"" is an online discussion by well-known and particular investor and consultant, Jeff Brown. In this presentation, he is marketing his newsletter service, called the . Additionally, the stock he is examining and recommending on in the online video is a company that is in the technology area and makes semiconductor chips. What is a semiconductor chip? It's a gadget made of interconnected electronic elements that are etched or imprinted onto a tiny slice of semiconducting product, such as silicon or germanium. A semiconductor chip smaller sized than a fingernail can hold millions of circuits. Typically, these are simply called "chips." This business has actually developed a chip that will be utilized to access the 5G network which is currently being installed in numerous areas worldwide (longtime readers).
This will affect both our professions, how we buy things online, and how we communicate. Brown talks about that the most significant impact will be on "technologies of the future." What are "technologies of the future"? Some examples would be: autonomous automobiles, the Internet of Things (Io, T), hologram innovation, robotic surgery, language translation without delays, augmented truth, and virtual reality. That's a lot! However it will also affect on things we utilize every day. The biggest of which is our smartphones. For instance, Samsung has actually already begun including 5G capability to its new phone releases. In fact, Jeff showcases one that can use 5G.
A seldom known company that may have a monopoly over the vital chip. Brown says that the need for those chips by other phone producers might seriously increase the chip maker's earnings and result in a strong rise in its stock rate. So far, giant tech companies like Samsung, Huawei, and Apple have positioned orders for the highly desired 5G chips. With these vital collaborations in place, its stock could soar in the next few years as strong need for 5G-capable smart devices dramatically rises. Brown states that by the time 5G reaches mass adoption worldwide when as much as 250 million gadgets will be bought, the obscure business could see its earnings reach $3.
Van Bryan here, Jeff Brown's longtime managing editor. Welcome back to Jeff's 2021 forecast series. Over the next few days, Jeff is sharing his thoughts on the year that was and providing a few predictions for the year ahead. For today's Bleeding Edge, I took a seat with Jeff to discuss what a Biden administration might imply for the high-technology sector and the more comprehensive equities market. Keep reading Jeff, let's turn to the election. Besides COVID-19, it was most likely the most discussed story of the year. You were on record predicting that President Trump would win reelection. Can you bring readers up to speed? That's right.
And as I said at the time, that wasn't a political endorsement. I know 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 revealing was that the policies pursued by the present administration had developed one of the most robust economies in recent history. Specifically, I believe there were 4 key pillars: Decreasing business and middle-income taxes Cutting unwanted policy Reinvesting in American production Renegotiating unfair trade policies with America's trading partners We do not have time to discuss every one of these in information. I really wrote an entire report on this topic previously this year - jeff brown prediction for 2021.
Prior to COVID-19, unemployment was at a 50-year low. The U.S. wage and salary development rate had actually roughly doubled from late 2016 (jeff brown top biotech 2020). And the administration was taking on some unjust trade practices and intellectual property theft that had actually been neglected for decades. Financiers had a lot to be happy for. The three major indices saw extraordinary growth throughout the very first couple of years of the Trump administration (biotech stocks jeff brown). Today election night is behind us. There are still a number of legal obstacles being thought about, however for now, it appears that Joe Biden will be the next president of the United States. What are the implications for the technology markets? You're right.
We'll need to wait to see what happens there. But for now, let's assume Joe Biden takes office on the 20th of January. What does that mean for the high-technology sector? The message I desire to provide to readers most importantly is this: No matter who is president, technology and biotechnology are going to have an incredible year in 2021. I've invested 35 years as a technology financier and near to thirty years as a high-technology executive. And I've never seen the confluence of innovations that we are experiencing today. We have a mix of advancements occurring in expert system and maker learning.
We have prevalent, affordable, essentially endless computing power and storage. And we also have the deployment of advanced cordless innovation with 5G. This is going to kick off a suite of new innovation applications that would have been impossible even simply a few months ago. And this is all taking place at the exact same time. This confluence is accelerating the rate of technological modification. Each of these innovations impacts the others.
It's not an intellectual drawback. It's simply that our brains are not wired to think significantly. Which's what we're going to see in 2021. Rapid development is among the most effective forces in innovation investing. This kind of development sneaks up on us. It appears linear initially. But then there is a sharp "elbow," and the pattern goes vertical. And the speed at which that takes place is why most do not find it till 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 promising tech companies right before that elbow - bleeding edge.
Could that have implications for stocks? Investors are most likely acquainted with the Tax Cuts and Jobs Act. It was the most significant tax reform law given that the 1981 Reagan tax reforms. tech stock. One of the most significant things the law did was lower the corporate tax rate from 35% to 21%. That made American corporate taxes the least expensive they've been because 1938. And one of the huge effects of this was that corporations needed to choose what they would make with all the money they were saving. They mainly did 2 things. They bought new devices, facilities, and research study and advancement.
[Stock buybacks are when a business purchases its own shares and lowers the variety of exceptional shares, therefore increasing the worth of remaining shares (genetic sequencing companies jeff brown).] Both things were terrific for equity prices and investors in American business - last week. But if President Biden can push through greater corporate and individual tax rates, that would have an unfavorable impact. It'll decrease usage and adversely affect the stock markets. We'll have to see if that occurs or not. But that's why I'll continue to concentrate on the world of high technology in 2021. Think of it. If a business provides an innovative product, service, or therapy, will it matter who is being in the Oval Office? It will not.
And if the markets do experience a dip throughout the next administration, that might be a terrific buying chance for some of the exciting companies I have on my radar. I'll be sure to keep my subscribers published if there's any action we need to take. Thanks as constantly, Jeff. Anytime. Like what you read? Send your thoughts to [email secured] (tech stock).
Coworker 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 very best tech companies on the planet, like Qualcomm and NXP Semiconductors. And as an active and effective angel investor in early-stage tech companies, he has access to information the public never ever sees - exponential tech investor. He's on the front line, 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 predictions for 2021 - jeff brown latest prediction.
At the end of each year, I like to have a look at the big image and anticipate what's coming just around the corner - future report. Longtime readers of my work know I follow the most interesting tech patterns on the edge of mass adoption. That includes things like 5G networks, biotech, artificial intelligence (AI), and a lot more. These patterns are experiencing exponential development and developing amazing chances for financiers. I wish to make certain all my readers are prepared 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 subject I've been covering for years now (last week).
Even with the COVID-19 pandemic raging, an excellent 250 million 5G-enabled gadgets were still offered in 2015. But particularly in the 2nd quarter, there were supply chain disruptions, making hold-ups, and work interruptions (jeff brown 2020 predictions). All of this ultimately led to Apple (AAPL) postponing the release of the 5G-enabled i, Phone 12 by 2 months. Losing 2 months of production and sales really affects how lots of 5G gadgets are sold in the calendar year. When you consider that, offering 250 million systems is remarkable. More notably, the hold-ups the pandemic caused created a heap of suppressed need. That need has now been pushed into 2021.
And that's not my only 5G prediction The 5G network rollout has three different stages. In Stage One, companies and governments develop out the facilities of these brand-new networks, consisting of all the brand-new towers and fiber-optic circuitry 5G needs. In Phase 2, 5G-enabled gadgets go on sale. 5G phones and other products start to reach customers. In Stage 3, telecom companies start offering 5G services. That's when we begin to see applications working on 5G networks. Think about things like massively multiplayer games over a smart phone. That's not possible with 4G. It will be with 5G. And my 2nd 5G forecast for 2021 is that we will begin Stage 3 by this summer.
But they will care if there are exciting applications they can access only with a 5G phone. So a growing number of consumers will buy 5G phones to gain access to these applications - artificial intelligence. That causes the advancement of more 5G apps (jeff brown prediction for 2021). In reality, 5G is going to open a suite of amazing applications: self-driving cars, the Web of Things, robotic surgery, and more. All of these technologies require 5G. The financial investment opportunities going forward will be huge. Stepping away from 5G, the next important technology I visualize growing in 2021 is CRISPR hereditary editing. CRISPR represents "clustered routinely interspaced brief palindromic repeat." It's a mouthful.
At a high level, CRISPR can edit our hereditary makeup as if it were software application. If there's a "typo" in software code, it can be devastating. A program can crash or not operate correctly. CRISPR uses a comparable concept but with our genetic code. "Typos" in our genomes can result in illness - tech stock. CRISPR can correct these "typos - melania trump." For many years, CRISPR was mainly a specific niche innovation that wasn't well understood. Throughout that time, there were actually just 3 companies operating in this space. But things are altering. CRISPR is no longer simply theoretical. We're seeing real outcomes. We're dealing with illness and seeing that this innovation works.