This bleeding-edge technology has huge upside and poised for a breakout

Today’s issue in preview:

• This bleeding-edge technology has huge upside and poised for a breakout

• The world is going wild for this exploding energy sector. Do you own it?

• We nailed the health care rally. How to trade it from here.

• Our incredible track record gets even better. Our thematic trades in Dell, Bitcoin Miners, Solar Energy, and Space generate a fresh round of profits.

The world is going wild for this exploding energy sector. Do you own it?

Credit: Bilanol

As you read this, the world is going wild for solar energy stocks. And don’t say I didn’t warn you.

This morning, First Solar (FSLR) surged 9% to reach a new one-year high. First Solar is one of the world’s largest solar energy equipment firms. It designs and manufactures solar energy panels for large customers like utilities and independent power producers. With a $32 billion market cap, First Solar is one of the world’s largest solar energy companies. It’s a bellwether of the industry.

First Solar’s big rally today pushed the Invesco Solar ETF (TAN) 2.2% higher to reach new one-year highs.

This surge in value makes our Sept. 23 recommendation to own it a big winner, up 64% in less than nine months. It also makes solar energy one of the market’s hottest sectors.

The bull case for solar energy is simple: Given AI’s enormous promise, giants like Google, Meta, Microsoft, and OpenAI are spending trillions of dollars on data centers, AI chips, and other infrastructure components. It’s the largest collective investment effort in history.

All that AI infrastructure is becoming a massive new source of electricity demand, driving a bull market across almost all forms of electric power production. Goldman Sachs forecasts global data center power demand will surge 220% by 2030 compared to 2023 levels. U.S. data centers already account for 7% of U.S. electric power consumption, a figure that is expected to rise significantly.

Industry experts believe solar energy can’t compete with nuclear and fossil fuels to supply the enormous amounts of “always on, always there, baseload” power needed for AI data centers.

However, inexpensive and easily installed solar systems can supply smaller consumers, such as homes, offices, stores, and small factories. This means demand for solar power is increasing because AI is driving up the price of other forms of electricity. Plus, solar is defying skeptics and being integrated into some AI data center power systems.

The world installed a record 597 gigawatts (GW) of solar power in 2024 – a 33% surge over 2023. In the first six months of 2025 alone, the world added 380 GW of new solar capacity – 64% higher than the same period in 2024, when 232 GW were installed. The rapid expansion of solar capacity has made it the fastest-growing source of new electricity generation. In 2024, global solar output rose by 28% (+469 TWh) compared to 2023, more than any other energy source.

China alone added 329 GW of solar capacity in 2024, accounting for 55% of global installations. India more than doubled its installations in 2024, with a 145% annual market increase – 30.7 GW added, up from 12.5 GW in 2023.

Driven by this building boom, many leading solar firms such as First Solar, Sunrun (RUN), and Nextpower Inc. (NXT) are reporting 20%–35% annual top-line growth.

Right after I published my bullish note in September, solar stocks – as tracked by TAN – took off like a rocket, climbing 37% over the next five months. Then, TAN corrected and digested its gains. Over the past month, TAN has broken out of its consolidation area and soared to new highs. During this entire bull run, I’ve published at least six updates reiterating my bullish call.

Although this theme has been a tremendous performer for us, the investment public is largely indifferent towards it. That leads me to think the trend has a lot further to run. It’s a bull market in virtually every form of electric power production… including the one that gets free fuel from the sun.

We nailed the health care rally. How to trade it from here.

Credit: Andy

About two weeks ago, on May 13, I suggested the health care sector was due for a rebound, and trading it from the long side made sense.

To this idea, the market is saying, “So far, so good.” The world’s largest health care-focused ETF – the Health Care Select Sector SPDR Fund (XLV) – is up 3.15% since our note and just reached its highest level in two months. Plus, the Invesco Pharmaceuticals ETF (PJP) – a fund loaded with big drugmaker stocks – is up 3.8% since our note and is poised to break out to a new all-time high.

For more than three years, I’ve made “Boomer health care” one of my highest conviction long-term investment themes.

Regular readers are familiar with the bull case here. More than 10,000 Americans reach retirement age every day. This is the enormous Baby Boom generation entering the phase of life where health care and longevity spending skyrockets. For many boomers, a typical month involves going to see at least one doctor to have something looked at, removed, or treated.

This means many health care businesses are experiencing huge demand now – and will for at least the next decade.

On May 13, I paired this long-term view on health care with an analysis of short-term “sector rotation” money flows. At the time of my note, the health care sector was badly lagging the broad market and due for a “catch-up” rally.

A catch-up rally is exactly what we’ve seen since I issued my bullish health care note. Given health care’s favorable long-term fundamentals driven by the Boomer population, I expect the likes of XLV, PJP, and their constituents have further to run and will add more gains to their nascent rally.

This bleeding-edge technology has huge upside and is poised for a breakout

Credit: Vertigo3d

Could my long-awaited bull market in genomics be at hand?

This morning, the ARK Genomics Revolution ETF (ARKG) jumped 4.4% to trade near a one-year high.

I confess to being slightly biased in my analysis towards this potential megatrend. I’d very much like to see it make a revolutionary impact on our health and wellness. And I’d very much like to make a lot of money in these stocks. Making money while curing the ill has a nice ring to it.

For years now, I’ve kept a close eye on the world of genomics for signs that a powerful bull market is starting… and I’ve kept Money & Megatrends readers apprised of its price action. The bull case for genomic is as follows…

The biotechnology sector comprises companies working on cures and treatments for hundreds of diseases. When investors grow interested in this industry, the returns can be incredible. During the last biotech bull market, the sector soared 300% over four years.

Biotech performed poorly from 2021 through 2025, so most investors are indifferent to it. But I see major potential here. This industry is poised to generate many stock market doubles and triples over the coming decade.

The fusion of AI plus biology will generate dozens of compelling stock narratives over the coming years. Researchers running superintelligent AI programs will be able to run millions of digital simulations of drugs and treatments. This will put medical innovation into overdrive… and create many big stock market winners.

Companies that leverage AI to “crack the code” for various diseases, treatments and drugs will enjoy 100%… 500%… even 1,000%+ stock rallies.

As the trend tailwinds blow for the biotechnology sector, the genomics subsector should do very well.

Genomics is the science of analyzing human DNA – often referred to as the “software code of life” – to create medicines and treatments. Years of innovation in this field have us on the brink of creating many customized treatments based on an individual’s DNA… and even “editing” genes to cure disease. Again, for emphasis, this personalized approach to medicine, paired with super intelligent AI, has us on the cusp 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.

ARKG is one way to track and trade the genomics theme. It owns a basket of bleeding-edge genomic companies. Its largest holding, Tempus AI (TEM), is often cited as a premier way to play “AI in health care.” ARKG also holds significant positions in genetic diagnostic service firms Natera (NTRA) and Illumina (ILMN)… plus positions in promising “gene editing” companies CRISPR Therapeutics (CRSP) and Intellia Therapeutics (NTLA).

As bullish as I am on the future of genomics, I care a lot more about what the market thinks of this trend than what I think of it. As you can see in the chart below, the market is starting to like genomics. ARKG’s surge today has it very close to staging an important upside breakout into new highs. This has me bullish on genomics.

Market Notes

• Our recommendation to own Dell Technologies (DELL) continues to be a huge winner. The computer hardware maker advanced 3.8% this morning, reaching a new one-year high. The stock is up 84% since we highlighted it less than two months ago.

• Our recommendation to own “soon-to-be-neoclouds” – aka Bitcoin Miners – is off to an incredible start. Riot Platforms (RIOT) gained 5% this morning to reach a new one-year high. The stock is up 52% since we highlighted it less than one month ago.

• Our recommendation to ignore AI bears and stay long is paying off. AI data center networking stock Astera Labs (ALAB) just hit a new high. Data storage giant Seagate Technology (STX) and test equipment leader Cohu (COHU) also just reached new highs.

• Our January 21st recommendation to buy Redwire (RDW) is paying off. It reached a new high today and is now up 179% in the last month alone.

• Our December 17th recommendation to own drone stocks has performed well. Unusual Machines (UMAC) is up 48% today, Ondas Holdings (ONDS) is up 19% today, and Elbit Systems (ESLT) is up 6% today.

Regards,

Brian Hunt
Editor, Money & Megatrends

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