JPMorgan: AI investment opportunities are not limited to tech giants

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Golden Finance reported that on July 15, Madison Faller, a global investment strategist at JPMorgan Chase Private Bank, said investors should not only focus on tech giants, but instead look across the entire artificial intelligence industry chain. “The AI story is not limited to a single industry; what we’re truly focused on are those capital-intensive assets that are difficult to replace,” she specifically mentioned the semiconductor, infrastructure, utilities, and industrial sectors. Faller noted that strong performance from technology companies can coexist with broader market earnings growth. She added that in this earnings season, among the 11 industries covered by the S&P 500 index, profits are expected to grow in 10 of them. JPMorgan’s team expects the S&P 500 to deliver nearly 10% total returns over the next year. They also expect European large-cap stocks to achieve mid-single-digit returns. Faller emphasized that, given improving fundamentals and stronger dividends and share buybacks, bank stocks are a worthwhile investment option to watch in the region. (Jinshi)
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