Hello investors, lately I hear nothing but AI — there are collaborations everywhere, companies are shifting capital between themselves, and it seems like everyone is betting on it. I don't want to say that AI has no potential for the future, but for me we're still at the beginning and it's more promises than anything truly significant that would change the economy and the world overnight.
So I want to ask where you see interesting opportunities outside of AI, because it feels like companies outside of AI are being overlooked.
On my watchlist I have Booking, Hermès, Nu Holdings — I won't analyze or characterize them here; every investor will make their own decision :)
The luxury sector is definitely great, and I noticed that $MC.PA has risen nicely recently.
Partly I see it the same way — the guys are passing millions between themselves, but they’re building something that might not be visibly obvious. Look at new positions in the US: the COVID boom, and now, even though revenues and profits are rising insanely, the number of new positions is well below what earlier assumptions suggested.
With other sectors I’m like you, but I’ve already bought Hermès and Nu 😂 I don’t want Booking, but I’m still considering PayPal — I think those changes will be good in the future, so now is the perfect time to build a position 💁😎
It's not AI that's interesting yet so much as AGI. AI uses data that's already created, while AGI generates it. AGI is the term for superintelligence. It might become operational around 2027. Here's a link to a good article about the process that's unfolding.
https://situational-awareness.ai/
https://ide.mit.edu/insights/just-released-2025-mit-quantum-index-report/
It seems to me that the word "AI" is thrown in wherever possible and used as a buzzword to draw investors :D. Of course it's interesting to a certain extent, but when every other company labels itself that way the effect will wear off over time. Definitely companies that don't use AI are interesting, but they usually don't fit into the tech sector. So for me it's $PEP, $KO, $WMT, $COST — they could be interesting after a little pullback. I can also mention REITs and homebuilders :) ($O, $WPC ..; $DHI ..), or, as you mentioned, $LVMHF ..
I actually think that Booking and Nu Holdings have a large part of their expected upside based on the assumption they’ll leverage AI :) What I mean is that it’s fairly hard to find something where a big portion of future growth isn’t attributed to the use of artificial intelligence.
If you want to detach from AI’s influence and hold some investments outside of it, in my view you pretty much have to move almost entirely out of the tech sector (and by that I also mean fintechs or platform businesses like Booking).
Places to look are defense contractors (although AI is present there too), various industrials (but miners or energy are also often driven by AI), some REITs, etc. The problem is that these companies will likely grow much more slowly now, and if the AI boom continues (and I think it will) they’ll underperform — even if there’s a correction in tech. Tech could easily gain another 100% before dropping 30%.
It's hard to say, but right now stocks in the financial sector are interesting. Their valuations are higher, but $NU or $SOFI are great companies.
A good tip is to look at Buffett — when the dot‑com bubble burst he still managed to profit. I'd say the classics $KO $MA, for example, or retail $WMT $UL, or, like they mentioned on the forum today, $ADM $INGR. Maybe some gaming or software. So hang around those kinds of companies and the ecosystem around them.
A week ago I was also looking for something to diversify and spread things out, so if AI goes down it won't all crash like that :D