REVEALED: Ray’s Newest Breakout Candidate
The first half of 2018 is behind us, and what a year so far!
The market has seen some wild swings.
Yet, the S&P 500 still managed to eke out a 1.7% gain despite being well off highs set in January.
Much of that gain is thanks to tech stocks, which have remained as hot as can be in 2018.
The sector posted strong gains over the first six months of the year, with the Nasdaq-100 Technology Sector Index (NDXT) rising almost 7% in that time frame.
For comparison, here’s the Nasdaq-100 chart against the S&P 500 and Dow over the past 3 months.
Tech’s the clear winner for market players.
And we’ll see a lot more growth as 2018 winds on — especially in select companies involved in highflying growth trends — artificial intelligence, autonomous driving, VR/AR and 5G.
Which leads me to a blue chip tech company I expect will outperform nicely in the second half of 2018. All thanks to the aforementioned trends.
You Can Call It A Comeback
The company is International Business Machines Corp. (NYSE: IBM).
IBM has Watson, their groundbreaking artificial intelligence platform.
Watson is at the bleeding edge of AI.
Unlike past approaches, which required rigid programming on the part of humans to work, Watson is able to adapt and adjust based on its experience — much like our own brains do.
Watson can process massive amounts of messy data, from literature to research articles.
And Watson’s natural language-processing abilities allow it to understand grammar, including idiomatic language use, based on context.
But that’s not all…
Watson is also helping us discover new drugs. The Barrow Neurological Institute, for example, used it to discover five altered proteins in amyotrophic lateral sclerosis (ALS), a deadly neurodegenerative disease.
More recently, IBM is using Watson’s functions to integrate augmented reality and intelligence into the gaming world. Their partnership with gaming console companies could be the final push needed to take augmented reality mainstream.
Behind it all could be IBM’s AI powerhouse.
Tech Trends Converging For a Massive Payday
IBM’s most recent earnings report reflects this. Their projects are finally starting to bear fruit.
The main driver?
Cognitive computing. IBM’s Cognitive Solutions segment has now become its second-largest business, pulling in $4.4 billion in revenue last quarter.
IBM’s chairman, president and CEO Ginni Rometty sees a multi-trillion dollar opportunity for the company in AI, machine learning and cognitive computing.
She believes the market will be worth $2 trillion over the next decade. And her company could pioneer the technologies that could eliminate hundreds of billions of dollars of waste in supply chains, R&D and other processes across industries.
And this is the key to IBM’s future growth.
Investors are now beginning to grasp this, with shares rallying 10% after the company’s last earnings beat.
New tech trends are converging for a chance at a massive payday.
And all things point to IBM leading the way moving forward.
For Technology Profits Daily,
Chief Technology Expert, Technology Profits Daily