It’s back to the old drawing board… but I’m happy to do it!
A few months ago, when I published “The Best Way to Beat Bitcoin During the 2021 Crypto Boom,” I put it all on the line, stood there on camera in my crypto “war room,” and publicly predicted we’d see Bitcoin at $50,000 by the end of the fourth quarter of 2021.
Well, looks like I’ll have to revise my prediction upward – significantly – because at this rate, we’ll get there by the end of the first quarter of 2021, easy.
Right now, the market can be a scary place, as choppy as it is. Just look at what happened earlier this week. Since February 24, the broader market is down by more than 2.5%.
The thing is, I’m here to tell you that these movements might seem troubling, the overall trend still holds true, the road to wealth is still paved with tech.
If you zoom out and have a look at the past year overall, the broader market is up by almost 30%.
And that’s in spite of the hit that the market took last march when the beginnings of the coronavirus pandemic caused sharp selloffs.
Because regardless of the turns the market might take because of any one day’s headlines, the point remains, that the innovation of the high-tech sector making new things possible is what adds wealth to the economy.
The tech sector will continue to be the economy’s wealth engine even if the market is choppy for a while,
I regularly pound the table regarding two main themes – the road to wealth is paved with tech and it’s important to take the long view.
And both those factors clearly played a huge role in a stock that has gone up by more than 1,000% since I first talked about it on May 31, 2013.
See, as that chat shows, I was way out in front of the pack when it comes to that big call.
The thing is, I can look ahead to see which investments are going to absolutely crush the market because of one of my biggest rules of tech investing, “ride the unstoppable trends.”
And on that day, I claimed that cloud computing was in for a massive uptrend. And if anything, I was too conservative. I mentioned a report that same week that cloud computing would reach $241 billion in 2020.
Instead, Market Data Forecast claims that the sector grew to $371.4 billion.
And now, you may recall that field is expected to pull off an encore, and more than double to $832.1 billion in the next five years.
I also told you of a legacy software firm that was using the cloud to add recurring high-margin sales.
Last month I talked to you about my three favorite tech SPACs to watch and since then Altimeter Growth Corp(NASDAQ: AGC), AJAX 1 (NYSE: AJAX) and Reinvent Technology Partners (NYSE: RTP) are down 1%, up 8%, and up 30%. The good part is, we are not done yet.
Both Altimeter Growth and AJAX 1 have not identified an acquisition and their team is working diligently to find a great fit. What I want is what happened to Reinvent Technology Partners, where merger talks around Joby Aviation and Hippo send the stock flying.
I bet that this would happen as I dug into the management team and went with people who I was confident in to make a good deal. Fluctuation before a deal is made is normal and I never worry much about that given the amount of time management has to find a deal.
Outside of digging into management, I also look at another factor. I always ask myself, are there any big investors? Now I don’t have to see them, but it does help in some cases to push me to invest. They are not in it to lose money and the amount they are putting on the line gives me some confidence.
Last month’s virtual Consumer Electronics Show (CES) featured all sorts of cutting-edge gadgets, but this year’s award for consumer high-tech innovation ended up going to a company that makes tractors.
It’s no joke. Looking at what they’ve brought to the table, it couldn’t be clearer that they deserve it. What they’ve created perfectly symbolizes the marriage of hardware, robotics, and software in the digital age.
More than that, it’s proof that the modern high-tech sector can transform and revolutionize any aspect of today’s economy, even something like agriculture, that’s almost literally “as old as dirt.”
After all, a field known as “precision agriculture” is making modern farming a very sophisticated and tech-driven enterprise.
This is a company pushing the boundaries of a sector worth $6 billion and growing at 15% a year.
Even better, it’s beating the broad market by more than 140%.
As the economy moves forward, Fintech is poised to make incredible gains with some of its most standout leaders. The mobile payments sector is particularly huge, with 1 billion of the people on planet earth using some kind of mobile payments system in 2020. Continue reading
If you’re anything like me, odds are you couldn’t live without your smartphone. 81% of Americans own one, and for many of them, it’s the first piece of technology they use each day, and the last one each night.
That means that one particular small-cap tech leader I know has the power to reach four out of every five Americans every single day before they even get out of bed, brush their teeth, or eat breakfast.
And then, it has the chance to reach them again more times throughout the day than I can count, when they order food, check the weather, make a call, or even pay electronically at a store.
It’s no wonder, then, that I believe in an aggressive firm that has a stranglehold on what I call the App Economy, one on its way to being worth $407.31 billion in direct sales.
No wonder the market is so lucrative. There are nearly 2.9 billion smartphones in the world today.
And when you order up a new smartphone, you’ll see that it already comes with a handful of pre-loaded apps.
In most cases, your wireless provider has turned to this young company to help out.
This is a godsend for many of its clients.
Take ride-sharing firm Lyft Inc. (LYFT) for example. The company I have in mind helped Lyft add 1.9 million new customers through a geo-tracking app.
Now you know why the company recently reported earnings growth of a stunning 320%.
For Digitization-X this month, Alex Kagin, your host and the Director of Technology Investing Research for Money Map Press, sits down to interview with video game veteran Ron Moravek. He’s been in the video games industry since 1998 when he co-founded Relic Entertainment and has held various leadership positions in the gaming industry serving as the COO for Electronic Arts Canada (NASDAQ: EA), EVP at THQ, and SVP at Nexon.
Of all the changes the ongoing coronavirus pandemic forced on us, the change in healthcare has got to be one of the most profound.
Whether we’re managing a chronic condition, like high blood pressure, say, or an acute illness like strep throat, the market demand for healthcare needs hasn’t decreased a bit, but COVID-19 has made getting in to see a primary or specialist physician a lot more complicated and, in some cases, a lot riskier.
That means telemedicine, and the broader field of digital healthcare, are the name of the game right now. The $20 billion Teledoc-Livongo merger is proof of that.
The grandaddy of the American auto industry is now fully embracing 21st Century digital tech.
And on the flipside, Silicon Valley is taking its well-earned place at the heart of the new and modern auto industry
See, cars today are basically computers running on four wheels and equipped with a drivetrain.
But the software drivers use to interact with their in-dash displays are often very clunky. It’s been a problem because they run on proprietary software that can’t keep up with Silicon Valley’s ace coders.
So, Ford Motor Co. (F) is getting a software makeover. The nation’s oldest carmaker has announced it will equip its vehicle displays with a suite of Android apps from Alphabet Inc. (GOOGL) starting in 2023.
And while I applaud this move, I think there is a much better way to cash in on the $13 billion auto software market growing at 15% a year.
It’s a firm that trades at a fraction of GOOGL’s $1,900 share price.