The Trillion-Dollar Shift You Can’t Afford to Miss

I have teenagers – which means I’ve had the same conversation about dishes, laundry and homework approximately 700 times.

And still, the dirty dishes end up in the sink.

They often complain about how much we remind them of these things. I have heard the classic line, “You don’t have to tell me EVERY time!”

It’s the same gripe about school: “We already went over that last week!”

Here’s what teenagers don’t appreciate…

Repetition is how people learn.

Psychologists call it the “forgetting curve.” Essentially, unless material is repeated soon after it is learned, and then repeated often, it’s quickly forgotten.

The truth is we forget most things unless they’re repeated, reinforced, and made relevant – whether it’s about picking up dirty socks or algebra.

So, I’ll say this again — not just for my kids, but for investors everywhere: The AI megatrend isn’t just about tech stocks.

It’s not just about the Magnificent 7 stocks.

It’s the main story now. Every company – whether it’s in transportation, telecom, fast food or finance – is racing to figure out how to use AI to grow faster and operate leaner.

If you’re not looking at every stock in your portfolio through the lens of AI, you’re missing the big picture. And in this market, that’s like ignoring your homework – eventually, you’re going to flunk.

This week, I had the privilege of speaking to Louis Navellier, Luke Lango and Eric Fry together as part of a semiannual roundtable for our Omnia subscribers.

InvestorPlace Omnia is our ultimate subscription package where you get everything we publish now, and everything we publish in the future for one price.

Twice a year, I get to interview the three analysts together to share their views on the markets and the “must own” stocks for today.

Here are some of the key quotes from that discussion:

Tech investing expert Luke Lango on what he did after the April sell off:

We loaded up on stocks, but we only loaded up on AI stocks.

Every time in the last year that I’ve tried to venture out of AI, it just hasn’t worked out. We tried to take a bet on Nike Inc. (NKE) on a rebound, and that hasn’t gone well. We tried to take a bet on Chipotle Mexican Grill Inc. (CMG) on a rebound, and that hasn’t gone well. We tried to take a bet on Lululemon Athletica Inc. (LULU) on a rebound, and that hasn’t gone well.

But then I look at our AI positions, and everything we bought in March and April – we’re through the roof with triple-digit gains on a few of those positions in three or four months.

Macro investing expert Eric Fry on the 2025 market trends:

You have to look at your investments, at least, through the lens of AI. It has to either be something that is a direct play on AI, or is applying AI, is a beneficiary of AI, or perhaps is something that is completely AI-proof in some way. Maybe it’s not an AI stock, but it has some resiliency, like a timber company or something.

So, you cannot ignore AI. Every new position you add to your portfolio has to be viewed through the lens of AI somehow.

Quant investing legend Louis Navellier on the state of the 2025 market:

This is not a sector market at all. It’s pretty much AI-related.

Today, I’ll share some of our analyst’s big ideas on how to cash in now!

Trump’s AI Plan

How much will AI change the global economy? Estimates vary, but the number is usually in the trillions.

• McKinsey and Co., estimates generative AI could add between $2.6 trillion and $4.4 trillion annually to the economy.
• Goldman Sachs predicts that AI will increase global GDP by $7 trillion over 10 years.

All those estimates may need to be revised after President Trump’s latest actions. Earlier this month, Trump recently released his AI Action Plan to ensure that the U.S. remains the leader in this critical technology.

In short, the plan reduces regulatory hurdles, encourages innovation and invests billions to build the infrastructure needed to ensure the U.S. remains the leader in AI development.

One of the leaders this year is Palantir (PLTR), a stock Louis has owned in his Growth Investor service since February 28. If you’re new to the Digest, Growth Investor is Louis’ flagship service, built on a quantitative market approach that Louis has been engineering for 40 years.

Louis has some faster-moving services, but Growth Investor follows a long-term buy-and-hold strategy. As long as the fundamentals and buying pressure remain strong, Louis will ride out the short-term ups and downs, holding for longer-term gains.

PLTR is a data analytics company focusing on artificial intelligence and machine learning. Palantir’s platforms, including Gotham and Foundry, leverage AI to help governments and businesses analyze data and make informed decisions. 

The stock is up 81% this year.

An AI Builder at a Discount

One of the ways to profit from AI is to invest in “AI builders” – the “picks and shovels” suppliers that make the chips, hardware, energy, and networks AI relies on. Those are some of the stocks Luke focuses on in Innovation Investor.

Just as a gold rush needs pickaxes and railroads, the AI revolution needs advanced semiconductors, robust cloud networks, and lots of electricity. AI Builders provide those critical tools and services behind the scenes.

Luke recommended Coherent (COHR) in Innovation Investor April after the Liberation day selloff. Here was Luke’s recommendation then:

COHR is an AI builder stock with strong growth prospects that got hit hard because of the global AI chip supply chain. Now, it’s a company growing profits more than 20% annually and trading at just 13 times forward earnings. That’s too cheap. It’s super oversold and ripe for a rebound.

And that’s just what has happened since…with the stock up more than 70%.

Luke wasn’t kidding when he said that AI stocks have rebounded significantly since the April downturn.

From Science Fiction to Fact

In Investment Report, Eric follows the big-picture trends that drive huge, multiyear moves in entire sectors of the market. As he likes to say, “In any asset… in any country… in any direction.”

He helps investors capitalize on trends that can spin off dozens of triple- and even quadruple-digit gains in a span of a few years.

And he has been doing a deep dive into the newest macro trend: robotics.

Robotic technologies of various sorts are entering a new era of growth, accelerated by the impact of artificial intelligence. Robots and robotic processes of various types are already gaining widespread adoption in many industries.

According to a new report by the International Federation of Robotics, the global population of industrial robots now totals more than 4 million, and will top more than 6 million within the next three years.

Robots are already here in a limited way, and soon they will be everywhere.

One of Eric’s latest Investment Report picks is already benefitting from this trend.

Teradyne (TER) has a core semiconductor testing business with a growing robotics segment, including a potentially transformative partnership with Amazon. With strong fundamentals, strategic positioning in AI-driven automation, and a healthy balance sheet, Eric believes that Teradyne is poised to benefit from both short-term catalysts and long-term secular growth trends.

It’s already more than 10% on the plus side since the pick in early July.

We talk about AI a lot in the Digest. It feels like we are repeating ourselves.

But AI is the biggest story in the markets right now … and really, it’s the biggest story in the economy.

Eric said it best during the Omnia conversion … “Every new position you add to your portfolio has to be viewed through the lens of AI somehow.”

Don’t forget you can get all our analysts picks in our Omnia service. Call our customer service representatives at (800) 539-8212 to find out the details.

Enjoy your weekend,

Luis Hernandez

Editor in Chief, InvestorPlace