Dan Ives Warns: If You Only Own Nvidia & AMD, You’re Making A HUGE Mistake! (3 Must Own Stocks)

If you are relying solely on chip makers like Nvidia and AMD to carry your portfolio into 2027, you are on the wrong side of this market. Listen directly to tech analyst Dan Ies as he reveals what you must own before the year-end rally takes off. >> Software trades now on the use cases are starting to happen. The second, third, fourth derivative. Also, institutionally investors, they're caught off sides. So they're going to have to definitely adjust to owning more software because the software has really been a do not enter zone. And when you think about earnings and what we've seen across the board, the data points are now lining up where I win this. It's an all clear cuz Adobe is a good example. It's still a lot more wood to chop, but definitely huge step and you're going to see software, I think, outperform as we go into the rest of the year. You know, definitely better days ahead from the SAS apocalypse that we saw, you know, even a few months ago. >> Dan's conviction isn't just Wall Street optimism. It is backed by explosive undeniable data. The so-called SAS apocalypse narrative is officially dead and the primary growth engine of the AI revolution is rotating. For 2 years, institutional investors treated software as a do not enter zone. But enterprise contract backlogs are now exploding. Look at the numbers across the board. Cloud infrastructure and enterprise software commitments are converting directly into massive multi-year revenue streams. With global enterprise software spending accelerating toward a record $1.44 trillion, corporate buyers are transitioning from buying raw hardware to deploying enterprise software at scale. Wall Street money managers who wrote off this sector are caught completely offside while second and third derivative software platforms begin monetizing at scale. This structural market rotation is primed to deliver outsized returns into 2027. Ives himself is calling for an epic surge in three high conviction software titans set to outshine everything else in your portfolio. Here are the three must own software stocks ready to dominate the next wave of this bull market. To see this software rotation taking place in real time, look no further than enterprise software titan Oracle, ticker OCL, which is executing one of the most explosive operational transformations in modern tech history. For years, skeptics dismissed Oracle as a slowmoving legacy database provider, but its latest Q1 results completely shattered that narrative. Total revenue surged 30% year-over-year to a record $19.35 billion, powered by a mind-blowing 121% growth in cloud infrastructure revenue, which hit $7.4 billion. Non-GAAP earnings per share surged 30% to $1.92, beating expectations by 10%. Total cloud offerings now make up 60% of overall revenue, officially turning legacy software drag into an afterthought. What makes Oracle's business model so commanding in this AI expansion is its staggering contract backlog. Remaining performance obligations skyrocketed to a massive $664 billion with total cloud backlog reaching $638 billion, proving that enterprise clients, sovereign nations, and top AI labs are aggressively locking in capacity. In a single quarter, Oracle brought online 850 megawatts of AI capacity, containing over 300,000 GPUs, delivering nearly triple the volume of the previous quarter. GPU fleet utilization stood at a near-perfect 97.9%. While four-year-old hardware coming up for renewal was resigned at a 20% premium. Beyond pure infrastructure, Oracle generated $23 billion in quarterly operating cash flow while embedding Agentic AI directly into its Fusion application suite and expanding multicloud database capabilities across AWS, Azure, and Google Cloud, capturing high margin revenue at every single level. Management was so confident in this momentum that they upgraded fullear revenue guidance to at least $90 billion and raised earnings guidance to $810 per share. Operating income surged 57% as clouds scaling unlocked powerful operating leverage. Yet, despite this massive operational acceleration, short-term market volatility has compressed Oracle's forward valuation down to a remarkably attractive 19 times to 20 times earnings. When pairing a discounted multiple with earnings projected to compound at a 30% to 40% annual rate, OCL presents an extraordinary fundamental setup that is converting global enterprise demand directly into lockedin revenue. Shifting from infrastructure clouds scaling to creative workflow monetization. Our second high conviction titan is digital experience leader Adobe, ticker ADB. A prime example of a market leader where Wall Street skepticism has created a massive fundamental disconnect. While critics spent months worrying that generative AI would disrupt Adobee's moat, the company's latest Q3 results prove that artificial intelligence is actually acting as its single strongest growth accelerator. Adobe delivered a record $6.76 billion in quarterly revenue, marking nearly 13% year-over-year growth and accelerating topline momentum for three consecutive quarters. Non-GAAP earnings per share came in at $6.13, outperforming expectations and prompting management to raise fullear revenue guidance to 26.626 billion and earnings guidance to $24.50 per share. The real headline, however, lies in Adobee's AI monetization metrics. Its AI first annual recurring revenue surged over 150% year-over-year to exceed $650 million, growing at 10 times the rate of the overall business. Total ARR reached 27.5 billion with business professionals and consumers subscription revenue reaching $1.91 billion and creative and marketing professionals subscription revenue surging to $4.65 billion. Adobe's core business model is scaling at an unprecedented rate with total monthly active users across its platform crossing the historic 1 billion mark while Acrobat AI assistant user counts doubled quarter over quarter and creative premium users surged 70% to over 100 million. This massive user funnel feeds directly into high margin enterprise monetization. Rather than facing disruption, Adobe is embedding Agentic AI deeply into professional workflows through products like Firefly Enterprise, the Acrobat Productivity Agent, and CX Enterprise Co-worker, which already has over 1,700 major enterprise adopters. The strategic agreement to acquire Emmy award-winning Topaz Labs, further extends Adobe's dominance into advanced AI video enhancement. What makes ADBE so compelling right now is the sheer disconnect between its operational performance and its valuation. Trading at an extraordinarily undemanding 10 times forward earnings with a 10% earnings yield, Adobe is priced like a stagnant firm despite generating record profitability and 45% operating margins. Management is capitalizing on this gap by aggressively buying back shares, retiring nearly 9.5 million shares in Q3 alone, making ADBE a cash machine primed for massive long-term upside. Moving from creative design suites to the ultimate intelligence layer running global enterprise decisions. Our third must-owned Titan is artificial intelligence powerhouse Palunteer Technologies, ticker PLTR. a company that has firmly established itself as the indispensable operational brain for both corporations and government agencies. While critics spent years dismissing Palunteer as a bespoke consulting firm, its latest Q2 results shattered expectations and proved that real world AI monetization is happening right now. Total revenue surged 93% year-over-year to $1.94 billion. But the absolute star of the quarter was US commercial revenue, which exploded by a staggering 149% to $764 million across 653 US commercial customers. What makes Palunteer's trajectory so phenomenal is the sheer velocity of enterprise adoption, highlighted by 220 deals signed in Q2, valued at over $1 million each. Total contract value in US commercial rocketed 153% to $2.13 billion, driving remaining deal value up 124% to over 6.238 billion. Net dollar retention hit an incredible 157%. Proving that once corporate clients experience the artificial intelligence platform, they rapidly expand their commitments. Rather than selling simple rappers or token-based applications, Palunteer operates at the meta compute layer through its proprietary ontology architecture. Ontology acts as a semantic bridge, taking cheap commoditized open-source models like Neatron Ultra and grounding them directly in an enterprises private operational data. This allows corporate clients to generate instant operational ROI, such as Centress Energy, unlocking $300 million in savings without paying exorbitant token fees to cloud providers. This value-based pricing model creates unbelievable margin expansion, allowing Palunteer to deliver an industry-leading adjusted gross margin of 86%, an adjusted operating margin of 62%, and an astounding rule of 40 score of 155%. Management capitalized on this momentum by raising fullear 2026 revenue guidance to $8.15 billion, representing 82% overall growth with US commercial revenue targeted to exceed $3.424 billion and adjusted free cash flow guidance raised to $4.7 billion. Armed with rapid expansion into financial services, strategic infrastructure partnerships with Nebus, and cornerstone defense contracts like Titan and Maven, PLTR is redefining enterprise software economics heading into 2027. The market shift is crystal clear. Hardware built the foundation, but software is capturing the long-term wealth. Positions in Oracle, Adobe, and Palanteer give you front row exposure to this multi-trillion dollar rotation. Drop a comment below with your favorite software pick. Hit that subscribe button and I will see you in the next video.