Editor's Note: We are always on the lookout for cutting-edge financial news to share with you. Below is a message from our colleagues over at InvestorPlace that we found interesting. We urge you to continue reading. Dear Reader… Last week, President Trump unveiled his "AI Action Plan" and, like clockwork, tech stocks soared. Nvidia, Microsoft, Amazon... they're all celebrating. But buried beneath the headlines is a massive WARNING signal to investors. Here's what the mainstream media isn’t reporting: According to my calculations, Amazon, Microsoft, Google, and Meta will spend over $500 billion this year on AI research and data centers. Their combined net income last year? Just $309 billion. They're out way over their skis here! All four are hemorrhaging cash in an AI arms race that may never live up to the hype. Tesla might be the canary in the coalmine here. The company just missed earnings badly. Elon Musk warned of "rough quarters ahead." This is what I call a Pyrrhic victory — “winning” the AI race could turn all these hot tech names into losers. The risks right now simply aren’t worth it, as much as the founders of these companies want you to think they are. So, what should you do? Well, if you’re interested in investing based on what front-page headlines are spoon feeding us, then by all means, stay in these overhyped names… Me? I'm looking elsewhere, just as I always have. Looking elsewhere is the reason I’ve notched more than 40+ stock picks so far whose prices have gone on to soar from 1,000% to 12,000%. And this deeper search has today led me to 3 undervalued companies positioned to profit from the AI Action Plan without the crushing spending burden. I’ve also revealing 4 popular stocks I believe you should consider selling immediately — starting with Nvidia! Yes, Nvidia! You can get all 7 stock names and ticker symbols — completely free — in my brand-new special broadcast. Click here to watch my new “Sell This, Buy That” broadcast now. Sincerely,  Eric Fry Senior Macro-Investment Analyst, InvestorPlace P.S. When everyone's buying the same overvalued stocks, that's always your signal to blaze your own trail. Start by getting my contrarian picks here at no charge. |
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