This industry is poised to generate dozens of big winners… and you won’t buy it

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Today’s issue in preview:

• This industry is poised to generate dozens of big winners… and you won’t buy it

• Why I quit my job: We have entered the most dangerous – and most lucrative – stock market in history

• How the next phase of AI could play right into Apple’s hands

• Learn our Top Themes to buy now

This industry is poised to generate dozens of big winners… and you won’t buy it

Credit: Oselote

It turns out, being bullish on biotech was a good idea.

Over the past 10 days, biotechnology drug giants Amgen (AMGN), Biogen (BIIB), and Gilead Sciences (GILD) reached new one-year highs.

These strong individual performers have powered the iShares Nasdaq Biotechnology ETF (IBB) to a 36% return over the past year.

Regular readers are familiar with our bullish stance on biotechnology. On Aug. 18, 2025, I sent a research note to colleagues detailing my bullish stance on the sector. Since then, I’ve written over a dozen updates on the biotech bull market, as the sector has staged a huge rally, with the large-cap biotech IBB returning 51% and the smaller biotech-focused SPDR S&P Biotech ETF (XBI) returning 68%.

The biotechnology sector occupies a unique spot in the healthcare industry. It is full of 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.

Because biotech performed poorly from 2021 to mid-2025, most investors are indifferent to it. But this industry one of the clear market leaders of the past year. I believe its momentum will continue.

I see a future where the convergence of AI and biology creates dozens of large investment opportunities. Armed with increasingly powerful AI systems, researchers will be able to run millions of digital simulations, identify promising drug candidates, predict how treatments will interact with the human body, and accelerate the discovery process.

Drug development could shift into overdrive. Breakthroughs that once took decades could arrive in years. Diseases once considered untreatable could become manageable or even curable. And as this revolution unfolds, I expect it to generate many compelling stock market narratives, breakthrough companies, and large winners.

Companies that leverage AI to “crack the code” for various diseases, treatments, and drugs will enjoy 100%… 500%… even 1,000%+ stock rallies. In many cases, these rallies will happen thanks to stories and potential… rather than a company generating revenue or earnings.

Biotechnology stocks currently have one of the stock market’s most powerful setups working in their favor. It’s an “Unpopular Uptrend.”

Biotechnology stocks are in a powerful uptrend… yet the investment public is largely indifferent to it. CNBC is not running long segments devoted to the biotech bull market. Biotech newsletters are not flying off the shelves. Biotech CEOs are not popular as podcast guests like Nvidia’s Jensen Huang. If I were to bring up biotech investing at an investment conference, I’d get blank stares in return.

This “state of indifference” is very bullish for biotech stocks. (The same goes for the entire healthcare sector).

I often say that I could profitably trade stocks for the rest of my life by going long established market trends that the public is either indifferent to or hostile towards. It’s literally all I need to generate substantial returns.

This strategy is so effective and so broadly applicable across all asset markets that it is the Swiss Army Knife of trading. It works in every market for several reasons…

One, market trends tend to persist, and winners tend to keep on winning. This is one of the “Iron Laws” of business, markets, and life.

It takes an enormous amount of time, energy, and investment to get a big trend up and running. This goes for technological, business, and macroeconomic trends. Once trends achieve critical mass and develop momentum, they often become like snowballs rolling down a hill… gathering mass and speed in self-reinforcing cycles that last for years.

Second, an ignored market is usually relatively cheap… and often offers high upside potential.

When the public is indifferent towards a theme or asset class, that market will not be bid up to expensive levels. This means the trend could run higher for years. It has plenty of “valuation room” to grow into. Plus, some of the money on the sidelines could eventually pile into the market and drive prices higher.

In other words, “A strong industry uptrend + public indifference towards that industry” is one of the greatest moneymaking equations in all of finance.

The biotech industry has tremendous price momentum working in its favor… plus the investment public is largely indifferent to its success. This is a powerful combination that makes more new highs a high-probability bet.

Why I quit my job: We have entered the most dangerous – and most lucrative – stock market in history

Credit: kuri2000

Right now, you can make money in stocks faster than ever before.

This is one of the foundational beliefs that guides my trading and our analysis at Money & Megatrends.

Stocks of all kinds are moving much faster than they used to.

This acceleration is thanks to the fusion of three modern-day phenomena.

One, technological progress is now advancing at incredible rates that speed up every year. This is creating and changing industries at the fastest rates in history. Second, thanks to the internet and social media, market information now gets disseminated globally at light speed. And finally, AI-powered trading programs and smartphone apps allow hedge funds and individuals to execute rapid trades from anywhere.

Add those up, and you get a stock market that moves much, much faster than it did 20 years ago. Stocks are soaring and crashing at incredible speeds now.

Over the past few years, a variety of investment themes have demonstrated what I’m talking about…

• AI memory storage stocks such as Micron (MU) and Western Digital (WDC) advanced 384% and 489%, respectively, from early 2025 to early 2026.

• AI data center power company Bloom Energy (BE) advanced 594% from early 2025 to early 2026.

• Space-related companies AST SpaceMobile (ASTS) and Rocket Lab (RKLB) advanced 4,191% and 1,681% respectively over a recent two-year period.

• Drone companies Kratos (KTOS) and Ondas (ONDS) advanced 532% and 718%, respectively, over a two-year period.

This list goes on, but you get my point: Right now, you can make money in stocks faster than ever.

This is great news if you know what you’re doing.

However, it’s not all roses. There’s another side to this coin. These days, you can also lose money in stocks faster than ever… especially when you’re on the wrong side of major technological trends like the ones detailed above.

No industry has demonstrated this phenomenon better over the past year than software.

Over the past 15 years, the software industry has been a wonderful place to invest. It gave life to many huge stock market winners. It became a favorite of institutional investors.

But early this year, software stocks suffered one of the fastest large declines in stock market history. Many software stocks dropped 30%-60% in less than four months.

Investors dumped software stocks by the truckload due to worries that AI will enable the creation and maintenance of specialized software at much lower cost than we can now.

The software bears among us say: in the future, a few people using AI will be able to create software that currently requires teams of expensive programmers to produce. HR software, graphic design software, accounting software – you name it – will get a lot cheaper to produce. This will depress software company revenues, profit margins, and P/E multiples.

That’s the long-term bearish outlook for vulnerable software stocks. But in the short term, anything can happen. During the depths of the software crash, the market changed its mind and decided AI isn’t bearish for industry players, at least not for right now.

Since bottoming in April, software stocks have enjoyed a rally for the ages. Notable software stock gains include Snowflake (SNOW), up 137%; ServiceNow (NOW), up 74%; Veeva Systems (VEEV), up 105%; Atlassian (TEAM), up 278%; and Paycom Software (PAYC), up 138%.

This rally made our March 27 recommendation to get long cybersecurity stocks (a type of software stock) a big winner. Two stocks we named – CrowdStrike (CRWD) and Palo Alto Networks (PANW) – are up more than 120%.

The recent software rally has been so powerful that the SPDR S&P Software & Services ETF (XSW) reached a new all-time high this week.

This huge decline and subsequent huge rally have given roller coasters a run for their money. Most importantly, they’ve driven home a critical point: This is not your father’s stock market.

Right now, stocks are rising and falling at awesome speeds. Entire industries are being transformed, disrupted, and reinvented at a pace that simply wasn’t “a thing” just 15 years ago.

Exponential technological progress – much of it driven by artificial intelligence – is accelerating these changes and creating enormous winners and losers in the process. Fortunes are being made and destroyed faster than ever.

For investors, this new reality presents both extraordinary opportunities and extraordinary risks. Blink, and you could miss a powerful uptrend that generates years’ worth of returns in less than six months. Get complacent, and you suffer large losses in a short time.

I believe this “new world” is so fascinating and holds so much opportunity that I quit my regular job to focus on analyzing it, leveraging it, writing about it, and trading it full-time. Consider Money & Megatrends your daily guide to making sense of it all and staying on the right side of the future.

How the next phase of AI could play right into Apple’s hands

Credit: Open AI

For most technology stock shareholders, yesterday – October 22 – was a day to forget.

Many high-profile tech firms plunged 5%-10%. Meta (META) dropped 7%. Memory leader Micron (MU) dropped 6%. The tech-heavy Nasdaq Composite had its worst day since June. The VanEck Semiconductor ETF (SMH) – a key gauge of the AI infrastructure trend’s health – dropped 6%.

However, yesterday was a walk in the park for Apple (AAPL) shareholders.

The stock climbed 1.2% to reach a new all-time high… and its increasingly looking like the market believes Apple will be one of the biggest winners from the coming AI Applications boom.

In our October 12 issue, we detailed how the “AI Applications Layer” is a business and investment area with extraordinary potential over the next three years.

We expect to see dozens of businesses follow in the footsteps of legendary winners such as Amazon, YouTube, Facebook, and Netflix.

These winners didn’t build the physical network of fiber optic lines, routers, servers, and switches that made up the internet. Instead, they built the wonderful businesses on top of that revolutionary infrastructure.

They were the “applications” layer of the internet.

It’s important to understand the applications layer concept because we’re on the cusp of a historic boom in companies that don’t build critical AI “hard infrastructure” such as data centers and semiconductors…but instead build wonderful businesses on top of that infrastructure… just like Apple, Amazon, and Google did with the internet.

I’m talking about AI-centric businesses that revolutionize how we invest, how we develop medicines, how we educate, how we entertain ourselves, how we manufacture, how we shop, how we transfer money, and much more.

The internet changed every industry and created many new ones. AI will do the same.

Investors who follow the Internet applications layer playbook into big AI applications layer winners stand to make giant returns.

Recently, we highlighted how AI-centric data analytics firm Palantir (PLTR) is a powerful example of this strategy. The business is booming, and its stock is up more than 1,000% since Jan. 1, 2024.

In our Oct. 13 issue, we detailed how the market is sending us a message that Apple is emerging as another winner in this trend.

Apple is the largest smartphone seller in the U.S. It also generates substantial revenue by selling iPads, Mac computers, and Apple Watches.

For more than 145 million Americans and more than 1 billion people globally, Apple devices are the primary gateway to the internet and, increasingly, to AI applications. In other words, Apple owns one of the most powerful and valuable digital product distribution networks in all recorded history.

As AI agents become more powerful and useful, consumers will increasingly spend money on agentic apps and services that perform complex tasks, solve problems, and manage their daily lives.

And for more than a billion people, Apple products will be the primary gateway to this new world. Their iPhones, iPads, and Macs will serve as the interfaces through which they interact with AI agents, issue instructions, and receive results. Apple doesn’t have to develop the world’s smartest AI models to become a big beneficiary of the agentic AI revolution. It already owns one of the world’s most valuable digital distribution networks.

Don’t take our word for it, however. Take the market’s word. This week, as many technology leaders were hammered, Apple reached a new all-time high. It looks like, in Apple’s case, AI is going to help the big get bigger, and the rich get richer.

Market Notes

• Our September 2025 recommendation to get long oil and gas stocks continues to pay off. Oil giants Exxon Mobil (XOM), Chevron (CVX), EOG Resources (EOG), ConocoPhillips (COP), APA (APA), Suncor (SU), Canadian Natural Resources (CNQ), Petrobras (PBR), BP (BP), Shell (SHEL), Eni (E) and Equinor (EQNR) hit new one-year highs today.

• Wireless infrastructure and data center REIT American Tower (AMT) hit a new one-year high.

• Fast food giant Chipotle (CMG) reached a new one-year low today.

• Automotive giant and maker of Jeep, Ram, and Chrysler, Stellantis (STLA) reached a new one-year low today.

• Military drone and communications leader Kratos Defense (KTOS) reached a new one-year low today.

• Uranium mining and rare earth leader Energy Fuels (UUUU) just hit a new one-year low.

Regards,

Brian Hunt
Editor, Money & Megatrends

An urgent message from our colleagues:

Trump named it. Scientists built it. Here’s what it means for you.

The name is “Golden Dawn.” That’s what President Trump’s team is calling America’s new Manhattan Project – but for AI. It will span more than 700 miles – making it by far the largest AI infrastructure project ever built. When Trump flips the on switch, Louis Navellier believes it will trigger a $100 trillion reset of the AI markets. For investors who get ahead of it, the timing could mean everything.

Louis’ revealing the one stock at the center of it all right here.