My wife and I have become obsessed with a reality TV show that is part entertainment and part fright show.
Let me explain.
I haven’t watched a reality show in maybe a decade and had no intention of ever doing so again.
But when Tracy recently suggested we try an episode of Botched, I decided to give it a try. I have to say that I was quickly hooked.
In each episode, patients seek help from two renowned doctors to correct cosmetic surgeries that went awry – hence the name Botched.
As a veteran tech investor, I couldn’t help but wonder if there was a better process for many of those patients to avoid ending up on the show in the first place.
Since the cosmetic surgery market is on its way to being worth some $43.9 billion, you can bet I was determined to find out.
No matter how you slice it, Harvey Mackey’s book is bona fide classic.
After all, “How to Swim with the Sharks Without Being Eaten Alive,” is considered to be a motivational tour de force.
Yes, it was written for salespeople. But the process of success can be applied to any field. No wonder it has sold well over 5 million copies around the world since being released 26 years ago.
Turns out, there is a new way to swim with the sharks. Actually, in this case, it really is just one “shark.” But it’s a biggie with huge profit potential for savvy tech investors.
See, Kevin O’Leary is a host of the popular show Shark Tank about budding entrepreneurs pitching their companies to seasoned experts.
What most folks don’t know is that O’Leary’s “day job” involves investing in publicly traded web-related firms.
I don’t know about you but I love being able to put the entire “convergence economy” in the palm of my hand.
When you hold a semiconductor made by the firm I have in mind, it’s like grabbing cash from several breakout fields that are growing like weeds – all at the same time.
Here’s the thing; Wall Street and the media still talk about technology as though it were composed of standalone sectors. For example, chips and software.
But we’re not most investors. We know that, led by American innovation, the world has passed the tech tipping point. That’s something the coronavirus panic made very clear.
And that spells big money for savvy investors who know how to connect all the dots embedded in the overlapping concentric rings of technology I call the convergence economy.
Today, I want to reveal a stock that gives us access to four main parts of the convergence economy with more than $13 trillion in economic impact.
Let me show you three catalysts that will help it double from here…
Here’s the thing. I have decades of experience with the markets and I have never seen so much economic uncertainty.
See, in the U.S. coming off coronavirus lockdowns varies not just by states but often by individual cities and counties. Something similar is occurring all around the world, making recovery forecasts difficult.
Meantime, you have some health experts and aggressive government officials suggesting lockdowns should continue until we find a Covid-19 vaccine.
Like I said, a lot of economic noise out there.
But fortunately, I have found a great tech leader that embodies Rule No. 2 – and I mean that quite literally. It’s a firm with a pole position in the 5G wireless race.
Despite the coronavirus panic – or perhaps because of it – the robotics industry recently saw deals worth $3 billion.
Here’s the thing. We’re just scratching the surface here.
That amount only covers high-profile deals by two major Silicon Valley firms. One was for venture capital funding and the other for a big merger.
But quietly and behind the scenes, robotics and automation firms garnered at least another $3.9 billion in funding.
And that’s just for February and March of this year.
So, it should come as no surprise that with the coronavirus serving as a fresh catalyst, robotics adoption is likely to grow significantly from here.
After all, one of the most significant effects of the coronavirus has been the fact that it has driven businesses to get human hands off of important work, whether that’s through digital connections or robotic automation.
A new report by MarketsandMarkets says that just the use of industrial bots will grow by roughly 10.4% year, meaning it will double by the end of this decade to more than $73 billion.
If you’ve followed along with me for any length of time at all then you know I’m a big believer in cloud computing.
And it’s not just because the global market is growing at 21.4% a year and will be worth $185.8 billion by 2024, according to KBV Research.
It’s something far more fundamental. A well run firm that uses the cloud to deliver software as a service (SaaS) have two things that hardware companies can only dream about.
The first is high profit margins. The second is even better – recurring revenue. Literally the money just rolls in month after month after month.
Here’s the thing; companies that have made the move from software publishing to the cloud can really clean up.
That’s really important now because after the bear-market rout, companies and investors alike are taking a shine to liquidity.
We’ve talked a couple of times in recent days about the search for a coronavirus vaccine.
And I have also given you plenty of details about promising new treatments at the cutting edge of science that could help keep the spread at bay.
In other words, biotech and pharmaceutical firms can play a big role in either stopping the disease with vaccines or treating seriously ill patients with effective new drugs.
But those are hardly the only ways in which high tech is helping to check the spread of this novel new pandemic.
Fact is, there are a wide range of high-tech solutions and platforms that are proving invaluable. They cover everything from robotics to video conferencing to robust medical AI.
The Federal Reserve’s recent decision to push interest all the way to zero has millions of investors scrambling.
Clearly, now is not a good time to be buying bonds for retirement income. Their rates also have plummeted.
And the chances that bond prices will fall when the economy recovers have shot up overnight, greatly increasing the risk of losses if you have to sell.
That leaves many investors looking for good dividend yields at a time when the economy is weakening.
Fortunately for tech investors, the sector has quietly come to dominate corporate balance sheets in terms of cash on hand.
That means two things. Firstly, tech is a great place to find yields. Secondly, these cash-rich firms are least likely to cut their dividends in a recession.
Indeed, nine tech companies in the S&P 500 alone hold more than $350 billion in net cash.
