Let's face it, the stock market is downright euphoric right now. We just witnessed the longest weekly winning streak of the year, with the S&P 500 and the Dow Jones Industrial Average soaring to new record highs. Everywhere you look, investors are piling into AI stocks, hoping to grab a slice of the next trillion-dollar industry.
And why not? Artificial intelligence is poised to revolutionize EVERYTHING – from how we work and shop to how we diagnose diseases and even drive our cars. It’s no longer science fiction; it’s a financial reality, and the savvy investor knows getting in early is the key to truly life-changing wealth.
But here’s the problem: everyone’s chasing the same handful of AI stocks – chiefly, the high-flying Nvidia. Sure, they’ve seen breathtaking gains this year (over 176%, to be exact). But with a sky-high valuation and intense competition on the horizon, can those gains possibly continue?
That's what the so-called “experts” like to tell you, anyway. And sure, you could just sit on the sidelines, watching the Nvidia party unfold and kicking yourself for not buying in sooner. Or… you could join me in uncovering a hidden AI opportunity – a “Sleeping Giant” that’s ALREADY making huge moves in the AI space… while paying you a hefty dividend to wait for the inevitable explosion in its stock price.
I’m talking about IBM (IBM).
Yes, that IBM. The “boring” old blue chip that’s been around since before computers were even a thing.
But don’t let their age fool you. IBM has been an AI innovator since the 1970s, and they’re not slowing down now. As Motley Fool writer Anders Bylund rightly points out, “[IBM] remains a leading AI researcher today, even though you don’t often see its name in generative AI headlines.”
While the headlines are filled with flashy chatbots and image generators, IBM is laser-focused on enterprise-class AI – the kind that helps businesses streamline operations, cut costs, and boost profits.
And guess what? Businesses are willing to pay BIG MONEY for that kind of AI.
In fact, IBM’s Watsonx platform has already generated over $2 billion of generative AI orders in just a year and a half. As Anders notes:
“[Watsonx] has already generated more than $2 billion of generative AI orders. Next week’s third-quarter report will show how quickly corporate clients are embracing IBM’s AI solutions in a healthier economy.”
Next week’s earnings report could be a game-changer – and send IBM’s stock soaring even higher.
But here’s the best part: you don’t have to wait for the profits to start rolling in. IBM is currently paying a dividend yield of over 4% – that means for every $10,000 you invest, you’ll get $400 in cold, hard cash every single year, on top of any gains you make from its stock appreciation.
Think about it: while everyone’s chasing Nvidia, paying an exorbitant price for its future potential, you could be collecting a fat dividend from IBM – all while its AI business quietly explodes in the background.
And don’t just take my word for it. The Motley Fool is bullish on IBM, even showcasing the company in its recent article about safe AI investments. As they eloquently stated:
“And as seen in the table, the stock looks downright cheap next to Nvidia’s high-flying shares.”
Don’t let the so-called experts fool you: you’re NOT too late to profit from the AI revolution. But if you want to play it smart – and collect a steady stream of income while you wait for the inevitable gains – you need to stop chasing the hype and start looking for the hidden gems.
IBM is just such a gem. It’s time to wake up to this AI powerhouse and start building your wealth the smart way.
Tomorrow, we’ll explore another overlooked AI stock that could be sitting on a 10X return – and a brand new dividend program that’s sure to make income investors drool. Don’t miss it!
