The Next SpaceX? I’m Buying These 3 "Sold-Out" AI Stocks Which Are Completely Sold Out Until 2028

Here is the list of stocks I have covered on this channel since publishing my first ever face cam video nearly 3 months ago and the results speak for themselves. 10 out of these 16 stocks have delivered doubledigit returns helping our portfolio comfortably outperform the broader market. Only three stocks are in negative and that too only marginally. Our best performing pick turned out to be one of the market's most hated and controversial stock SpaceX. It has gained almost 48% since I covered it. Most importantly, I first shared SpaceX with our Discord community near 110 per share when the stock was crashing after its results and investor sentiment had turned extremely negative. Buying during that uncertainty was uncomfortable, but the greatest opportunities rarely feel comfortable at the beginning. Our second best pick is Microsoft, which I revealed as an undervalued opportunity in my first ever face cam video. At the time, the stock had remained stuck between 360 to 400 range for months. As investors questioned whether Microsoft's enormous a spending would produce sufficient returns. I focused instead on Xating Azure growth, Microsoft's expanding AI ecosystem, and its ability to convert infrastructure investment into recurring revenue. Eventually, the stock price caught up with the business. Our third winner is Nabius, another intensely debated company. Some called it overvalued and described it as the face of the AI bubble. I saw a rapidly expanding AI infrastructure business benefiting from computing demand that continue to exceed available supply. Now, enough of celebrating past winners. What matters now is where the next opportunity may be developing and the broader environment remains surprisingly supportive. According to Fact Set, S&P 500 earnings are expected to grow approximately 30% year-over-year, potentially making the third consecutive quarter of growth above 25%. This could be the strongest earnings expansion outside a recession recovery since 1992. Despite the market reaching record highs, valuations have actually improved. The S&P 500's forward earnings multiple has declined from approximately 26 to 19 because earnings have grown faster than share prices. AI is also helping companies expand margins by increasing productivity and reducing costs. Since 1946, the S&P 500 has delivered positive returns in every year following a US midterm election with an average gain of 14.4%. History never guarantees future performance, but with economic expansion expected to continue through 2027, strong corporate earnings could once again support another powerful postmidterm market rally ahead. In this video, I will discuss three companies experiencing explosive growth. Demand is so overwhelming that their capacity is already sold out, leaving them unable to fulfill every order even at exceptionally high prices. Stock number one is Lmentum, ticker symbol light. If earnings growth remains the primary force supporting S&P 500 rally, I believe Lum is one of the best position companies to play that story. It operates at the center of a critical optical networking bottleneck created by rapidly expanding AI data centers. GPUs may perform the calculations, but thousands of processes must communicate at enormous speeds. As AI clusters become larger and more complex, traditional copper connections become less effective. Increasing demand for optical components, lasers, and high-speed interconnects. Demand is already overwhelming supply. Management says Lmentum cannot satisfy approximately 70% of demand for certain products through next year, while around 30% of demand for some products may remain unfulfilled through 2028. This suggests that demand is not the company's problem. Its challenge is expanding capacity quick enough to convert this opportunity into revenue and earnings. The transition toward near packaged and co-ackaged optics could provide another powerful growth engine. These technologies should become increasingly important as the next generation of AI processors require substantially greater bandwidth. Management believes adjusted earnings could potentially reach 40 per share by fiscal 2028, compared with Wall Street expectations of 35 per share. At the current share price, the stock trades at approximately 28 times management's potential 2028 earnings target. That is not dirt cheap, but it appears more reasonable when compared with severe supply constraints, potential pricing power, and operating margins that could approach or exceed 45%. Lummentum has a strong record of beating earnings expectations and with demand significantly exceeding supply, the company appears well positioned to deliver further upside surprises. However, investors must remain disciplined. Momentum still trades near 50 times near-term forward earnings, meaning considerable growth is already priced in. Capacity delays, weaker hyperscaler spending or execution problems could produce a substantial correction. I remain bullish but I would avoid chasing the stock aggressively following its powerful rally. My profit strategy is to begin with a partial position and add during meaningful weakness. Lmentum now has extraordinary demand visibility. Management must prove it can turn that demand into sustainable earnings growth. Second stock on today's list is Coherent. Like Lmentum, Coherent is positioned to benefit from networking bottleneck created by increasingly large a data centers. However, Coherence's opportunity extends beyond individual optical components. Through its photon link platform, the company wants to provide integrated optical subsystems potentially increasing its revenue per AI system while making customer relationships more difficult to replace. The near-term growth story is supported by extraordinary demand visibility. Management says fiscal 2027 capacity is fully booked. Purchase orders are already arriving for 2028 and long-term agreements extend through the remainder of the decade. Some contracts reportedly include minimum purchase commitments and predetermined pricing providing greater visibility that investors normally receive from a cyclical hardware company. Coherent is rapidly expanding production to satisfy this demand. The company manufactured almost 80% more indium for white lasers during the June quarter. Management expects 6 in wafer capacity to double year overyear and then more than double again through 2027. Importantly, yield on these larger wafers are already exceeding those produced on older 3in technology. The financial results are beginning to reflect this opportunity. Fiscal 2026 revenue increased 23% to 7.12 billion while adjusted earnings grew 59%. Management expects quarterly revenue to exceed 3 billion by the end of fiscal 2027 and is targeting gross margins above 42%. At approximately $310 per share, Coherent trades near 33 times projected fiscal 2027 earnings of 9.42 per share and 22 times fiscal 2028 earnings of 14.05. Applying a 28 times multiple to potential fiscal 2028 EPS of 14.6. 2016 produces a valuation near 396 per share. Looking further ahead, analysts expect fiscal 2029 EPS of 18.55 per share, 32% annual growth, placing Coherent at only about 17 times projected earnings. At a 28 times multiple, that estimate would sport a theoretical valuation of approximately 519 per share, representing nearly 67% upside from the current price. The biggest concern, however, is cash flow. Coherent generated only 80 million in operating cash flow during fiscal 2026 while spending approximately 1.1 billion on capital expenditures. Inventory also increased sharply to 2.58 billion. I remain bullish but 2027 must prove that bookings and inventory can be converted into revenue earnings and free cash flow. If management executes I believe Coherent could grow into its valuation and offer meaningful upside. Stock number three on today's list is Broadcom. Unlike a conventional chipmaker, Broadcom is building an entire AI infrastructure ecosystem spanning custom accelerators, Ethernet, networking, optics, and connectivity. Quarterly revenue reached 29.6 billion, rising 86% year-over-year, while EI semiconductor revenue climbed to 16.7 billion. Management expects EI revenue of approximately 58 billion in fiscal 2026, potentially increasing to 115 billion in 2027 and 230 billion by 2028. Broadcom's advantage is that every custom accelerator deployment can also generate demand for its networking and optical products. Google, Meta, Anthropic, and OpenAI are developing specialized AI systems with Broadcom, giving the company exposure to multiple major customers rather than a single platform. The valuation becomes increasingly attractive as earnings expand at approximately 362 per share. Broadcom trades near 31 times near-term forward earnings. However, analysts expect EPS to rise from 11.6 6 in fiscal 2026 to 19.39 in 2027 and 13.40 per share in 2028. That reduces the implied valuation to approximately 19 times 2027 earnings and only 12 times 2028 earnings. The principal risk is Broadcom's growing role in financing AI infrastructure. Its guarantees and purchase commitments increase exposure if customers struggle financially or deployment slow. Nevertheless, with accelerating AI revenue, expanding operating margins, and 13.7 billion in quarterly free cash flow, I believe Broadcom remains one of the strongest long-term opportunities across the AI infrastructure value chain.