The Power and Profit in the Air


I’m sorry to say it, but chances are you missed out on 2019’s biggest gains. At least so far!

Unless you’re following a trend that many investors are blindly overlooking…

Interested to know why you should care?

Good, because this trend is not going to slow down. So here it is…

I’m talking fifth generation (5G) networks. Uh-huh. Now here’s why…

Telecommunication stocks have soared, thanks to the arrival of 5G technology.

This shouldn’t surprise you.

Even telco heavyweight Telstra Corporation Limited [ASX:TLS] is up over 35% since 2 January.

But who wants to focus on big-cap stocks?

After all, you’re here because you want to bet small and win big.

Explosive returns, right?

Well, then look at these gains…

Uniti Wireless Limited [ASX: UWL] shares have roared 600% since listing this year.

Then there’s 5GN Networks Limited [ASX: 5GN], which is up over 250% since January.

And as I said, I don’t see this trend slowing down. I’ll share some thoughts on taking advantage of this below.

Look to the skies

You can’t deny that, as society progresses, so too does productivity. As humans, we have a relentless desire to automate much of what we do.

My colleague Callum has spoken about this numerous times already. So, I am sure you’re familiar with this train of thought.

Which is why I want to make this super clear: You must look up to fully grasp the potential of 5G.

AT&T and Uber are joining up to test and advance electric vertical takeoff and landing (eVTOL) vehicles.

But they’re not just testing these vehicles for the sake of it. They’re testing them to see how the 5G network can play an integral part.

As you’ve heard here already, you will be able to experience this technology in your lifetime.

And if you’re lucky enough to live in Melbourne, you will be among the first.

Why does this matter to you?

Well, if AT&T can successfully integrate 5G into air taxis, then it’s only a matter of time before other companies follow suit.

Here come the flying robots

Consider air delivery, for instance.

Drones have become a hot topic over the last two years. And Amazon has already implemented a basic plan for air delivery services in America.

What’s next though?

Perhaps groceries, takeaway food, or even hardware and postal services. You could say the sky’s the limit! (Pun intended.)

The point is, this development is massive. All the stories you remember from The Jetsons are now becoming close to reality.

And as an investor, this is going to create massive opportunity. So, keep your eyes peeled on telecommunications and technology companies.

As an example, mass adoption of 5G devices is underway right now in Australia. And more consumer devices are due to be released this year.

And rumour suggests that 5G technology will be part of Apple’s 2020 product range.

The market will price in these benefits before it’s obvious to the wider public.

In my view, it’s only a matter of time before companies locally and abroad change the very way we interact, shop and do business

It’s an exciting time to be alive!

Of course, small companies can stand to benefit the most by being at the forefront of this trend.

That’s why you should be reading Callum Newman’s Small Cap Alpha. Go here to check it out.

Until next time,

Jim Rickards Signature

Jonathan Evans,
Analyst, Profit Watch

PS: Don’t forget to check out my latest video below, and if you haven’t already, please hit that ‘Subscribe’ button — it really helps.