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Is US Tech Still Magnificent?
As Nvidia readied its quarterly results, analysts and strategists were torn on whether investors sho
https://www.economist.com/china/2025/05/25/xi-jinpings-plan-to-overtake-america-in-ai?giftId=15ca968d-c242-4a61-89b6-a40f56d1b6fc&utm_campaign=gifted_article
Meanwhile China is planning to beat the US by creating valuable uses of AI instead of the holy grail AGI that probably isn’t even possible in this technology age.
It seems that US economic growth might be flatlining and that future growth for the S&P 500 will come from foreign sales- either from direct sales or from sales via subsidiaries that are foreign-based.
I have been looking not only at SP 500 index recent historical sales trends, per share for the index, and the percentage of those sales that are derived from foreign sales; but also at the total sales trends and foreign sales for various individual large companies (other than “Mag 7”) included in the S&P 500. It isn’t that I don’t think that the Mag 7 stocks have the potential to significantly grow their foreign sales – but I already own the 5 of those 7 that I want to. Therefore, I am looking at other big, US-based companies to take individual positions in- which have potential for strong foreign sales growth relative to their potential for growth in domestic US sales.
It is nice to have an idea that gives me a reason to read through footnotes/MDA disclosures in Form 10-Ks for insights into how well positioned a company is to grow their foreign sales/profits.
Some CEO’s appear to be doing better at positioning their companies to benefit from foreign sales growth than others.
In addition, it appears that the courts are starting to rule that Trump can not set tariffs (that function is the responsibility of Congress). It is hard for me to think that the Supreme Court would ultimately side with Trump on this one. So “Trump tariffs” might end up being a big exercise in futility and a “lethal, self-inflicted gunshot wound”.
Interesting project! Any promising candidates so far?