Talking Tesla, Nvidia and new year end price targets

Summary

In a recent interview, Keith Fitzgerald, principal of Fitzgerald Group, discusses the Federal Reserve's potential market impact and maintains a bullish stance, raising his annual price target to 5751. He believes that tech giants like Nvidia, Tesla, and Apple will lead the market rally, while companies like Nike and Walgreens may lag behind. Fitzgerald emphasizes the importance of managing investments by taking profits and reallocating them to sectors like dividend stocks, defense, and undervalued healthcare. He also expresses a strong disagreement with the notion that AI's economic impact will be minimal, arguing that AI is a revolutionary technology with significant returns on investment.

Takeaways

• 📈 Keith Fitzgerald, a principal at Fitzgerald Group, believes that despite the Federal Reserve's hawkish stance, the market rally will continue to rise, with tech names like Nvidia, Tesla, and Apple leading the way.
• 🎯 Fitzgerald has revised his annual price target to 5751, indicating a bullish outlook on the market's performance.
• 💼 He suggests that companies like Nike and Walgreens may be left behind during this earnings season, which is expected to reveal significant insights into the market's direction.
• 💡 Fitzgerald compares the current market situation to historical periods of significant growth, such as the 1950s and 1990s, drawing parallels with the current innovation and labor challenges.
• 🏖️ He uses the analogy of a beach party to describe the current market sentiment, implying that while things are going well, there is still a long way to go before potential downturns.
• 🤔 Fitzgerald advises against a 'buy and hope' strategy, instead advocating for 'buy and manage', emphasizing the importance of taking profits and managing investments actively.
• 🍎 He specifically mentions the potential of dividend stocks, defense stocks, and undervalued healthcare stocks as areas to consider for investment diversification.
• 🚀 Fitzgerald was early in recognizing Nvidia's potential and continues to be bullish on the company, expecting significant growth in its value in the coming years.
• 🤖 He strongly disagrees with the view that AI will not significantly impact the economy, arguing that AI is the most transformative technology in human history with substantial returns on investment.
• 📊 Fitzgerald also expresses interest in small and mid-cap companies, particularly those in emerging fields like quantum computing and biosciences, but advises careful selection due to the inherent risks.
• 🚗 Lastly, Fitzgerald remains bullish on Tesla, predicting that the stock could double or triple in value in the next few years, highlighting its potential beyond just the automotive industry.

Q & A

What is Keith Fitzgerald's revised annual price target for the market?

Keith Fitzgerald has revised his annual price target to 5751.

Which companies does Keith Fitzgerald believe will lead the market rally?

Keith Fitzgerald believes that companies like Nvidia, Tesla, Apple, and other great tech names will lead the market rally.

According to Keith Fitzgerald, which companies might get left behind during this earning season?

Fitzgerald suggests that companies like Nike and Walgreens might get left behind during this earning season.

What historical periods does Keith Fitzgerald compare the current market situation to?

Fitzgerald compares the current market situation to the 1950s and the 1990s, periods of significant growth with lots of innovation and labor challenges.

What investment strategy does Keith Fitzgerald recommend in the current market scenario?

Fitzgerald recommends a 'buy and manage' strategy, suggesting taking profits and managing investments actively rather than just buying and hoping.

What does Keith Fitzgerald suggest doing with gains in the current market?

He suggests taking some profits, like harvesting fruit from a ripe orchard, and considering reinvestment in great dividend stocks, defense stocks, and undervalued healthcare.

What is Keith Fitzgerald's view on the impact of AI on the economy?

Fitzgerald believes that AI is the greatest technology in recorded human history and that every dollar spent on it now is returning significant value to the balance sheet.

What is Keith Fitzgerald's opinion on the future of Nvidia's stock price?

Fitzgerald is bullish on Nvidia, expecting its stock price to continue rising and potentially reach $9, $10, $12, or even $15 in a few years.

How does Keith Fitzgerald view the potential of small and mid-cap companies in the current market?

He struggles with the potential of small and mid-caps, noting that many good solid companies are being purchased before going public, and emphasizes the importance of quality and picking bets carefully.

What are some examples of small-cap companies that Keith Fitzgerald finds interesting?

Fitzgerald finds companies like IonQ in quantum computing and Caribou Sciences in biosciences and gene editing to be interesting small-cap investments.

What is Keith Fitzgerald's forecast for Tesla's stock price in the next few years?

Fitzgerald is bullish on Tesla, expecting the stock to double or triple, or even more, in the next few years, emphasizing its potential beyond just cars and its role in power, robotics, and AI.