Markets and Business News Review

When the ‘smartest’ minds on Wall Street pick their top investments, run the other way

Brett Arends — Wed, 22 Jan 2025 14:27:00 -0500

Our author’s annual “Pariah Capital” picks beat the world’s top money managers (again).

Travel 2025: European Travel May Include Train Trips, Stargazing and ‘Detour Destinations’

Ceylan Yeğinsu — Wed, 22 Jan 2025 14:16:20 -0500

Astrotourism, side-trips from crowded destinations, vacations in cooler places and a strong interest in train travel will all be in play in the year ahead.

Trumps Threatens Tariffs Feb. 1 on Canada, Mexico and China

Ana Swanson — Wed, 22 Jan 2025 14:13:00 -0500

The president said he will impose tariffs Feb. 1 on products from Canada, Mexico and China, countries that together account for more than a third of U.S. trade.

Famous Billionaires Keep Loading up on These Stocks, Is it Time to Buy?

Vandita Jadeja — Wed, 22 Jan 2025 14:02:57 -0500

It isn’t a bad idea to follow billionaires’ investment strategies. While one must not blindly do what they do, keeping an eye on their investment moves could help generate significant returns. They have spent a lot of time researching and identifying the right stock picks. It might not always be a hit, but billionaires have a history of picking stocks that can beat the market. As we embark on a new year, it is time to look at the stocks that billionaires are loving right now. But before you jump in, do remember to perform your due diligence.

Key Points About This Article:

Following billionaire investors might not always make you a billionaire but it is a valuable strategy that can help generate significant returns.
Here are three stocks billionaires are buying, do your due diligence and watch out for risks.
These three stocks are industry leaders with high growth potential.
Discover more stocks with immense potential in the free copy of the “The Next NVIDIA” report.

Occidental Petroleum

Billionaire Warren Buffet and his team increased their stake in Occidental Petroleum Corp. (NYSE: OXY). The oil and gas company is one of the world’s largest and Buffet owns 28% share in it. Buffet purchased 8.9 million shares for $405 million. Exchanging hands for $50, the stock is down 17% in the past six months and is a strong buy. It is moving closer to the 52-week low of $45 and the pullback is a chance to load up on this oil and gas stock.

The oil demand is never going to diminish and the pullback is due to the decline in the price of crude oil. However, there are several catalysts that could boost the company’s stock price in the long run. When oil prices were soaring and hit $90 per barrel, Occidental Petroleum reported strong numbers and saw the stock price rise. However, as the price is dropping, the stock has seen a pullback. I think Occidental Petroleum is much more than the temporary volatility in crude oil prices.

The company has assets that will continue generating free cash flow in the years to come. Additionally, it is investing in a carbon capture and storage platform which could be the world’s largest in the Permian Basin. It has also closed the acquisition of CrownRock which will help improve its operations in the Permian Basin and the management expects to generate $1 billion in annual cash flow through this deal when crude oil prices hit $70. While oil stocks aren’t for the risk-averse, looking at Occidental Petroleum beyond the volatility can set you up for gains. It is also a dividend paying stock, making it attractive for passive income investors.

Broadcom

Billionaire Philippe Laffont has purchased 1,488,666 shares of networking solutions specialist Broadcom (NASDAQ: AVGO). A leader in networking solutions, Broadcom could benefit from the growing demand for its custom AI chips. Trading at $240, the stock is inching closer to the 52-week high of $251. It has recently seen a rise in price target from Barclays with an Overweight rating, driven by strong AI demand. Billionaires are looking beyond Nvidia (NASDAQ:NVDA) when it comes to AI and Broadcom is anticipating a revenue in the range of $60 billion to $90 billion in the next two years.

While it does compete with some of the biggest AI giants, Broadcom’s numbers are strong. In the fourth quarter of 2024, the company saw a revenue of $14.1 billion which is a 51% year-over-year jump and the management has an optimistic outlook for the year. The growth stock surged 96% in the past year and there is no stopping this momentum. Growing demand for custom AI chips will work as a growth driver throughout 2025.

Its networking solutions have also seen a rise in demand and Broadcom already has the infrastructure necessary to meet the client demands. The company is in a strong position to enjoy a rally in 2025. The stock more than doubled in 2024 but there is a lot more to come.

FedEx Corporation

Billionaire Bill Gates has been increasing his stake in FedEx Corp. (NYSE: FDX) which is over 0.6% of his total portfolio. The billionaire has more than 1 million shares in the package-delivery company. Exchanging hands for $275, FDX stock has remained flat since the start of 2025. It is moving in the range of $270 to $277. The company saw a drop in revenue in the first quarter, which saw a revenue guidance cut for 2025 and this impacted the shares.

When it comes to the shipping and logistics industry, it is hard to imagine a world without FedEx. The company is integral for a steady delivery network and it has already built a stronghold in the industry. The company is working on streamlining operations and reducing costs to enjoy a market edge. For Q2 2025, FedEx reported an adjusted EPS of $4.05, beating analyst expectations and the revenue came in at $22 billion, missing estimates.

The management expects stagnant year-over-year revenue for 2025 and has adjusted the EPS outlook downward. It may face headwinds in the coming months but is aimed at focusing on cost savings and improvement in technological investments. The management has also announced plans to spin off FedEx Freight into a separate entity. Investors should watch out for this stock but do not expect it to soar overnight. A pullback could be your chance to load up on FedEx stock.

The post Famous Billionaires Keep Loading up on These Stocks, Is it Time to Buy? appeared first on 24/7 Wall St..

Why AAOI Stock Is Skyrocketing Today

Marc Guberti — Wed, 22 Jan 2025 13:59:55 -0500

Applied Optoelectronics (NASDAQ:AAOI) has surged by more than 9% today. Shares still remain down year-to-date but have almost doubled over the past year. President Trump’s Stargate Project announcement has lifted many stocks that are poised to benefit from artificial intelligence.

As a leading provider in the fiber-optic networking sector, it stands to benefit from data center investments.

Key Points

Applied Optoelectronics shares are up by more than 9% upon President Trump’s AI announcement.
The fiber-optic networking provider stands to benefit from the increase in data centers.
A high valuation and low financial growth rates warrant a caution stance on this stock.
If you’re looking for some stocks with huge potential, make sure to grab a free copy of our brand-new “The Next NVIDIA” report. It features a software stock we’re confident has 10X potential.

What happened?

President Trump’s recently announced $500 billion AI infrastructure investment is a rising tide that’s lifting all boats. Most stocks that can benefit from AI’s growth are up today. AAOI stock is no exception to the rule.

The $500 billion investment will increase the number of data centers, and each of those data centers will need fiber-optic networking. This foundation allows data centers to handle higher bandwidth, which helps with data storage. Fiber-optic networking also makes it easier for data centers to scale how much data they can manage.

So what?

Many corporations stand to benefit from increased AI investments, including fiber-optic networking providers like Applied Optoelectronics. It’s a case of a rising tide lifting all ships, but not all ships are worthy of the lift.

Applied Optoelectronics hasn’t posted impressive financials in recent quarters. The company’s revenue growth rate has been in the low-single-digits, and it continues to burn through money. The company generated $65.2 million in Q3 FY24, which was a small 4% year-over-year increase. Net losses almost doubled year-over-year, going from $9.0 million in Q3 FY23 to $17.8 million in Q3 FY24.

AAOI stock has a $1.57 billion market cap while only generating approximately $149.1 million in the first three quarters of fiscal 2024. Even if the company reaches the high end of its guidance and delivers $104 million in Q4 FY24, that’s only $253.1 million in revenue against a $1.57 billion market cap.

Applied Optoelectronics stock’s valuation leaves much to be desired. While Q4’s revenue projection presents solid growth, the overall trend has been low financial growth rates for AAOI. Even with the meaningful jump in revenue guidance, the company is still projected to lose money in the quarter.

While AI stocks enjoy a great catalyst, AAOI may end up underperforming the stock market.

The post Why AAOI Stock Is Skyrocketing Today appeared first on 24/7 Wall St..

Trump rolls back effort to lower Medicare, Medicaid drug costs

Jessica Hall — Wed, 22 Jan 2025 13:55:00 -0500

Trump’s executive order halts an effort to cap the copayment for generic medications at $2 for Medicare beneficiaries.

One reason why renting is better than buying — for now

Aarthi Swaminathan — Wed, 22 Jan 2025 13:38:00 -0500

Tenants’ wages have gone up faster than rents, which has boosted affordability.

Don’t let retirement kill your marriage

Jessica Hall — Wed, 22 Jan 2025 13:35:00 -0500

Does “til death do us part” mean togetherness all day, every day?

Divvy Homes, Once Valued at $2 Billion, Is in Talks to be Sold for Parts

Matthew Goldstein — Wed, 22 Jan 2025 13:34:39 -0500

The company, backed by high-flying Silicon Valley investors like Andreessen Horowitz, had promised it would reinvent the rent-to-own model and make it more consumer friendly. High interest rates and mortgage rates thwarted those plans.

LNG exporter Venture Global slashes IPO price range despite President Trump’s pro-energy push

Ciara Linnane — Wed, 22 Jan 2025 13:29:00 -0500

Venture Global is now seeking a more reasonable valuation of about $65 billion, versus earlier plans for about $110 billion.

10-year Treasury yield rises from 2025 closing low, with focus on Trump tariffs

Vivien Lou Chen — Wed, 22 Jan 2025 13:28:00 -0500

Treasury yields moved higher as of Wednesday afternoon, with the 10-year rate bouncing off a 2025 closing low reached during the prior session and traders continuing to weigh the prospect of tariffs under the second Trump administration.

My Six Figure Social Security Mistake Ended Up Substantially Cutting Our Benefits

Austin Smith — Wed, 22 Jan 2025 13:26:12 -0500

This post may contain links from our sponsors and affiliates, and Flywheel Publishing may receive
compensation for actions taken through them.

24/7 Wall St. Key Points:

Significant capital gains, such those from selling a house, can momentarily raise Social Security and Medicare deductions and reduce your benefits for a single year.
Social Security payouts are not affected by passive income from sources including bonds, CDs, and dividends, which emphasizes its value in retirement preparation.
Ideally starting in your late 40s or early 50s, building a dividend-paying portfolio moves from high-growth investments to steady, income-generating blue-chip businesses.
Even six figure mistakes don’t mean missing retirement. See if you’re ahead, or behind on your retirement plans in as little as 3 minutes. Click here to take a brief quiz and learn more.

Watch the Video

https://videos.247wallst.com/247wallst.com/2025/01/My-Six-Figure-Social-Security-Mistake-Ended-Up-Substantially-Cutting-Our-Benefits.mp4

Transcript:

[00:00:04] Douglas McIntyre: So Lee, something people don’t understand when they take, social security is that there are different kinds of income that can be charged against that.

[00:00:15] Douglas McIntyre: And you told me recently about your situation. So can you explain that to us?

[00:00:22] Lee Jackson: Sure. And quickly for our viewers, remember, once you are taking social security and of your passive income, and that’s income from stocks or bonds or CDs or money market, that’s fine. You can earn a zillion dollars and that won’t affect your distribution. Now, what will affect it is A, if you have job income that’s higher than a certain level, and that, that always depends on your age and when you took it, or B, if you have.

[00:00:51] Lee Jackson: Big capital gains, which is what happened to me a few years ago. I had a place in Hawaii for over 20 years. I had three of them and I kept selling one and moving up and then selling and moving up again. Well, when we finally sold the last one, like three years ago, there was a tremendous profit. Let’s just call it a Big six figure profit and I was like, hey, that’s great.

[00:01:15] Lee Jackson: And I ended up paying I ended up paying six figures in income tax to the government But what I didn’t realize is that huge capital gain went on my regular tax form and When, when that, so I filed it, you know, like in April. And so when that year ended and the next year started, I saw that my deductions on social security had all been raised, all of them.

[00:01:43] Lee Jackson: And my, my payment got cut from about 2, 200 to like 1, 650. And when I called the social security office, they were like, well, you know, you had a huge gain. And I said, that was a one time only gain. Doesn’t matter if that happens, they will what they do is there’s there is on on social security part a that’s paid for part B. You know, there’s a small deduction part C or prescription. There’s a deduction and on Medicare Advantage, which is usually a party. There’s a deduction for that. Well, fortunately. This year, all of those deductions came back down because I didn’t sell an expensive house. So for our viewers, remember, if you’re thinking of downsizing and you’ve been in your home for 20 or 30 years and you have huge, massive capital gains, they’re going to hit you on the deduction side.

[00:02:35] Douglas McIntyre: But it’s a year. No, this wasn’t just so people know this was not something that just kept carrying over infinitely.

[00:02:42] Lee Jackson: No, no, I mean, they just applied that huge capital gain one year, you know, there was a whole year where I got, you know, substantially, you know, less payout and my payouts lower anyway, because I did, I took Social Security when I was 62, because I was running for 24 7, but I could, I could cap that amount of income so I didn’t get penalized. So, You know, if you’re, if you’re going to, especially for folks that are, you know, moving out of the Midwest and want to go to the South and get out of the cold and things of that nature, be very careful when you sell your home, because if you’re getting Social Security, they’ll hit you

[00:03:19] Douglas McIntyre: Now, how does passive income work? There’s another side to this. What is, how is passive income treated?

[00:03:27] Lee Jackson: Passive income again, which is stocks, bonds, CDs if you got an annuity that pays anything like that is passive income that is not counted against your your social security distribution regardless of what age you take it at that is not counted But what is counted is capital gains, so you got to keep a close eye on those But that’s where passive income is important that start generating a portfolio that can generate it because no matter even if you wait till the very end to take your social security ain’t going to be enough to live on

[00:04:03] Douglas McIntyre: No. So I know that there’s no exact answer to this, but if you, if you want to tee yourself up for passive income, when would you start to look at that? When you were 18 or when you’re 50? For our viewers, what’s, is there a balance there? You just say, no, you know,

[00:04:22] Lee Jackson: Well,

[00:04:23] Douglas McIntyre: do an ad hoc.

[00:04:23] Lee Jackson: question. I mean, when you’re in your thirties and your forties, I mean, you’re not worried about building up a dividend passive income portfolio, but as you start to get into your late forties and early fifties. Then it’s time to start shifting some of that risk away from red hot AI stocks or something of that nature to you can still for a growth and income perspective, but we write about this constantly on 24 7 to buy quality blue chip stocks That pay dividends because they’re the chances of them ever going out of business are very slim and you could start piling up that that income in your 401k or in your self directed ira or in your roth And then you’ll be good to go.

The post My Six Figure Social Security Mistake Ended Up Substantially Cutting Our Benefits appeared first on 24/7 Wall St..

Elon Musk’s Net Worth Drops $5 Billion, But It Doesn’t Matter Because He Owns Outer Space Now

Austin Smith — Wed, 22 Jan 2025 13:24:28 -0500

This post may contain links from our sponsors and affiliates, and Flywheel Publishing may receive
compensation for actions taken through them.

24/7 Wall St. Key Points:

The decline in Elon’s net worth is related to Tesla’s (NASDAQ: TSLA) share decline, likely related to profit-taking and early 2025 rebalancing.
Musk’s riches are enhanced by SpaceX, with a private valuation: ~$130 billion, and other projects including X.AI and Neuralink
Musk’s near-monopoly on rocket launches helps him to be dominant in the private space sector, therefore enabling him to profit from notable market and government demand.
You don’t need Musk’s billions to retire rich though. See if you’re ahead, or behind on your retirement plans in as little as 3 minutes. Click here to take a brief quiz and learn more.

Watch the Video

https://videos.247wallst.com/247wallst.com/2025/01/Elon-Musks-Net-Worth-Drops-5-Billion-But-It-Doesnt-Matter-Because-He-Owns-Outer-Space-Now.mp4

Transcript:

[00:00:04] Douglas McIntyre: so everybody’s best friend, Elon Musk’s net worth dropped 5 billion last week. but for him, It’s a, it’s a rounding error. So if you look at Tesla, which is most of the reason for this, what have you seen in the last two or three weeks with Tesla that would tend to make the stock slide some?

[00:00:36] Lee Jackson: I think the biggest thing is, is as we got out of, the old trading year 2024, I think a lot of people as in the market sold off to start the new year. A lot of people were like, well, I got to take some chips off the table. And I think that could have been a big reason. For the decline because after the, the post bounce for the stock was huge. I mean, it was like a full year’s move and, you know, eight weeks. So I think that could have been part of it.

[00:01:08] Douglas McIntyre: Well, it’s not like he’s been digging that bad. I’m looking at the Bloomberg billionaire index. So he’s down to 439 billion. Sorry. The number two person is Jeff Bezos at 240 billion. So even with the drop of 5 billion that Mr. Musk had, he’s still 200 billion ahead of, of the next person. So part of,

[00:01:37] Lee Jackson: I don’t, I don’t think. I don’t think Bezos is going to catch up anytime soon, and like I think you pointed out in the past, his other investments that are not publicly traded stocks continue to go up as well.

[00:01:51] Douglas McIntyre: Well, so you know, you’ve got Tesla with a market cap of about 1.4 trillion dollars. He also owns a quarter or more depending on how you make the calculation of SpaceX. SpaceX did around, I think employees selling out to, you know, to make some money on their, their equity because it’s not publicly traded. So at 130 billion, you figure if he owns, 40 percent of that.

[00:02:24] Douglas McIntyre: He’s got some shares and non voting shares, but still, you know, then he owns one of the big privately held AI companies, XAI, he’s got about half of that,

[00:02:37] Lee Jackson: Right?

[00:02:38] Douglas McIntyre: that did around recently. I think it was at 30 billion. Now open AI, which is competitor did around it over. A hundred billion and they’re, you know, there are four or five of these privately held AI companies and they just keep doing Rounds because their bankers are saying it’s going to be an up round.

[00:02:59] Douglas McIntyre: It’s going to be an up round. So, so he’s got that. And then he’s got Neuralink and you know, he’s got a few other things, but, but ultimately,

[00:03:10] Lee Jackson: want them to do rounds, and they better not do them too far because what happens is, if they ever decide to take it public, they’re And they can’t get the valuation they want because they, it’s too expensive. The private equity guys, you know,

[00:03:23] Douglas McIntyre: but as we watch his net worth going into next year, most of the movements are going to be determined by Tesla, unless we see a massive up round in one of these things, which, which look, if you said to me 10 years ago, that the entire rocket business, rocket to space business would be controlled by one company, let alone one company founded by Elon Musk.

[00:03:46] Douglas McIntyre: If you said that to me, I’d say, I’ll, I’ll take you a thousand to one on that. But guess what? He owns outer space now, period. There are virtually no other people who can send up rockets. Those, those poor astronauts, NASA sent up who are stuck in that space station. He’s the only person who can rescue you.

[00:04:09] Douglas McIntyre: He’s the only person who can put a satellite in space for you. So I can see his net net worth rising because of, of another round in SpaceX

[00:04:19] Lee Jackson: I’m sure go over 500 at some point. And the thing that’s so remarkable is if you had said that to me 10 or 12 years ago, I would have said, you mean the PayPal (NASDAQ: PYPL) guy, that guy, he’s going to control space. And sure enough, there he is.

[00:04:35] Douglas McIntyre: and a control memory,

The post Elon Musk’s Net Worth Drops $5 Billion, But It Doesn’t Matter Because He Owns Outer Space Now appeared first on 24/7 Wall St..

As D.E.I. Programs Come Under Attack, Companies Like Costco and Microsoft Forge Ahead

Nell Gallogly — Wed, 22 Jan 2025 13:13:58 -0500

As racial and gender equity programs come under attack, many companies have scaled back. But Costco, Microsoft and others have forged ahead.

Samsung unveils new AI-powered smartphone in fight against Apple

Wed, 22 Jan 2025 13:00:58 -0500

South Korean tech group hopes the S25, powered by Google’s Gemini AI models, will help it steal market share from US rival

US and European stocks hit new record highs

Wed, 22 Jan 2025 12:57:57 -0500

Investors pour money into European equities as fears of Trump threat ease

Why AMD could surprise Wall Street with better-than-expected earnings

Ryan Shrout — Wed, 22 Jan 2025 12:52:00 -0500

AMD is under heavy pressure to defend its stock-market valuation.

Microsoft and OpenAI spar with Elon Musk over $500bn Stargate project

Wed, 22 Jan 2025 12:49:59 -0500

Tesla boss in rare break with Donald Trump over AI initiative, saying ‘they don’t actually have the money’

Oracle Trades Higher on Big AI Initiative

Marc Guberti — Wed, 22 Jan 2025 12:44:43 -0500

Oracle (NYSE:ORCL) has rallied by more than 7% upon President Trump’s recently announced $500 billion AI infrastructure investment. The news has caused many AI stocks, like Oracle, to outpace the S&P 500 today. Thanks to this move, Oracle shares are now up by 11% year-to-date.

Oracle CEO Larry Ellison was with Trump when he made the announcement. Oracle’s CEO referred to it as a “very exciting program.”

Key Points

Oracle has rallied by more than 7% upon Trump’s announcement of a $500 billion AI infrastructure investment.
The initiative aims to keep AI in the United States and allow the country to compete with China.
Oracle is poised to accelerate revenue growth due to the AI boom and the $500 billion investment.
4 million Americans are set to retire this year. If you want to join them, click here now to see if you’re behind, or ahead. It only takes a minute. (Sponsor)

What happened?

Many AI stocks leaped higher after Trump’s announcement, but Oracle’s gains have outpaced most of its competitors. That’s because Oracle is one of the three leading companies in the $500 billion joint venture. SoftBank and OpenAI are the other two companies that are a part of the joint venture.

Shortly before announcing the $500 billion AI infrastructure investment, President Trump revoked Biden’s executive order on AI risk. Deregulation will make it easier for companies to invest in AI and release innovative products into the marketplace.

These recent moves can also suggest further AI investments in the future. President Trump wants to compete with China on artificial intelligence. Many corporations are pouring billions of dollars into AI, so it’s possible that the United States will follow suit and further increase its AI investments in the future.

Now what?

Artificial intelligence tailwinds are still strong and can continue to lift stocks higher. President Trump’s AI infrastructure investment and Oracle’s role in the project position it to perform well. Oracle is currently rated as a moderate buy with an average price target of $192.20/share, implying a 4% upside. The highest price target of $220 per share suggests a potential 19% gain.

Oracle has been delivering high-single-digit revenue while expanding its profit margins. The company’s cloud segment delivered 24% year-over-year revenue growth and stands to benefit the most from artificial intelligence. Corporate and government investments into AI suggest that Oracle’s revenue can accelerate in subsequent quarters.

The post Oracle Trades Higher on Big AI Initiative appeared first on 24/7 Wall St..

‘I don’t care about Greenland’: How will President Trump 2.0 impact workers like me? I’m 54 and make $150,000.

Quentin Fottrell — Wed, 22 Jan 2025 12:44:00 -0500

“I’m more worried about my financial future.”

Is this marriage for love — or money? ‘I always recommend a prenup.’

Morey Stettner — Wed, 22 Jan 2025 12:33:00 -0500

Should you remarry despite red flags? Don’t expect your financial adviser to stop you.

3 AI Chip Stocks to Buy Hand Over Fist in 2025

Chris MacDonald — Wed, 22 Jan 2025 12:26:24 -0500

The artificial intelligence revolution has brought plenty of attention to specific tech stocks servicing the ultra-high expected growth the AI sector should provide for a long time to come. With many touting the AI revolution as the next great economic shift, there’s no doubt that certain chip stocks are going to benefit more than others from these trends.

This list of the top chip stocks to buy this year center around this pivotal catalyst. Accordingly, some may already have a pretty good idea of the sorts of stocks that will be included on this list.

The overall semiconductor sector is poised to continue growing at breakneck speed in 2025 and for years to come. For investors looking to capitalize on these trends, here are the three chip stocks I’m watching most closely right now.

Key Points About This Article:

Investors are increasingly looking for top chip stocks to buy to play various secular growth trends, such as AI.
Here are three of the top options in my book, with specific AI-related tailwinds right now.
If you’re looking for some stocks with huge potential, make sure to grab a free copy of our brand-new “The Next NVIDIA” report. It features a software stock we’re confident has 10X potential.

Nvidia (NVDA)

Nvidia sign at the company’s office building

Nvidia (NASDAQ:NVDA) is perhaps the most obvious pick to include on this list.

The leading high-performance chip maker dominates the GPU manufacturing space and the AI compute market, fueling some rather incredible growth over the past few years. This growth is widely expected to continue into 2025, with the company planning to scale production of its advanced Blackwell architecture to meet rising AI-driven data center demands. Despite slower growth than prior years, analysts project 51% revenue growth for fiscal 2026, making Nvidia’s valuation attractive for long-term investment.

The AI chip company leveraged its CUDA software and AI developer tools to build a strong competitive moat. Its GPUs, critical for AI model development, are in high demand, with Microsoft as a major customer. With increased AI data center spending projected for 2025, Nvidia is positioned for further growth. Trading at a forward price-earnings multiple of 31 and a PEG ratio of less than 1, there’s an argument to be made that Nvidia is relatively cheap. That’s incredible, given the fact that this is still a stock that’s trading at roughly 30-times sales.

Major tech companies are heavily investing in AI infrastructure, channeling significant funds to Nvidia, the industry leader in GPUs and CUDA software. With AI hyperscalers increasing spending in 2025, Nvidia is poised for profit, as analysts project 52% revenue growth for fiscal 2026. The company’s next-gen Blackwell chips, reportedly four times faster than Hopper for AI training, are expected to drive strong demand from top tech players.

Taiwan Semiconductor (TSM)

A TSMC office building

Nvidia’s GPUs rely on chips fabricated by Taiwan Semiconductor (NYSE:TSM), which also produces chips for other competitors. This positions Taiwan Semi as a neutral, key player in the AI boom. In 2024, AI-driven revenue for TSMC tripled, representing a mid-teens percentage of total sales. With its upcoming 2-nanometer chips offering superior efficiency, there’s a lot to like about this particular chip stock.

That goes double for investors who consider that TSM stock currently trades hands at just 23-times forward earnings. That’s below the S&P 500 average, and at a level I’d suggest represents value. Taiwan Semi expects 2024 revenue growth of nearly 30% and AI server chip sales to triple, boosting margins and profitability. With a strong global expansion plan and projected 31% annual earnings growth, its valuation suggests potential for substantial long-term returns.

Taiwan Semiconductor posted 39% year-over-year revenue growth in Q3, with Q4 revenue indicating similar strength. Wall Street projects 26% growth in 2025, supported by robust business performance. As a leader in its sector, the company appears well-positioned for significant upside in 2025.

Personally, I’ll be eyeing some potential drawdowns over the course of this year as buying opportunities to build a position.

Qualcomm (QCOM)

Qualcomm (NASDAQ:QCOM) reported strong fiscal Q4 2024 results with $10.24 billion in revenue, up 18%, and net income rising 33% to $3.5 billion. The company holds a 31% share in the smartphone application processor market, and is set to benefit from the generative AI smartphone market projected to grow 78% annually through 2028. Over the past year, its stock gained nearly 12%.

Qualcomm, facing setbacks like losing a key Chinese client and Apple’s move to in-house chipsets, pivoted to diversify into IoT, automotive, and PC chips, with a focus on AI through its Snapdragon 8 Gen 3 chipset. This shift helped fiscal 2024 revenue grow 9% year-over-year to $39 billion, signaling recovery after a 5G upgrade cycle slowdown in 2023.

Moreover, Qualcomm’s automotive segment, contributing 9% of fiscal 2024 revenue, grew 55% year-over-year, signaling strong transformation potential. Despite analysts projecting flat 9% growth for fiscal 2025 and the stock trading 30% below last June’s highs, its price-earnings ratio of 18-times suggests this stock may be oversold. AI advancements and diversified product offerings could reignite growth and boost investor returns.

The post 3 AI Chip Stocks to Buy Hand Over Fist in 2025 appeared first on 24/7 Wall St..

Beyond Big Tech: 20 stocks to ride the AI trend

Philip van Doorn — Wed, 22 Jan 2025 12:26:00 -0500

Vanguard’s chief economist suggested investors increase stock-market exposure to ride expected improvements from artificial intelligence but cautioned that technology stocks are “very highly valued.”

Stellantis Will Restart Illinois Factory That U.A.W. Pushed to Revive

Neal E. Boudette — Wed, 22 Jan 2025 12:24:58 -0500

The United Automobile Workers union has been pressing the automaker, which owns Chrysler and Jeep, to revive the plant in Belvidere, Ill.

3 AI Infrastructure Stocks Soaring Today

Rich Duprey — Wed, 22 Jan 2025 12:18:33 -0500

Artificial intelligence stocks are jumping in morning trading after President Trump announced a $500 billion AI infrastructure plan yesterday. Coherent (NASDAQ:COHR), Credo Technologies (NASDAQ:CRDO), and Lumentum Holdings (NASDAQ:LITE) were all up 3% or more on the news.

The project is a joint venture between Oracle (NYSE:ORCL), OpenAI, and Japan’s SoftBank (OTC:SOBKY). Called Stargate, the purpose is to build “the physical and virtual infrastructure to power the next generation of AI,” including data centers around the country.

The first 1-million-square foot data center is already under construction in Texas. There are plans to build more in other states in the future.

24/7 Wall St. Insights:

President Trump’s announcement of a $500 billion AI infrastructure joint venture had AI stocks of all stripes rising.
Oracle (ORCL), OpenAI, and SoftBank (SOBKY) are forming Stargate to keep U.S. investments in AI ahead of China.
Coherent (COHR), Credo Technologies (CRDO), and Lumentum Holdings (LITE) were all jumping in midday trading on the news.
If you’re looking for some stocks with huge potential, make sure to grab a free copy of our brand-new “The Next NVIDIA” report. It features a software stock we’re confident has 10X potential.

What happened?

Trump introduced Stargate where the partners plan to invest $100 billion in the project with as much as $500 billion contributed over time. It is expected to create 100,000 jobs.

Although Coherent, Credo, and Lumentum were not mentioned as participants in the project, AI stocks generally rose in response to the announcements as enthusiasm for private sector investment in AI were bolstered. There could be a trickle-down effect to other infrastructure suppliers.

What it means for the stocks?

Coherent is a maker of transceivers used by data centers to connect the AI and machine learning servers to the network. Credo is an AI governance company that helps enterprises streamline AI adoption by implementing and automating AI oversight, AI risk management, and compliance. Lumentum is a leading provider of optical and photonic products used in data center connectivity.

While there is the potential to derive some benefit if their products are selected for use by Stargate, competition in their respective markets is intense and other bigger, better financed suppliers could be chosen. Being able to provide innovative product at scale will be key determining factor in winning contracts.

The trio of stocks are rising more on speculation than anything grounded in their individual potential. Exact details surrounding the project are still unclear as the plans and the vision for what Stargate seeks to achieve have yet to be announced.

Key takeaway

Not everyone is sold on the project, notably Elon Musk. In a series of dismissive posts on X, Musk said despite claims that SoftBank is bankrolling the venture, “they don’t actually have the money,” pointing out, “SoftBank has well under $10B secured. I have that on good authority.”

It is certainly an ambitious plan, and SoftBank CEO Masayoshi Son committed last month to investing $100 billion in the U.S. But investors shouldn’t put the cart before the horse.

Coherent, Credo Technologies, and Lumentum Holdings are rising on hope, not facts. As a result, expect their stocks to not hold onto the gains very long until more concrete news comes out.

The post 3 AI Infrastructure Stocks Soaring Today appeared first on 24/7 Wall St..

Travelers withstands higher catastrophe losses as underwriting fuels earnings beat

Ciara Linnane — Wed, 22 Jan 2025 12:15:00 -0500

Travelers Cos. executives confirm the Los Angeles wildfires will have a material impact on the insurer’s first-quarter earnings but say it’s too soon to specify the costs.

Trump may not like wind power, but Stargate AI plan is a boon for GE Vernova

Tomi Kilgore — Wed, 22 Jan 2025 12:09:00 -0500

GE Vernova’s stock was rallying toward a sixth straight record close Wednesday as optimism over how the power business will benefit from President Trump’s AI plan overshadowed weakness in wind.

BlackRock’s Larry Fink says bitcoin could reach $700,000 if this happens

Frances Yue — Wed, 22 Jan 2025 12:07:00 -0500

Fink was once skeptical of digital assets, but is now a “big believer” in bitcoin as an instrument.

Trump backs SALT repeal, says top New York Republican. Taxpayers in these states could benefit.

Chris Matthews — Wed, 22 Jan 2025 11:55:00 -0500

A New York Republican says that President Trump supports reverting to an unlimited deduction for state and local taxes, though the president also recognizes that a SALT cap may be necessary to keep budget deficits under control.

Johnson & Johnson clears a few hurdles, but Wall Street focuses on weak guidance

Ciara Linnane — Wed, 22 Jan 2025 11:45:00 -0500

Johnson & Johnson’s stock dropped more than 3% Wednesday after the medical-technology and drug company beat estimates for the fourth quarter but as lower sales guidance for the year stoked fears of tougher times ahead.

Trump pardons founder of Silk Road drugs website

Wed, 22 Jan 2025 11:40:57 -0500

US president says Ross Ulbricht was victim of ‘weaponisation of government’

Saba loses battle against Herald board in first blow to UK campaign

Wed, 22 Jan 2025 11:38:23 -0500

Hedge fund’s action against closed-ended fund was one of seven it carried out

Americans buy $900 billion in goods from Mexico and Canada. Tariffs could affect these prices the most.

Jeffry Bartash — Wed, 22 Jan 2025 11:33:00 -0500

Americans buy $900 billion a year in food, cars, TVs, toys, appliances and other goods from Mexico and Canada. The cost of these products could rise if President Trump carries out his threat to apply 25% tariffs.

Top Ideas 2025: SNOW, GTLB and SMCI Have Phenomenal Upside Potential

Chris MacDonald — Wed, 22 Jan 2025 11:26:13 -0500

Investors faced a unique dynamic in 2024, with a range of catalysts dominating the mind share of most investors. From surging AI interest to the U.S. election and still-high interest rates, various growth stocks were sent on a rather volatile ride, though many did end the year markedly higher than where they started out. Of course, most growth investors hope that this will be the case for 2025, but no one really has a crystal ball and can tell for sure.

That said, not all growth stocks followed the market higher last year. The three companies I’ve got on my list are actually down over the course of the past year, and are top tickers many investors remain bearish on for one reason or another.

However, these three companies are ones I think could have among the most impressive upside potential this year, if a variety of catalysts take hold. Each company has their own unique catalysts I think could take them higher over the next 12 months.

So, without further ado, let’s dive into what makes these three growth stocks ones with phenomenal upside potential in 2025.

Key Points About This Article:

The market for growth stocks has improved, though some companies have performed better than others in recent years.
Here are three relative underperformers from 2024 I think could have a big 2025 ahead.
If you’re looking for some stocks with huge potential, make sure to grab a free copy of our brand-new “The Next NVIDIA” report. It features a software stock we’re confident has 10X potential.

Snowflake (SNOW)

Visual of a snowflake on a dark background

Snowflake (NYSE:SNOW) is a top data cloud platform provider, with its core business model seeing continued interest from investors looking to ride robust growth trends in the AI and LLM space. The company’s new services and AI offerings have provided strong operating margin growth, though this remains a top growth stock that trades at a valuation some investors have balked at.

Now, Snowflake has been on my watch list for a long time, in part due to the fact that Warren Buffett and his team have previously invested in the cloud computing giant. I think the company’s AI-centric products could certainly see strong growth, with the company’s fiscal Q3 2025 results in November painting a solid picture. The company’s revenue grew 28% year-over-year to $942 million, and the company increased its forward guidance on these results. That led to a sharp uptick higher, though it’s been more of a grind for the cloud giant of late.

If momentum in the AI sector can continue to bleed over into companies servicing this space, I think Snowflake and other related companies could see a solid 2025. We’ll have to see how the narrative shifts over the course of the next year. But for now, this is a stock I’m optimistic on as a potential winner in what could be a big year for cloud giants ahead.

GitLab (GLTB)

Gitlab founders

GitLab’s (NASDAQ:GTLB) platform supports developers with coding and security solutions, integrating its AI platform, GitLab Duo, with Amazon Q, an agentic AI chatbot. During its Q3 earnings call, management emphasized agentic AI as the foundation of GitLab Duo’s workflow. This collaboration parallels Microsoft’s CoPilot success, which leverages GitHub, GitLab’s key competitor acquired by Microsoft for $7 billion in 2018.

GitLab has continued to focus on enhancing its portfolio with AI tools like Duo Pro and Duo Enterprise. These products help GitLab’s clientele boost developer productivity through advanced code generation and assistance. In Q3 fiscal 2025, the company also launched Advanced SAST, integrating Oxeye technology for better vulnerability detection in first-party code. Additionally, GitLab has expanded in the public sector, securing contracts with agencies like the U.S. General Services Administration for compliant DevSecOps solutions.

GitLab’s leadership in the DevSecOps space and expanding client base fueled its growth outlook. For Q4 fiscal 2025, the company has projected revenue of $205–$206 million (up 25% to 26% year-over-year), with non-GAAP EPS expected to come in the range of $0.22 to $0.23. Full-year fiscal 2025 revenue is estimated to be $753–$754 million (a 30% increase), with non-GAAP EPS of $0.63–$0.64.

Super Micro Computer (SMCI)

A woman overlooking a server farm

Super Micro Computer (NASDAQ:SMCI) saw a volatile 2024, soaring over 300% early in the year before facing accounting fraud allegations. An independent audit later cleared the company, renewing its appeal as a potential investment.

SMCI, known for making server components and fully assembled servers, specializes in energy-efficient liquid-cooled racks ideal for GPU-intensive data centers. Despite pending SEC filings due to a new accounting firm, the stock remains undervalued with a forward price-earnings ratio of 11.7-times. With sustained demand for computing power, Super Micro has strong potential for significant gains in 2025.

SMCI stock surged 15% in November 2024 as the company advanced in AI and data center markets, benefiting from growing demand for high-performance computing. Its focus on innovation and energy-efficient server solutions strengthened its appeal, while sustainability initiatives aligned with investor priorities. Positioned to capitalize on AI-driven growth, Supermicro remains a compelling player in the tech industry.

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5 Stocks That Could Soar Thanks to Project Stargate: Fabrinet (FN), Vertiv (VRT), Celestica (CLS)

Eric Bleeker — Wed, 22 Jan 2025 11:26:07 -0500

One story is driving stocks across the AI space higher today: the announcement of ‘Project Stargate.’

Stargate is a new company backed by Oracle, OpenAI, SoftBank, and MGX that aims to invest $500 billion in AI data centers across the next four years. It will be supported by technology partners like Microsoft (Nasdaq: MSFT) and NVIDIA (Nasdaq: NVDA) as well.

Plenty of details on Stargate on unknown, but it does signal the ambition of AI companies continues to grow. Let’s look at 5 ‘AI infrastructure’ stocks that could see massive benefits from Stargate in the years to come.

Key Points in this Article

We’ve been buying AI infrastructure stocks hand-over-fist in recent months on our AI Investor Podcast. On the podcast, we invest $500,000 in full view. If you want to follow along (it’s free), you can visit our AI Investor hub page with links to your favorite podcast players or click on the Apple Podcast player above.
Project Stargate aims to spend $500 billion in AI data centers across the next four years across the United States. The obvious beneficiaries of this announcement are infrastructure stocks involved in the buildout of data centers.
Stocks to watch include Celestica, Coherent, Fabrinet, Vertiv, and Ciena. We have purchased four of these stocks in our $500,000 AI Portfolio.
If you’re lookign for the full story on AI, you can also grab a free copy of our comprehensive report on the leading stocks in AI. It’s named “The Next NVIDIA” and downloading a copy is complementary, but it’s only available for a limited time!

5 AI Stocks That Could Rally After Stargate

As we noted above, there are still plenty of unknowns around Stargate. For example, we’re not sure how technology partnerships from companies like NVIDIA will work. Also, its unclear how much of Stargate is ‘branding’ on spending that was already going to happen.

Yet, $500 billion across four years is a large number, and it adds to ambitious spending plans from large technology companies.

For example, Amazon is expected to spend $85 billion, Microsoft $84 billion, Google $57 billion, Meta Platforms $48 billion, and Oracle $14 billion on capital expenditures this year mostly focused on AI data centers. Those numbers are before estimates will likely raise thanks to spending on Project Stargate.

This spend will obviously go to buying AI chips from the likes of NVIDIA and Broadcom (Nasdaq: AVGO), but will also benefit things like networking stocks, companies that build the connections between data centers, and companies supplying critical supplies like liquid cooling.

Let’s look at five of the top ideas that could jump thanks to Stargate.

Vertiv

Vertiv (NYSE: VRT) supplies a diversified portfolio of data center products. The company supplies uninterruptible power supplies (UPS), monitoring solutions, switch gears, and many more products focused on data centers. However, the most exciting part of Vertiv’s business is its liquid cooling.

AI chips produce significantly more heat and increasingly can’t be air-cooled. This means liquid cooling is required on cutting-edge chips like NVIDIA’s Blackwell and Broadcom’s custom ASICs. Vertiv has long been a leader in this space and is seeing liquid cooling sales take off as this next generation of AI chips rolls out.

The headline is that liquid cooling will provide much better margins for Vertiv. The company is projected to see sales jump to $9.24 billion in 2025 from an estimated $7.83 billion this year. That might not look like much, but thanks to the better margins in liquid cooling operating profits are projected to jump by 29%.

And after Stargate, those estimates for sales in 2025 are likely too low. We announced a purchase of Vertiv in our $500,000 AI portfolio on October 26th and shares are up 33% since.

Coherent

The massive AI data centers being constructed by Stargate will feature tens or hundreds of thousands of GPUs networked together. Traditional networking gear like switches will get a boost from this, but that’s far from the only market to see a windfall.

Currently, large AI clusters require 2.5 to 3.5 optical transceivers per GPU. This build-out is great news for Coherent (Nasdaq: COHR), which has a full array of optical products that includes a market-leading position in transceivers. In its most recent quarter, Coherent saw 57% of its revenue come from advanced networking technologies and that percentage should continue to grow in 2025.

Shares of Coherent are up 43% since we first announced a buy intention on September 12th.

Fabrinet

Let’s stick with stocks in the optical space. Fabrinet‘s (NYSE: FN) growth in the ‘datacom’ space isn’t quite as red-hot as Coherent. Last quarter Coherent saw 68% growth in its communications business whereas Fabrinet saw 36% growth.

However, Fabrinet has its own strengths that make it a compelling buy. The company has a strong relationship with NVIDIA and should see strong tailwinds from NVIDIA’s Blackwell systems going into full production as the year progresses. Another area of strength for Fabrinet is a portfolio of products connecting data centers together (DCI, or data center interconnect).

Overall, Fabrinet trades at about 30X earnings, which seems reasonable for a stock that could have a massive secular tailwind behind it with the growth of artificial intelligence. In addition, the company has a pristine balance sheet with close to a billion dollars in cash and little to no debt, which could fund investments as the race for AI supremacy heats up.

Celestica

Last May, I declared Celestica (NYSE: CLS) “The Best AI Stock to Buy in May.” Since that article was published, its stock is up 156%. That’s an impressive run for a stock almost no one has ever heard of!

Celestica is classified as an ODM (original device manufacturer). Essentially, they help design the construction of high-end server racks in data centers. Years ago, Celestica focused its business on the cloud computing segment, and that turned out to be an absolutely brilliant pivot. One particularly lucrative relationship is with Google. As Google dives deeper into systems utilizing Broadcom‘s (Nasdaq: AVGO) TPUs, their relationship further tightens with Celestica.

Unfortunately, we have yet to add shares of Celestica to our $500,000 AI Portfolio. However, it remains a stock firmly on our watchlist that could be added in the near future.

Ciena

Earlier we mentioned how an area of strength for Fabrinet is data center interconnects. Other stocks that could benefit from this trend include Marvell (Nasdaq: MRVL) and Ciena (Nasdaq: CIEN).

Ciena has long been a leader in selling fiber optics to connect data centers together. If you take a look at its stock chart and extend it to the 1990s you’re going to see something wild. The company is still down more than 90% from its Dot-Com peak!

Yet, enthusiasm around Ciena is far more warranted today. While sales to its traditional customers in telecom continue to lag, data center sales are absolutely on fire. In addition, recent breakthroughs in the AI space could put even more tailwinds at Ciena’s back.

While many AI companies have talked recently about massive data centers housing a million or more GPUs networked together, recent breakthroughs around ‘reasoning’ models could push the space more toward smaller data centers with tens of thousands of GPUs networked for inferencing, but in a tight geographic space. These data centers would need a much higher amount of spending to data center interconnects, which would be a massive boost to Ciena.

We announced our intention to add Ciena to our AI portfolio on November 22nd and shares are up 32% since.

Don’t Miss Out: You Can Follow Along Our AI Portfolio for Free

You can read more about my backstory on our page that details ‘How to Follow Our $500,000 AI Portfolio.’ But the long story is this: I’ve been following the AI space for more than 15 years, have hosted webinars viewed by millions of investors, and have several calls on NVIDIA dominating AI dating back to 2009.

If you’re looking for a place to follow the most important news in the AI space, we’re building 24/7 Wall St. to be your number-one source. So if you haven’t yet, check out our AI Investor Podcast. It’s free, and we announce new portfolio buys every episode.

In addition, you can check out our AI Portfolio section on our site to follow all news happening in the space. AI has the potential to be the biggest investing trend ever, and this is your opportunity to follow its development from the ground floor. We hope you’ll join us!

The post 5 Stocks That Could Soar Thanks to Project Stargate: Fabrinet (FN), Vertiv (VRT), Celestica (CLS) appeared first on 24/7 Wall St..

‘My retirement is going to be a disaster’: I’m 59 and have $45,000 in my 401(k). I earn $72,000. Am I doomed?

Quentin Fottrell — Wed, 22 Jan 2025 11:25:00 -0500

“My student loans are burying me.”

Will Trump’s policies lead to a recession? I’m 62 and earn $50,000 a year. How should I invest $100,000?

Quentin Fottrell — Wed, 22 Jan 2025 11:21:00 -0500

“I am considering selling my rental.”

NVIDIA Surges as AI Boom Fuels Frenzied Trading

Rich Duprey — Wed, 22 Jan 2025 11:09:27 -0500

Shares of Nvidia (NASDAQ:NVDA) are jumping over 4% in morning trading after President Trump announced a $500 billion artificial infrastructure plan yesterday.

As a key architect in existing AI infrastructure, from advanced accelerators powering everything the cloud to on-premises data centers, Nvidia is in a prime position to capitalize on the massive spending spree.

What happened?

Trump unveiled Stargate, a joint venture between Oracle (NYSE:ORCL), OpenAI, and Japan’s SoftBank (OTC:SOBKY), to build “the physical and virtual infrastructure to power the next generation of AI,” including data centers around the country. Oracle CEO Larry Ellison said the first 1-million-square foot data center was already being built in Texas.

The JV plans to invest $100 billion in the project with the intention of spending as much as $500 billion in it over time. It is expected to create 100,000 jobs.

What it means for NVDA stock?

Nvidia, of course, is the largest AI chipmaker and is a primary supplier to Oracle. Last year Ellison announced the world’s first zettascale AI supercomputer in the cloud, which would be powered by up to 131,072 advanced Blackwell graphic processing units (GPUs).

Oracle is one of the biggest data center operators in the U.S. OpenAI, which is backed by Microsoft (NASDAQ:MSFT), is a pioneer in generative AI. It published a white paper last week calling for more U.S. investment in the technology to stay ahead of advancements by China. CEO Sam Altman said yesterday, Stargate “will be the most important project of this era.”

SoftBank CEO Masayoshi Son committed last month to investing $100 billion in the U.S., to which Trump tried to get him to commit to making it $200 billion.

Son said Nvidia was a “key technology partner” for Stargate, along with British semiconductor company Arm Holdings (NASDAQ:ARM). It seems clear Nvidia will be a large beneficiary from what Trump called the “largest AI infrastructure project, by far, in history.”

Key takeaway

Exact details surrounding the project are still unclear as the plans and the vision for what Stargate seeks to achieve have yet to be announced. One area that will undoubtedly be targeted is healthcare.

Ellison said at the press conference that AI could analyze blood tests for the early detection of cancer. Nvidia has made clear that healthcare is an important focus for it as AI and high-performance computing (HPC) can help define the future of medicine.

Expect Nvidia’s chips and related technology to be an integral part of whatever Stargate turns into.

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Americans Search for These Handguns More Than Any Other

Marc Guberti — Wed, 22 Jan 2025 11:03:12 -0500

Handgun search interest has been picking up over the past 12 months. More people are looking for the best handguns to defend themselves if necessary. President-Elect Trump’s victory also suggests pro-gun policies will become more common. Trump has also indicated that he may pass a law that allows gun owners with concealed carry permits to travel with their weapons in all 50 states.

The guns included on this page are some of the most searched handguns among Americans. The guns come from reputable brands, and the searchers with the most interest tend to be located in the northwest and southwest of the United States.

Glock G19

The Glock G19 is one of the most searched handguns in America. Google Trends shows steady search volume over the past five years, with Wyoming, Idaho, Washington, Oregon, and Arizona showing the most interest.

Sig Sauer P320

The Sig Sauer P320’s search volume spiked during the pandemic and has gradually dipped until 2021. Searches have remained steady ever since. The gun generates more searches than the Glock G19. Residents in New Hampshire, Montana, Alaska, Wyoming, and Idaho are the most interested in this gun.

CZ 75

The search volume for the Cz 75 has remained steady since 2021, but it did have a slight dip in 2024. The gun gets most of its search interest from Alaska, Idaho, Kansas, Wyoming, and California.

Glock G43

Search volume has been steady for the Glock G43 since 2021, but it started to pick up near the end of the year. Residents from New Hampshire, Montana, South Carolina, Mississippi, and Tennessee are the most interested in this gun.

Sig Sauer P365

The Sig Sauer P365 has volatile search volume, but the number of searches surged near the end of the year. The Sig Sauer P365 currently has more search volume than the Sig Sauer P320. The states most interested in this gun are Idaho, Florida, Arizona, Montana, and New Hampshire.

Colt Python

The Colt Python’s search volume has remained steady since 2021, without much fluctuation. The revolver’s top five states based on search interest are Montana, Wyoming, Alaska, West Virginia, and North Dakota.

Ruger Blackhawk

Search volume for the Ruger Blackhawk picked up momentum near the end of 2024. Montana and Wyoming residents are the most interested in this gun, with Alaska, Idaho, and West Virginia rounding out the top five.

Taurus Judge

The Taurus Judge has consistently maintained more search volume than the Ruger Blackhawk. The states searching for this gun with the most interest include West Virginia, Wyoming, Montana, Mississippi, and Arkansas.

Springfield Armory Echelon

The Springfield Armory Echelon maintained steady search volume until a spike in late November. Nevada, Arkansas, New Mexico, Illinois, and Arizona are the top five states based on search interest.

CZ Shadow 2 Compact

The CZ Shadow 2 Compact has maintained steady search volume over the past year. The top five states with the most search interest are South Dakota, West Virginia, Alaska, New Hampshire, and Hawaii.

Sig Sauer P938

The Sig Sauer P938 has remained a popular gun ever since its introduction at the 2011 SHOT Show. Search volume has remained steady over the past year, with Kentucky, New Hampshire, Wyoming, Idaho, and Alaska leading the way in search interest.

The post Americans Search for These Handguns More Than Any Other appeared first on 24/7 Wall St..

Schwab’s stock lagged rivals such as Robinhood last year. Here’s why it could be a buy now.

Gordon Gottsegen — Wed, 22 Jan 2025 11:00:00 -0500

Revenue growth and industry deregulation are likely welcome tailwinds for the retail brokerage.

‘We are shocked and upset’: My mother died and her second husband said he now owns everything. Is this true?

Quentin Fottrell — Wed, 22 Jan 2025 10:52:00 -0500

“My husband and I tolerated him, but overall we never got close to him.”

For federal workers, Trump’s return-to-office order amounts to an unwelcome pay cut

Venessa Wong — Wed, 22 Jan 2025 10:50:00 -0500

The approaching return to full-time in-person work will cost remote and hybrid workers hundreds, if not thousands, of dollars per year.

This Best-of-Class Pharma Stock Could Soar 72% This Year According to Wall Street Insider

Omor Ibne Ehsan — Wed, 22 Jan 2025 10:49:01 -0500

Eli Lilly (NYSE: LLY) doesn’t really need much of an introduction. It has become a household name due to its obesity and diabetes treatments. LLY stock has delivered exponential returns from 2018 to mid-2024 of around 1,000% in that period. Many analysts thought it would surpass $1 trillion in valuation last year but that didn’t happen as the stock has taken a turn for the worse in the past six months.

24/7 Wall St. Key Points:

Eli Lilly has declined significantly from its peak valuations.
However, many analysts remain bullish and have kept their high price targets.
An analyst thinks it can reach $1,250. If you are looking for even more upside potential, consider grabbing our brand-new “The Next NVIDIA” report.

Eli Lilly is now down 24.4% from its peak because the company revised its Q4 revenue forecast to $13.5 billion compared to the $13.9 billion estimate by analysts. Moreover, full-year 2024 revenue was adjusted down to $45 billion from an earlier projection of $45.4-$46 billion due to slower-than-expected growth in weight loss drugs. However, some analysts think it can make a solid recovery from here. Citigroup’s Geoff Meacham maintains a Buy rating on the stock with a price target of $1,250. This implies roughly 72% from here.

Is Buying the Dip on Eli Lilly a Good Idea?

Analysts are optimistic that things will get better.

Eli Lilly’s financials are still good, but the momentum? Not so much. Weight loss drug sales are no longer performing as well and it could become even more complicated for Eli Lilly. There’s Novo Nordisk (NYSE: NVO) to worry about. Though you could argue that potential tariffs — maybe as some sort of retribution against Denmark for not selling Greenland — could bring more positives to the stock. That said, if overall demand for weight loss drugs decreases, even a lack of competition won’t lead to a boom for Eli Lilly.

Thankfully for Eli Lilly, this doesn’t seem to be the case for now. Sales are still growing and Morgan Stanley expects a 15-fold increase in the weight-loss drugs market by 2030. They expect up to 9% of the U.S. population to take such drugs by 2035.

Moreover, Eli Lilly expects its 2025 revenue to come between $58 billion and $61 billion. At midpoint, this translates to around a 32% increase compared to 2024 ($45 billion expected). The long-term outlook remains solid, so I think buying the dip can be a good idea.

Inside the 2024 Revisions

Troubling, but unlikely to be a key factor in the long run.

Let’s take a closer look at why Eli Lilly cut its 2024 revenue guidance in the first place. The short answer is that weight loss drugs — once the company’s biggest splash — have been running into roadblocks.

The revisions weren’t very drastic, at least in my opinion, but it was enough to shake investor confidence and send shares lower. Still, I don’t think this spells doom and gloom for the company. With so many analysts projecting ambitious price targets, there’s clearly a belief that temporary disruptions in sales can be overcome if demand normalizes and manufacturing capacity catches up. Eli Lilly itself has said that production for its obesity and diabetes treatments will ramp up in the first half of 2025. I believe this could be a catalyst for a rebound in revenue.

Eli Lilly Can Win, Even With Novo Nordisk in the Market

The weight loss market could be huge.

I’ve mentioned Novo Nordisk already, and for good reason. When we talk about obesity and diabetes medications, Novo Nordisk is the other big juggernaut in the ring. It has been aggressively pushing drugs like Wegovy and Ozempic. It’s a good idea to keep an eye on Novo Nordisk if you’re going to be investing in Eli Lilly.

The decline there has been even more pronounced. NVO stock declined 46.4% from its 52-week peak, so buying LLY seems like the best way to play the weight loss drug market so far. Moreover, Eli Lilly’s oral GLP-1 agonist is gathering buzz ahead of its Phase 3 data in Q2 2025. About 25% of adults are afraid of needles in some way, plus I think oral drugs are generally going to be preferred over injections regardless of whether or not you are fearful of injections. Novo Nordisk has its own Oral GLP-1 candidate, but much like with the injections, Eli Lilly has better clinical trial results.

They’re clearly competing here, but I don’t think that makes Eli Lilly a bad investment. Companies in a duopoly environment — like Visa (NYSE: V) and Mastercard (NYSE: MA), for example — can still grow fast and be very profitable. The weight loss market has enough room for both of them.

The Bottom Line

The highest price target here isn’t that out of the ordinary, considering the average price target sits at $1,024. This implies roughly 41.1% upside potential over the next year.

I think Wall Street analysts are betting on the company getting its problems sorted and returning back on trajectory this year. Once that happens, I think it’ll be a much more attractive stock, especially since you’re paying 32 times the projected earnings this year.

The post This Best-of-Class Pharma Stock Could Soar 72% This Year According to Wall Street Insider appeared first on 24/7 Wall St..

This Growth Stock Surged 44% in 2024. Here’s Why 2025 Could Bring An Even Bigger Gain

Chris MacDonald — Wed, 22 Jan 2025 10:45:46 -0500

Shopify (NYSE:SHOP) is an e-commerce giant that’s seen incredible volatility in recent years. This stock is up more than 27% over the course of the past year (and surged 38% in 2024), but still remains around 40% below its pandemic high. Accordingly, this is a stock that some long-term growth investors still aren’t sold on.

From a momentum perspective, this certainly makes sense. However, Shopify’s long-term growth trajectory is impressive, and long-term investors who have owned this stock since its IPO are up roughly 100-fold at current levels.

Given that Shopify is still trading around 40% below its all-time high set in 2021, let’s dive into why 2025 could be another big year for the e-commerce platform provider.

Key Points About This Article:

Shopify continues to be among the top growth stocks long-term investors have benefited from owning over the past decade.
After posting very solid gains in 2024, here’s why 2025 could be another big year for investors in this e-commerce giant.
If you’re looking for some stocks with huge potential, make sure to grab a free copy of our brand-new “The Next NVIDIA” report. It features a software stock we’re confident has 10X potential.

What to Make of 2024

Shopify’s stock price has certainly gone on quite the journey over the past year. Volatile price swings, characterized by significant fluctuations and a robust recovery, culminated in an impressive surge following the company’s third-quarter earnings report. These results came in much better than expected, raising investor expectations for higher growth in the coming quarters, and leading to a significant surge in demand for the company’s shares.

Of course, all companies are valued on a forward basis, as a reflection of the market’s consensus on how much the company will return in terms of cash flows, discounted other the present. However, looking at past results can be beneficial for investors looking to assess the trend, and these results certainly changed the minds of many investors in this stock.

The company brought in $2.16 billion in revenue, marking an impressive 26% increase year-over-year. This performance was particularly notable as it represented the sixth consecutive quarter where revenue growth exceeded 25%, a streak that notably did not include logistics operations.

By early November, Shopify’s stock price had already surged more than 38% year-to-date. Accordingly, despite some recent selling pressure, all indications are that future earnings beats should lead to significant buying activity, if the market believes that this growth trend can continue in the quarters and years to come.

What to Expect from Shopify in 2025?

Moving forward, I do think many of the catalysts and trends we saw play out last year are likely to continue into 2025. Indeed, a number experts agree, with a range of forecasts pointing to solid growth ahead.

Now, the breadth of these forecasts does suggest that some volatility could be on the horizon. And given the company and its respective sector, I wouldn’t be surprised to see some rather sharp swings throughtou the year ahead.

That said, I do think that Shopify’s growth trajectory in the first half of 2025 appears particularly robust. I think this stock could certainly make a similar move to its 2024 push, with growth investors eyeing any sort of reason to take this stock toward its previous all-time high. Of course, various macro catalysts such as lower interest rates and a still strong consumer will need to materialize for this to take place. But assuming the soft landing narrative remains in place, Shopify is one e-commerce giant that could certainly benefit from improved rhetoric over the next year.

Shopify Remains a Growth Stock to Hold

Shopify’s strong third quarter results really are just one data point to look at. Overall, the company operates in a high-growth sector (relative to other areas of the tech market), and has produced solid cash flow growth since its IPO. If a reaccelerating of top and bottom line growth can be sustained, this is a growth stock I think long-term investors would do well holding through 2025.

That’s not to say that headwinds can’t and wont’ materialize over the course of the coming year. Again, I’m expecting some volatility ahead. But for those who can handle the potential incoming price swings, this is a stock I think investors will do well to hold over time. Indeed, if analyst expectations of 26% annually earnings growth through 2026 pan out, this is a stock I think could certainly trade back at new all-time highs in the years to come.

The post This Growth Stock Surged 44% in 2024. Here’s Why 2025 Could Bring An Even Bigger Gain appeared first on 24/7 Wall St..

My gross salary is $84k – should I switch my 401(k) to a Roth IRA instead?

Marc Guberti — Wed, 22 Jan 2025 10:43:29 -0500

Traditional retirement accounts offer immediate tax relief, while Roth accounts come from pre-tax contributions. However, Roth retirement accounts have become more popular among young investors since they shield capital gains and dividends from taxation.

A Redditor has done their research and is considering moving funds from a 401(k) account to a Roth IRA. This individual has a gross salary of $84k and recently paid $20k in taxes bill. The Redditor currently has $117k in an Empower 401(k) that invests in four mutual funds.

Does it make sense for the Redditor to move their 401(k) funds into a Roth account? I’ll share my thoughts, but it is always good to speak with a financial advisor if you can.

Key Points

A Redditor is considering moving their funds from a 401(k) to a Roth IRA.
It’s a good long-term retirement strategy, but you have to make gradual transfers to minimize the tax bill.
Retiring early is possible, and may be easier than you think. Click here now to see if you’re ahead, or behind. (Sponsor)

Tax-Free Gains Create Less Uncertainty

One of the disadvantages of 401(k) plans is that your withdrawals get taxed. That makes it more difficult to plan for retirement since a $1 million 401(K) isn’t really $1 million. Sure, you can take out less money when you retire to ensure you have a low tax rate, but it still creates uncertainty, especially if you work for longer than expected.

Meanwhile, a Roth account offers tax-free gains. The Redditor currently has a $117k 401(k) portfolio. Assuming this was a Roth account that maintained an annualized 8% return over 30 years, it would become a $1.2 million portfolio. That’s not including any additional contributions.

It’s much better to have $1.2 million tax-free than it is to have those funds locked up in a traditional 401(k). Sure, the Redditor will take a tax hit when they withdraw funds from their 401(k), but it’s worth it in the long run.

Gradual Withdrawals Are Better Than Entire Withdrawals

The one problem with moving all of your funds from a 401(k) to a Roth IRA is that those funds are treated as ordinary income. If you move $117k, you will have to report $117k in income on top of what you already make. Moving everything over at once will result in a higher tax bill, but there is a solution.

The Redditor can opt to move $10k-$15k per year to minimize their tax burden. If the Redditor gets laid off or fired, they can use that one year to make a bigger transfer to their Roth account since they’ll report a lower taxable income. While this isn’t the best-case scenario, it’s good to keep this in mind in case it happens.

Are the Growth Funds Good?

The Redditor mentions four funds that he has in his portfolio:

Fidelity 500 Index Fund (MUTF:FXAIX)
Fidelity Blue Chip Growth Fund (MUTF:FBGRX)
Fidelity Extended Market Index Fund (MUTF:FSMAX)
DFA U.S. Targeted Value Portfolio Institutional Class (MUTF:DFFVX)

These funds have delivered respectable returns over the years. However, I would also add the Fidelity Nasdaq Composite Index Fund (MUTF:FNCMX) to the mix. This fund tracks the Nasdaq Composite and has outperformed the Redditor’s other funds.

The Nasdaq Composite is for investors who are willing to take on more risk in exchange for a higher potential reward. However, it’s outperformed the S&P 500 for more than two decades. That trend has continued over the past five years.

I would consider putting the funds from FSMAX and DFFVX into FNCMX, as the Nasdaq fund has consistently outperformed the other two by wide margins. For instance, FSMAX is up by 37% over the past five years, while DFFVX has gained 48% over the past five years. During that same 5-year stretch, FNCMX has soared by 105%.

The post My gross salary is $84k – should I switch my 401(k) to a Roth IRA instead? appeared first on 24/7 Wall St..

I’m 60 and I want to borrow from my 401(k) with $750k in it for a home purchase – is this a foolish idea?

Marc Guberti — Wed, 22 Jan 2025 10:34:22 -0500

A 60-year-old Redditor recently posted in the Retirement 401(k) subreddit about buying a house with 401(k) funds. The Redditor is 60 years old and has $750,000 saved up in their 401(k). The Redditor is single and has $250k in life insurance for one college-aged child.

The Redditor sold their old house to move to another state and doesn’t have as much equity as anticipated. The Redditor is considering using the 401(k) to make a big down payment so mortgage payments are manageable. The Redditor plans to work part-time starting at 65.

Is it prudent for the Redditor to use 401(k) funds to buy the new house, or does it make more sense to rent instead? I’ll share my thoughts, but it is always good to speak with a financial advisor if you can.

Key Points

A Redditor is considering using some of their 401(k) funds to buy a house.
It’s not the best move, given the Redditors financial situation. However, it may be possible for the Redditor to buy a home under certain conditions.
Retiring early is possible, and may be easier than you think. Click here now to see if you’re ahead, or behind. (Sponsor)

Understanding the Gap

The Redditor offered some additional numbers when a commenter asked for more information. The $150k down payment would go toward a home that’s valued between $350k-$380k. Furthermore, the Redditor spends above $60,000/yr in total expenses, which comes to $5,000 per month.

Social Security would come to $2,300/mo if the Redditor retires in seven years. However, waiting 10 years results in $2,900/mo from Social Security. The Redditor still makes money that they contribute to their 401(k), so it can still grow. Furthermore, the Redditor expects to work until reaching at least 67.

The Redditor doesn’t have much debt. Just $1k-$2k in credit card debt at any given time and the car is fully covered.Ultimately, the retirement account has to provide at least $3,700/mo, assuming the Redditor retires at 67. It’s better to think of this goal so the Redditor doesn’t feel forced to work until turning 70.

Can the 401(k) Plan Cover the Gap?

If you want to take out $3,700/mo from a 401(k) plan ($44,400/yr) using the 4% withdrawal rule, the account needs to be valued at $1.11 million. That’s less than the current balance of $750k.

The 401(k) plan is already a little short, and pulling additional funds out of the account can put the retiree further behind. Classic suggestions like picking up a side hustle and reducing expenses come to mind. That way, using the 401(k) funds to buy the house is still feasible, but the setup isn’t ideal.

However, it’s also possible that the Redditor gets laid off. While the Redditor asserts this is a highly unlikely scenario, it’s highly likely that expenses continue to rise due to inflation. What costs $60k/yr will cost more than $65k/yr after five years, assuming an annualized 2% inflation rate.

How It Could Possibly Work

While the odds don’t look good for the Redditor, I’ll share some ways it could possibly work. I don’t like these options, but some choices can be viewed as last resorts.

First, buying the house may make sense if the monthly mortgage payment is lower than the monthly rent payment. However, there is a big caveat. This rule should hold true if the Redditor only makes a 20% down payment. That’s $50k-$76k for the Redditor’s price range. It’s easier to put that type of money into a house, but only if the mortgage payments are lower than rent payments.

Then, each of your monthly payments goes toward building equity. If necessary, you can fund the rest of your retirement with a HELOC or a reverse mortgage. Both of those options carry some risks, with the main one being outliving your equity. This strategy won’t leave much home equity for the beneficiary.

Even if you’re considering the HELOC or reverse mortgage route, it still doesn’t make sense to take $150k out of a 401(k) plan under these conditions. Furthermore, it only makes sense to put 20% down if it results in a lower mortgage payment compared to rent. Rent payments also tend to inflate over time, while a fixed-rate mortgage has steady monthly payments.

The Redditor can also consider more affordable homes or wait a few years until they have a $1 million 401(k) plan.

The post I’m 60 and I want to borrow from my 401(k) with $750k in it for a home purchase – is this a foolish idea? appeared first on 24/7 Wall St..

I’m moving out of California to avoid paying taxes on my Tesla stock gains – can they still come after me?

Marc Guberti — Wed, 22 Jan 2025 10:33:05 -0500

Tesla (NASDAQ:TSLA) stock has been one of the most successful stocks over the past decade. Some people have become millionaires just by investing in Tesla stock. However, if investors want to sell their Tesla shares, they’ll end up with significant capital gains taxes.

A Redditor faces this dilemma and posted about it in the Fat FIRE subreddit. The individual has $10 million in unrealized capital gains and lives in California. The Golden State has some of the highest tax rates in the country, especially on capital gains.

The Redditor is considering moving out of California and going to a state with no income tax before cashing out on the position. However, the Redditor is also wondering if California can still go after the money. I’ll comb through the comments and share my thoughts, but it is always good to speak with a financial advisor if you can.

Key Points

A Californian has more than $10 million in unrealized gains on Tesla shares.
Moving out of the state can save this investor a lot of money when it’s time to sell Tesla, but it’s good for this person to speak with a tax attorney first.
Retiring early is possible, and may be easier than you think. Click here now to see if you’re ahead, or behind. (Sponsor)

It’s Possible to Avoid California Taxes

Other Redditors took to the comments to share their stories about moving out of California to avoid capital gains taxes on investments they accrued while living in the state.

If you move out of the state and establish a residence in another, you can avoid high capital gains tax rates. However, you have to ensure mail arrives at your new residence instead of your California property. It’s even better if you can sell your California home and remove all ties to the state, but some people keep their California home as a rental.

Remove Ties from the State

California Franchise Tax Board (FTB) conducts thorough investigations to ensure people are truly moving instead of fake moving. Having all mail delivered to your new residence is a good starting point, but you should also work with professionals in the area.

For instance, you may want to have your primary accountant, lawyer, doctor, and dentist all located in the new state. If you still go to California to speak with your primary accountant or schedule a dental appointment, the FTB may tax you.

One Redditor suggested that it is better to sell the California home to avoid any complexities. If you keep the home, it’s better to turn the real estate into a long-term rental instead of a vacation home to demonstrate that it is truly an investment property.

If you still want to keep your home, you should wait until at least a year after your move before selling Tesla stock. Furthermore, you may also benefit from putting your house in a child’s name or an LLC instead of your own.

Work with a Tax Attorney

While Redditors took to the comments with thoughts to consider, it’s best to work with a tax attorney who knows how to navigate tax laws. You can receive a professional’s advice and discover the best way to avoid paying capital gain at California’s tax rates.

The Redditor has $10 million in unrealized capital gains. With that amount of money on the line, it’s absolutely worth speaking with a professional. The right tax attorney can save you much more than you’d have to pay them.

You don’t want to feel overwhelmed about online advice, make the move, and realize that you still have to pay California taxes on your capital gains. A professional tax attorney can help you out.

The post I’m moving out of California to avoid paying taxes on my Tesla stock gains – can they still come after me? appeared first on 24/7 Wall St..

This AI Stock Has Surged 656%, and Could Surge Another 23% in 2025, According to Analysts

Chris MacDonald — Wed, 22 Jan 2025 10:24:37 -0500

As far as key catalysts for growth investors are concerned, artificial intelligence remains the top factor on top of mind for most investors right now. In combination with a range of new AI offerings, big data company Palantir Technologies (NASDAQ:PLTR) has seen its stock price skyrocket more than 650% since its IPO, and could surge another 23% in 2025 (if Wall Street analysts are correct).

Given the fact that the overall data services market is expected to grow more than 82% over the next three years, according to Edge Delta, there are fundamental drivers behind such calls, and reasons why investors continue to pile into this very richly-valued growth stock.

Trading at roughly 150-times earnings and 65-times sales, Palantir could be among the most expensive stocks in the market. With that said, let’s dive into the bull case behind this company surging to a new all-time high in 2025 and leading the market higher once again.

Key Points About This Article:

Palantir is certainly among the most richly-valued growth stocks in the market, but is one long-term investors continue to pile into given its catalysts.
Here’s the bulls case behind why some analysts think more than 20% upside this year could be in the cards for this AI beneficiary.
If you’re looking for some stocks with huge potential, make sure to grab a free copy of our brand-new “The Next NVIDIA” report. It features a software stock we’re confident has 10X potential.

Leveraging AI Strengths

Artificial intelligence visual

Palantir’s status as a leading big data company is well-known, with Palantir getting its start decades ago as a provider of analytics and big data services for various government-related agencies and institutions.

However, in recent years, the Peter Thiel-led company has expanded into the commercial market, integrating AI models into its existing platform to provide more versatile value to its clientele. The company has continued to focus intently on its application and workflow layers, with Palantir’s AI-enabled platform providing a wider range of capabilities in enabling data-driven decisions across industries.

Investors have continued to hone in on the significant commercial growth Palantir is seeing thanks to its AI integrations. With U.S. commercial revenue rising 54% year-over-year this past quarter, and the company’s overall customer count up 77% over the same time frame, that’s some serious growth for a company of this size. Notably, overall revenue also increased 30%, signaling the importance of the company’s commercial operations (as a smaller, but faster-growing segment the market had previously ignored).

I the company can continue to outpace competitors in this space, its future growth rate could allow the company to grow into its lofty multiple, but this will require margins to remain robust and revenue growth to continue for at least a few years.

The Numbers Don’t Lie

Impressively, Palantir has become an AI software company that’s now ranked among the top five AI software platform providers as of 2024. In other words, Palantir is now competing with giants like Microsoft and Google – something many of the most ardent bulls may not have expected five years ago.

This is mostly due to fundamentals, with Palantir’s growth metrics shining bright over the past year. The company’s 2024 revenue grew 27% year-over-year, reaching $2 billion in the first nine months. Driven by rising demand for AI integration in business operations, investors largely expect this growth to continue (or accelerate) through 2025.

Known for its data analytics software Foundry and Gotham enhanced with AI platform AIP, Palantir reported very impressive 30% revenue growth in Q3. We’ll have to see if this growth can continue, but most experts have recognized AIP as a leader, outperforming competitors like Google. Notably, U.S. government sales also surged 40%, driven by strong AIP demand. These two segments combined drove earnings per share to rise 43% to $0.10 this past quarter (and expectations are for significant bottom line growth moving forward).

Stock Price Predictions Vary

Palantir’s 2024 revenue growth outpaced 2023, driven by an aggressive strategy promoting its AI Platform (AIP). Conducting nearly five daily boot camps, the company educated clients on integrating AI, boosting its Q3 customer base by 39% year-over-year to 629. Notably, commercial customer growth reached 51%, and many new clients signed larger follow-up deals.

Palantir offers significant growth potential, but its high valuation leaves little margin for error. For 2025, Salesforce appears a safer, more affordable choice, especially with opportunities like Agentforce.

Analysts have varying projections for Palantir Technologies’ stock performance in 2025. The expected surge in percentage terms is around 23.59%, which would bring the stock price to approximately $88.12 by January 2025. Additionally, UBS has estimated that Palantir will experience a revenue growth of 28% in 2025, which could positively influence the stock’s performance, although specific price targets vary among analysts.

Is Palantir a Buy in 2025?

Palantir operates in a rapidly growing AI software market, projected to expand from $28 billion in 2023 to $153 billion by 2028, with a 40.6% CAGR. This growth potential has boosted its forecasts, but its high valuation poses a challenge. However, a forward price-earnings of 154 reflects expectations for significant profit gains, supported by a 52% earnings increase in 2024.

Analysts predict slower earnings growth for Palantir in 2025 and 2026, but the expanding AI software market and its growing customer base suggest potential for better performance. Growth-focused investors might still find upside in holding Palantir shares, though this is a company that may certainly struggle if valuation headwinds pick up in the market and growth doesn’t materialize as expected in 2025.

The post This AI Stock Has Surged 656%, and Could Surge Another 23% in 2025, According to Analysts appeared first on 24/7 Wall St..

This Asian Powerhouse Has 8,000 Big Artillery Guns at the Ready – and It’s Not China

Chris Lange — Wed, 22 Jan 2025 10:24:00 -0500

In terms of global military advancements, the emphasis on artillery units as a measure of power is gaining prominence. Countries with expanding artillery arsenals are quickly climbing the ranks as formidable military powers, with one Asian nation standing above the rest of these ascendant powers. Here, 24/7 Wall St. is taking a closer look at military forces around the world gaining the most ground, and which of these has the largest artillery arsenal.

To identify the “Powers on the Rise” countries with the most artillery units, 24/7 Wall St. reviewed 2024 Military Strength Ranking from Global Firepower, an annually updated defense-related statistics website with information on 145 countries. Countries were ranked on the total number of artillery units in their arsenal. We included supplemental information regarding the total military vehicles, tanks and MLRS units, as well as each country’s overall military strength score. We specifically reviewed countries that are considered “Powers on the Rise” meaning these are the countries that have gained the most military strength in the last year.

Here is a look at the Powers on the Rise with the largest artillery armies:

Why Are We Covering This?

Understanding global military dynamics is incredibly important due to the interconnected nature of international relations and conflicts. As long as civilization has existed, the world has witnessed shifting power balances and alliances which have ultimately shaped the current geopolitical landscape. While key players like the United States, China, and Russia are easily the global powers, there are a number of emerging military powers that have their own spheres of influence and give shape to geopolitical relations in their own unique way.

30. Denmark

Total artillery: 19
Total towed artillery: 0
Total self-propelled artillery: 19
Total tanks: 44
Total Multiple Launch Rocket Systems (MLRS): 0
Total military vehicles: 4,056
Military strength score: 0.7743 – #48 out of 145

Separate from the ground forces, Denmark has 119 military aircraft (including 4 attack aircraft, 33 fighter aircraft, and 34 helicopters). Denmark has 20,000 active-duty personnel out of a total population of 5.9 million.

29. Estonia

Total artillery: 24
Total towed artillery: 0
Total self-propelled artillery: 24
Total tanks: 0
Total Multiple Launch Rocket Systems (MLRS): 6
Total military vehicles: 1,409
Military strength score: 1.7237 – #87 out of 145

Separate from the ground forces, Estonia has 7 military aircraft (including 3 helicopters). Estonia has 7,700 active-duty personnel out of a total population of 1.2 million.

28. Sweden

Total artillery: 26
Total towed artillery: 0
Total self-propelled artillery: 26
Total tanks: 120
Total Multiple Launch Rocket Systems (MLRS): 0
Total military vehicles: 7,958
Military strength score: 0.4009 – #29 out of 145

Separate from the ground forces, Sweden has 212 military aircraft (including 71 fighter aircraft and 53 helicopters). Sweden has 24,400 active-duty personnel out of a total population of 10.5 million.

27. Paraguay

Total artillery: 28
Total towed artillery: 28
Total self-propelled artillery: 0
Total tanks: 10
Total Multiple Launch Rocket Systems (MLRS): 0
Total military vehicles: 1,936
Military strength score: 1.7053 – #85 out of 145

Separate from the ground forces, Paraguay has 41 military aircraft (including 14 helicopters). Paraguay has 15,650 active-duty personnel out of a total population of 7.4 million.

26. New Zealand

Total artillery: 31
Total towed artillery: 31
Total self-propelled artillery: 0
Total tanks: 0
Total Multiple Launch Rocket Systems (MLRS): 0
Total military vehicles: 4,040
Military strength score: 1.1844 – #67 out of 145

Separate from the ground forces, New Zealand has 47 military aircraft (including and 22 helicopters). New Zealand has 8,670 active-duty personnel out of a total population of 5.1 million.

25. Czechia

Total artillery: 53
Total towed artillery: 0
Total self-propelled artillery: 53
Total tanks: 65
Total Multiple Launch Rocket Systems (MLRS): 0
Total military vehicles: 6,757
Military strength score: 0.7706 – #46 out of 145

Separate from the ground forces, Czechia has 88 military aircraft (including 16 attack aircraft, 12 fighter aircraft, and 33 helicopters). Czechia has 28,000 active-duty personnel out of a total population of 10.7 million.

24. Austria

Total artillery: 53
Total towed artillery: 0
Total self-propelled artillery: 53
Total tanks: 58
Total Multiple Launch Rocket Systems (MLRS): 0
Total military vehicles: 848
Military strength score: 1.2351 – #71 out of 145

Separate from the ground forces, Austria has 104 military aircraft (including 15 fighter aircraft and 66 helicopters). Austria has 16,000 active-duty personnel out of a total population of 8.9 million.

23. Qatar

Total artillery: 58
Total towed artillery: 12
Total self-propelled artillery: 46
Total tanks: 99
Total Multiple Launch Rocket Systems (MLRS): 16
Total military vehicles: 5,544
Military strength score: 1.0789 – #63 out of 145

Separate from the ground forces, Qatar has 228 military aircraft (including 6 attack aircraft, 92 fighter aircraft, and 67 helicopters). Qatar has 66,550 active-duty personnel out of a total population of 2.5 million.

22. Kuwait

Total artillery: 74
Total towed artillery: 0
Total self-propelled artillery: 74
Total tanks: 367
Total Multiple Launch Rocket Systems (MLRS): 27
Total military vehicles: 4,409
Military strength score: 1.4261 – #77 out of 145

Separate from the ground forces, Kuwait has 144 military aircraft (including 36 fighter aircraft and 60 helicopters). Kuwait has 72,000 active-duty personnel out of a total population of 3.1 million.

21. Libya

Total artillery: 75
Total towed artillery: 65
Total self-propelled artillery: 10
Total tanks: 300
Total Multiple Launch Rocket Systems (MLRS): 55
Total military vehicles: 2,890
Military strength score: 1.4449 – #79 out of 145

Separate from the ground forces, Libya has 132 military aircraft (including 3 attack aircraft, 17 fighter aircraft, and 32 helicopters). Libya has 32,000 active-duty personnel out of a total population of 7.3 million.

20. Portugal

Total artillery: 106
Total towed artillery: 82
Total self-propelled artillery: 24
Total tanks: 34
Total Multiple Launch Rocket Systems (MLRS): 0
Total military vehicles: 11,173
Military strength score: 0.5609 – #38 out of 145

Separate from the ground forces, Portugal has 117 military aircraft (including 28 fighter aircraft and 38 helicopters). Portugal has 24,000 active-duty personnel out of a total population of 10.5 million.

19. Switzerland

Total artillery: 133
Total towed artillery: 0
Total self-propelled artillery: 133
Total tanks: 134
Total Multiple Launch Rocket Systems (MLRS): 0
Total military vehicles: 4,304
Military strength score: 0.6097 – #43 out of 145

Separate from the ground forces, Switzerland has 147 military aircraft (including 43 fighter aircraft and 41 helicopters). Switzerland has 101,584 active-duty personnel out of a total population of 8.6 million.

18. Germany

Total artillery: 134
Total towed artillery: 0
Total self-propelled artillery: 134
Total tanks: 295
Total Multiple Launch Rocket Systems (MLRS): 33
Total military vehicles: 79,317
Military strength score: 0.2847 – #19 out of 145

Separate from the ground forces, Germany has 618 military aircraft (including 76 attack aircraft, 133 fighter aircraft, and 318 helicopters). Germany has 181,600 active-duty personnel out of a total population of 84.2 million.

17. Serbia

Total artillery: 162
Total towed artillery: 72
Total self-propelled artillery:

Billionaire Sold Tesla And Buying This Stock That Could Soar 60% According to a Wall Street Expert

Omor Ibne Ehsan — Wed, 22 Jan 2025 10:23:17 -0500

A lot of eyes are on Tesla (NASDAQ: TSLA) after Trump’s inauguration. In his inauguration speech, one thing that was pretty notable was him saying people should be allowed to drive whatever car they want. Nothing wrong with that statement, but I think that is a signal that EV tax credits and subsidies could come to an end under his administration. This is despite the fact that Elon Musk has been pretty crucial in Trump’s campaign.

24/7 Wall St. Key Points:

Tesla has popped after Trump’s election victory due to Elon Musk’s affiliation with him.

Even then, Trump doesn’t seem to be flattered enough to back down from his earlier promise of getting rid of EV subsidies.

Elon Musk doesn’t seem to care and many major investors are deciding to take profits. If you’re also looking to take profits on TSLA, do read our free “The Next NVIDIA” report. Perhaps you’ll find something to move some of those gains into.

The implications of EV tax credits and subsidies being revoked — at least according to most analysts — are going to be quite negative for Tesla. There are some people who say that Tesla will do just fine without EV credits since it’s already profitable and that it will instead wipe out Tesla’s competitors, many of whom are struggling to keep the lights on. Elon Musk himself once posted: “Take away the subsidies. It will only help Tesla.”

So, I believe this is a good reason why some hedge funds and billionaires are choosing to jump ship.

Which Billionaire Sold TSLA Stock?

TSLA has gained since then.

Billionaire David E. Shaw — the founder and sole shareholder of D. E. Shaw & Co. — is the one who sold almost 2.7 million TSLA stock. That’s 71% of his Tesla holdings at a market value of $287.2 million. In my opinion, Shaw likely decided to play it safe by cashing out and putting it in a sector that has more growth potential.

So, where did this money go?

Nvidia (NASDAQ: NVDA). He bought almost 6 million shares of NVDA stock the same quarter he sold TSLA stock. Rosenblatt Securities recently reaffirmed a $220 price target on the stock.

It’s not too surprising since NVDA stock has by far been the best performer among the mega-caps in the past few years. However, that momentum has slowed down in the past few months. I believe David E. Shaw believes that there is a good chance that Nvidia will be able to restart its momentum in the coming months.

Should You Also Sell TSLA for NVDA?

You could, but avoid piling into just one stock.

If you are sitting on some massive gains on Tesla, it might be a good idea to take some profits right now. That said, I don’t think it is a smart idea to copy trades from a billionaire’s firm one for one. David E. Shaw does not have a crystal ball. So, I don’t think you should necessarily move those gains all into Nvidia without doing your own research.

There are many stocks on the market and you should be able to find plenty of opportunities elsewhere. But if you do want to buy NVDA instead of TSLA stock, that isn’t a bad idea by any means. Nvidia is currently changing hands at less than 47 times forward earnings. On the other hand, Tesla is trading at a nosebleed valuation of 172 times earnings. One look at their financial reports should tell you which one is the better deal. Again, this doesn’t mean that NVDA is the only thing you should move your gains into. I believe it’s also a good idea to look into some mid-cap stocks; they have been doing pretty well recently.

Is Tesla Overvalued Right Now?

If you believe in fundamentals, yes.

I think there’s no question that TSLA stock is currently overvalued. As I said earlier, you’re paying 172 times earnings for a company which is starting to slow down. The EV industry has clearly lost its luster and analysts expect a 20.6% EPS decline for all of 2024, along with just 3% sales growth for the full year. The recovery from that isn’t expected to be all that great, either.

Yes, Tesla does not have competition in the U.S., and some would argue even in the entire West. However, it will take a very long time for the moat Tesla currently has to bear fruit. One day we will have mostly EVs on the road as governments will likely phase out fossil fuels. It isn’t going to be as fast as we thought, and it certainly doesn’t seem like things will move in this direction under the current administration.

What makes me very worried is that Tesla has already slowed down with all the tariffs and subsidies in place.

Can Robots Rescue Tesla?

In a decade, perhaps.

Optimus robots are definitely a great concept and if they do become reality, they are going to be a massive hit. You’ll get a robot domestic servant for $30,000, and they even have a demo for that.

Sadly, I don’t think it’s that simple. Teslas were supposed to get FSD almost nine years ago. Optimus-like robots have already existed for years (look up Sophia robot), but the tech is nowhere near enough to do the things that people are hyping it up for. The AI required for such a robot to work reliably and be certified versus the advanced AI we have now simply don’t overlap.

The Verdict

I believe the next four years are going to be crucial for Tesla shareholders. In the meantime, I’d take some profits if I were sitting on some hefty gains on Tesla.

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