This 1 Stock Can Change (EARLY BUYERS) Lives

Folks, right now the United States and many other countries around the world are in a massive rush to build out data centers. As you know, this has created one of the most extreme wealth generating opportunities for many, many investors that were following us or following on their own the last couple of years. However, we're heading into a whole new phase and this is going to be a completely different ballgame. Now, amongst many of the AI buildout trades that are up hundreds, if not thousands of percentage points in some cases, well, there's one specific sector that is still cheap. It's very core to the next phase of the buildout and it's one of the biggest bottlenecks right now. And I'm going to present exactly what this bottleneck is, how to take advantage, and the specific stocks that are centrally located in this bottleneck. And then it's going to be time for our sponsored segment on Brain Limited, ticker symbol B R AI, on the NASDAQ. Some of the oldest industries on Earth still run on processes that have barely changed in decades. Manual paperwork, guesswork, and laborheavy routines remain the norm in corners of the economy that modern technology has largely passed over. While Brain Limited is building a business around closing that gap, I'll present the company. And while you may want to begin your due diligence and as always, if you're the one taking the ultimate risk, you've got to be the one doing the ultimate frisk. Always do your own due diligence on all ideas presented. Okay, let's start with the overall market. So, if you look at Triple Q, which tracks the NASDAQ 100, well, since June 2nd, we've been in this back and forth market that has resulted in the overall index being down nearly 3%. And this has been a big slowdown relative to the period before that. From March 30th to June 2nd, we saw just under a 20% return in the cues. And going from that massive 8-week run to a very constipated back and forth market has been incredibly frustrating for a lot of people. And when the tech index overall is having a hard time breaking out, what happens? Well, a lot of the momentum stocks get completely destroyed. And that's why you've seen so many of the hottest trades of the year in the last couple of years go down 10, 20, 30% from highs in this past month. But these holding patterns are nothing new. We've seen this time and time again. When was the last time we were in the situation? Well, from October 29th, 2025, it took roughly 5 1/2 months for the index to break a new high. And the first three months of the year were downtrending. And then finally, markets bottomed about a month after the original Iran strikes happened. And then what happened? Well, markets shot straight up week after week for eight weeks. It was quite beautiful. Now, the philosophy that we have here on Zip Trader is that you should be buying good assets at good prices over time regardless of what happens. And if you want to make extra money on momentum and have a stop-loss, that's also great. However, the foundation is buying good assets at good prices over time. But that doesn't mean that we shouldn't care about valuation. Of course, we should care about valuation. And that's why it's very, very important to understand that this market is not all equals. If you pull up the total world heat map, basically what you get with the Vanguard Total World Index VT and adjust for year-to- date performance, well, you could see a very big split between sectors, the top performers moving more than 30% year-to date are in green. Even with the market adjustment the last month or so, if you look at it, the companies that are still up really aggressively year to date are the companies like TSM, MU, AMD, INTC, ARM, Marvel, Semiconductor Equipment and Materials ASML AAT Clack LRCX Computer Hardware, your SNDK, Dell, AET, WDC, STX, communication equipment. And then secondly, you have a lot of energy and utility plays that are bright green or other shades of green. And then you have a lot of red and SAS, which is actually one of my favorite dip buying areas right now, but that's a topic for another video. In terms of consumer cyclical areas and businesses selling directly to consumers, everyday people, well, Netflix and Disney are down. Auto manufacturing has been destroyed, mixed in restaurants, and generally a weaker consumer cyclical segment overall is very, very present. Even if you look at consumer cards like Visa, Mastercard, American Express, down year to date. Now, if you were with us in 2025, 2024, and 2023, we called out a lot, not all of them, but a lot of the top runners of this current cycle. However, at this point now in July 2026, a lot of these names have already run up so massively. And while some of them are still cheap based on Ford earnings, well, still they're nowhere near as cheap as they were last year, right? Some of them are 100, 200, 300% up. And you can see very clearly markets have been rotating more and more out of those. They haven't been willing to pay that premium anymore for them. The mistake that a lot of people are going to make is they're going to assume that this is the end of the AI buildout trade. That is not the case. While this trade of course will be cyclical and you're going to see massive downtrends just like we've seen massive uptrends, the truth is that there are components of this trade that are still dramatically undervalued and I'm going to present on that a little bit later. However, right now I actually want to show you the data on the AI buildout and all the expenditure that's going into it. We're still in a phase where there's far less data centers than needed and it's going to take a lot longer than expected to build these and all of the components are still very much in short supply. So we have to start with Micron biggest American memory company. They just did their earnings call and management said this quote even as we expect industry supply to improve gradually in 2028. We currently do not have line of sight as to when memory supply will be able to catch up with increasing demand. Let me read that again. They do not have line of sight. This is a company that plans factories a decade out. They know their own production schedule better than anyone alive. And they looked out three years all the way to 2028 and they still couldn't find the point where they catch up with what customers actually want. And then it gets better. Same call. They admit customers are getting somewhere between half and twothirds of what they asked for. Think about what that means. If you're a hyperscaler and you order a 100 units of memory, you're getting maybe 50, 60 if you're lucky. The rest just doesn't exist. You can't have it. There's nowhere to buy it at this point in the cycle. There's way more demand than there is supply. There are basically three companies on earth that make this stuff at scale. Micron in the US, Samsung and SKH in South Korea. That's the whole list. That's it. Those three, all of them are sold out right now and sold out for a long time. SKHX has committed its entire output. DRAM, ND, the high bandwidth memory that goes into AI chips, all of it. Samsung sold out and saying the shortage runs through the next year. Micron's 2026 is fully spoken for, and they've already moved on to arguing about who gets what in 2027. Now, here's the part that actually tells you something. Micron has 16 long-term supply deals worth at least a hundred billion, and these are take or pay contracts. Now, what take or pay means is that the customer the customer is legally on the hook whether they pick up the product or not. Why the hell would a customer agree to that? Well, because there's such a massive shortage, they have to agree to bad terms. And customers are going even further than that. They're prepaying. They're offering to fund the equipment. In some cases, they are literally putting up money to help fund the suppliers factory. Next, the repricing. So, what does a shortage like that actually do to a business? Well, look at Micron's revenue. A year ago, roughly 9 billion in a quarter. Last quarter, 41.5 billion. That's more than four times bigger in a year. Dram revenue up 207% year-over-year. gross margin at almost 75% a company record roughly double where it was 75% gross margins do not happen. They do not happen in a market with enough supply. So for the bears that keep fear-mongering over there being too much supply of memory coming very very soon. Well again they're booked out. They're raising prices. They're gross margins going through the roof. And the next point is that the factories that these companies are building to better serve the supply are years away. So SKH Highix and Samsung have pledged around $2 trillion towards new capacity. Micron is committing another 200 some odd billion dollars. Enormous money. Genuinely enormous. Now look at when it actually shows up though. Micron's Singapore plant and the retool Taiwan fab those come online in 2027. Samsung's new plant in SKH Highix's Indiana facility 2028. And Micron's big New York complex doesn't hit full production until 2030. There's no shortage right now of people writing articles saying that the memory shortage is going to be dead tomorrow. And the reason is because if you look at the past, well, every time there's a massive surge in demand for memory, well, all of a sudden, these three players start building out more capacity. The problem is that the demand for the memory is so much higher than anything they've ever seen before, and it takes years to build factories. So, by the time they've built up these factories, it is likely that the demand is going to be much, much higher. And so the supply shortage is still going to be very high. The chairman of SKH said himself that the $2 trillion they're going to be spending isn't going to close the gap. It's not even anywhere near enough to close the gap. Next, you need to understand that AI is a memory hog. Plain and simple. To make the memory that goes into an AI system, you burn through roughly three times the factory space of ordinary memory. Same building, same machines, one-third the output. So every chip built for AI doesn't just take supply. It absolutely destroys supply of everything else. the memory in your laptop, your phone, your car, every AI chip effectively eats three normal ones. And the AI share keeps climbing. This year, AI takes about 22% of all memory production. Next year, it's projected around 30%. So, if you look at those squares on the screen, that coral block there is AI. It's eating the wafer. So, run that forward. AI slice grows. Every unit of that slice cost triple, and the total pie is only getting bigger at the speed of a three-year factory build, which still isn't enough to service the demand. So again, I don't see the shortage easing. Next, I want to talk to you about the grid. So memory isn't a one-off thing. Every physical input to this buildout is jammed. Look at these lead times. This is how long you have to wait from placing an order to actually get in the thing. For gas turbines, the machine that generates electricity, it's 8 years out. For grid connection, just permission to plug into the power system, that's about seven years out. A high power transformer is 5 years. Now look at that last bar. The data center itself, 2 to three years. So the problem here is pretty straightforward. You can build the building in 2 years, but the electricity to actually run it takes 5 to 8. So, what about runway? Well, right now, global data centers pull about 82 gawatt. By 2030, the projections land around 219 gawatt. The money side, roughly $6.7 trillion of data center investment is needed by 2030 with about 5.2 trillion of that AI specific. And if you look at the more constrained case, the scenario where things slow down, where adaption disappoints, where some of this gets canceled, well, that case is still $3.7 trillion and about 160 gawatt. The downside scenario here is basically measured in the trillions of dollars in terms of new spend. And a lot of people love to play this game where they look at all these companies, they look at all their massive spend, and they say, but these companies are not going to be willing to spend this kind of money if they don't see immediate profits, if they don't see immediate returns from this AI buildout. I think that's very reductionist to what's going on right now. Fact of the matter is that most of this money is coming from some of the most central companies in our economy. And the AI buildout race right now is life or death for almost all of these companies. If they decide not to build out and and one of their leading competitors does, well, guess what? One of them is not going to be around in the next 5 10 years. There's also a country by country by country fight on this. Whatever country allows its AI and backs stops its AI buildout the most is going to be the next leader. And in the United States, we've already seen time and time again where the US is willing to bail out even non-essential sectors of the economy. While the actual bailout expenditure is going to be cyclical, is going to go up and down, is going to have panics, and you're going to have cyclical panic cycles everywhere like we've always had. Well, still, if you're looking out the long term, it's really difficult to be bearish on this. It's really difficult to see all of these corporations and the United States abandoning AI anytime soon. I was watching some negative AI videos and a lot of people said, "Look, just because you're investing in big AI companies doesn't mean they're going to be the ones that win." Because during the com bubble, a lot of companies that that built out the fiber optic cables and such and so forth, well, they actually ended up going bankrupt and they got bought out for pennies on the dollar by companies that actually used them. So, the original investors didn't get rewarded. And they make that comparison as if that's a guarantee of what's going to happen this time. That's a very faulty way of thinking because the companies that are spending the most and they're actually dominating are the companies that are some of the wealthiest in human history. The idea that Alphabet, Meta, Facebook, Apple, Amazon are going to go bankrupt and somebody else is going to buy what they built for pennies on the dollar, total fantasy land. I would say the genuine risk case isn't about being another do bubble. It's probably more about China competition because China loves to emulate what we do and they can do it cheaper because they have different rules and energy costs and overall different situation. That's probably what I would consider a real bare risk for some of the companies that are competing directly in international markets. However, when you're dealing with AI, a lot of big companies in the West are never going to want to deal with China and give away their privacy and data to the CCP. It's just not going to happen. Okay, so let's back up. Going back to the grid theme, one of the biggest and most undervalued areas of the AI buildout and and one with the most extreme and foreseeable upside regardless of what happens with AI capex is the power sector. And again, if you look at it, roughly 16 gawatts of data center capacity announced this year, but only 5 gawatt is actually being built. Somewhere between 30 and 50% of these projects are getting delayed or flatout canceled. Not because they ran out of money, not because they ran out of chips, but because they ran out of power. Now, what are some of the stocks that can benefit from this? Constellation Energy, CEG. This is a very, very important one. This company already has 22 reactors and there are two reasons why nuclear is very, very important right now. One, it never turns off. Solar stops at night. Wind stops when there's no wind. But a model in the middle of training, it can't stop. It can't pause. And it needs something reliable. Well, nuclear is that thing. It just runs day, night, weekends, holidays. Doesn't care. Two, and this is my favorite part, their price is locked in. Here's how that works. works a nuclear plant buys fuel on 20year contracts. So, its costs, well, barely moves. But the price it sells its power at, well, that's set by the market. And if you look at what they're signing, they're restarting Three-Mile Island, a whole mothball nuclear plant, brought back from the dead for Microsoft. They have a 20-year deal with Meta, 15-year deal with Walmart. They're filing paperwork to run reactors out to 2049. Next, Vistra. Vistra is kind of like the rowdier cousin. If Constellation is a nuclear specialist, well, Vistra owns a little bit of everything. Nuclear gas, coal, solar, batteries, about 39 gawatts of it, biggest competitive power generator in the country. If demand spikes, Vistra fires up whatever is cheapest and sells into whatever is priciest. That flexibility is worth a lot right now. They signed their own 20-year metadal over 2.1 gawatts, three different plants. Last quarter, they beat expectations by about 49%. Now, a lot of people don't understand that the line to actually plug into the power grid takes about seven years. The AI boom hasn't even been around for seven years. So, the tech companies looked at that weight and they said, "Yeah, no, we're not going to be dealing with that." So, what companies are doing is they're building little gas plants next to their data centers. And these gas plants need gas from somewhere to actually convert it into usable electricity. Who's bringing the gas? Well, one of the big players is ET, not the Alien, but Energy Transfer. They've got 140,000 miles of pipeline and they are signing up AI campuses like crazy. They have a 20-year gas deal for a meta data center hub. Oracle, they're ramping toward about 900 million cubic feet a day. Three facilities. They have a behind the meter AI campus in Texas. They have a brand new pipeline from the Perian Basin out to Phoenix locked in on 25-year contracts. Just this past year, they contracted more than 6 billion cubic feet a day of new capacity on deals averaging 18 years. Now, here's the best part. Energy transfer does not care what gas costs at all. Gas goes through the pipe, they take their cut, gas goes up, tolls the same. Gas goes down, tolls the same. Big fat yield never got an AI multiple. Nobody's excited about it. It's been on a steady climb up, but it's still well down from its previous highs reached 10 years ago. Now, one funky thing you should be aware though with Energy Transfer is that it's not the usual type of stock you'd buy. This is actually what's called a partnership, which basically means that come tax time, you get a K1 instead of a 1099. It's moderately annoying and it's something that you have to consider if you want to buy the stock. Some people don't even want to buy it because of that. That's fine, but it's something that you do need to look into before you consider buying. Next, Cami Kinder Morgan. So, Kinder Morgan, same playbook, gas pipelines feeding data centers, except it's a normal corporation. Thank God, so you get a regular 1099. But their CEO said something I can't stop thinking about. He said, quote, "Approximately 70% of future power demand from data centers under development is in states served by our assets." 70%. That's not some analyst guessing. That's the CEO on record looking at their own map. They've got 78,000 miles of pipeline, 10.1 billion backlog, 92% natural gas, about 60% of it feeding power generation. It's feebased, long-term contracts. It's another toll road. Their credit rating just got upgraded. So very, very beautiful. Next, one of my favorites, UU you UU, Energy Fuels. If Constellations reactors are the engine, well, uranium is the gas and America barely makes any. Energy Fuels owns the White Mason mill in Utah. And here's the thing about it. It's the only fully licensed operating conventional uranium mill in the United States. Not the biggest, the only one. You sit with that for a second. This whole country is betting its AI future on nuclear power largely. And there's exactly one place processing the fuel domestically. And they're executing. They expect to hit their entire year's uranium target by the halfway mark. And costs are near historic lows. Very beautifully run business. And the stock also happens to be at very, very low pricing. Next you have LEU Centress Energy. Mining uranium isn't enough. You can't just dig it out of the ground and throw it in a reactor. It's got to be enriched first. And for decades, America outsourced that, a lot of it to Russia. Centris is the only US-owned uranium enrichment company. That's it. That's the list. They have a $2.4 billion backlog. They have 900 million Department of Energy. They have a $900 million Department of Energy contract to build commercial capacity. And they signed a deal to fuel Olo's reactors. Next, you have GE Vernova, one of my favorites as well. When GE split itself into three pieces, this is the piece that got the power business. And they make the gas turbines, the massive machines that actually turn fuel into electricity. They also make transformers, the boxes that step voltage up and down so power can travel. And here's the one sentence you need to remember. Their turbines are sold out through 2030. Not strong demand, not robust pipeline, but sold out. So, if you want to order a turbine today, cool. Get in line behind everybody else who ordered before you, and we'll see you in the next decade. And then finally, we have to end with nanuclear, which is the most speculative and one of our favorite long-term ideas for the micro reactor space. Everything we talked about is big. Big big reactors, big turbines, big pipelines. But nanuclear's bet is the opposite. They they're betting on tiny reactors, micro reactors, small enough you could theoretically park one right next to a data center. No grid, no seven-year weight, no pipeline, just a reactor on site. And if that works, it solves the entire problem this video is about. you are a believer in this company, but it is a very high-risisk early stage play. The upside, if they end up succeeding, is asymmetrical, but it is still on the lottery ticket spectrum, so it's not equal to the other plays, but I do always believe in having some asymmetric bets. Anyways, now it's time for our sponsored segment on Brain Limited, ticker symbol B R AI, on the NASDAQ. Some of the oldest industries on Earth still run on processes that have barely changed in decades. Manual paperwork, guesswork, and labor heavy routines remain the norm in corners of the economy that modern technology has largely passed over. While Brain Limited is building a business around closing that gap, I'll present the company and why you may want to begin your due diligence. Now, Brain Limited is a company that applies proprietary artificial intelligence, machine learning, robotics, and IoT sensors to three traditionally analog sectors: precision agriculture, customer experience, and property technology. This is one company with three verticals. Most AI companies pick a single lane, but Brain instead runs three distinct platforms that share a common technology backbone. Number one, their Agri Tech uses autonomous aerial robots and analytics to deliver realtime insight into crop health, irrigation, soil conditions, pests, yield prediction, and weather risk. Number two, customer experience. CXAS offers an AI powered end-to-end platform for how enterprises engage customers and manage their internal teams. Number three, property management handles utility connections, bill comparison, and ongoing household expense management. The common thread is automation and predictive analytics applied to markets that have been slow to digitize. Now, let's talk about their drone. So, the agriculture platform may be the most tangible piece of this story. Labor accounts for more than 60% of agriculture costs, and that figure is forecasted to climb as labor shortages worsen against a growing global population. Brain's answer is automation that removes humans from the most expensive and hazardous tasks. According to the company, its drone technology delivers crops brain at 15x the speed of traditional methods with roughly 30% cost savings. Coverage by 10 drones and pilots in a single day equal to hundreds of human labor hours over a week. A 20 to 25 increase in crop productivity across the crop cycle. Up to 85% less water and 50% fewer biologics through targeted sensor guided application. The agrch business sells long-term management contracts through distributors and value added resellers across India, Sri Lanka, and Australia, serving more than 100 customers that includes some of Asia's largest tea producers. The precision agriculture market it targets is projected to grow from 13 billion in 2025 to 24.1 billion by 2030. A 13.1% compound annual growth rate. Brand's second pillar is customer experience as a service delivered through two products. Inovista and the Radius omni channel interaction system. Radius is designed to pull every customer touch point, voice, chat, email, video, and social media into a single cloud-based interface, shifting companies from a scattered multi-channel approach toward a unified omni channel one. The system already services more than 100 customers across industry verticals. The CXAS market it operates in is forecasted to expand from 12.7 billion in 2025 to 28.3 billion by 2035, an 8.4% annual growth rate according to Market Research Future. And then when it comes down to cracking the utility switching problem, well, the third platform targets one of the most frustrating parts of moving houses, setting up and switching utilities. The property technology arm uses AI agents and OCR to read household bills, recommend electricity, broadband, and insurance options, then automate service setup during tenant transitions. Key features include a smart connect platform that integrates with tenency systems to automate setup, hyperpersonalized matching of electricity, broadband, and insurance plans, a digital portal for ongoing bill tracking, payments, and plan switching, deployment across Australia and New Zealand with expansion underway into the UK and US. The headline item here is an exclusive partnership to service 5.5 million rental homes in the UK. Now, the people behind it, you have CEO Natra Balabbranian, who is a SAS entrepreneur who previously scaled a software company to 25 million in revenue and built what the company describes as the world's first fully autonomous spray drone certified to fly by a sovereign nation. President and COO Neil Sally founded the prop tech business behind the utility platform and previously engineered an exit with Australian energy provider Origin Energy. CFO Jay Stevenson brings 34 years of finance experience, including 26 as chief financial officer across public and private companies. Now, let's talk about risks. So, with any small cap, there are very high risks. Dilution is a real consideration. Acquisitions sit at the center of Brain's growth strategy, and the company has repeatedly used its own stock as the currency to fund them, issuing new shares to complete deals rather than paying entirely in cash. That approach expands the share count over time and as Brain keeps pursuing acquisitions and investing to scale its platforms while additional equity issuance could continue to dilute existing shareholders. And then there's also aggressive M&A which brings integration risk. A large share of Brains expansion depends on buying other businesses and folding them into a single platform often across countries and industries. absorbing several companies at once and keeping their customers, teams, and systems aligned while capturing the synergies management is counting on is operationally demanding. And there is no guarantee those benefits arrive on the timeline the company expects and hopes for. Anyways, the story with Brain is that it offers something relatively rare, a single company applying the same AI and robotics toolkit across three large underdigitized markets at once. For folks interested in companies bringing automation to traditionally analog industries, well, Brain may be worth monitoring as it scales its three platforms and works to convert its pipeline into signed contracts. Anyways, I'll put the link to their website down below. Make sure to do all your own research and come to your own conclusion.