Page 388 - Mad Hedge Fund Trader

The Future Is Here

The future is here.

No code or low code will bring a raft of new innovative tech companies to market, and we are in the early innings of this transformative development.

What is no code?

No-code is an approach to designing and using applications that requires zero coding or knowledge of programming languages.

This type of software hits us at a perfect time when the home office is beginning to become ubiquitous.

The self-service movement that empowers business users will support the creation, manipulation, and employment of data-driven applications.

If we turn back the pages of history, companies need an army of software programmers to develop even the measliest application.

That was then and this is now.

Fast forward to today and automated technology doesn’t only include cutting-edge industries like automotive cars, but also software on laptops that can be rejigged by individual entrepreneurs.

That’s right, one person with no coding experience will be able to design, develop, and offer a real-life application with meaningful business value without the help of expert programmers.

The research data backs up my thesis with research firms projecting a 23% increase in the global market for this type of technology.

During the pandemic, low-code/no-code tools saw steady growth due to their effectiveness in addressing some of tech’s most complicated challenges.

The essential need to digitize workflows and enhance customer and employee experiences will be a boost to the efficiency of commercial and operational teams.

No-code platforms have evolved from just facilitating mundane tasks to making it possible for a broader range of business employees to truly own their automation and build new software applications with no coding while increasing organizational capacity.

A few risks that larger companies might consider is that even for remote developers building new applications, governance is paramount.

IT staff will need to install guardrails in place and have those built into low-code/no-code platforms to maintain consistent levels of security across the organization.

Cybersecurity solutions need to be integrated into this workflow by training every employee at the organization on security behavior and using compartmentalization and limited access to prevent opportunities for mistakes.

Hard landings are hard to recover from and some can be crippling to the business model.

For no-code companies, harmonizing workflows is a key requirement for success.

In a low-code/no-code organization, departments should be able to work without silos and communicate freely across functions.

Elevated performance enabled by low-code/no-code tools will mean that the number of useful apps hurling toward the marketplace will be more and merrier than ever before.

Higher performance will no doubt usher in a new renaissance of efficiency and even better performance.

This also puts a 3 or even 4-day workweek squarely in play.

Many of the best tech minds in the world have supported the concept of working smarter instead of working harder.

A low code/no-code standard will allow for these achievements to take place.

The cratering of costs to start and run a tech firm is affected too.

Deploying startup capital to pay for other expenses will make it easier for successful incubation.

This will ultimately mean that this new type of tech company will need to embrace the fusion of IT and business staff, empowering them with composable applications to speed up the time to market for new solutions.

Low-code/no-code, APIs, and other tools are enabling companies to integrate new applications into their existing tech stack in a more seamless manner with a lift-and-shift approach vs. a rip-and-replace.

At the entrepreneur level, individuals will be able to harness the technology to build $100 million companies with a snap of the fingers when it wasn’t possible to do it before.

This is finally a chance for the little guy to recapture their moxie in the vast and sometimes overwhelming business world.

THE AI TRIFECTA

Mad Hedge AI

(CRWD), (NVDA), (GOOGL)

Let's talk about the big, the bold, and the brainy world of AI - Artificial Intelligence. Think about the steam engine. The smartphone. They were big, but AI? It's gargantuan, and it's reshaping our world faster than you can say “Siri.”

We're talking about a revolution here – imagine industrial and internet revolutions but with more brains and less steam. So, who are the frontrunners in this AI rat race? Let's dive into the companies that are not simply riding the AI wave, but surfing it like pros.

First up, we have CrowdStrike (CRWD). Data's the new gold, and they are the Fort Knox guards. Their AI-driven security? It's not just good; it's superhero-level good.

Theft, a tale as old as time, has gone digital. And it's tricky. CrowdStrike's tackling cyber threats like a digital Batman, with AI as its Robin.

As for CrowdStrike's market potential? It's off the charts. From $25 billion in 2019 to a whopping $76 billion. And guess what? It's projected to soar to $158 billion by 2026. Its Falcon platform is a marvel – a blend of AI tools safeguarding data like a fortress.

Despite the economic rollercoaster that 2023 brought us, CrowdStrike's holding strong with a 35% revenue increase to $786 million. And the company’s non-GAAP net income? It doubled to $199 million.

With ambitions to hit $10 billion in annual recurring revenue, it’s clear that this is one stock that's not just a flash in the pan. Currently valued at 20.2 times sales, CrowdStrike is looking like a pretty sweet deal for the savvy investor.

Next up is Nvidia (NVDA). The big kahuna of GPUs. This tech titan is not offering mere graphics processors. Rather, it is delivering the engines powering advanced AI. Supercomputers, self-driving cars, you name it. Nvidia's GPUs are the muscle behind them. The competition? They're still trying hard to catch up.

Financially, Nvidia is a juggernaut. The company has a revenue of $18.1 billion, indicating a 206% jump. Meanwhile, their data center revenue jumped 279%, and their EPS is at a stunning $3.71, showing off a twelvefold increase.

Notably, analysts are predicting rainbows and unicorns for Nvidia, with a projected 55% sales increase and a 66% rise in EPS on the horizon.

Last but definitely not the least, we have Alphabet (GOOG) (GOOGL). You know them, you use them, you probably can’t imagine living without them.

Google's applications, powered by AI, have become an indispensable part of our daily digital diet. It's where AI meets practicality. From Google Maps to those uncannily accurate news and shopping recommendations, AI is Alphabet's middle name.

As expected, Alphabet's financial muscle is formidable. Apart from an impressive market cap of $1.7 trillion, their annual revenue continues to grow at 11% with their free cash flow CAGR reporting a 28% climb over the last five years.

For investors, Alphabet's shares have soared 164% in the same period. Taking into consideration the company’s efforts and history, Alphabet isn't just playing when it comes to AI, they're setting the table.

AI is not a passing trend. It's a revolution. A transformative force. From cybersecurity to data analysis, AI is omnipresent. For those seeking to ride this wave, CrowdStrike, Nvidia, and Alphabet are golden tickets.

Remember, change is the heartbeat of AI. These companies aren't simply keeping up; they're leading the charge. Their innovative spirit and strategic AI investments are a siren call to investors ready to dive into the future headfirst.

So, now, the big question is this: Are you ready to ride the AI wave? Because, trust me, it's going to be one heck of a ride.

December 22, 2023

Jacque's Post

(JOIN ME IN BRISBANE OR MELBOURNE FOR SOME GREAT FOOD & CONVERSATION ABOUT THE MARKETS)

December 22, 2023

Hello everyone,

My Aussie luncheons are on in early January. Please join me in either Brisbane or Melbourne for some great food and conversation.

Come join me for lunch for Jacquie Munro’s Global Strategy Update, which I will be conducting in Brisbane, Australia at 12:00 PM on Tuesday, January 9, 2024. A three-course lunch is included.

I’ll be giving you my up-to-date view on stocks, bonds, currencies, commodities, precious metals, and real estate.

And to keep you in suspense, I’ll be throwing a few surprises out there too. Tickets are available for $199.

I’ll be arriving early and leaving late in case anyone wants to have a one-on-one discussion, or just sit around and chew the fat about the financial markets.

The lunch will be held at an exclusive restaurant in central Brisbane, the details of which will be emailed to you.

I look forward to meeting you, and thank you for supporting my research.

To purchase tickets for this luncheon, please click here.

Come join me for lunch for Jacquie Munro’s Global Strategy Update, which I will be conducting in Melbourne, Australia at 12:00 PM on Wednesday, January 10, 2024. A three-course lunch is included.

I’ll be giving you my up-to-date view on stocks, bonds, currencies commodities, precious metals, and real estate.

And to keep you in suspense, I’ll be throwing a few surprises out there too. Tickets are available for $198.

I’ll be arriving early and leaving late in case anyone wants to have a one-on-one discussion, or just sit around and chew the fat about the financial markets.

The lunch will be held at an exclusive restaurant in central Melbourne, the details of which will be emailed to you.

I look forward to meeting you, and thank you for supporting my research.

To purchase tickets for this luncheon, please click here.

There will be a sale of Jacquie’s Post on January 2, 2024. So, that’s the day to jump in and secure a great discount on this product. If you know anyone who could benefit from this product, make sure you direct them to the madhedgefundtrader.com site and look for Jacquie’s Post. It’s a quality product with excellent guidance and very good stock picks.

This will be my last Post for the year. For the next two weeks, I will take a well-earned break and run some excellent Posts from earlier in the year. They will offer excellent insights into the market, the economy, and the world around us.

Wishing you all a very Happy Christmas and all good things for 2024. Thank you for supporting my research.

Cheers,

Jacquie

December 22, 2023

Diary, Newsletter, Summary

Global Market Comments
December 22, 2023
Fiat Lux

Featured Trade:

(A BUY WRITE PRIMER)

(AAPL)

December 21, 2023

Biotech Letter

Mad Hedge Biotech and Healthcare Letter
December 21, 2023
Fiat Lux

Featured Trade:

(UNLEASHING THE UNDERDOGS)

(NVS), (LLY), (PNT), (RYZB), (MRK), (ABBV)

Unleashing The Underdogs

Biotech Letter

Grab your notebooks because class is in session, and today's topic is radiopharmaceuticals.

Yes, you heard it right - radiopharmaceuticals. It’s not your everyday cocktail party topic, but it's certainly the buzzword in the biotech investing world. And let me tell you, the numbers are sizzling.

Venture capital deals in this sector have shot up by an eye-watering 550% to $408 million this year. Back in 2017, this figure was a mere $63 million. Talk about going from zero to hero.

The global market for these radioactive wonders zoomed past $5.2 billion in 2022 and is now racing towards an estimated $13.67 billion by 2032. That's a CAGR of 10.2% for the statisticians among us.

So, what's cooking in the radiopharmaceutical kitchen? Well, a lot, apparently.

Leading the pack are the heavyweights – Novartis (NVS) and Eli Lilly (LLY). Novartis has thrown its hat into the ring, making radiopharmaceuticals a showstopper in its oncology lineup. With stars like Lutathera and Pluvicto, they're not just playing; they're here to dominate.

As for Eli Lilly, they're playing catch-up but with style. They laid down a cool $1.4 billion for Point Biopharma Global — a biotech gem focusing on radioligand therapies. Notably, Point investors are playing hardball, waiting for a Phase 3 reveal.

Meanwhile, Eli Lilly's also buddied up with Mariana Oncology and its $175 million Series B – these guys are eyeing small cell lung cancer with a glint in their eye.

So, what does this mean for the investor universe? Well, in a nutshell, it's party time. Early-stage companies, especially those with their lab coats on in discovery and preclinical stages, are like magnets to investors right now.

There’s POINT Biopharma, which hails from Indianapolis, that went public on Nasdaq as of July 1, 2021. Remember the ticker symbol “PNT”? That's them, and they currently have roughly $1.33 billion in market cap.

Another promising option is Mallinckrodt Pharmaceuticals. These folks are into everything from specialty pharmaceuticals to, you guessed it, radiopharmaceuticals—an American-Irish charm, if I may say so.

Abdera Therapeutics, a Canadian startup (eh!), is also in the running. This company is all about precision radiotherapeutics. They're eyeing small-cell lung cancer, and they've got the funds to back it up.

And then there’s ARTBIO, with an impressive $90 million Series A six months post-launch.

There’s also RayzeBio (RYZB), which is based in sunny California. They're not just turning heads; they're opening wallets. This company raised a whopping $160 million in Series D last year and then sprinted towards a dazzling $311 million IPO just last September.

Between 2018 and 2023, US-based radiopharmaceutical companies attracted a hefty $1.2 billion in venture financing. The peak? A cool $262 million in 2021. And guess what? Most of this dough was for preclinical and discovery shenanigans.

But let's not forget the hurdles, particularly the supply challenges and overwhelming demand. Yet, despite these hiccups, the sector remains hotter than a summer in the Sahara.

Prior to this, ADCs (Antibody Drug Conjugates) dominated the conversation.

We witnessed Merck (MRK) confidently investing $4 billion in Daiichi Sankyo for their ADC prospects. Lilly was busy forming a cozy partnership with Mablink Bioscience. And let's not forget AbbVie (ABBV), which generously splurged $10.1 billion on ImmunoGen's Elahere.

To this day, ADCs are still the talk of the town. But here's the thing: radiotherapeutics might be the underdog next to ADCs, but they're catching up. Fast.

This sector is bubbling with potential, simmering with innovation. For investors and pharma bigwigs, radiopharmaceuticals are more than just a fad. They're the future.

So, what's the takeaway? Radiotherapeutics might not be grabbing the spotlight like ADCs, but they’re like that quiet kid in class who ends up acing the test.

Mark my words. This is one space in oncology that's set to make some serious noise in the coming years.

December 21, 2023

Diary, Newsletter, Summary

Global Market Comments
December 21, 2023
Fiat Lux

Featured Trade:

(JACQUIE MUNRO JANUARY 9, 2024 BRISBANE, AUSTRALIA STRATEGY LUNCHEON)
(JACQUIE MUNRO JANUARY 10, 2024 MELBOURNE, AUSTRALIA STRATEGY LUNCHEON)
(THE EIGHT WORST TRADES IN HISTORY)

SOLD OUT - Tuesday, July 2, 2024 Vancouver, Canada Strategy Luncheon

Lunch

Come join me for lunch for my Global Strategy Luncheon, which I will be conducting in Vancouver, Canada at 12:00 PM on Tuesday, July 2, 2024. A three-course lunch is included.

I’ll be giving you my up-to-date view on stocks, bonds, currencies commodities, precious metals, and real estate.

And to keep you in suspense, I’ll be throwing a few surprises out there too. Enough charts, tables, graphs, and statistics will be thrown at you to keep your ears ringing for a week. Tickets are available for $249.

I’ll be arriving early and leaving late in case anyone wants to have a one-on-one discussion, or just sit around and chew the fat about the financial markets.

The lunch will be held at an exclusive private club in central Vancouver, the details of which will be emailed to you.

I look forward to meeting you, and thank you for supporting my research.

To purchase tickets for the luncheon, please click on the BUY NOW button above or click here.

Microsoft Unveils Their 2024 AI Spending Plan

Mad Hedge AI

The year 2023 witnessed Microsoft making bold moves in the AI arena, with a reported $50 billion budget for data center buildouts alone. Now, as we turn the corner into 2024, the tech giant is raising the stakes, unveiling a revised spending plan that promises to further fuel its AI ambitions.

Amplifying the Investment: Brace yourself for bigger numbers. Microsoft is reportedly planning to inject an additional $20 billion into AI initiatives in 2024, bringing the total spend to a staggering $70 billion. This significant increase demonstrates Microsoft's unwavering commitment to solidifying its position as a leader in the rapidly evolving world of AI.

Strategic Focus for the Funds: But where will this colossal cash influx be directed? Here's a breakdown of the key areas targeted in Microsoft's 2024 AI spending plan:

Data Center Expansion: The data center buildout marathon continues, with the additional funds likely dedicated to expanding existing facilities and establishing new ones across the globe. This global network of AI powerhouses will provide the computational muscle needed for advanced research, development, and deployment of AI projects.
Talent Acquisition and Retention: Recognizing the importance of brainpower, Microsoft plans to ramp up its efforts in attracting and retaining top AI talent. This includes recruiting world-renowned researchers, engineers, and data scientists, as well as fostering a dynamic internal environment that nurtures AI expertise.
Partnerships and Acquisitions: Collaboration and strategic acquisitions are crucial in the competitive AI landscape. Microsoft will likely utilize a portion of its budget to forge partnerships with leading AI startups and research institutions, while also seeking potential acquisitions that complement its existing technologies and expertise.
Focus Areas: Expect the acceleration of investments in specific AI domains that Microsoft deems crucial for future growth. This might include areas like natural language processing, computer vision, robotics, and quantum computing, along with industry-specific applications in healthcare, finance, and manufacturing.

The Implications: Microsoft's ambitious 2024 AI spending plan has far-reaching implications:

Intensified AI Race: This move is likely to amplify the competitive heat in the AI race, with other tech giants feeling pressure to keep pace. This could lead to even faster advancements and broader accessibility of AI technologies for consumers and businesses.
Impact on Industries: As Microsoft's AI prowess grows, expect a significant impact on various industries. From personalized medicine to automated manufacturing, AI-powered solutions will reshape how we work, live, and interact with technology.
Ethical Considerations: With increased power comes increased responsibility. Microsoft's significant AI investments necessitate continued focus on ethical AI development and deployment. Issues like data privacy, algorithmic bias, and responsible use of AI must remain at the forefront of the conversation.

Looking Ahead: Microsoft's 2024 AI spending plan is a bold declaration of intent, signaling the company's unwavering commitment to becoming a dominant force in shaping the future of AI. This significant investment promises to accelerate innovation, reshape industries, and raise crucial ethical questions that will impact us all. As we watch this AI story unfold, it's essential to engage in open dialogue and ensure that its potential benefits are maximized, while potential risks are carefully mitigated. The year 2024 is poised to be a pivotal one for AI, and Microsoft's ambitious spending plan is sure to be a driving force in this fascinating technological revolution.

December 20, 2023

Tech Letter

Mad Hedge Technology Letter
December 20, 2023
Fiat Lux

Featured Trade:

(FUTURE OF AI PATENTS AND LAW)
(CHINA), (NEURALINK)