Trade Alert: Intelligence Is Addictive
Fresh evidence the AI boom is still on—and two under-the-radar ways to play it that just cleared our screens.
The Demand Says Otherwise
After the crash in memory stocks and other AI-related names, it’s fair to ask whether the AI boom itself is rolling over. The clearest answer may not be in a chip chart, but in what customers are willing to pay—and what AI providers still can’t supply fast enough.
Last week, I upgraded to Anthropic’s $100-per-month plan. This weekend, after running into the limits of my current OpenAI plan, I upgraded again—to OpenAI’s $200-per-month plan.
That sounds extravagant until you’ve used an AI assistant that is smarter than any human you could hire for 50 times as much money. The tedious spreadsheet job that would have taken you hours gets done in minutes. The research project that would have consumed an afternoon comes back before your coffee gets cold.
It’s Not Just Me
Moonshot AI said this weekend that Kimi K3 received “far more love” than expected and that demand over the previous 48 hours had pushed close to the limits of its capacity. It temporarily paused new subscriptions, prioritized compute for existing subscribers and said it was adding capacity as quickly as possible.
Cheaper intelligence isn’t reducing demand for compute. It is creating more uses, more users and more willingness to pay. Intelligence is addictive—and despite the correction in AI-related shares, the AI boom is still happening.
The Less-Obvious AI Bottlenecks
The selloff is a reminder that price, positioning and entry matter. But it would be a mistake to confuse a sharp correction in AI-linked shares with evidence that end demand has disappeared.
For today’s trades, we’re looking away from the most crowded parts of the stack. AI can generate a marketing campaign in seconds, but it still needs to know which customer matters. And none of those models can run if the next generation of data centers can’t move enough power through their racks.
The first company operates an AI-driven marketing platform built around proprietary customer data. As content and campaign creation get cheaper, reliable identity, decision-making and measurement become scarcer. Its latest quarter included 50% revenue growth, higher full-year guidance and rapid adoption of its new AI agent.
The second company is a less-obvious physical-infrastructure play. It makes power-distribution products, including busbars, for data centers and other industrial markets. Management expects growth in 800-volt busbars as data-center architectures evolve. Its latest quarter also showed a real operational turn: adjusted EBITDA improved to $26.9 million from a $7.1 million loss a year earlier, while Industrial-segment sales rose 14.2%.
What Changed Friday
Both ideas first came to our attention in May—one through our Market Watchers list on X and the other through our Multibaggers list.
For newer readers, Multibaggers are Market Watchers with documented recent winners of 100% or more.
We didn’t trade either idea then because the technical entries weren’t ready. That changed Friday. The theses aren’t new; the entries are.
The risks are different, so the structures are too. The marketing-software name reports earnings in early August, and we’re preserving uncapped upside through that catalyst. The industrial name remains a turnaround—full-year sales declined 2.8% and it still reported a net loss—so we’re using a nearer-dated short call to help finance the position while keeping the downside defined.
Paid subscribers will find the names, exact structures, maximum entry prices and exit plans below.
Today’s Market Watchers Trade
AI marketing / customer identity theme.
RSI: 56; ChartMill Technical Rating: 9; Setup Rating: 6; Fundamental Rating: 5.
