In today’s episode of ‘Best Stocks Now’, professional money manager Bill Gundersen navigates through an eventful financial landscape amid a rare snowstorm in Charleston. Bill shares insights on how President Trump’s presence is revitalizing the animal spirits of the stock market alongside softer CPI numbers. With major boosts in AI investments, specifically detailing the significance of Project Stargate, Bill discusses the massive implications for data centers, and the tech industry’s response in an evolving economic environment. Join Bill and financial analyst Barry Kite as they delve into the resurgence of AI stocks and the surprising rally taking place within
00:38:13 GE Vernova’s Success and Power Industry Investments
SPEAKER 04 :
He’s been seen on CNBC, the Fox News Channel, and the Fox Business Channel. His articles can be found on MarketWatch, Seeking Alpha, thestreet.com, and many other places. He’s the author of the weekly Best Stocks Now newsletter and the inventor of the Best Stocks Now app. He’s president of Gundersen Capital Management. Here is professional money manager Bill Gundersen.
SPEAKER 06 :
And welcome to the Wednesday Snowmageddon edition of the Best Stocks Now show with professional money manager Bill Gunderson, president of Gunderson Capital Management. Snowed in in Charleston, South Carolina. That doesn’t happen very often. But that is the case. I don’t think I could make it out my driveway if I wanted to today. Up in Minnesota, they’re going, oh, Gunderson, come on, that’s nothing. Come on, Gunderson. But we did have six inches of snow on the ground here in Charleston this morning. But the market is, look at that. The NASDAQ is the one that’s really cooking here today. The NASDAQ’s up 249 points. Guess what? We’re back above 20,000. We’re at 20,006. Netflix with just a blowout number. And all of that Stargate AI news is driving the AI stocks today, stocks like Arista Networks, Amazon, et cetera. We’ll get to that in a bit. The Dow is up 78, not too much there. That’s just 18 basis points. Meanwhile, the S&P is up a half a percent. It’s up $30. The small caps are flat today. We’ll take a look here at the bond market. Last time I looked, it was dead even, 4.57, and it still is 4.57 on the 10-year. So welcome to today’s Best Stocks Now show with professional money manager Bill Gunderson, president of Gunderson Capital Management. And I’m here with Barry Kite, our chartered financial analyst, and we did wake up. My Mount Pleasant Charleston crew, which is Jeff and myself and Barry, a very rare snow ice storm, a very vicious ice storm about 7 p.m. last night. That laid the groundwork.
SPEAKER 07 :
Yeah, that would be groundwork for the snow on top. I don’t think there will be very much economic activity in Charleston today. Looking at the roads, I’ve only seen a couple of cars go by.
SPEAKER 06 :
To see snow plows in Charleston is really something. I don’t think I’ll be picking any romaine lettuce. I had romaine lettuce until yesterday. I haven’t checked it this morning, but I doubt that it survived the night. Anyways, we had a very rare winter storm. That’s the first one since I’ve been here, but I do remember one seven or eight years ago.
SPEAKER 07 :
Yeah, 2018, and it pretty much shut the – I think the international airport was closed for four days.
SPEAKER 06 :
Yes.
SPEAKER 07 :
Because they don’t have any snow plows. I was like, you give me – Give me 10 other volunteers and we’ll have the runway cleared off in four days.
SPEAKER 06 :
Yes. Okay, well, you know what? Here’s how we finished yesterday. I mean, Trump’s first full day on the job was met with a very warm reception on Wall Street. I do think he has a lot to do with the turnaround in the market. Yes, the soft CPI numbers helped a lot, but I think the animal spirits are back right now in the market. To hell with valuations is what they’re saying we want in. And valuations at some point in time will come to the fore. But for now, they’re kind of thrown out the window. The Dow was up 538 yesterday. And the NASDAQ was up 127. Bitcoin hit an all-time high. Trump has a new coin. Melania has a new coin. They’re hitting all-time highs. The nuclear sector had a big day yesterday. Energy looks like it’s a good place to be with the AI announcement last night. You know, I was turning on the news last night. I said, I recognize that guy at the podium. Then I realized it was… Sam Altman speaking, and I haven’t seen the guy from Oracle, Larry Ellison, for a while.
SPEAKER 07 :
I haven’t seen him for a while either.
SPEAKER 06 :
No, he has changed. And the guy from SoftBank also, spending a half a trillion dollars, investing a half a trillion dollars into data centers. You know, everybody’s investing in data centers. It seems to me like at some point in time we’re going to have too many data centers. Everybody wants in on the act. And Texas seems to be, Texas is going to be the data center capital of the world. Data center and beef brisket, that’s a good combination there. It takes a lot of energy, though, to run those data centers, let me tell you. And it could be the center of, well, Vistra Energy, obviously, headquartered there in Texas, and also NRG Utility. They’re getting a big lift here today along with other AI stocks. Project Stargate likely to be the start of massive AI investments in the U.S. The announcement of Project Stargate by President Trump is likely to usher in an era of massive artificial intelligence investments in the U.S., We believe this is the start of a massive AI investment future in the U.S. Stargate is really focused on data center build-outs in the U.S., starting in Texas. We ultimately believe that another $1 trillion of U.S. AI investments could be committed by the rest of the big tech world as momentum builds in Silicon Valley. That comes from the Wedbush analyst.
SPEAKER 07 :
It’s a new arms race. I mean, whether you’re pro or against AI, regardless, right? I mean, countries, companies, you’re basically in a spot where they have to.
SPEAKER 06 :
um invest in it right and so which i um and the database is a big big thing the data centers she of china said whoever has the most information and data wins the race and so that is the new race along with the space race who did you see the space stocks yesterday right yeah as trump said we’re going to put a man on mars okay you know we’re getting out there and some pretty speculative stuff here I feel like we’re kind of getting into a 2021 kind of market once again that we’ve got to be careful with.
SPEAKER 07 :
Lots of long duration.
SPEAKER 06 :
Yes, long duration. I mean, luckily we’re in the right spots today. We don’t have a lot of long duration, but. Netflix is giving us a huge boost. Netflix is up almost 15% today. That’s one of the chosen ones in the premier growth portfolio. Now, who’s going to benefit from Project Stargate? Well, I guess we’ve got to look at Oracle again, even though it’s been around a long time. That is Larry Ellison’s company.
SPEAKER 07 :
Their data center business is huge. Yes. They’re one of the big players there. You may think of Oracle as what Oracle used to be.
SPEAKER 06 :
Yes. ARM is a big player. Look at ARM today, up 15.9%. That’s the U.K. semiconductor company. And, of course, Nvidia, which blew past Apple yesterday as the biggest company now in the U.S. from a market cap point of view, is up another 4.1% today. It hasn’t broken out to new highs. It’s got to get to 153 to do that, but obviously NVIDIA is a major player in AI.
SPEAKER 07 :
And don’t soft bank an arm. Didn’t soft bank take them private and then spun them off? I knew they had some tie, and that must be why. You know, arms tied to that must be why they’re up 15.7%.
SPEAKER 06 :
Yes, and SoftBank’s up 11.2% because SoftBank still has a big investment in arm.
SPEAKER 07 :
And they’ve been hit or miss over the years.
SPEAKER 06 :
They’ve made some bad investments.
SPEAKER 07 :
Decisions, and then, you know, have had a couple, you know, A couple of their big ones, Arm being one of them, has kind of kept them afloat.
SPEAKER 06 :
And another one that obviously is a major player in data is Amazon. And it’s breaking out to a new all-time high today. It’s at $2.47 trillion. And, of course, Bezos was there at the inauguration along with all the tech titans. Amazon is breaking out, and that’s another big position we have here today. And, of course, Google is another big player that you can’t count out. Google has not performed as well as the others. It’s up just about 1%.
SPEAKER 07 :
And then off to the side, Apple, basically flat today.
SPEAKER 06 :
Yes, okay, and now one more that I have to mention because it’s a major player, and nobody ever mentions this is one of the greatest stocks we’ve ever owned. This is going to go up on our wall of fame here. Arista Networks up 6.8%. That’s now a $162 billion company, while Wall Street owns Cisco. We’ve had a large position. That’s one of our largest positions. We own it in both the aggressive ultra-growth account portfolio and the premier growth, and we’ve been buying it. I mean, last week I was buying it for new clients because of the valuation. Yeah, and bolting out to a new all-time high. So these are all winners in that Stargate news that was announced yesterday. When we come back, I just want to mention the space stocks for a minute. It doesn’t get any longer range than that, does it? A man on Mars? How far out is that? But the space stocks like Redwire and Mineric and Viasat and Rocket Labs and Momentus, etc., blasting off. We’ll be right back. And welcome back here to the second quarter of today’s Best Docs Now show. Well, I saw up close and personal, I was out on the Space Coast last Wednesday and watched at 1 a.m. the blast off of one of Elon Musk’s SpaceX rockets. which carried equipment to the moon. That was not the one that blew up. That was one that lifted off, I believe, from Texas that actually exploded after the liftoff. And then as we were leaving the port at Port Canaveral, I saw Blue Origin’s, Amazon’s rocket ship all queued up, ready to go. He’s built his own space launch site very close to Port Canaveral, where the cruise ships leave out of. And then, of course, Musk launches from the Kennedy Space Center. And yesterday, the space stocks, Redwire, I would say the three major players there, okay? Redwire definitely is a player, RDW. Rocket Labs, obviously, a definite player, RKLB. intuitive machines, which I just looked at. It wasn’t in my app, and I added it very quickly there during the break. Lunar, L-U-N-R. And then Telesat, T-S-A-T, is another one that I added to the app. Trump, you know, manifest destiny applies to space. And it seems that the space race is back on. And, of course, with Musk having a very close contact and close contact with President Trump, I’m sure he’s got a little bit of influence, wielding a little bit of influence there. The one not benefiting, Bill, is Virgin Galactic, SPCE.
SPEAKER 07 :
That thing is up less than 1%, and that thing looks dead in the water.
SPEAKER 06 :
Yes, okay, but there are some very large… Now, are these investments… Well, you know, I mean, there is a couple of space ETFs. Cathie Wood has a space ETF, which I’m sure is doing very good. I think there’s one called UFO, et cetera. I think right now they’re very much more in the very, very speculative, very speculative. I think maybe swing trading these stocks. They’re definitely not long-term investments yet, unless you just want to put some away and just forget about it, you know. But, man, these things, they can go from 50 cents to 21 and back to 50 cents very, very quickly, so… This is kind of the new quantum sector, which, by the way, has been rebounding quite a bit. I mean, I’ve watched Rigetti and some of the others, QBTS, et cetera, that have a little bit of life coming back into them after… after Jensen Wang really stuck a shish kebab right through their heart. But 20 to 30 years out is for the ultimate quantum computer. But in between now and then, I mean, over the next few years, we’re going to see major advances in quantum computing. Okay, now, when it comes to all of this data center stuff, that’s all I can think in my mind is, man, it takes a lot of energy to to run these data centers and there’s some new players emerging there but I just can’t help but think that nuclear is not going to be a big major player there. Vistra continues to be one of our best stocks we’ve ever owned. I know that GE Vernova reported earnings yesterday. They were a little bit short but they’re a major player. Constellation Energy, I have said time and time again, is a major player. There’s also one that trades on the pink sheets because it’s a foreign. But everybody’s heard of Siemens Energy and Siemens out of Germany. Siemens Energy is hitting a new all-time high. That is S-M-E-G-F. And I was surprised to see I had the other Siemens in my database, but I didn’t have Siemens Energy. I’ve added that. Let’s not forget Rolls-Royce is another major player. I think that’s R-Y-C-E-Y. And, you know, it’s going to take a lot of power and it’s not going to happen from the wind. So what does that say? That leaves you with nuclear and that leaves you with electric power plants and liquid natural gas. Those are going to be… uh the major uh fuel sources for these uh for these power plants well trump’s got his own meme coin now it’s already worth uh what 18 point i was surprised uh they asked a question in one of the news conferences how much did you make today and uh he said i don’t know how much did i make and it’s his coins. He’s got a coin, and there’s one named Melania. So we’re definitely getting into animal spirits here. It’s pretty wild out there right now, so I would step a little bit carefully there. Okay, the Trump administration weighs selling two-thirds of federal office space. What would that do to the REIT market? How much office space, I wonder, do they have? 70 million square feet or something like that?
SPEAKER 07 :
I would guess more than the Catholic Church when they started selling off some properties. Remember when they started selling some real estate years ago? I mean, it’s… My guess is they own some prime property, too. I was driving through just here, you know, the old port here, you know, north Charleston, and you’ve got a couple of buildings there that aren’t anything at the moment, and you can tell they’re federal buildings just the way the architecture is. So, you know, certain places, they could be a great rehab opportunity, you know, but it would flood the market with supply. Wow.
SPEAKER 06 :
Well, I mean, yeah, I mean, people aren’t going back to the office. Now, the federal workers are being ordered back to the office, but I guess they don’t need all the space. That’s part of trimming the fat. So I’m all for it. Quantum stocks keep shining as Honeywell’s. Quantinum announces a new R&D center. So it sounds like Honeywell is getting in on the quantum push. And, of course, stocks like IonQ, Quantum Computing, which is QUBT, D-Wave, QBTS, Rigetti, they’re starting to surge again. Tariff talk, absolutely. There’s going to be tariffs hitting as soon as February the 1st. I know Christine Lagarde over in Europe is warning European countries to get ready for the tariffs. Mexico’s going to get hit with the big tariff. Canada’s going to get hit.
SPEAKER 07 :
Jamie Dimon had some interesting comments.
SPEAKER 06 :
Exactly. That’s where I was going with this. I mean, he used to be, if I remember right, he was against tariffs. But now he thinks that they’re very good for our security issues.
SPEAKER 07 :
Yeah, and he was saying that’s a tradeoff. He said from a tariff standpoint, he goes, if they do bump inflation up a tiny bit, but they also provide America with some protection, right, then it’s kind of, I think he said, I think in terms of what, get over it, or what did he say?
SPEAKER 06 :
Yeah, I mean, heck, it’s a lot cheaper of sending troops to the border, right? I mean, hey, 25% tariff, Mexico? Yeah. You better get that border under control and help us out with this. Same with Canada. It’s a very inexpensive weapon to use. And surprised to see that Jamie Dimon is on board with this. And, of course, Europe. The tariff war, though, can be a bad thing. That’s the thing that we have to worry about. Okay, a new player in home delivery. One of America’s biggest companies signs up with Uber Eats and DoorDash to deliver. We’ll be right back. This is Bill Gunderson. Thank you for tuning in to today’s Best Stocks Now, Best Inverse Funds Now show. I put several hours of research in during the wee hours of the morning each day to bring you the very best cutting-edge stories that I can. To get two free weeks of my newsletter, go to GundersonCapital.com. To talk to us about our fee-based only money management services, call us at 855-611-BEST. Now, back to the second half of the show.
SPEAKER 1 :
Call out the instigator because there’s something in the air.
SPEAKER 06 :
And welcome back to the second half of today’s Best Docs Now show. Well, Home Depot adds Uber Eats and DoorDash as delivery partners for do-it-yourselfers or contractor projects. How many trips have I made to Home Depot over the years, Barry? I mean, how many trips have you made over the years? Lately, though, I’ve been having most things. Of course, a lot of the things you can get at Home Depot, obviously, you can get on Amazon. You need one tool, right? That one tool that you’re lacking. I needed a wire stripper the other day to strip little wires to hook together. You’re going to run to Home Depot? No. You’re going to have it delivered to your door. Well, Home Depot is getting in. You know, I still think that DoorDash and Uber, even though they’ve been pretty choppy in their trading. uh i think they have huge futures because i think uh the delivery of things uh is big business and it’s not cheap i mean uh to have something delivered but people are willing to do it doordash stock is now a 74 billion dollar company 74 billion dollar company It is a best stock now. We don’t currently own it. They’re still a little bit choppy in their earnings, pretty kind of inconsistent. But the growth, the sales growth is certainly there. I mean, the sales growth is 27%, 23%, 23%. It’s a 25% grower. and has a long ways to go yet, and I think they’re going to just keep fine-tuning it all. And, of course, Uber is the other big one. Uber Eats. Uber has not been a very good performer. I pulled the plug on Uber here recently and decided to move on. It’s a 15% grower, 16% grower, still a superior growth stock. It’s $143 billion. Uber’s got a couple of hurdles to clear, obviously the autonomous whole hurdle that they need to clear. But now delivering for Home Depot, I mean, that’s pretty big business there. Tesla getting higher price targets from Wedbush ahead of the golden age of AI and autonomy. Of course, Wedbush is in love with Tesla. They’re in love with Elon Musk. They have been a big, of course, they’ve been right about Tesla. Even though Tesla’s been a choppy stock over the years, they’re raising their price target from $515 to $550. And, you know, Musk could be a player for, it won’t be included in Tesla, but he could be a player for TikTok. He definitely has the interest in combining TikTok with his X. uh and becoming a huge social media company uh fuel cell energy is getting contracts for some of these data centers but you know that’s that’s the uh water converting water to energy hydrogen Musk used to call it fool cell energy. Fool cell. I don’t see that as being a major player. All you’ve got to do is look at the stock. They’ve been around for a long time. Plug power. and fuel cell and they’ve been plugging along to say the least i i i would say that it’s going to be nuclear and it’s going to be fossil fuels that are going to continue to power the huge needs i was reading uh… i think in rg in texas was talking about the huge increase in demand I mean, you have to wonder, can they build fast enough? Can they produce new power? We haven’t built any new power plants in a long, long time, but there’s going to be a sudden need. There’s some picks and shovel companies out there in that power plant. Chart Industries would be one of them, GTLS. And the other one that is a major player is, uh in providing uh you know contracting and everything uh for for the power plants i was thinking about it yesterday it came up on my charts uh i’ll have the name for you here in a bit uh remember the i saw it yesterday come up in my charts and i go you know i forgot about them they’re a major player in power plants. So there’s a lot of ancillary plays, including, obviously, GE, but they’re a competitor to GE. They build power plants.
SPEAKER 07 :
And they create those turbines, you know, at GE. I mean, that’s where you’ve seen, you know, in terms of the equipment and bringing on, you know, new power, right? You’ve got, of course, nuclear, but you’ve got, you know, the old-fashioned way, right, with turbines and everything else. And that’s what a lot of those companies that have, you know, sold that equipment have been, have certainly…
SPEAKER 06 :
Well, you know, we were just headed down the wrong path with the solar and the wind, and we’ve invested a lot of money in infrastructure and solar and wind. It just can’t keep up with the soaring demand. There’s just no way that it can keep up with the soaring demand. We’ve wasted a lot of time, and I fear that we’re going to have a hiccup somewhere along the way where the power demand outstrips the supply because we’re so far behind the curve. And I think that’s going to be a good place to be invested in It’s an AI play. It’s an AI play. Okay, earnings, earnings, earnings. Wow, a lot of big ones here today. And I’ve been a proponent for Netflix replacing Disney. In the Dow, Netflix is a much, much bigger company. It dwarfs Disney, believe it or not. Netflix is now $412 billion. By contrast, well… Netflix is double the size of Disney now at just $200 billion in market cap. I mean, Disney’s in a lot of the same businesses. They’re a streamer too, but Netflix has just become a powerhouse. We’re fortunate to have stuck with it, and we currently own it in our premier growth portfolio, and it’s part of some big gains that we’re tacking on here today. We’re having a huge day. And in that premier growth portfolio, we own 15, 16 stocks right now. Netflix is a 6.5% position in that portfolio. I don’t know how they continue to grow their earnings. I mean, you would think that their subscribers have maxed out, but they continue to improve their margins. They continue to add subscribers. They continue to produce content, award-winning content. So look, I mean, you’ve got to give them credit. Look at their quarter here. Their sales were up 16%. So, I mean, it’s consistently in recent years been a 15% to 20% grower, okay? By contrast, Disney is a single-digit grower.
SPEAKER 07 :
And they continue to. They continue to grow, too. I mean, now you’re doing more and more live events, right? I mean, so they continue their reach in creating content and, you know,
SPEAKER 06 :
They’re getting into football. They’re getting into, yeah, live events, concerts. Maybe they need to build some theme parks and buy some cruise ships or something.
SPEAKER 07 :
And if you’re going to cancel one of your streaming services, guess what’s far down the list nowadays, right? Netflix would be the last one that you likely would cut nowadays.
SPEAKER 06 :
Yes, exactly. And their earnings, listen to the last four quarters of earnings growth, 83%, 48%, 45%, 102%. I mean, that’s the kind of thing that great growth stocks are made of. They’re going to grow their earnings by 23% this year, 22% next year. You compare that with dogs like Comcast. uh… and charter communications and uh… warner uh… and other media companies i mean netflix is running circles around them and yet very rarely if so if i get a a bit account transferred to me from one of the big wire house firms very rarely do they own netflix they almost always always on comcast which is, you know, I mean, Warner Brothers or Disney. I mean, Comcast is MSNBC and others. Their viewership, I mean, they’ve lost 50%, 60%, 70% of their viewers. So anyways, Netflix is up not as much as it was, but it is up 11% today. That’s a lot when it comes to market capitalization being added on today. Now, two of my favorite stocks, you know, infamous, infamous. I love to rag on Johnson & Johnson and Procter & Gamble because those two stocks are in every portfolio. Well, I can’t say every. 90%. 90% if it’s coming from one of the big wire house brokerage firms, it’s almost a guarantee that Procter & Gamble and Johnson & Johnson are going to be in those portfolios. How are they doing after their earnings today? We’ll check in on them when we come back. It’s the Best Stocks Now show. And welcome back here to the second or the final segment of today’s Best Docs Now show. Well, you know what? You’ve got to throw in some contrast once in a while. a couple of bad stocks you know or you get spoiled and you think all it is the best stocks now show but you have to just look at something here like a johnson and johnson and here’s what i mean by mediocre okay over the last 12 months while the s&p is up 28 percent Johnson & Johnson is down 4.7%. It’s negative. This is poor management. I don’t care. Blame it on whatever you want. It’s poor management. Now you say, well, how about over the longer term? Over the last three years… The markets averaged 10% a year, Johnson & Johnson minus 1.3%. And over the last five years, while the markets averaged 16.4% a year, Johnson & Johnson’s averaged 2.7% per year. Give me an argument for holding on and having Johnson & Johnson in your portfolio, yet it’s one of the most widely held stocks in the entire market. So, you know, if you look at your portfolio and you see the usual ubiquitous Johnson & Johnson there in your portfolio, call up your broker, your advisor and say, why do you have me in Johnson & Johnson?
SPEAKER 07 :
It would be, yeah, I’d like to hear the reasoning behind having it in there, right? I can’t come up with much of a reason to own the stock unless you just want some pure market exposure. And then my answer would be, well, buy SPY or whatever. I mean, there is no really good reason.
SPEAKER 06 :
And I could say the same thing about Procter & Gamble. Over the last 12 months, it’s up 10%, but the market’s up 28%. And over the last three years, it’s averaged 2.9% per year. You say, well, it’s done as good as the S&P 500. Not even close. Over the last 10 years, the S&P 500, believe it or not, if you go back to… January 22nd, 2015, 10 years ago today, and you go to today, you’ve had an average compound annual return in the S&P of 20% per year. That’s it over the last 10 years. And Procter & Gamble is 8.9. Now, yes, I mean, it has problems because you can’t grow these giant companies, but they’ve also made a lot of missteps recently. Along the way, especially Johnson & Johnson has made a lot of missteps along the way. Yet those two stocks are in almost every portfolio that comes to me from a big firm. I don’t care if it’s a big regional or from one of the big national wire house firms. Those are the kinds of stocks that they put you in. Oh, they sprinkle in a Microsoft every now and again, and maybe an Amazon you’ll see will show up sometimes. But for the most part, you’re going to have the vast majority of your holdings are going to be companies like that. That’s just my experience over the years, seeing many, many portfolios that people say, you know, they look at their portfolio and they say, why not? Am I in something that has performed so poorly and is so poorly managed? Okay, now one that is putting in a pretty good performance. You know, I did the numbers. I was looking for a dividend stock for the dividend and growth portfolio. And I looked at Travelers and I said, you know, that’s one. Usually big stocks like that, you don’t find them to be undervalued. They trade more, you know, what’s the word I’m looking for, Barry? They’re inefficient. They’re pretty efficient, okay? Large stocks pretty much reflect everything. But I just found that Travelers, I said, you know, This has been under the radar big stock that has done very well over the years and continues to grow. So we actually own a boring stock like Travelers.
SPEAKER 07 :
And it’s a well-run insurance conglomerate.
SPEAKER 06 :
Yes, and it had a very good report. It’s up 4%. That’s one of the few big names that will show up from time to time. Well, it’s usually in most portfolios that come to us, but it’s one that actually fits the best stocks now, meaning that it has valuation and momentum at the same time. The other one I want to mention is GEV. That’s GE Vernova, which is the power plant. I’m still trying to think of the name of that stock I saw yesterday. You know what? There’s so many symbols in my brain at any given time. But GE for Nova. That’s a powerhouse. What can I say? It is literally a powerhouse, Doc. Spun off by Larry Culp over at GE. The aerospace division still remains the same, but he spun off the medical division and he spun off the power division. And GE Vernova had sales growth of 5%, earnings growth of 140%. It’s now a $425 stock. When he spun it off, it was $100. This stock has quadrupled in less than a year, believe it or not. Its one-year anniversary will be in April of this year. The stock has quadrupled. Think of the value that he unleashed, unlocked. It was inside of GE as part of their conglomerate. And Larry Culp, who’s one of the great CEOs of all time, said, you know what? I think there’s a lot of value here. If we separate it from the rest of the company, that value will be recognized.
SPEAKER 07 :
And it gets its own multiple, and then it’s a pure play on power versus having to buy GE just for the power piece, that type of thing. Right.
SPEAKER 06 :
Quanta is the name of the stock I was trying to think. PWR, Quanta Services. PWR is in helping build power plants, and it’s hitting a new high today, by the way. It’s up at $361. It did come to my mind. PWR, power. That’s the symbol, okay? So that ought to tell you what they do for a living. And, of course, GE, Vernova. We own the competitors, Vistra, Constellation, and Talon Energy. But G.E. Vernova is going to be a major player going forward. Okay, hey, this has been a lot of fun. I can’t believe how fast the time went. I’m going to spend the rest of the day looking at charts and looking at stocks, looking for buys, wheeling and dealing, looking for something maybe to upgrade, sell, buy, whatever, and sending out messages throughout the day to my subscribers and clients that follow me throughout the day. To do that, go to GundersenCapital.com, sign up for the four-week trial, or to let us manage your portfolio, set up an appointment. 855-611-BEST. 855-611-BEST. Have a great day, everybody.
SPEAKER 05 :
This show is not a solicitation to buy or sell any securities. Bill Gunderson or clients of Gunderson Capital Management may have long or short positions in stocks mentioned during the show. Past performance is not indicative of future performance. Gunderson Capital Management is a fee-based registered investment advisory firm. All accounts are held at Charles Schwab. Schwab is a member of SIPC and FINRA.
