A one quadrillion new wealth wave.
That's 30x bigger than the entire U.S. economy, but Jeff Brown and Marc Chaikin are predicting that Elon Musk's latest innovation and an infallible market prophecy will come together to make it a reality, setting up one “M.A.G.I. Supplier Stock” for massive gains.
The Teaser
Tesla just filed a new patent for something scientists have been trying to develop for almost 50 years.
Investment newsletter legends Jeff Brown and Marc Chaikin are no strangers to bold takes and big predictions. They've been staples of their previous teasers, such as Jeff's Orbital AI Chipmaker Stock and Marc's #1 AI Stock.
This joint teaser is no different, centering around two distinctive themes:
- An artificial intelligence breakthrough
- A market event that has predicted every correction over the past century
When these collide, not before July 30th, which has come and gone, it will open a window to secure generational wealth.
The breakthrough goes back to the patent filing by Elon Musk's Tesla.
On April 16th, Tesla published a pair of international patent applications for “mechanically actuated, tendon-driven architecture.”
These refer to the most challenging part of building a multipurpose humanoid robot, it's arms and hands.
If you stop and think about, the human hand has incredibly dexterity. It's capable of performing myriads of tasks from writing to being able to clutch and hold an infinite number of objects.
Many venture-backed startups are working on the dexterity problem, but Tesla is hoping to solve it first by relocating heavy actuators to the forearm, routing cables through a sophisticated wrist design, and employing joint assemblies to achieve human-like dexterity while still maintaining lightweight construction for high-volume manufacturing.
Jeff believes this, along with the upcoming release of Grok 5, which is widely expected by the end of the year, are the M.A.G.I. (Manifested Artificial General Intelligence) breakthrough that the world has been waiting for.
But it's only the first part of Jeff and Marc's setup that will cause one “M.A.G.I. Supplier Stock” to surge.
The Pitch
The name of this stock is only revealed inside a report called The Elon Musk Moonshot: The #1 Stock for the Manifested AGI Revolution.
It's made available to subscribers of Brownstone Research's Near Future Report newsletter.
A one-year subscription sets us back $179, 64% off the regular price of $499, and it comes with two bonus reports, a subscription to Marc Chaikin's Power Guage, as well as a 30-day money-back guarantee.
The Market's Most Reliable Pattern
On November 4th, 1930, the Democrats gained 52 seats while Republicans retained a narrow one-seat majority in that year's midterm elections.
It was an otherwise forgettable event, except for what happened in the stock market.
Marc and other's analysis of returns for the S&P 500 since 1930 has revealed that the path of stocks during midterm election years differs noticeably compared to other years.
That is, it tends to underperform by nearly 5% during the election cycle.
However, if you had bought stocks during this period and held on for the next twelve months, you would have made money every single time!
A 100% win rate.
What's more, if we would have invested $10k into select internet stocks during the 1998 midterm election cycle, we could have turned it into more than $200k by the year 2000.
This is the “market prophecy” that could be due to repeat this coming November. Pair it with the big M.A.G.I. breakthrough and Jeff and Marc are of the mind that the upswing could be of “historic proportions.”
One company that supplies Tesla with a key piece of technology is positioned for outsized gains in such a scenario. Let's find out what it is.
Revealing Brown & Chaikin's M.A.G.I. Elon Musk Supplier Stock
We are now firmly in the humanoid robot deployment timeline and one name in particular stands out to both Jeff and Marc.
- It's tech is critical for general-purpose humanoid robots.
- The company converts and delivers power to robot acuators, which are responsible for its arms, hands, and feet.
- Morgan Stanley recommended it as one of the ways to play the robotics trend.
Setting overseas suppliers aside, the domestic name that stands out is a Jeff Brown favorite, ON Semiconductor Corp. (Nasdaq: ON).
- onsemi's diverse product range includes power switches, battery management solutions, controllers, and more.
- A well-known Tesla supplier, the company provides it with power semiconductors for energy efficiency and reduction.
- Morgan Stanley names it as a robotics “picks and shovels” play in it's Humanoid Tech 25 report.
Bonus Stocks
Before calling it a day, Jeff teases one more stock…
- It's the best way to profit from Tesla's Terafab semiconductor manufacturing facility that will make the chips that power it's Optimus robots.
- This company has been selected by Tesla to supply semiconductor manufacturing equipment to Terafab.
A few companies match the description, but Applied Materials Inc. (Nasdaq: AMAT) is the best fit.
- Applied Materials has been approached to supply key semiconductor manufacturing tools for the new Terafab project.
Finally, there's a free pick, named just before the one hour and thirteen minute presentation wraps up.
It's none other than Advanced Micro Devices Inc. (Nasdaq: AMD). A CPU and GPU chipmaker, it's been and continues to be a prime beneficiary of the AI infrastructure build out.
A Moonshot and Multibaggers?
The biggest product of any kind in history.
This is Elon Musk's lofty humanoid robot prediction.
It's also what Jeff and Marc are basing part of their moonshot thesis on. The other part is the post-midterm election market upswing continuing.
I like the odds of the latter more than the former.
Tesla's Optimus is now expected to be available for public sale by the end of next year after repeated delays. Of course, this depends on dexterity breakthroughs and a more intelligent form of AI coming to pass, as the fellas rightly pointed out in their teaser. Raw materials for batteries, specifically their availability, will also have something to say about this timeline.
Eventually, the technology will catch up to the potential, but the when could realistically still be a decade away.
Onsemi's 50x earnings multiple may not hold up until then, although compute demand will see it through.
As for the bonus stocks, another 50x and 124x earnings multiples, respectively for Applied Materials and AMD. High enough to frighten value investors like myself and small animals away.
If you already own these names, there's good reason to hang on for the long-term, as humanoid robots, robotaxis, and autonomous logistics are all shaping up to be trillion dollar industries. But if they aren't already part of your portfolio, I wouldn't chase them at the current ask price.
I like the thesis and the picks, just not the prices.
Quick Recap & Conclusion
- Jeff Brown and Marc Chaikin are predicting that Elon Musk's latest innovation and an infallible market prophecy are coming together to set up one “M.A.G.I. Supplier Stock” for massive gains.
- M.A.G.I. stands for Manifested Artificial General Intelligence, while the infallible market prophecy is the very real midterm election cycle dip, and subsequent upswing.
- The name of the stock positioned to profit the most from this setup is revealed inside a report called The Elon Musk Moonshot: The #1 Stock for the Manifested AGI Revolution. It can be ours with a one-year subscription to the Near Future Report newsletter, which would set us back $179, normally $499.
- However, we were able to reveal it for free as ON Semiconductor Corp. (Nasdaq: ON), along with two more bonus stocks: Applied Materials Inc. (Nasdaq: AMAT) and Advanced Micro Devices Inc. (Nasdaq: AMD).
- Multiples for all three are already high, so any additional expansion is highly reliant on new growth markets that I don't see coming to fruition over the short/mid-term.
Will Manifested Artificial General Intelligence happen this year? Tell us what you think in the comments below.