Artificial Intelligence (AI) is still in its early days, but soon it will be doing a lot more than just typing out our emails.
Financial commentator Shah Gilani has found three “AI Stealth Stocks” that he says will crush Nvidia, Microsoft, and Alphabet in the years ahead, with more than 2,000% upside over the next three years.
The Teaser
The companies truly revolutionizing AI aren't on media campaigns or hiring PR firms to churn out press releases. They're silently and diligently putting all their effort into their technology that will create world-class businesses.
Shah Gilani calls himself a “trader's trader” and as a two-time former hedge fund founder, he may be right. Nowadays, Shah edits several investment newsletters like the Hyperdrive Portfolio which we reviewed and he makes stock picks that we routinely expose here at Green Bull.
It follows that we don't yet know the names of these companies since they aren't making headlines yet.
Shah says it reminds him of the 1990s when he was running a trading desk on Wall Street and a tiny company named Dell Computers went on a tear.
In 1997 it happened again, with Qualcomm coming out of nowhere with cellular networks, creating the mobile phone market. Shares sold for $2.50 at the time. But then they went on an epic multiyear run, handing early investors gains of 3,400%, enough to turn $10,000 into $350,000.
The Greatest Wealth Creator Ever
PC revolutions, the mobile phone, they may all pale in comparison to the impact AI will have.
The economic impact of Artificial Intelligence is projected to be $15.7 trillion by 2030. As the Visual Capitalist notes, this is the equivalent of adding 13 new Australias to the global economy, leading to a worrying amount of Kangaroos roaming the earth.
For us individual investors, it could be the greatest stock-buying opportunity of our lives and the greatest wealth creator ever.
All we have to do is avoid the wrong companies, like the blue chips – Microsoft, Google, NVIDIA, and Amazon. While investing in young companies with transformative AI that can deliver 10x, 20x, or even 30x gains.
This is what Shah's teaser is all about, three tiny AI companies solving America's most serious problems.
The Pitch
We can get immediate access to dossiers containing info on all three breakthrough AI stocks by becoming members of Shah's new research service L.A.U.N.C.H. Investor.
The service costs $1,497 for the first two years of membership and comes with a minimum of 26 new stock recommendations per year, buy and sell alerts, live private briefings, and more.
Three AI Money Moves to Make Today
All three of Gilani's picks are in industries on which AI is set to have a disproportionate impact.
It starts with defense, as America's military is on a secret AI-spending boom of epic proportions.
AI Breakthrough Stock #1: The WarWise Military AI
The Department of Defense knows breakthrough AI is coming.
That's why The Pentagon requested $874 million for AI last year and DARPA – the innovation arm of the U.S. military is expected to spend over $2 billion on AI tech over the next two to three years.
One AI company just vaulted to prime contractor status with its instant battle plan AI technology Shah calls “WarWise”.
We're told the WarWise program is highly classified, but the jist of it is that it is able to figure out how to attack and destroy enemy compounds in nanoseconds using its vast databank of every military operation ever conducted in history. Powerful stuff.
AI Breakthrough Stock #2: The Impenetrable Security AI
Picture this, you're in the security line to enter your terminal at the airport. You go through the metal detector, arms up over your head like an orangutan and it goes off due to its outdated technology called Advanced Imaging Technology (AIT).
It's so bad that undercover investigators reported 67 out of 70 screenings failed to detect weapons. That's a 95% failure rate.
This is why Shah believes a new AI technology is on the cusp of replacing every TSA screener in every airport in America. It's 1,000 times more advanced at detecting illegal and dangerous weapons and 10 times faster than ordinary metal detectors.
AI Breakthrough Stock #3: The “AI Vision” Chipmaker
Back in the 90s when the demand for computer memory was soaring, a tiny stock called Micron Technology went up by 2,100% in a little over two years.
Now, some 40 years later a new specialized AI chip could make history repeat itself.
Every market from defense to robotics, to electric vehicles (EVs) needs AI chips, and a little-known company is the brains behind AI vision chips.
So what are the names of these early-stage AI businesses?
Revealing Shah Gilani’s AI Stealth Stocks
We get a couple of clues for each pick:
The WarWise Military AI
- It already has nearly $1 billion in Pentagon contracts, which is a complete game changer for this tiny firm. A firm less than 1% as big as military behemoth General Dynamics.
- Their CEO is a 15-year IBM exec steeped in AI experience, including four years with IBM's Watson healthcare unit.
The stock here is BigBear.ai (NYSE: BBAI).
- BigBear is picking up military contracts and is roughly 1% as big as General Dynamics at a current market cap of $287 million, as compared to over $61 billion for GD.
- The company's CEO, Amanda Long was formerly the General Manager of IBM Watson Health Provider Analytics, as well as Chief Product and Strategy Officer of Artificial Intelligence for IBM Watson.
The Impenetrable Security AI
- This company's sales skyrocketed 222% and it has $465 million in booked backlog.
- Its customer list is rapidly expanding: Gillette Stadium, the Met, Butler University, Hard Rock, and almost 1,700 hospitals, schools, stadiums, and all kinds of other businesses. It stopped more than 100,000 weapons from coming into various venues last year.
Shah's pick here is Evolv Technologies Holdings Inc. (Nasdaq: EVLV).
- As of the end of Q1 2023, Evolv's subscription revenue was up 206% year-over-year.
- Gillette Stadium, among many others, uses Evolv's AI weapons detection system.
The “AI Vision” Chipmaker
- Nobody can touch the little-known company that is the brains behind the AI vision chips. They've practically cornered the market with 299 patents.
- This tiny company is already partnering with Mercedes Benz, Ford, Rivian, Renault, and Toyota, and they're being used in China.
This one was much harder to pin down due to many small AI chipmakers still being private companies. But one that is not and matches Shah's description is Ambarella Inc. (Nasdaq: AMBA).
- Ambarella holds more than 300 patents and counting.
- The company's family of AI chips for autonomous vehicles is being used by the likes of Rivian, Toyota, and others.
The Key to a 2,100% Return in the Next 3 Years?
There's a lot to like about Shah's picks.
All are small-caps, which means plenty of upside, he's taken a diversified approach rather than attempting to find one-stock-that-beats-them-all, and he's made sure each company is already growing at an above-average rate.
2,100% over the next 3 years is well within the realm of possibility with these stocks given the growing number of applications for Artificial Intelligence.
Quick Recap & Conclusion
- Financial commentator Shah Gilani has found three “AI Stealth Stocks” that he says will crush Nvidia, Microsoft, and Alphabet in the years ahead, with more than 2,000% upside over the next three years.
- All three of Gilani's picks are in industries on which AI is set to have a disproportionate impact, like defense, security, and electric vehicles.
- We can get the names of all three breakthrough AI stocks by becoming members of Shah's new research service L.A.U.N.C.H. Investor. The cost to do so is $1,497 for the first two years of membership.
- Following some heavy-duty internet sleuthing, we were able to reveal the name of all three of Shah's picks as BigBear.ai (NYSE: BBAI), Evolv Technologies Holdings Inc. (Nasdaq: EVLV), and Ambarella Inc. (Nasdaq: AMBA).
- I like the idea of buying a small basket of up-and-coming AI companies for above-average returns over the long term.
How many AI small-cap stocks are in your portfolio? Tell us in the comment section below.