Editor's Note: Our colleague Louis Navellier manages a $1.1 billion portfolio — including $358 million in AI stocks. He called Nvidia before it went up 44,000%, Apple before a 36,000% rise, and Microsoft before its 60,800% climb. He predicted the 2008 crash in writing, documented by MarketWatch, called the dot-com bust, and called the 2020 Covid rally. Now, as Taiwan's biggest chipmaker pours billions more into American soil, he says the AI arms race just tipped in America's favor — and he's revealing the one stock positioned to benefit, for free.
Dear Reader,
Last week, Taiwan Semiconductor — the company that makes the chips inside almost every AI system on earth, reported blowout earnings.
It beat revenue and profit expectations and raised its full-year growth forecast past 40%.
At least, that's the headline Wall Street ran with.
TSM is putting ANOTHER $100 billion into U.S. chip manufacturing.
On top of the $165 billion it already committed.
That's $265 billion, from a single Taiwanese company, betting on American soil, in the middle of an AI arms race with China.
Ask yourself why.
I don't think it's about tariffs.
I think TSM knows something the rest of Wall Street hasn't priced in yet...
Something that's sitting behind a razor-wire fence in the mountains of Tennessee, at the same secretive government lab that built the atom bomb in 1945, American scientists are finishing work on a new AI mega computer.
President Trump himself compared it to the original Manhattan Project. This time, for AI.
And I believe Golden Dawn will be 283 trillion times more powerful than today's leading AI systems; span a territory larger than the state of Texas. And that can accelerate AI breakthroughs by 36,000%, potentially turning five-year timelines into five days.
When it goes live, I believe it will trigger a $100 trillion reset of the AI markets.
TSM's $100 billion bet isn't a coincidental... it's the smart money getting in position before the rest of the market understands what's coming... like we have seen time and time again.
Earnings season is only reinforcing the case. Analysts now expect S&P 500 profits to grow near 24% this quarter, with a real shot at topping 29% once the dust settles. That's some of the strongest earnings growth I've tracked in 40 years, and most of the credit goes to AI and chip demand.
I've identified one company — still relatively unknown, the same way Nvidia was unknown when I recommended it in 2016 at $2.51, split-adjusted, before it went up 44,000% — that I believe is positioned exactly right for Golden Dawn's launch.
I'm revealing it, down to the ticker, in a new free presentation.
AT&T (NYSE: T) just reported second-quarter earnings that topped expectations on several key metrics, posting stronger revenue growth, expanding profitability, and another quarter of healthy subscriber numbers. To help, management decided to speed up capital returns, including an acceleration of its share repurchase program to roughly $10 billion this year.
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Revenue was up 2.3% from a year earlier to $31.6 billion, while adjusted earnings climbed to 65 cents a share from 54 cents a year ago. Adjusted EBITDA increased 5.2% to $12.3 billion, and free cash flow improved to $4.7 billion, continuing a trend of steady cash generation that has become increasingly important for income-focused investors.
“The accelerated growth we delivered this quarter shows our structural advantages to lead the next era of connectivity,” added CEO John Stankey, highlighting the company’s expanding fiber footprint and improving wireless performance.
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For investors, the strongest part of the story remains fiber.
For years, AT&T has shifted billions of dollars to fiber broadband, betting that higher-speed connections would create stronger customer relationships, lower churn, and greater pricing power. The second quarter suggests that strategy is gaining momentum.
The company added 367,000 fiber subscribers during the quarter while another 279,000 customers joined its fixed wireless service. AT&T has now expanded its fiber network to 38.6 million locations, putting it on pace to surpass 40 million by the end of 2026 and more than 60 million by 2030.
Wireless Momentum Adds to the Strength
Wireless also delivered one of its strongest performances in years.
AT&T added 432,000 postpaid phone subscribers during the quarter, marking its best consumer postpaid account growth in more than three years. Postpaid phone churn—a closely watched measure of customer retention—remained low at 0.86%, suggesting competitive pressures remain manageable despite aggressive promotions across the industry. The combination of expanding fiber adoption and resilient wireless performance helped Advanced Connectivity revenue increase 5.1% year over year to $23.5 billion. Operating income in that segment jumped more than 20%, reflecting both scale benefits and improving operating leverage.
Stronger Cash Flow Supports Long-Term Growth
AT&T is also on its way to seeing stronger earnings growth and cash flow.
The latest guidance suggests the payoff may be approaching. In fact, the company just reiterated its long-term outlook through 2028, including adjusted EBITDA growth accelerating from roughly 3% to 4% in 2026 to 5% or better by 2028.
Adjusted earnings per share are projected at $2.25 to $2.35 next year, followed by a double-digit compound annual growth rate through 2028. Free cash flow is expected to climb from more than $18 billion next year to at least $21 billion by 2028.
That cash supports an increasingly shareholder-friendly capital allocation strategy.
AT&T also reiterated plans to return more than $45 billion to investors between 2026 and 2028 through dividends and share repurchases while maintaining its annual dividend of $1.11 per share. Management also indicated it intends to repurchase approximately $24 billion of stock over that period, beginning with an accelerated pace this year.
A Few Challenges Remain
Operating expenses increased as the company recorded an asset abandonment charge tied to its evolving spectrum strategy while spending more on advertising and integrating the recently acquired Lumen mass-market fiber assets. Higher customer acquisition costs and bad debt expense also weighed on margins.
Still, those headwinds were more than offset by cost reductions, lower depreciation on legacy assets, transformation initiatives, and the growing profitability of the fiber business.
What’s Next For AT&T
Fiber is growing, wireless customers are sticking around, profits are improving, and the company is generating more cash. Management is confident enough to speed up stock buybacks while continuing to pay a healthy dividend—a good sign that it believes the business is on solid footing.
And, it’s becoming a solid company with steady growth, reliable cash flow, and an attractive dividend. For investors looking for a dependable stock that can provide income while offering some upside, AT&T looks like a good choice after another strong quarter.
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