2 Artificial Intelligence (AI) Stocks to Buy Before They Soar to $5 Trillion, According to a Wall Street Expert

Authors: TheMotleyFool

Publisher:

sharewise.com

Published: 9/15/2025

Language:English

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Tom Banks

Good morning 跑了松鼠好嘛, I'm Tom Banks, and this is Goose Pod for you. Today is Tuesday, September 16th.

Mask

I'm Mask, and we are here to discuss two Artificial Intelligence stocks a Wall Street expert believes could soar to a $5 trillion valuation.

Tom Banks

Let's get started. The numbers coming out of a company like Nvidia are just staggering. For their second quarter, they posted revenue of nearly $47 billion. That's a jump of over 55% from the previous year. It truly is like a rocket ship.

Mask

A rocket ship? It's a generational launch. That isn't just growth; it's the creation of a new market. The entire AI sector is projected to explode from around $200 billion to over $2.3 trillion by 2032. We are building the future, and data centers are the foundation.

Tom Banks

But with that kind of money pouring in, you have to imagine the pressure is immense. We hear about the accelerating pace of AI development, but now companies are under the gun to actually deliver on these incredible promises. It feels like a massive, high-stakes gamble.

Mask

Of course it's a gamble! The greatest rewards in history always come from the biggest risks. You don't achieve a $5 trillion valuation by playing it safe. You build the future, and you force the market to follow. That pressure is just a sign that we're on the verge of something huge.

Tom Banks

So, let's talk about the person making this bold call: Philippe Laffont of Coatue Management. He’s not some flash-in-the-pan analyst. He's what they call a 'Tiger Cub,' someone who trained under the legendary investor Julian Robertson at Tiger Management. He has a history here.

Mask

Exactly. He saw what was coming. Graduated from MIT with a computer science degree, then started Coatue back in 1999 with just $45 million. Now, they manage billions. He doesn't follow trends; he sets them by focusing relentlessly on one thing: technological disruption.

Tom Banks

That's right, their philosophy is about more than just numbers on a screen. It’s this core belief that technology is the main engine of economic growth. They conduct deep, fundamental research to find companies with real, sustainable advantages for the long haul. It's a patient approach.

Mask

Long haul, yes, but it's about identifying the apex predators early. They use machine learning, social media sentiment, even satellite imagery to get an edge. They're not just investing; they're waging a campaign based on having superior information. That’s how you win in this game.

Tom Banks

And in a recent interview, Laffont was crystal clear, calling AI the most significant driver of change he's ever witnessed. He believes a small group of companies, like Microsoft and Nvidia, will fundamentally reshape the business world as we know it.

Tom Banks

But not everyone is convinced this rocket will reach orbit. There's a growing, and frankly, sensible debate about a potential AI stock bubble. I saw a recent MIT study that was quite sobering—it found 95% of AI pilot projects failed to deliver any real profit.

Mask

That study is looking in the rearview mirror. 95% failure is the sound of innovation! It's the cost of finding the 5% that changes the entire world. People screamed 'bubble' about the internet. Were they right? No. This is the painful part of the J-curve; the massive payoff is coming.

Tom Banks

Still, the concentration of risk is a genuine concern for many. Nvidia alone has swelled to over 7% of the entire S&P 500. If that one stock stumbles, it could have a ripple effect on the whole market. That's a lot of eggs in one, very expensive basket.

Mask

It's a very, very profitable basket. People screaming 'bubble' are ignoring the revenue. Nvidia is projected to grow its sales by at least 42% over the next year, while the rest of the Nasdaq 100 is averaging 10%. This isn't a bubble; it's a paradigm shift being priced in.

Tom Banks

Well, bubble or not, the impact right now is undeniable. Analysts are saying both Microsoft and Nvidia could hit a $4 trillion market cap this summer. It's a number that's almost hard to comprehend for a single company. It’s bigger than the economy of most countries.

Mask

Four trillion is the next milestone, not the destination. The real target is the $5 trillion club within the next 18 months. This isn't just stock movement; it's a full-blown AI arms race. Tech giants are fighting to build data centers, creating insatiable demand for these processors.

Tom Banks

It’s incredible to think about. The market value of just one of these companies, at around $4 trillion, is comparable to the GDP of the entire African continent. This is a fundamental reordering of economic power on a global scale, all driven by this new technology.

Tom Banks

And the future projections are even wilder. Some analysts see Nvidia generating a trillion dollars in annual revenue by 2030. That would be a first in corporate history, showing just how deeply AI is expected to integrate into our global economy.

Mask

It's not just integration; it's a takeover. AI will become the dominant force in all of technology. The trillions in infrastructure spending are just getting started. This is the future, being built right now.

Tom Banks

That's the end of today's discussion. Thank you for listening to Goose Pod.

Mask

See you tomorrow.

## AI Stock Recommendations from Coatue Management's Philippe Laffont This news report, authored by The Motley Fool and published on **September 15, 2025**, highlights the investment strategy of billionaire Philippe Laffont, the head of Coatue Management. Coatue Management is a successful hedge fund that has reportedly "nearly tripled the returns in the S&P 500 over the last three years." ### Key Findings and Recommendations: * **Focus on the "Fantastic 40 Growth Innovation Index":** Coatue Management curates this index, which identifies 40 stocks from the 150 largest technology companies that are best positioned for future market leadership. * **Top AI Stock Picks:** **Microsoft (NASDAQ: MSFT)** and **Nvidia (NASDAQ: NVDA)** are currently at the top of this "Fantastic 40" list. * **Projected Market Dominance:** Coatue expects Microsoft and Nvidia to become the largest companies globally by **2030**, with individual market values approaching **$6 trillion**. * **Significant Investment:** Laffont has personally invested heavily in these two companies, with Microsoft and Nvidia representing **over 10%** of his **$36 billion** portfolio. ### Context and Implications: The report emphasizes that Laffont's conviction in Microsoft and Nvidia is backed by substantial personal investment. This suggests a high degree of confidence in their future growth, particularly driven by their involvement in artificial intelligence (AI). The projected market values of $6 trillion for each company by 2030 represent a significant increase from their current valuations, underscoring the bullish outlook for these AI giants. ### Related News: The report also references other related articles, indicating a broader discussion around AI stocks: * A previous article suggests selling two popular AI stocks due to anticipated drops of **46% and 73%**, according to Wall Street Analysts (dated September 14, 2025). * A subsequent article highlights Oracle as a potential "Ten Titans" AI growth stock to buy for **2026** (dated September 14, 2025). ### News Metadata: * **News Title:** 2 Artificial Intelligence (AI) Stocks to Buy Before They Soar to $5 Trillion, According to a Wall Street Expert * **Publisher:** Sharewise.com * **Author:** TheMotleyFool * **Published Date:** 2025-09-15 04:31:12 * **Topic:** Technology (specifically AI) * **Content Length:** 1073 words

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Billionaire Philippe Laffont runs Coatue Management, a successful hedge fund that nearly tripled the returns in the S 500 over the last three years. Coatue curates the Fantastic 40 Growth Innovation Index, which distills the 150 largest technology companies into a list of 40 stocks best positioned to lead the market in the years ahead.

(NASDAQ: MSFT) and Nvidia (NASDAQ: NVDA) currently top that list. Coatue expects them to be the largest companies in the world by 2030, with market values approaching $6 trillion, as detailed below: Importantly, Laffont has put his money where his mouth is. Microsoft and Nvidia are two of the largest positions in his $36 billion portfolio, accounting for over 10% of his invested assets.

Here's what investors should know about these artificial intelligence stocks. Continue reading Source Fool.com Previous article 2 Popular AI Stocks to Sell Before They Fall 46% and 73%, According to Wall Street Analysts 14.09.25 Next article 3 Reasons Why Oracle Just Proved It's The Hottest "Ten Titans" AI Growth Stock to Buy for 2026 14.

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