AAPL to Zero or Stock for Dow 100K?
There’s $2.7 trillion dollars that’s on the move from America 1.0 and into America 2.0.
It’s hard to see, because America 2.0 is being built right before our eyes.
As it continues to unfold, one thing is certain. Some companies will be left behind.
There is one company in particular that comes to mind.
It’s obviously big…
And for the longest time this company was the pioneer of innovation.
Yet over the past decade it has gone from inventing to tinkering.
From tinkering to financial engineering in order to prop up its stock price.
I’m talking about Apple Inc. (AAPL).
The $2.7 trillion giant currently takes up 3.2% of the valuable space in the Dow Jones — space for an America 2.0 innovator that can help it reach our 100K target.
But I believe Apple’s time is coming to an end…
Why’s Apple on Our Blacklist?
We all know the brilliance Steve Jobs brought to Apple since the 1970s.
His mission was to innovate, which is what America 2.0 is all about.
And you can see it in the old Apple. Steve Jobs pioneered incredible inventions like the iPod, the iPhone and the MacBook Pro.
That’s not the Apple of today.
In the 2010s, Apple’s methods changed from betting big to bidding up its shares from share buybacks.
Meaning revenue was used to decrease the supply of stock in order to lower the number of shares on the market.
This script led to over $450 billion in share buybacks and dividends since 2012.
While over the same time period, roughly $137 billion was spent on research and development.
This shows the company’s true focus for about a decade now.
And it’s not innovation. It’s America 1.0. And that’s why it’s blacklisted in our books.
We believe Blacklist companies are destined for zero. As Paul says, “the speed is unknown, but the destination is certain.”
So, if you’re looking to make money on the companies that are innovating for the future — not just making new variations of old tech — you need to invest in America 2.0…
Where to Find the Gains for the Future
The new Dow Jones pushing to 100K or the new economy shaping America 2.0’s Digital Gilded Age is investing big on invention and innovation.
We’re in it.
Our subscribers are in it.
And Cathie Wood’s ARK Invest is in it.
It isn’t for the faint of heart.
The stocks don’t go straight up and typically don’t pay dividends or buy back their shares from excess profits.
These companies are reinvesting in their ideas, their beliefs and their vision to better the world from old ways of doing things.
This playbook is the cornerstone to evolution. The same evolution that brought about the airplane, the car and the radio.
Today we’re getting mega trends — blockchain, autonomous electric vehicles, robotics, artificial intelligence and precision medicine.
When you hop on a plane or turn on a radio, you don’t question the technology or even think about it these days. It’s just part of your life now.
Soon these mind-blowing mega trends will be too, as they come to our everyday lives.
The bottom line is to invest in the companies that dedicate time, value, and money toward innovation, rather than companies that are just buying back their shares to artificially inflate their stock price.
So, here is today’s takeaway:
Blacklist Apple Inc. (AAPL) and America 1.0 stocks.
[Note: If you want our full Blacklist of 100 — yes 100 — America 1.0 stocks we believe are destined for zero, see how you can unlock our report. Just click here for the details.]
Buy into America 2.0.
I’ve been investing for more than 25 years. I started my career on Wall Street in 1991 as an assistant portfolio manager at Bankers Trust. I quickly advanced to prominent positions at Deutsche Bank and ING, managing multimillion-dollar accounts. In 2006, the owners of a $6 billion firm named Kinetics Asset Management recruited me to manage their hedge fund.