If you want to make life-changing gains in the market, you need to do two things:
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Find a massive trend in its early stages.
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Identify the right companies riding that trend.
That’s my playbook for being early and right.
And that’s how I found my first $1 trillion idea: Apple (AAPL).
In 2003, Apple’s most important product was the iPod. It was a smash hit. I owned one… My wife owned one… And so did all three of my children. We loved the iPod.
I recognized the iPod as the most transformational music device since the Sony Walkman of the 1980s.
At around that time, Apple was having financial problems. Even with the success of the iPod, the company was still struggling.
The problem was that only people with an Apple computer could use it. So the addressable market was just about 3% of computer users.
I knew the iPod was the beginning of something huge, but it wasn’t until I spoke with several experts that I discovered why I had to get my clients into Apple right away.
They pointed out that Apple was working on a personal computer (PC)-compatible version of the iPod. And PC users made up the other 97% of the market.
It was that combination of a massive trend (digital music player adoption) and the industry insider insight (a PC version of the iPod on the way) that made buying Apple an easy decision.
I was early in a massive trend. And I had found the right company to take advantage of it.
It was a no-brainer that PC users would fall in love with iPods – just as Apple users had.
But here’s the thing…
Many of my clients were uncomfortable with buying Apple.
On March 19, 2003, co-founder Steve Jobs – who was brought back in to rescue the company – disposed of 27.5 million shares via his stock options.
He would eventually sell a total of 55 million shares (via stock options sales to Apple) that year for an average price of $1.36 per share.
You can imagine the angry calls I got at the time…
While I was buying Apple, Jobs was dumping millions of dollars’ worth of stock…
But I stuck to my guns. I knew I was early… And I knew I was right.
I didn’t know why Jobs was selling his stock, but I knew he was wrong. As you can imagine, that was a tough sell to my clients.
I had to drag my clients kicking and screaming into Apple. But those who stuck with me made a bundle.
By 2004, Apple’s stock had doubled… And the company was well on its way to becoming the tech juggernaut we all know today.
Since the lows of 2003, AAPL shares have gone from a split-adjusted 23 cents to $196. And today, Apple’s market cap is over $2.7 trillion.
My Second Trillion-Dollar Idea
I used the same simple lesson in December 2015 when I recommended Nvidia (NVDA) to my Mega Trends subscribers.
(Mega Trends merged with my flagship The Palm Beach Letter newsletter in June 2016.)
At the time, I was researching the self-driving car trend. And I realized these cars had to solve two major problems before going mainstream:
To think, a machine needs the ability to process enormous amounts of information very quickly. For instance, a self-driving car or drone has to be able to “see” something and process it right away, just like a human does.
To learn, a machine needs to be able to ask questions when it “sees” something it doesn’t understand. It also must “remember” the lessons it learned and apply them to future scenarios. That’s how it gets smarter.
The solution was artificial intelligence (AI). In the report, I predicted Nvidia would be the company to solve these problems.
Like today, in 2015 Nvidia was the world’s leading provider of graphics processing units (GPUs), the key technology that enables AI.
I recommended Nvidia because my research suggested its AI chips would form the backbone of the technology needed to power AI development.
That’s why I predicted Nvidia would dominate the AI field:
In the same way that the computer defined the latter half of the 20th century, the 21st century will be defined by artificial intelligence.
I’ve never found a company that possessed the ability to go up as much as Nvidia will. It’s poised to become the next tech giant because of its pioneering work in the field of artificial intelligence.
Earlier this year, Nvidia’s market cap surpassed $1 trillion – putting it in an exclusive club along with Apple, Amazon, Alphabet, Microsoft, Meta, Tesla, and Saudi Aramco.
When I recommended Nvidia in December 2015, it was trading at a split-adjusted $8 per share. Today, it trades above $457 per share. That’s over a 5,612% gain.
But my third trillion-dollar idea beat that…
My Third Trillion-Dollar Idea
I used the same simple lesson again in 2016 when I recommended bitcoin (BTC) at about $428.
I knew we were still in the early stages of the massive cryptocurrency trend. And my network of crypto insiders had convinced me that bitcoin would grab the most value.
You can’t even begin to fathom the flack and ridicule I took for recommending bitcoin.
People accused me of pushing “magic internet money.”
They said only terrorists and criminals used bitcoin. Even JPMorgan Chase CEO Jamie Dimon called bitcoin a “fraud.”
My publisher thought I was insane. They were uncomfortable with the idea.
But I followed my research.
I understood crypto would go from a small market of a few million users… to a massive market of hundreds of millions within a few years.
And bitcoin was the right crypto to own to play this trend.
In fact, I recommended both bitcoin and Nvidia in an August 19, 2016, edition of Palm Beach Daily. You can check it out for yourself right here.
Time has proven me correct again. In 2021, bitcoin was the first crypto to hit a $1 trillion market cap.
Even factoring bitcoin’s pullback from its all-time high of near $70,000, it’s still up 4,496% since my August 2016 interview.
Friends, most newsletter editors don’t successfully predict one $1 trillion trend in their entire careers – let alone two. I accurately predicted two in one interview.
My Fourth Trillion-Dollar Idea
Here’s why I’m telling you all this…
Recently, I unearthed what I believe will be the fourth $1 trillion idea of my 30-year career in investing.
According to consultant firm PwC Global, AI is the largest megatrend of our generation. It estimates it’ll create $15.7 trillion in new wealth.
That’s why I recently booked a self-driving Tesla car to take me to Arizona’s Sonoran
Desert to visit the facility I’m standing in front of in the picture below…
I wanted to see with my own eyes that it’ll be a game-changer for AI, like many believe.
My visit – and my research – confirms it.
Moving forward, I believe this AI stock has MORE upside potential today than Nvidia.
Based on my research, this company will end up supplying Tesla CEO Elon Musk with a key piece of technology for his new AI venture. (I wrote more on this in Wednesday’s Daily.)
And if you buy shares now, before Musk makes the official announcement…
I believe you’ll have a chance to make incredible gains from a blue-chip stock.
I actually visited this facility and put together an investigative report on it. You can watch it right here.
Friends, those who ignore this tech or get in the wrong plays will spend the next few decades trying to catch up… And they might never be able to retire.
But those who get into the right AI plays will make more money than they ever thought possible.
Let the Game Come to You!
Big T