This AI Stock Could Take Off

Good morning. It’s September 17th, and today we’ll take a look Microsoft’s big stock repurchase, Intel’s new AWS alliance, and an AI stock that could be on the verge of a massive move.

Previous Close 📈

The major indices gave mixed signals on Monday as traders awaited key retail sales data and the Federal Reserve's policy meeting. While the Dow rose 228 points and the S&P 500 added 0.13%, the Nasdaq Composite fell 0.52%, dragged down by declines in Apple and major chip stocks.

Futures

U.S. stock futures are inching up as investors await key economic data and the Federal Reserve’s rate decision. Dow futures are up 0.20%, S&P 500 futures are 0.31% higher, and Nasdaq 100 futures have gained 0.51%.

What to Watch

A series of key reports will be released this morning. U.S. Retail Sales for August, excluding autos figures, will be published at 8:30 a.m. Eastern.

At 9:15 a.m. Eastern, the Industrial Production and Capacity Utilization data for August will be released. Later, at 10:00 a.m. Eastern, Business Inventories for July and the Home Builder Confidence Index for September will provide further economic insights.

On the earnings front, Ferguson Enterprises (NYSE: FERG) will announce its quarterly numbers before the opening bell today.

AI-Driven Security

This AI Stock Could Take Off

A groundbreaking technology now notifies authorities within two seconds of detecting a gunshot, pinpointing the shooter's exact location.

This is just one component of a mission to deploy over 1 million autonomous security devices across the U.S., all designed to enhance public safety.

With a 128% revenue surge in 2023 and a market cap under $35 million, this company is on the rise.

The AI security market is expected to hit $120 billion by 2030, meaning this stock could be on the verge of a massive upward move.

Click here to get the full details on this AI security stock now.

Semiconductors

Intel Secures Major AI Chip Deal With Amazon, Plans Further Restructuring

Intel's stock is rallying by more than 6% in premarket trading, continuing its strong momentum from yesterday following the announcement of a major deal with Amazon's (AMZN) cloud services unit, AWS, to produce custom artificial intelligence (AI) chips. This agreement marks a significant win for Intel's foundry business, which has been working to attract high-profile clients.

In a memo to employees, CEO Pat Gelsinger revealed that AWS will be a multibillion-dollar customer, leveraging Intel's advanced 18A chip manufacturing process to develop an "artificial intelligence fabric chip."

Intel will also create additional chip designs for AWS using its upcoming 18AP and 14A processes. This collaboration represents a vote of confidence for Intel’s foundry business, which is key to Gelsinger's strategy for revitalizing the company.

The memo outlined other strategic moves to improve profitability and competitiveness, including cost-cutting measures and restructuring initiatives. Intel plans to sell a stake in its programmable chip division, Altera, and pause chip factory projects in Germany and Poland, while still expanding manufacturing in the U.S.

To grant its foundry business greater independence, Intel intends to establish it as an independent subsidiary, complete with an operating board. This move will allow the unit to potentially attract outside capital. Additionally, Intel announced it would begin layoffs for around 15,000 employees in mid-October, a step that had been previously disclosed.

Technology

Tech Giant Microsoft Approves $60 Billion Share Repurchase Program

Microsoft announced on Monday that its board of directors has approved a new share buyback program valued at up to $60 billion, signaling confidence in its financial stability and future growth prospects.

Additionally, the company declared a quarterly dividend of $0.83 per share, marking a 10% increase from the previous quarter's dividend of $0.75 per share.

The tech giant has scheduled its annual shareholders meeting for December 10, where it may provide further updates on its financial strategies and AI investments.

In July, Microsoft disclosed plans to increase spending on artificial intelligence (AI) infrastructure for the current fiscal year, leading to a 77.6% jump in capital expenditures for the quarter ending June 30.

Despite reporting a slowdown in its Azure cloud business for the same period, Microsoft projected accelerated growth in the second half of fiscal 2025.

With big tech companies like Alphabet's Google also under pressure to deliver returns on AI investments, Microsoft remains one of the few firms that break out the financial impact of AI in its quarterly earnings.

Microsoft’s shares are up by 1.3% in premarket trading, adding to a roughly 15% gain so far this year. The company’s announcement follows a record $110 billion share buyback program unveiled by Apple in May after its strong quarterly performance.

Meat

Meat Giant JBS to Turn Livestock Waste Into Energy With New Partnership

JBS SA, the world’s largest meat producer, is partnering with GreenGasUSA to transform cow and chicken waste into usable energy as part of its strategy to reduce environmental impact.

Under the newly formed agreement, GreenGasUSA will manage the collection, processing, and commercialization of biogas—an energy source derived from methane—at two JBS beef facilities in Nebraska and Utah, as well as a chicken plant in South Carolina. The initiative is set to be completed by 2025.

Methane, a powerful greenhouse gas released from animal waste, significantly contributes to global warming. However, when converted into biogas, it can be used as a cleaner energy alternative for vehicles and factories. JBS sees this partnership as a critical step in capturing methane emissions and converting them into biogas to help limit global temperature rise.

Jason Weller, JBS’s chief sustainability officer, emphasized that this collaboration represents the beginning of a "long-term partnership" aimed at enhancing methane capture and biogas generation capabilities.

While JBS has already initiated over 25 methane reduction projects since 2019, this venture with GreenGasUSA, a South Carolina-based company specializing in methane capture, will expand its capacity by upgrading facilities and covering larger manure lagoons.

The Brazilian meat giant aims to achieve net-zero greenhouse gas emissions by 2040 and eliminate illegal deforestation from its supply chain by 2025.

Energy

The Race for Lithium Is Heating Up Worldwide - Is The US Solution in Our Backyard?

Countries are racing to secure their lithium supply, seeking alternatives to China's dominance. A relatively unknown player controls a significant deposit in a politically stable region, presenting a significant potential opportunity for those who get in early.

Reveal the company that could play a crucial role in the new global supply chain.

ANI Pharmaceuticals, Inc. [ANIP] - Last Close: $56.20

ANI Pharmaceuticals stock is up 16% in premarket trade following the completion of its acquisition of Alimera Sciences.

This strategic move strengthens ANI's Rare Disease segment, adding about $105 million in projected 2024 revenue and expanding its presence in ophthalmology.

The acquisition is expected to boost ANI's earnings significantly and also reduce its interest expenses, enhancing financial flexibility and investor confidence. This has led to a surge in the stock price.

Allarity Therapeutics, Inc. [ALLR] - Last Close: $3.38

Allarity Therapeutics is rallying by nearly 25% in premarket trading after the company announced promising results from its Phase 2 trial of stenoparib for advanced ovarian cancer.

Two patients have now exceeded one year of treatment with this drug, which is notable given their heavily pre-treated status and limited options.

Stenoparib, a unique dual PARP/Tankyrase inhibitor, has shown durable clinical benefits, including complete responses and long-term disease stability.

This success highlights the potential of stenoparib as a new treatment for ovarian cancer patients who have exhausted other therapies, sparking investor optimism and driving the stock price higher.

Galmed Pharmaceuticals Ltd. [GLMD] - Last Close: $3.87

Galmed Pharmaceuticals shares are rising 61% so far in premarket trade after the company announced it has regained compliance with Nasdaq's minimum bid price requirement.

Previously, the company faced a risk of being delisted due to its stock price falling below $1.00. However, Galmed managed to keep its stock price above this threshold for 10 consecutive trading days, ensuring its shares will remain listed on the Nasdaq Stock Market.

This positive development has provided stability and renewed confidence among investors, driving the stock price higher.

A Hidden AI Gem

AI Security Tech: Leading the Future of Public Safety

A company recently delivered a 128% revenue surge in 2023, bringing in $12.8 million.

Yet, with a market cap of less than $35 million, it remains one of the cheapest stocks on the NASDAQ.

This company is leading the AI revolution with real-world applications that enhance public safety.

Their groundbreaking tech includes autonomous security robots that reduce crime by up to 46% and gunshot detection systems that notify authorities within two seconds.

With 30+ new contracts, including one with the U.S. Federal Government, they are positioned for growth as the AI security market heads toward $120 billion by 2030.

Get the full details on this AI stock now!

Everything Else

• Flutter Entertainment has strengthened its global footprint with its Snaitech deal.

• Tupperware prepares for bankruptcy filing following debt troubles and declining demand.

• Amazon ended remote work flexibility, mandating a full office return.

• Holiday hiring is expected to decline amid a slowing labor market and cautious consumer spending.

• Meta escalated its measures against Russian state media, triggering a Kremlin backlash.

• Japan’s Sakana AI reached a $1.5 billion valuation with backing from major investors.

• Tax cuts and government actions helped boost Australian consumer sentiment.

• China’s grip on the rare earth market poses challenges for U.S. supply chain plans.

That’s all for today. Thank you for reading. If you have any feedback, please reply to this email.

Best Regards,

— Adam Garcia
Elite Trade Club

Click here to get our daily newsletter straight to your cell for free.

P.S. Just like this newsletter, it's 100% free*, and you can stop at any time by replying STOP.