.5 billion.
The chipmaker I have in mind is a global leader that has doubled the S&P 500’s return since the market bounced back on March 23.
They are relied on by some of the most prominent device makers in the world, like Apple Inc. (AAPL), along with chip designers like Intel Corp. (INTC), Advanced Micro Devices Inc. (AMD), and Nvidia Corp. (NVDA).
Let me show you why I see much more upside ahead…
This month, your host for Digitization-X, Alex Kagin, Director of Technology Investing Research for Money Map Press, is coming to you with an exclusive interview with Ian Kar, the Founder and CEO of Fintech Today. This weekly newsletter is dedicated to keeping up with the latest breaking developments from the fintech industry.
He and Alex will be discussing what’s new and what’s next in the world of personal and digital financial services. We’ll be looking at how banking has changed since the start of the COVID-19 pandemic and plans from companies like Square Inc. (SQ) and PayPal Holdings Inc. (PYPL) to disrupt the industry.
He’ll also be sharing his thoughts with us on the latest big moves by traditional payment network providers, and big developments out of China.
On Tuesday, I showed you that tech is one of the very best places to find great dividends.
Here’s the thing; These are not your traditional dividend payers from years gone by. They’re an example of a new trend that we’re seeing in action right now.
I still firmly believe that the road to wealth is paid with tech.
Not with staid dividend stocks, but with bona fide growth leaders. See, even ten years ago tech darlings put all their money into growing faster, leaving nothing to pay a dividend with.
Today’s tech world looks very different.
It’s all because of the digital economy. This new dynamic has created earnings giants that make so much cash, they can easily invest in the next round of growth – and still pay a nice dividend to shareholders.
You may recall that in our last chat, I showed you three tech stocks that offered appreciation and yield.
Today, I want to follow up with the flip side of this investing coin.
It’s a way to cash in on all the great tech dividend players in one fell swoop…
I sure hope you don’t make the kind of costly mistake my uncle did.
A few years ago, the retired telco worker invested in a communication company that offered a juicy double-digit dividend.
When I heard about that, I ran some numbers on the company. And what I saw alarmed me.
Windstream Communications had a mountain of debt. My concern was that if things got tight, it would cut the dividend.
And sure enough, that’s exactly what happened. Shares slide from a high of $100 to below $2 before Windstream filed for bankruptcy protection.
I’m sharing this story with you because I’m concerned other retirees or those approaching retirement, may be tempted to shop around for high yields after the Fed recently signaled its commitment to low interest rates.
Irony abounds. Tech has become the very best place to find dividends that are the least likely to be cut no matter what happens with the economy.
And today, in the first of two parts, I will share with you three great dividend payers for your portfolio…
Streaming services have experienced rapid growth in adoption over the last five years. And while almost 80% of U.S. households have some form of device for streaming video and subscribe to a streaming service, many of them still pay for access to cable.
A big part of this is that sports and news content have been a key driver for cable operators. Most streaming subscription services have chosen to focus only on entertainment offerings.
While traditional TV has suffered at the hands of newer services like Netflix, Hulu, and HBO, some people will never stop watching TV in that fashion.
Sometimes, you just want to sit down and channel surf live TV, turn on the news, or watch sports.
Just like 10 years ago, when I would come home from work and flip on the TV, I do the same today. But I don’t need a cable subscription to watch traditional TV. Many still want this, which is why we’re seeing services pop up from many big companies replicating traditional TV.
Alphabet Inc. (GOOGL) has YouTube TV, DISH Network Corp. (DISH) has SlingTV, and Walt Disney Co. (DIS) has Hulu+ Live TV. This can all happen without plugging in a bulky cable box. All you need is an Internet connection. The best part is you don’t need to be tied to the TV. You can watch on your tablet and phone, on the go, or at home.
While there are many choices out there to watch traditional TV through digital means, I want to focus on a newer player. This one is taking a new approach to traditional TV.
Some of the biggest brains in medical science are racing to find a vaccine that could save millions of lives.
They are also trying to unlock all the mysteries surrounding not just the disease but its global trajectory and the paths to possible mutations.
To date, scientists have published more than 23,000 scholarly articles on these related topics.
But the need to sort through this sheer volume of data makes fighting the coronavirus a challenge too big for the human mind to solve alone. Even a top-notch team can’t make sense of it all.
Luckily, they don’t have to thanks to a new Big Data model known as Coronascape, which could prove invaluable for both researchers and savvy tech investors alike.
See, the market for data analysis is set to be worth $229.4 billion by 2025.
And I have a way for you to invest in the sector with a tech leader beating the broad market by 265%…
The Trump administration is doubling down on its drive to become a 5G global powerhouse.
Just last month, the Pentagon asked for firms to help with a new approach that would blend civilian and military capabilities for the new ultrafast broadband cellular system.
It’s a novel approach in which the Pentagon would allow private companies to build up 5G capabilities using parts of the wireless spectrum usually reserved for the military.
Here’s the thing; this dual-use structure would allow companies to access the system without the need to invest billions in bidding for wireless licenses at auction.
As such, it could be a big help in the rollout of connected cars, factories, and hospitals using the next-gen network.
And it comes just six months after the president signed a pair of bills into law designed to boost and secure 5G networks throughout the nation.
I believe those laws and the Pentagon’s involvement actually improve the prospects of this breakout technology that began rolling out in earnest earlier this year.
With that in mind, today I want to reveal a great backend play
It’s a storied firm set to double its earnings in less than 2.5 years…
The streaming wars are raging, and investors are starting to sense the opportunity behind this exciting trend.
Netflix Inc. (NFLX), Walt Disney Co.’s (DIS) Disney Plus, Hulu, Apple Inc.’s (AAPL) Apple TV Plus, Comcast Corp.’s (CMCSA) Peacock, and Viacom’s (VIAC) CBS All Access are just a few of the many connected TV (CTV) services vying for supremacy.
Will Disney Plus take away business from Netflix? Will Apple put more weight behind Apple TV Plus? Does Comcast go all-in on Peacock? I admit I would like to know the answer to these questions, but without a crystal ball, no one can tell the future. But one thing I do know is that CTV is here to stay. It has been made clear by the companies I’ve just listed.
One company that I see profiting no matter who wins the streaming war is Trade Desk Inc. (TTD).
See, almost every business in the world needs to advertise to sell their products. It’s everywhere, from billboards to our social media stream, and from newspapers to TV. Everywhere we turn, we are likely to see advertisements, so it’s no wonder $1.4 trillion was spent last year on advertising and marketing globally. In fact, every time you sit down to watch 30 minutes of TV, you get roughly six to seven minutes of commercials. That means 20% of your time is spent watching commercials that companies are paying a lot for and will continue to do so as a preferred way of advertising. Just imagine, during the Super Bowl, advertisers are spending an average of $5 million per ad.
This all adds up to an astounding $230 billion spent a year of TV advertising according to IDC.
That’s why it makes sense to target a company essential to that as streaming services grow.
Just like businesses who sold picks and shovels to miners during the gold rush, the real money here is in profiting from the trend instead of trying to pick who will win the war…
The nation may still be coping with COVID lockdown, but that doesn’t mean that economic progress isn’t still going on out of sight.
It’s true that public spaces are hardly crowded. Restaurants, concert venues, cinemas, and gyms are empty.
But day to day business is alike and kicking in the digital space. In spite of everything that’s happening, the Port of Los Angeles, a main e-
commerce hub, is bursting at the seams
Port officials reported that August 2020 was their busiest month on record, with cargo volume up by about 12% both from July and from August 2019 just one year before.
We’re seeing similar encouraging cargo statistics out of Long Beach, not to mention the fact that consumers and e-tailers are gearing up for a strong Christmas season, typically the peak of consumer shopping for the year and worth roughly $1 trillion.
Altogether, it’s a sign that the economy is picking up steam online, instead of on main street, building towards a hidden recovery.
With that in mind, today I want to reveal a tech leader that is helping thousands of small businesses throughout the U.S. set up online stores.
The stock is beating the broad market by 444%.
Not only that, this mid-cap leader is set to double its earnings again in as little as a year…