Editor's Note: If you don't know Marc Chaikin, he's a living Wall Street legend that famous investors like Steve Cohen owe a huge debt of gratitude to for helping them build billion-dollar businesses. He's even been nicknamed "The Billionaire Maker." So, when he comes out with a new stock recommendation, I pay attention. The one below is so promising, I had to share it with you today. And if you click any of the links in Marc's e-mail below, you'll get the name and ticker of the company he's pounding the table on absolutely free.

Dear Reader,

In 2023, my system flashed bearish on an automotive company virtually no one had yet heard of.

Soon after, the stock crashed 35%.

But today, that stock's outlook has made a full 180-degree turnaround.

Check it out:

My system now rates this company "Very Bullish," with extremely high marks across the most critical factors in my stock analysis.

Because the very same company my system warned about in 2023 just formed a groundbreaking partnership with the king of AI, Nvidia.

See, Nvidia has built what is essentially the brains of the AI-powered cars of the future. 

But getting that brain inside vehicles and operating safely is an enormously complex job. 

That's precisely the job that went to this company. (Get the name and ticker FREE right here.)

That partnership basically hands this barely-known company the keys to the self-driving kingdom on a silver platter.

So, if you want to benefit from a company quickly becoming the center of the massive autonomous-vehicle trend, forget Tesla and get this stock's ticker before it becomes a household name...

Sincerely,

Marc Chaikin
Founder, Chaikin Analytics 

P.S. Autonomous cars are the future, and too many people make the mistake of thinking Tesla stock is the best way to profit. Not even close! Watch right here where I compare Tesla side by side with the company I'm talking about above and you'll see why it’s time to dump Tesla and buy this stock instead.

BREAKING NEWS

🔍 Google Burned Cash For The First Time In 20 Years

Alphabet ( $GOOGL ( ▲ 0.65% ) ) reported a monster quarter this week. Revenue jumped 24% to $119.8 billion. Cloud revenue exploded 82%. Operating income rose 30%.

And yet, the stock fell almost 9% this week and is now up only 1.46% for the entire year.

Here's why: Google spent $44.9 billion in three months on buildings and machines. That's double what it spent a year ago, and more cash than the business brought in. So free cash flow, which is the money left over after all that spending, came in at negative $5.9 billion.

Where is the money going? Almost all of it is going into data centers. Those are the giant warehouses filled with computers that run AI. Google is buying the land, putting up the buildings, wiring them for power, and filling them with its own custom AI chips. One campus in Alabama alone is expected to cost about $1.5 billion.

And if that spending spree didn’t scare investors enough, there’s more. Alphabet said it now expects to spend up to $205 billion this year, $15 billion more than it was planning just three months ago. And it warned that 2027 spending will climb even higher, signaling the AI buildout is still accelerating.

Beyond The Headlines:

• 🏦 Buffett is all in. Berkshire has built a roughly $31 billion Alphabet position, now its fifth largest holding. Buffett confirmed the idea was his and they first bought at an average price of about $243.

• 📊 The demand is real. Cloud backlog grew by more than $50 billion in one quarter to $514 billion.

• 💰 The cushion is huge. Alphabet still holds $242.5 billion in cash and marketable securities.

• Special Report: Wall Street legend put 60% in one stock — here’s the ticker (via Stansberry Research)

The stock is down roughly 20% from its peak of just over $400 and it's now testing its 200-day moving average around $318, one of the most closely watched technical support levels. If buyers fail to defend that area, the next major support sits around $270 to $280, where the stock traded before this year's rally.

The Munch Take: Google isn't spending because it's in trouble. It's spending because it thinks AI is worth the bill and so far, Buffett agrees. With $242 billion in cash, Alphabet has plenty of room to keep building. But the real test isn't whether it can afford the spending. It's whether the payoff arrives before Wall Street's patience runs out.

CHART OF THE DAY

📉 The Safest Investment In The World Lost You Money

A chart recently went viral showing the iShares 20+ Year Treasury Bond ETF ($TLT) down about 44% over five years. That's the fund that holds long-term US government bonds, the thing every textbook calls the safe option.

Here's why it happened. Bond prices move opposite to interest rates. When rates go up, older bonds paying less interest become worth less. Anyone who bought in 2021 was locking in yields near zero but then rates climbed hard and fast. In 2022 alone the fund has dropped 31%.

The other half of the problem is time. $TLT holds bonds with an average of 26 years left on them. The longer the bond, the more its price swings when rates move. A two-year bond barely flinches. A 30-year bond gets wrecked.

• 💵 The loss isn't as bad as the chart looks, because the chart ignores the interest those bonds paid out along the way.

• 📊 This fund now yields about 5%, which is a very different starting point than 2021.

• ⏱️ Short-term Treasuries carry a fraction of the price risk because they mature before rates can do much damage.

• Special Report: A better retirement stock than Berkshire? (From Stansberry Research)

So should you skip bonds entirely? That's the wrong lesson. The mistake wasn't owning bonds. It was owning the longest, most rate-sensitive ones at the exact moment rates were at rock bottom.

With the national debt climbing, the number worth watching is the 10-year Treasury yield. It sets the cost of government borrowing, mortgages, and car loans all at once. Also watch how much of the federal budget goes just to paying interest, because that number decides how much room anyone has to fix anything else.

The Munch Take: Bonds are boring but when something big happens in the bond world, it can be the trigger to move trillions of dollars in the stock market. Personally, with the national debt climbing to unsustainable levels, I don’t want to be relying on the government to get paid. Especially since the money I’ll get paid back in might be worth a lot less than it is today. After all, it’s the same dynamic behind why my grandmother bought a house for like $100 and some goats and today it costs both your kidneys and firstborn. Inflation is deadly.

🍪 Munchy Memes

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