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Technology

How to Pick the Next Billion-Dollar Company

One of the most common questions our David Weisburd is asked is what the hottest new startup sector is.

Many investors have very strong opinions on these spaces, and stake their entire careers on the belief that they know the right answer.

These types of investors are called thematic investors – and some of the top venture capitalists in Silicon Valley fall into this group.

Here's the thing about being a thematic investor: There's a small chance you will be very rich, and close to a 100% chance you will lose all your capital.

Which is why the strategy David prefers is an investment style called generalist investing.

Here's what he means by that - and why it's so profitable...

Technology

Wall Street Keeps Ignoring This AI Leader - and the Stock Is a Bargain

Right now, fast and robust graphics processors are the main power behind AI (artificial intelligence).

But there's a new advance in AI that could accelerate its adoption even as it revs up computer performance – and with good reason: This innovation operates at lightning speeds but just "sips" energy.

In fact, this "artificial" intelligence – known as "neuromorphic computing," – parallels the actual thinking pattern of the human brain.

In short, we're talking about game-changing innovation; one that's being driven by a new kind of chip.

And one specific company has leaped to the forefront.

A company whose shares are still trading at bargain levels.

Let's take a look...

Dow Jones

Dow Jones Slides 200 Points as Reality Sets in for the Markets

The Dow Jones lost more than 200 points in the first five minutes today.

Markets could finally be reflecting the economic devastation of the pandemic lockdown.

The House of Representatives has pitched a potential $3 trillion stimulus package.

More on this below.

Plus, Gilead Sciences (NASDAQ: GILD) just made progress on its COVID-19 treatment.

Here's everything moving the Dow today.

Read more...

stocks

Markets Live Recap: What Made the Nasdaq Break Its 6-Day Winning Streak

Stocks fell sharply today as investors continue to evaluate the United States' ability to reopen the economy.

The Dow, S&P 500, and Nasdaq all closed about 2% lower for the day as the volatility/fear index (VIX) spiked over 14%.

That's even on news that House Democrats unveiled their latest $3 trillion coronavirus relief bill…

Here's what our experts – Chris Johnson, D.R. Barton, Jr., and Shah Gilani – thought about the volatile move today, and which stocks investors should be focusing on to smooth out the bumps in their portfolios.

Read more...

stocks

Tech Stocks 2020: 3 to Buy and 3 to Avoid

With the coronavirus crash taking 23% off the Dow Jones Industrial Average to date, more folks are catching the "buy the dip" wave.

Buying the dip, even if it's yet to bottom out, is a great way to "average down," as Shah Guilani, Money Morning's capital wave strategist, puts it.

According to Shah, long-term wealth is built from raising the long-term average profit accumulated over time.

It's simple: buying Alphabet Inc. (NASDAQ: GOOG) for $1,260 right now is better than buying it at $1,367 on Jan. 1.

Read more...

Trading Strategies

Ten Stocks to Avoid Right Now (and One Trade to Make)

We finished our second straight week of stock gains on Friday. Where we go next – well, it's not so simple in a market like this.

We haven't seen the last of a downturn, with all the uncertainty that will still weigh on markets.

We're still in bear market territory, with more downside pressure ahead.

Don't let that scare you. In fact, a bear market is my favorite kind of market to trade in. Back in 2008, when markets fell 50% from their peak, I made $5 million in less than two years. So rest assured that a bear market isn't one without opportunities.

Trading is just one step in a solid bear market profit plan. Another is knowing which stocks to ditch, to keep them from dragging down your portfolio. Even if they're seeing rallies right now, it's likely those are short term with no real earnings or growth to support the gains.

But even considering that every single stock in the following list will head lower, with the power of options, you can expect to profit off a stock that is tumbling down, flying up, or stuck sideways… Full Story

But even considering that every single stock in the following list will head lower, with the power of options, you can expect to profit off a stock that is tumbling down, flying up, or stuck sideways... Full Story

Technology

The Secret to Spotting a Billion-Dollar Idea

I recently talked to you about how important it is to choose a star founder with the power to execute their unique vision.

But that's only half the battle. This founder must also have a billion-dollar idea.

When you find someone who can transform their great ideas into products customers need, you've struck gold.

Today, I'll show you how to spot a billion-dollar idea once you feel confident that you've nailed down a winning team.

The idea and the founder go hand-in-hand. You can't have one without the other.

Long before I was an angel investor, I sat on the other side of the table as a startup founder. I've personally founded four successful businesses. And let me tell you – it is seriously grueling work.

It was all worth it, though – and not just because I ended up making money.

More than anything, I'm glad I did it because each business started with an amazing idea. And what's better than watching an amazing idea come to life?

World-changing ideas are the bedrock upon which the startup world is built. Every successful business starts with one. And once you find a winning team to work with, you have to see whether their idea is any good.

But what does a great idea really look like?

How do you tell the difference between a founder with a billion-dollar idea… and one who's just blowing smoke? I'll show you… Full Story

How do you tell the difference between a founder with a billion-dollar idea... and one who's just blowing smoke? I'll show you... Full Story

Trading Strategies

"Future-Proof" Your Portfolio Today, and You'll Be Ready for Any Market Event

Today I want to talk about something that's on a lot of people's minds at the moment – a concern I've heard from a lot of readers lately…

That is the prospect of a market crash in the weeks ahead.

Now, a crash is possible. The reasons why range from the novel coronavirus to the upcoming presidential election to another terrorist attack.

However, it's important to remember that nobody knows for certain what's going to happen. So do not let these – or any – uncertainties throw you off your long-term investing plan or cloud your thinking. Remember that making investing decisions based on emotion can lead to big losses.

What's best to ask is whether a market crash is probable. This allows you to prepare ahead of time for the unknown, which makes all the difference.

Take the coronavirus. Many analysts are calling it a black swan event, meaning it's unpredictable. But at this point, I think it's more like a "gray swan" – we know this thing is coming.

But the markets do not reflect this possibility. Even with Tuesday's market drop, major indexes are flirting with all-time highs. The melt-up that I told you was likely last fall seems unstoppable.

Well, I don't particularly like surprises. And this all leads to me to think there's another shoe out there getting ready to drop. Some folks may or may not share that opinion, but what we do share is the desire to future-proof our portfolios and our wealth.

So here are the steps to take to ensure both are protected… Full Story

So here are the steps to take to ensure both are protected... Full Story