"" is an online presentation by well-known and particular investor and consultant, Jeff Brown. In this discussion, he is advertising his newsletter service, called the . In addition, the stock he is reviewing and recommending on in the online video is a business that remains in the innovation area and makes semiconductor chips. What is a semiconductor chip? It's a device made of interconnected electronic components that are etched or inscribed onto a small piece of semiconducting product, such as silicon or germanium. A semiconductor chip smaller sized than a fingernail can hold countless circuits. Normally, these are simply called "chips." This business has developed a chip that will be used to access the 5G network which is presently being set up in numerous areas on the planet (white house).
This will affect both our careers, how we buy things online, and how we interact. Brown goes over that the most significant effect will be on "technologies of the future." What are "innovations of the future"? Some examples would be: self-governing vehicles, the Web of Things (Io, T), hologram innovation, robotic surgical treatment, language translation without delays, enhanced truth, and virtual truth. That's a lot! But it will likewise influence on things we utilize every day. The most significant of which is our smart devices. For instance, Samsung has currently started adding 5G ability to its new phone releases. In truth, Jeff showcases one that can use 5G.
A hardly ever understood business that might have a monopoly over the invaluable chip. Brown says that the demand for those chips by other phone producers could badly boost the chip maker's profits and lead to a strong rise in its stock cost. Up until now, huge tech companies like Samsung, Huawei, and Apple have positioned orders for the extremely desired 5G chips. With these essential partnerships in location, its stock might soar in the next couple of years as strong need for 5G-capable smartphones dramatically increases. Brown states that by the time 5G reaches mass adoption worldwide when as much as 250 million gadgets will be purchased, the obscure business could see its earnings reach $3.
Van Bryan here, Jeff Brown's longtime handling editor. Welcome back to Jeff's 2021 prediction series. Over the next couple of days, Jeff is sharing his thoughts on the year that was and providing a few forecasts for the year ahead. For today's Bleeding Edge, I sat down with Jeff to discuss what a Biden administration could suggest for the high-technology sector and the broader equities market. Keep reading Jeff, let's turn to the election. Besides COVID-19, it was likely the most discussed story of the year. You were on record forecasting that President Trump would win reelection. Can you bring readers up to speed? That's right.
And as I stated at the time, that wasn't a political endorsement. I understand the president can be a polarizing figure. This was just the conclusion I concerned based upon my analysis - tech stocks. And what my analysis was showing was that the policies pursued by the existing administration had actually developed one of the most robust economies in current history. Specifically, I think there were 4 crucial pillars: Reducing corporate and middle-income taxes Cutting unwanted policy Reinvesting in American production Renegotiating unreasonable trade policies with America's trading partners We don't have time to discuss every one of these in detail. I in fact composed a whole report on this subject earlier this year - democratic republic.
Prior to COVID-19, unemployment was at a 50-year low. The U.S. wage and income development rate had actually roughly doubled from late 2016 (jeff brown biotech picks). And the administration was tackling some unjust trade practices and copyright theft that had actually been overlooked for years. Financiers had a lot to be thankful for. The three significant indices saw extraordinary development throughout the very first couple of years of the Trump administration (future report). And now election night lags us. There are still numerous legal difficulties being considered, but for now, it appears that Joe Biden will be the next president of the United States. What are the implications for the innovation markets? You're right.
We'll have to wait to see what occurs there. But for now, let's presume Joe Biden takes office on the 20th of January. What does that mean for the high-technology sector? The message I wish to provide to readers firstly is this: No matter who is president, technology and biotechnology are going to have an unbelievable year in 2021. I've spent 35 years as an innovation financier and near 30 years as a high-technology executive. And I have actually never seen the confluence of innovations that we are seeing right now. We have a mix of developments occurring in expert system and artificial intelligence.
We have widespread, affordable, essentially unrestricted computing power and storage. And we likewise have the implementation of innovative wireless technology with 5G. This is going to kick off a suite of new innovation applications that would have been impossible even simply a few months back. And this is all happening at the very same time. [Be sure you examine your inbox tomorrow afternoon. I'll be speaking to Jeff about the most significant 5G stories of 2020, and I'll ask him for his No. 1 5G prediction for 2021] This confluence is accelerating the rate of technological modification. Each of these technologies affects the others.
It's not an intellectual drawback. It's just that our brains are not wired to think tremendously. Which's what we're visiting in 2021. Exponential development is among the most effective forces in technology investing. This type of growth slips up on us. It appears direct in the beginning. However then there is a sharp "elbow," and the pattern goes vertical. And the speed at which that occurs is why most do not identify it until far too late. In hindsight, though, it's simple to spot. That's why my objective is to help my readers invest in the most appealing tech companies right prior to that elbow - black sea.
Could that have implications for stocks? Financiers are probably familiar with the Tax Cuts and Jobs Act. It was the most significant tax reform law given that the 1981 Reagan tax reforms. the legacy report predictions. One of the biggest things the law did was lower the corporate tax rate from 35% to 21%. That made American business taxes the most affordable they have actually been because 1938. And one of the big repercussions of this was that corporations needed to choose what they would make with all the cash they were conserving. They mainly did 2 things. They invested in brand-new devices, centers, and research and advancement.
[Stock buybacks are when a company buys its own shares and minimizes the variety of exceptional shares, thus increasing the worth of staying shares (exponential tech investor).] Both things were great for equity costs and investors in American companies - jeff brown 2021 stock predictions. But if President Biden can press through greater business and personal tax rates, that would have a negative effect. It'll minimize intake and negatively affect the stock exchange. We'll need to see if that takes place or not. However that's why I'll continue to focus on the world of high technology in 2021. Believe about it. If a company provides a revolutionary product, service, or therapy, will it matter who is sitting in the Oval Office? It won't.
And if the markets do experience a dip throughout the next administration, that might be a fantastic purchasing opportunity for a few of the interesting business I have on my radar. I'll make certain to keep my subscribers published if there's any action we require to take. Thanks as always, Jeff. Anytime. Like what you're checking out? Send your ideas to [e-mail protected] (what is the legacy report predicting).
Colleague Jeff Brown is our go-to person for all things tech. He spent 25 years as a state-of-the-art executive at some of the best tech companies in the world, like Qualcomm and NXP Semiconductors. And as an active and effective angel financier in early-stage tech business, he has access to details the public never ever sees - brownstone research stock. He's on the cutting edge, in the field, seeing things months or years prior to the crowd catches on. Our mission at The Daily Cut is to help area market megatrends early on so you can profit ahead of the crowd. So today, we're sharing 5 of Jeff's tech forecasts for 2021 - longtime readers.
At the end of each year, I like to have a look at the huge picture and anticipate what's coming simply around the corner - tech stocks. Longtime readers of my work know I follow the most interesting tech patterns on the edge of mass adoption. That consists of things like 5G networks, biotech, synthetic intelligence (AI), and much more. These trends are experiencing rapid development and creating unbelievable chances for financiers. I desire to make sure all my readers are gotten ready for what's next. So with that in mind, I'll share five things I see being available in the next 12 months Our brand-new 5G (fifth-generation) wireless networks are a topic I have actually been covering for years now (jeff brown prediction).
Even with the COVID-19 pandemic raving, an excellent 250 million 5G-enabled devices were still sold in 2015. However specifically in the 2nd quarter, there were supply chain disturbances, making hold-ups, and work interruptions (angel investor). All of this ultimately resulted in Apple (AAPL) postponing the release of the 5G-enabled i, Phone 12 by 2 months. Losing 2 months of production and sales really impacts how many 5G gadgets are offered in the fiscal year. When you think about that, selling 250 million systems is amazing. More importantly, the hold-ups the pandemic caused produced a lots of suppressed demand. That need has now been pushed into 2021.
Which's not my only 5G forecast The 5G network rollout has three various stages. In Stage One, companies and governments build out the infrastructure of these brand-new networks, including all the new towers and fiber-optic circuitry 5G needs. In Phase Two, 5G-enabled devices go on sale. 5G phones and other products start to reach customers. In Stage Three, telecom business start using 5G services. That's when we begin to see applications working on 5G networks. Consider things like massively multiplayer games over a cellphone. That's not possible with 4G. It will be with 5G. And my 2nd 5G prediction for 2021 is that we will begin Phase Three by this summertime.
But they will care if there are interesting applications they can access just with a 5G phone. So more and more consumers will purchase 5G phones to gain access to these applications - the legacy report prediction. That causes the advancement of more 5G apps (second wave). In fact, 5G is going to open a suite of unbelievable applications: self-driving automobiles, the Web of Things, robotic surgery, and more. All of these technologies need 5G. The investment chances going forward will be massive. Stepping away from 5G, the next essential innovation I visualize expanding in 2021 is CRISPR hereditary modifying. CRISPR stands for "clustered frequently interspaced short palindromic repeat." It's a mouthful.
At a high level, CRISPR can modify our hereditary makeup as if it were software application. If there's a "typo" in software application code, it can be disastrous. A program can crash or not function properly. CRISPR uses a comparable idea however with our hereditary code. "Typos" in our genomes can lead to illness - jeff brown top stock pick 2021. CRISPR can fix these "typos - jeff brown stock predictions." For several years, CRISPR was mainly a specific niche technology that wasn't well understood. During that time, there were truly just three companies operating in this space. However things are changing. CRISPR is no longer just theoretical. We're seeing actual results. We're treating illness and seeing that this technology works.