Stocks for investing in a massive new AI trend

Today’s issue in preview:

• Stocks for investing in a massive new AI trend

• This AI trade has turned into a moneymaking juggernaut

• This industry has massive upside potential. How to trade it from here

• Learn our Top Themes to buy now

Stocks for investing in a massive new AI trend

Credit: BlackJack3D

To track and trade the world’s strongest business and technology trends, our Global Trend Tracker monitors over 170 industry groups, over 30 proprietary thematic indexes, over 70 ETFs, and over 3,500 public stocks.

This trend-tracking system serves as our “all-seeing eye” – an early-detection system that tracks money flows and shifts in the market climate.

It is designed to identify powerful trends early in their lifespans, giving us the opportunity to capitalize on them before they become widely recognized. A business, product, or technology trend can barely twitch without being picked up by our Global Trend Tracker.

Today, one of the powerful messages our trend tracker is sending is that the genomics theme is booming… and our longstanding recommendation to be long this megatrend is paying off massively.

This week, genomics-related companies and ETFs reaching important new highs include:

• Illumina (ILMN) is a leader in DNA sequencing systems and genomic analysis tools used in research, diagnostics, and precision medicine.

• Guardant Health (GH), which develops blood-based cancer tests for early detection, treatment selection, recurrence monitoring, and precision oncology.

• Twist Bioscience (TWST) is a manufacturer of synthetic DNA products used in drug discovery, diagnostics, genetic research, and next-generation sequencing.

• 10x Genomics (TXG) is a maker of advanced genomic research tools for analyzing individual cells, tissues, and spatial patterns of gene activity.

• Adaptive Biotechnologies (ADPT), which analyzes immune-system genetics to develop tests and research tools for cancer, autoimmune, and infectious diseases.

• GRAIL (GRAL) is a leading developer of blood-based screening tests designed to detect dozens of different cancers at their earliest stages.

• The ARK Genomic Revolution ETF (ARKG) is one of the world’s most “bleeding-edge genomics-centric” ETFs.

Money & Megatrends readers in good standing are not surprised to see the genomics theme surge to new highs. On Oct. 9, 2025, we detailed the sector’s large upside potential and recommended getting long.

Over the past year, we’ve written over 20 research notes about the extraordinary upside potential of biotech and genomics. I don’t know of any other research publication that has been so early to this trend and written so frequently and emphatically about it.

Since our original note, many of the most important genomics companies have skyrocketed.

Genomics is the science of analyzing human DNA – the “software code of life” – to create tests, medicines, and treatments.

Years of innovation in this field are allowing healthcare firms to create customized treatments based on an individual’s DNA… and even “edit” genes to cure disease. This field is in the early innings of being transformed and turbocharged by AI. Super-intelligent computer programs can analyze massive datasets to enable early detection and personalized treatments. They are starting to design entirely new drugs.

The fusion of AI and genomics is generating massive winners in the stock market. We believe this trend is in its early stages. Researchers running superintelligent AI programs will be able to create useful new diagnostics and run millions of digital simulations of drugs and treatments. This will put medical innovation into overdrive… and create many big stock market winners.

This AI-driven, personalized, and preventative approach has us in the early innings of a historic revolution in healthcare. Ten years from now, medicine will be transformed… and a lot of money will be made along the way.

I’ve frequently mentioned how the ARKG is a good way to track and trade the genomics theme. It owns a basket of bleeding-edge genomic companies.

One of its largest holdings, Tempus AI (TEM), is often cited as a premier way to play “AI in health care.” It holds 10x Genomics and Twist Bioscience. It also holds significant positions in Guardant and Illumina… plus positions in promising “gene editing” companies CRISPR Therapeutics (CRSP) and Intellia Therapeutics (NTLA).

Getting into the genomics theme has proven to be one of our top-performing recommendations of the past two years. This sector was relatively small when we recommended getting into it. This means even modest new inflows of money can have enormous effects on stock prices.

Since our October 2025 recommendation, GH is up 181%. ILMN is up 204%. TWST is up 533%. TXG is up an extraordinary 681%.

These big individual moves have powered ARKG to a 74% since our 2025 recommendation, making it one of the world’s top-performing ETFs over that time.

After going on such a big run in such a short time, it is reasonable to expect the genomics theme to correct and digest its gains. But given how early we are in the process of “AI + genomics-based” diagnostics, analytics, and drug development, any such correction will likely be followed by another leg up for this high-growth industry.

This AI trade has turned into a moneymaking juggernaut

Credit: ismagilov

Genomics isn’t the only well-timed Money & Megatrends theme on the stock market leaderboard. The cybersecurity sector is leading the market… and making our March 27 recommendation to get long the sector a large winner.

This week, cybersecurity stocks reaching important new highs include Palo Alto Networks (PANW), CrowdStrike (CRWD), Fortinet (FTNT), Okta (OKTA), Rubrik (RBRK, and SentinelOne (S).

These strong individual performers have helped make the Global X Cybersecurity ETF (BUG) a large winner, up 88% over the past six months. The fund reached an all-time high this morning.

Back in March, we detailed how cybersecurity stocks were a compelling way to invest in our forecasted Agent Supernova, which is the explosion of AI agents that work for us, think for us, shop for us, invest for us, and solve hundreds of different problems for us.

In that issue, we detailed how this Agent Supernova was poised to explode, creating a huge number of new cybersecurity threats across banking, transportation, social media, energy production, healthcare, manufacturing, and many other industries.

If we’re going to have millions of AI agents performing billions of daily tasks in health care, education, energy, transportation, manufacturing, and technology, then we’re going to have billions of points of cybercrime vulnerability. And remember, crooks get to use AI too.

If agents can roam the web, communicate for you, log in to your apps, move money, and modify data at machine speed, then a compromised agent can do the same damage just as fast – now with far less human oversight to catch mistakes or intrusions. We stated this is why well-positioned cybersecurity companies are poised to enjoy years of booming business.

Concerns over AI safety have surged over the past two months, thanks to current and former Anthropic employees airing concerns that AI “could kill us all.”

They have shared precious few details on exactly how AI would do that, but presumably, they have some movie scenarios in mind, such as a “bad” AI taking over nuclear missile launches, developing a killer virus, or taking over transportation systems and causing catastrophic accidents.

Whatever the vector is, the public is now sufficiently spooked over AI. Political leaders are spooked over AI. And business leaders are spooked over AI.

This is all bullish for the cybersecurity business. After all, few things drive large increases in corporate cybersecurity budgets like a global AI panic.

We can see the future very clearly: Your average Fortune 500 CEO will be encouraged by his board to increase the cybersecurity budget. He will be encouraged by his executive team and workforce to increase the cybersecurity budget. Even his wife and kids will encourage him to increase the cybersecurity budget.

After all, the guy on the news said that “AI could kill us all”!

At the time of our March note, cybersecurity stocks – a special type of software stock – had suffered a sharp decline due to investor concerns that AI would disrupt software.

Soon after our note, cybersecurity stocks staged a huge rebound as investors began to believe AI wouldn’t disrupt the business as much as they had thought. CrowdStrike has returned 186%. Palo Alta has returned 169%. The Global X Cybersecurity ETF has returned 93%.

AI is the most exciting and potentially transformational technology of our time. The high-profile concerns aired by AI insiders over the past few months indicate that it’s probably also the most dangerous. That’s bullish for the cybersecurity industry.

This industry has massive upside potential. How to trade it from here

Credit: 3DSculptor

Are the beatings over for space stocks?

Can morale improve and create a new and rewarding bull market here?

We are starting to get indications that this could be the case…

Money & Megatrends readers in good standing will recall our belief that space-related industries will enjoy tremendous growth and generate many large stock market winners over the next five years.

On Sept. 22, 2025, I wrote a bullish piece on space stocks and said it’s a sector that the “public could go wild for.” I stated the bull case like this:

When people think of investing in space, they often go towards the business of launching rockets and Elon Musk’s SpaceX. But many of the most promising “space stocks” are in the business of space-based communication platforms and equipment. Think government surveillance, military communication, GPS, internet service, and cell service.

The best big picture fundamental case for space stocks right now is that the Trump administration believes America is in a hugely important competition with China and other countries for “space dominance.” This means regulatory and financial support for the U.S. space industry.

… Top performing individual space names worth checking out include Rocket Lab (RKLB), BlackSky (BKSY), Planet Labs PBC (PL), and AST SpaceMobile (ASTS).

Soon after our note, many space stocks soared 50%-100%, powered in part by anticipation of SpaceX’s (SPCX) gigantic IPO in June.

After that runup, however, space stocks experienced a large correction. I viewed this correction as natural, given its huge preceding run-up. No sector runs higher week after week in a straight line. The space trade needed to “work off” a lot of froth and enthusiasm.

As you can see in the one-year chart below for RKLB, the correction appears to be ending… and health is being restored to this high-potential trend.

After supergiant Space X, Rocket Lab is America’s largest “space economy” stock.  This makes it one of the most widely followed and widely traded stocks in the industry. Its stock price trend gives us a good “real-time” read on the health of the space trade.

Rocket Lab makes rockets, satellites, and critical spacecraft components. Its Electron rocket launches small satellites into orbit, while its larger, reusable Neutron rocket is under development for heavier payloads.

Rocket Lab also manufactures satellite platforms, solar cells, navigation systems, and other space hardware used by commercial and government customers. Increasingly, the company can design, manufacture, launch, and operate entire satellite systems, making it one of the most vertically integrated competitors to SpaceX. Revenue has soared from $244 million in 2023 to $601 million in 2025.

As you can see in the 18-month chart below, RKLB enjoyed a spring rally and corrected in the summer, along with the rest of the space economy sector. The stock has found a bottom in the $60-$65 per share range, rebounded off it, and reached a one-month high this morning.

By itself, this new constructive price action for one of the leading space stocks does not mean “all clear, back up the truck and buy” for the space trade. However, it’s a step in the right direction. This high-potential trade is now near the top of our watch list.

Market Notes

• Our recommendation to ignore the AI bears and stay long the AI infrastructure trade continues to pay off. AI leaders Nvidia (NVDA), Advanced Micro Devices (AMD), and Everpure (P) all hit new highs today.

• Our February 20^th recommendation to get long Brazil is doing well. Itau Unibanco (ITUB) and Banco Bradesco (BBD) just hit new highs.

• Leading diagnostics firm GRAIL (GRAL) continues to lead the market. The stock reached a new one-year high today. It is up 165% since our bullish June 12 note.

• The Made in America megatrend we’ve been forecasting continues to generate stock winners. ProtoLabs (PRLB) is off to a good start as the stock just hit a new yearly high. Our pick-to-click Xometry (XMTR) also reached a one-year high.

Regards,

Brian Hunt
Editor, Money & Megatrends

An urgent message from our colleagues:

Elon’s Big Lie

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Here’s what he’s hiding.