The recent market pullback has many investors questioning the staying power of the Artificial Intelligence (AI) mega-trend. While the tech sector, especially AI investor darling Nvidia (NVDA), has taken a hit, I believe this is a classic case of short-sighted panic selling creating a fantastic buying opportunity for discerning investors.
Remember, folks, this is not a bubble… AI is a technological revolution that's just getting started. But you need to look beyond crowded trades in companies building data centers, and invest in the companies building the “brains” behind this revolution. We're talking about companies with triple-digit sales and earnings growth… companies that are seeing an explosion in business thanks to AI.
Here's a watchlist of 5 “Best Stocks To Buy Now” that are quietly building the future of AI, and are set to generate massive gains for investors who get in now:
5 “Best Stocks To Buy Now” in the “Brains” of AI
Keysight Technologies Inc. (KEYS)
Keysight Technologies is an electronic design company that provides solutions for businesses to test and measure the performance of their electronic products. They are a critical behind-the-scenes player in the AI revolution.
Why KEYS is a BUY:
Keysight is directly benefiting from the massive investment pouring into AI infrastructure. As businesses race to build and upgrade their data centers to handle the demands of AI applications, they need Keysight's testing and measurement solutions to ensure their systems are operating at peak performance.
Luke Lango, who is closely tracking the latest developments in AI, reported that Keysight is seeing a surge in demand for its high data-rate networking products.
“Electronic design firm Keysight Technologies Inc. (KEYS) recently reported that businesses are re-architecting data centers for AI, leading data center operators to upgrade to high data-rate networking products in bulk – massively boosting Keysight’s business.” – Luke Lango, InvestorPlace
This firsthand account from Keysight's CEO confirms the massive growth we can expect to see in the AI sector. As AI applications become more sophisticated, the demand for advanced data center infrastructure, and therefore Keysight's solutions, will continue to skyrocket.
Analog Devices Inc. (ADI)
Analog Devices is a semiconductor company that develops analog, mixed-signal, and digital signal processing (DSP) integrated circuits (ICs). These chips are the building blocks of AI systems, powering sensors, data conversion, and communication in everything from smartphones to data centers.
Why ADI is a BUY:
Analog Devices is positioned to be a huge beneficiary of the L2AI revolution we are experiencing. As AI models become more sophisticated and capable of complex reasoning, the need for more powerful and efficient processing systems increases. Analog devices stand to reap massive profits from providing these crucial components.
Luke Lango recognized this emerging demand back in July of this year, noting that Analog Devices is seeing tremendous opportunities in the electrical grid modernization market.
“Integrated circuit maker Analog Devices Inc. (ADI) says that it is observing customers’ huge efforts to modernize and digitize the electrical grid in response to the massive AI infrastructure buildout going on right now.” – Luke Lango, InvestorPlace
As AI applications require more energy and processing power, the electrical grid needs to be upgraded to handle the increased demand. This presents a massive opportunity for Analog Devices to provide its leading-edge semiconductor solutions.
Dycom Industries Inc. (DY)
Dycom Industries is a leading provider of specialty contracting services to the telecommunications and infrastructure industries. They play a critical role in building the physical networks that support AI applications by installing underground fiber optic cables, building cell towers, and providing other essential infrastructure services.
Why DY is a BUY:
Dycom is well-positioned to capitalize on the burgeoning demand for high-speed, low-latency connectivity solutions that are crucial for AI applications. As more businesses adopt AI, they need the robust infrastructure that companies like Dycom provide.
Luke Lango recognized this trend a month ago, recognizing how Dycom is seeing a significant increase in contracts related to data center connectivity.
“Telecom infrastructure firm Dycom Industries Inc. (DY) notes that demand for low-latency AI data center connectivity solutions is growing rapidly.” – Luke Lango, InvestorPlace
AI applications demand vast amounts of data processing and communication, requiring high-speed and reliable networks to function effectively. Dycom stands to generate substantial revenue from building and maintaining the physical infrastructure that underpins this crucial connectivity.
Unisys Corp (UIS)
Unisys provides a portfolio of IT services, software, and technology. They help organizations use AI to solve business problems across various sectors, including government, financial services, and healthcare. They also help companies design AI-optimized data centers to meet the unique demands of these new technologies.
Why UIS is a BUY:
Unisys has demonstrated its ability to adapt and thrive in the face of AI's disruptive potential. As AI adoption accelerates, Unisys stands to generate substantial profits by providing consulting, implementation, and maintenance services, ensuring that companies use this game-changing technology effectively.
Luke Lango recognized that Unisys is experiencing a significant surge in business thanks to the growing demand for AI services.
“Tech solutions provider Unisys Corp. (UIS) reports a 25% increase in new business signings in the first half of 2024, primarily driven by new AI services.” – Luke Lango, InvestorPlace
This impressive gain in new business demonstrates the momentum behind Unisys as a leader in the AI services sector. As more organizations recognize the transformative power of AI and seek to implement it across their operations, Unisys stands to greatly benefit from continued strong growth.
GDS Holdings Ltd. (GDS)
GDS Holdings is a leading developer and operator of high-performance data centers in China. They play a critical role in supporting AI applications in China, which is quickly becoming a global leader in AI development and adoption.
Why GDS is a BUY:
GDS's business is exploding as the demand for AI data centers, particularly in China, continues to grow. They offer a compelling investment opportunity for investors seeking exposure to the rapidly expanding AI market in China.
Luke Lango reported on this trend and is bullish on the growth that GDS is experiencing, noting the following:
“And just Wednesday morning, data center operator GDS Holdings Ltd. (GDS) provided a very bullish read on the Asian data center market this morning.” – Luke Lango, InvestorPlace
This bullish outlook highlights the strong growth potential of the data center market that companies like GDS are tapping into. They are playing a crucial role in supporting the AI revolution across the world – and now is the time to take advantage of this growing opportunity.
What You Should Do Now
Don't let fear and uncertainty cloud your judgment. Use the current market weakness as a chance to get ahead of the masses and invest in the future of AI.
Take a closer look at these 5 under-the-radar AI companies. And pay special attention to Luke Lango's upcoming strategy session. He's uncovered a rare economic event that's set to trigger a powerful market rally – eclipsing September's gloomy reputation – and he believes these AI picks are set to soar.
Tomorrow, I will share another watchlist of must-buy stocks that are benefiting from a different but equally powerful force – a force that could easily eclipse even the AI boom. We're talking about the “gold rush” of the 21st century. These are stocks you can't afford to ignore. Don't miss it!
