The Biggest Stock Opportunity of 2026 - Tom Lee & Dan Ives

In the last 30 days, we've seen an 18% swing in the market. That's insane. The average stock market return in a full year is about 10%. We just saw nearly double that. Analysts and hedge fund managers are saying this thing is about to explode even further. So, today Sam and I are breaking down what they're saying and why it matters. Okay, so let's get into what the bulls are saying. And look, I want to be clear. These are not my predictions. I'm just telling you what some very well-known people on Wall Street are saying. Let's start with Tom Lee. Tom Lee is the founder of a research firm called Funstrat. This guy's very bullish. That means he thinks the market is going up and not just a little. Tom Lee is predicting the S& P 500, which is basically a basket of the 500 biggest companies in America, is going to push past 7,700 by the end of 2026. To put that in perspective, we're sitting around 7,100 right now. That's a massive move if he's right. So, what's driving his thinking? A few things. First, he says, "Corporate earnings are strong. Companies are making money. A ton of companies are coming in and beating what analysts expected. " Second, and you're going to hear this a lot in this video, AI. Tom Lee believes AI is driving real productivity and real growth. He's saying every single piece of computing power being built right now is already being used up. Third, he's watching the Middle East. Right now, there's conflict over there, and that's put what he calls a hostile oil premium on the market. Basically, when there's war risk, oil prices go up and that adds pressure to everything. But Tom Lee thinks if that conflict gets resolved this year, it removes that pressure and the market lifts even higher. Now, let's talk about Dan Ies. Dan Ies is a managing director at Wed Bush Securities. He covers tech stocks specifically and he might be the most bullish person on Wall Street right now when it comes to AI and tech. Here's his big call. He thinks tech stocks are going to go up another 15% to 25% before the end of 2026. And his reasoning, he says, "We are in the third inning of AI. " If you think of AI like a baseball game, nine innings, we're not even halfway through. The game is just getting started. He calls 2026 the prove it year. That means AI is done being hype. This is the year companies actually have to show the money, and he thinks they will. Now, Dan Ies has some very specific stock picks he's excited about. Let's have Sam run through them real quick. First is Tesla. Dan Ies has a $600 price target on Tesla. He thinks 2026 is a breakout year for autonomous driving and robotics. He's predicting Tesla will launch robo taxis in over 30 cities this year. And if the robotic side of the business takes off the way he thinks it will, he says that alone could add 1 to2 trillion, not billion, trillion dollars to Tesla's value. Now, Apple, he thinks Apple is on the verge of a huge AI upgrade cycle. He's predicting a partnership between Apple and Google around AI, and he believes Apple could push toward a $5 trillion valuation very soon. The next one, Microsoft. He expects Microsoft's cloud business, Azure, to grow faster than anyone is expecting in 2026. What about Palunteer? This one's really interesting. He calls Palanteer a top pick for commercial AI and thinks it could reach a trillion dollar market cap within the next two to three years. That's bold. Crowdstrike, this is a cyber security company. Ives thinks cyber security is one of the most important AI subsectors right now and Crowdstrike is his single top pick in that area. and Nvidia. Even though Nvidia doesn't always make his top five list, he's still very bullish on it as the backbone of all AI infrastructure. He also has a wild prediction. He thinks there's an 80 to 90% chance Tesla and SpaceX merge into one public company by 2027. And he thinks that process starts this very summer. Now, here's where it gets a little more balanced. The broader analyst community is still very bullish, but they're not as aggressive as Tom Lee or Dan Ies are. Most analysts are projecting the S& P 500 to land somewhere closer to $7,600 by the end of the year. That's still a very big move from where we are right now. They're also projecting earnings growth of 14 to 16% for the S& P 500 companies this year. That's incredibly strong. When companies grow earnings, stock prices tend to follow in the long run. But here's where they pump the brakes a little. They're warning about a few important things. Number one, inflation. It's still very sticky. The Federal Reserve was expected to cut interest rates this year, but if inflation stays high, those cuts might get delayed. And delayed rate cuts means more pressure on the stock market. Number two, geopolitical risk, wars

conflict, trade tensions. All of that adds to the uncertainty that markets absolutely hate. And next, valuations. Some analysts think certain stocks, especially big tech, are just priced too high to begin with. They're not saying a crash is coming. They're saying some of the easy money may already have been made in these names. Now, one more thing. The analysts are also saying the market is starting to broaden out. That's a phrase you'll hear on Wall Street repeatedly. It basically means the gains are starting to get spread beyond just the big tech companies that have dominated in years past. More sectors are starting to participate. That can actually be a healthy sign for the overall market. But they also put a number on the downside risk, something quantifiable. Some say there's about a 20% chance of a significant correction, a real drop. that scares investors. This could be triggered by a recession, stubborn inflation, or something blowing up geopolitically, which we know can happen. So guys, that's the full picture from the bulls. Tom Lee and Dan Ies are very aggressive on the upside. The broader analyst community is still very positive, but a little bit more cautious. Now, just to be clear, I disagree with nearly everything that Tom Lee, Dan Ives, and most analysts say when it comes to the stock market. I don't trust their predictions and neither should you. Now, more importantly, what have I actually been doing with my portfolio? As we saw, the NASDAQ was down over 10% about a month ago to fully rebound to a gain of 7%. During this crazy 18% swing, I've made 12 moves, and I will share that later in this video. But first, I need to share something incredibly important with all of you. Now, this is something that I look at constantly, and if you're new here, you've never seen this before, so pay attention. This is called the stock market to GDP ratio. Some people call it the Buffett indicator because Warren Buffett himself has called it the single best measure of where valuations are at any given time. Simply put, it compares the total value of the entire stock market to the size of the overall economy. When stocks are worth way more than the economy is actually producing, that's a red flag. And right now, it's a massive red flag. My biggest concern about stocks, as you've always heard me talk about, is valuation. And here are my updated numbers. We are 128% overvalued in terms of the 10-year PE ratio. And we are 130% overvalued in terms of the stock market to GDP ratio. The two most reliable metrics over long periods of time. Look at the correlation here. 8. 82. If you're a math person, you know that's a high correlation. What that basically means is the more overvalued we are, the worse the future returns are going to be. We're 130% now, almost triple, two and a half times more overvalued than at any point in the last 25 years. Guys, I just think the next 10 or 15 years are going to be ugly. If you're expecting to make 8 n 10% returns, I think it's going to be tough. But does that mean you stop investing? No. I dollar cost average every single month into lowcost ETFs. I don't want everybody to ignore valuation. Everybody ignores valuation. You cannot ignore it. It is such an important aspect of understanding where we stand in the cycle. It doesn't mean you sell or sit out from investing in the market when we are overvalued because we don't know what's going to happen. We've been overvalued for many years and valuations keep getting better. All I can say is this. The more you pay for any stream of future cash flows, the less money you're going to make. That's just reality. It's just math. Now, a lot of people say AI is going to cause a massive surge in GDP over the next 10 years. Maybe. But here's what's funny. The same people who say that also say AI is going to eliminate a lot of jobs and people are going to be out of work forever. And I'm sitting here thinking, how can you have both? How can AI eliminate tons of jobs and get rid of jobs forever, but also lead to this amazing productivity that gets us a ton of money? That seems counterintuitive to me. I could be wrong, but the more I think about it, the worse it's going to be. So, here's the basic premise. Dollar cost average into lowcost ETFs and be very strategic about the individual stocks you buy. Buy them when they make a lot of sense to you and be ready for them to fall further because if we hit a bare market, you better believe that all 30 companies I own, I'm willing to bet a lot of money. I would say 95% of them are going to go down with the market. Not necessarily in tandem. Could be less, could be more. I have no idea. But the idea is that when the next bull market finally does come, these things are going to spring into action. If you're scared of losing money in the market, I know why. You've probably been guessing. And I used to do the exact same thing. I would buy stocks because someone on TV said that they're going to the moon. But

that's not investing. That's rolling the dice. And that's exactly why I built Everything Money. First, it was built for me. I wanted the tools that gave me clarity and helped take the fear out of investing. People saw me using them on YouTube and said, "Paul, how do I get that software? " And I used to joke and say, "You can't. It's a big data feed. " But then it dawned on me, "No, I can make this for other people. " So, I did. And a real community of people who agreed to grow together was born. Real people sharing ideas, live chats, live streams, and tools that help you be better than 99% of investors out there. I still use these tools every single day like stock analyzer, real estate calculator, and retirement calculator. So, stop guessing, start learning. Try it for $7 for 7 days and see how your confidence will replace fear. Click the link on your screen or go to everything. com. Now, before we go any further, we want to be real with you about something very important. Nobody can predict the market. Nobody. Not Tom Lee, not Dan Ies, not Paul, not Warren Buffett, not a single person. Buffett, the greatest investor who has ever lived, has said it himself. His exact words, "Nothing is sure tomorrow. Nothing is sure next year. Nothing is ever sure in markets, in business, in forecasts, or in anything else. " Guys, the greatest investor of all time is telling you he doesn't know what's going to happen in the near term. So, anybody who acts like they have a crystal ball, they don't. So, don't be fooled. Predictions are just guesses. Educated guesses sometimes, but still guesses. So, you're probably asking, why did we just spend the beginning of this video going through what Tom Lee and Dan Ies are saying? Listen, as principal valuebased investors, we don't actually care what analysts predict. We care about buying great companies at great prices. That's it. That's the bottom line. But here's why we shared it anyways. When regular people hear this stuff, they get over excited. Money flows in and prices move. So, you need to know what's being said out there, not to follow it, but so you're never caught up in it. Here's what the last 30 days actually proved, though. This short-term volatility, this scary drop that had some investors panicking, it was actually a buying opportunity for those who knew what they were buying. And here's the thing, you don't need to predict it. time anything perfectly. If you were buying when the price was below its relative value and not trying to be clever, not trying to outsmart anyone, then you see the benefit into the future. Now, what's the man himself saying, the Oracle of Omaha, Warren Buffett, just said this in an interview in May on CNBC? He was very open about the stock market right now. He said he has over $350 billion sitting in cash on the sidelines and he's not deploying it. Why is that? Because in his own words, nothing is cheap enough. He said if things drop significantly, you better believe he will be buying. But a five or 6% dip, that doesn't move the needle for him. Here's the most important thing he said in that whole interview. Someone asked him how much the stocks would have to fall before he got really excited. And his answer was simple. Depends on the business. He's not watching the market. He's watching individual companies. And then he said this, and I want you to hear it clearly. I have no idea what the stock market is going to do. And I don't think anybody else does either. Guys, I will repeat this until I'm blue in the face. The greatest investor alive, probably to have ever lived. $350 billion sitting in cash, watching, waiting. No panic. He's not chasing, just waiting for the right price on the right businesses. So, how does Warren Buffett see the world so differently than Tomley and Dan Ives? The difference isn't information. They have access to all the same info. The difference is the framework they use to think about investing to guide their decisions. Buffett learned from Ben Graham, made Charlie Munger his partner, and they built a way of seeing the world that blocks out all the noise. No predictions, no timing the market, just businesses, the prices you're being offered, and the patience to wait to buy at the right ones. And that's exactly the foundation of everything we do here at Everything Money. We took everything Buffett Mer and Ben Graham have taught the world about investing and we built a framework around it. Paul and the rest of the team, we call it principal driven investing. And that's what Paul is going to show you right now. These are the five tenets of principal-driven investing. One, we are investors, not speculators. That means we are not trying to guess what a stock is going to do next week or next month. We are buying pieces of real businesses that make real money. A speculator buys a stock hoping someone else will pay more for it tomorrow. An investor buys a

stock because the business behind it is worth owning. Those are two completely different games and only one of them actually builds wealth over time. Two, every investment is the present value of all future cash flows. This sounds complicated, but it's actually really simple. When you buy a stock, what you're really buying is the future profits of that business. That's it. The question we always ask is, how much money is this company going to make over its lifetime? And what is that worth to me today? If the price is lower than what it's actually worth, that's a good investment. If the price is higher, it's not. Everything comes back to that. Three, if we don't understand it, we don't invest in it. Buffett calls this your circle of competence. If you can't explain what a company does, how it makes money, and why it will still be around in 10 years, you have no business owning it. A lot of people lost a ton of money buying things they didn't understand just because someone told them it was going to the moon. We don't do that. Four, in the short run, the stock market is a voting machine, but in the long run, it is a weighing machine. This one is everything. In the short run, stocks go up and down based on how people feel. Fear, excitement, headlines, tweets, that's the voting machine. But over time, the market figures out what a business is actually worth. The weight of the evidence catches up. That's the weighing machine. So, when a great company drops 20% because people are scared, we don't panic. And the fifth and final tenant of principal driven investing, a great story can become a bad investment if you pay the wrong price. This is the one most people get wrong. You can be completely right about a company, right about the product, right about the growth, right about everything, and still lose money if you overpaid. We saw it with a ton of great companies in 2021. Incredible businesses, terrible entry prices. The story was real. The price was wrong. And it's not the first time this has happened. We saw it in the 1970s with the Nifty50. 2000 with the tech crash. great ideas, great stories, companies that are still around today, but the returns weren't as good as the fundamentals of the business actually were during that time. Why? Because the price was too high. The price is not just part of the equation. Price is everything. Now guys, I actually put all five of these principles into a free guide and I look at it every single day. It keeps me grounded when the market gets loud. Download it for free. Click the link in the video description below. Print it out. Put it somewhere. you'll see it because the principles only work if you actually live by them. — Every day there's a new prediction, a new headline, a new reason to panic or to get excited. And every day your job is to ignore it. The investors who win in the long term are not the smartest ones. It's not about the highest IQ. They are the most disciplined ones. They tune out the noise, trust the process. They know what they own and they know what it's worth. Your emotions are your biggest enemy in investing. Don't let them make your decisions for you. And if you want to see exactly how Paul has put this into practice, we just put out a video breaking down the 12 moves Paul made in his portfolio right now. The businesses, the prices, the reasoning behind every single one, guys. That's invaluable. Click the video on your screen and thank you for your