At Extreme Investor Network, we pride ourselves on providing unique and valuable information to our readers, and today we are excited to share insights from Bank of America’s Savita Subramanian about a lesser-known corner of the market with significant upside potential: “old school capex.”
While investors are faced with navigating a challenging market environment, Subramanian believes that there are opportunities for growth, particularly in stocks that have yet to price in gains from artificial intelligence and the nearshoring trend. These so-called “old school capex” stocks, in industries such as industrials, materials, and energy, have the potential to benefit from the upcoming infrastructure spending cycle needed to support AI chips.
Subramanian’s analysis suggests that these traditional companies may offer more upside potential compared to overvalued big-tech stocks. She emphasizes the importance of careful positioning in the current market, as volatility is expected to increase, especially for tech stocks.
As the head of U.S. equity and quantitative strategy at Bank of America, Subramanian’s insights provide a refreshing perspective on investment opportunities that may be overlooked by many investors. By focusing on “old school capex” stocks, investors could potentially capitalize on the growth in industries that are essential for supporting technological advancements and infrastructure development.
At Extreme Investor Network, we encourage our readers to consider diversifying their portfolios and exploring investment opportunities beyond the obvious choices. By staying informed and proactive in your investment decisions, you can position yourself for success in a dynamic and ever-changing market landscape.