A Once-in-a-Generation Investment Opportunity: 1 Artificial Intelligence (AI) Growth Stock to Buy Now and Hold Forever - Yahoo Finance | Canada News Media
It’s been little more than a year since the latest iteration of artificial intelligence (AI) went viral, and we’re only just beginning to see the fruits of this breakthrough technology. Early indications suggest one of the biggest benefits will be the time and money savings from increases in productivity, as AI automates mundane and time-consuming chores. Businesses of all kinds are exploring how to best adopt this technology, but it’s still early days.
Micron Technology(NASDAQ: MU) CEO Sanjay Mehrotra was clear about the long runway ahead. “We are in the very early innings of a multiyear growth phase driven by AI as this disruptive technology will transform every aspect of business and society,” he said.
That’s a bold assertion but one that’s increasingly being echoed by the brightest minds in technology, though estimates of its value are diverse. Generative AI is expected to be a $1.3 trillion market by 2032, according to Bloomberg Intelligence. Global management consulting firm McKinsey & Company is more bullish, estimating a range of between $2.6 trillion and $4.4 trillion annually. What is pretty clear, however, is that the opportunity is vast.
It’s also pretty clear that Micron Technology stands to reap a portion of this growing AI windfall.
Image source: Getty Images.
Multiple ways to profit
Micron Technology may not be a household name, but the company provides a number of components that are vital to AI processing, particularly in the data center. Micron is a leading supplier of memory (DRAM) and storage (NAND) chips — and each one helps accelerate the performance of Nvidia‘s GPUs, which are the gold standard in data center processing.
In November, Nvidia announced that it had chosen Micron’s HBM3E (High Bandwidth Memory 3E) chip, which would be integrated into its H200 Tensor Core GPUs, providing “advanced memory to handle massive amounts of data for generative AI and high-performance computing workloads,” according to the press release. Nvidia went further, saying that the HBM3E helped ramp up the performance of the H200, which delivered “nearly double the capacity and 2.4 times more bandwidth compared with its predecessor, the Nvidia A100.”
These data center workhorse processors are scheduled to begin shipping in the second quarter of 2024. Last month, Micron announced it had begun volume production of the HBM3E, which the company said provides superior performance while using about 30% less power than competing offerings.
As the number and size of data center workloads continue to scale, energy consumption is becoming a key consideration, which no doubt was a factor when Nvidia chose Micron’s power-miserly chips.
The enormous opportunity of AI
The secular tailwind of AI is only just beginning to show in Micron’s results. For the company’s fiscal 2024 second quarter, which ended Feb. 29, Micron generated revenue of $5.82 billion, which jumped 58% year over year and 23% sequentially. The company noted that surging demand “drove robust price increases.” This helped the cyclical chip company return to profitability sooner than expected, generating adjusted earnings per share (EPS) of $0.42.
Management expects the company’s growth to accelerate. For the third quarter, Micron is guiding for revenue of $6.6 billion, which would represent 76% year-over-year growth. At the same time, its adjusted EPS is expected to climb to $0.45.
Micron noted that its HBM supply is completely sold out for calendar 2024, as is the vast majority of supply for 2025. This helps illustrate the surging demand created by the accelerating adoption of generative AI.
Helping drive that demand is the ongoing data center upgrade cycle, as existing servers simply don’t have the computational horsepower to handle the demands of generative AI. Bernstein analyst Toni Sacconaghi has crunched the numbers and suggests the AI server market will grow 75% annually over the next three years, calling the resulting upgrade cycle “unprecedented.” Furthermore, as AI begins to expand from data centers to other devices, including personal computers and smartphones, demand for Micron’s other solutions is also expected to surge.
Excitement about the prospects of AI has driven Micron Technology to new heights, with a commensurate increase in its valuation. That said, the stock is still trading for roughly 4 times next year’s sales. While that’s a premium compared with the multiple of 3 for the S&P 500, the accelerating demand for AI has resulted in unprecedented demand for Micron’s storage and memory solutions.
As a leading supplier of processors used to accelerate AI, Micron could represent a once-in-a-generation investment opportunity.
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TORONTO – Canada’s main stock index was up more than 250 points in late-morning trading, led by strength in the base metal and technology sectors, while U.S. stock markets also charged higher.
The S&P/TSX composite index was up 254.62 points at 23,847.22.
In New York, the Dow Jones industrial average was up 432.77 points at 41,935.87. The S&P 500 index was up 96.38 points at 5,714.64, while the Nasdaq composite was up 486.12 points at 18,059.42.
The Canadian dollar traded for 73.68 cents US compared with 73.58 cents US on Thursday.
The November crude oil contract was up 89 cents at US$70.77 per barrel and the October natural gas contract was down a penny at US2.27 per mmBTU.
The December gold contract was up US$9.40 at US$2,608.00 an ounce and the December copper contract was up four cents at US$4.33 a pound.
This report by The Canadian Press was first published Sept. 19, 2024.
Losing a loved one is never easy, and the legal steps that follow can add even more stress to an already difficult time.
For years, families in Vancouver (and Canada in general) have struggled with a complex probate process—filled with paperwork and legal challenges.
Thankfully, recent changes to Canada’s probate laws aim to make this process simpler and easier to navigate.
Let’s unearth how these updates can simplify the process for you and your family.
What is probate?
Probate might sound complicated, but it’s simply the legal process of settling someone’s estate after death.
Here’s how it works.
Validating the will. The court checks if the will is legal and valid.
Appointing an executor. If named in the will, the executor manages the estate. If not, the court appoints someone.
Settling debts and taxes. The executor (and you) pays debts and taxes before anything can be given.
Distributing the estate. Once everything is settled, the executor distributes the remaining assets according to the will or legal rules.
Probate ensures everything is done by the book, giving you peace of mind during a difficult time.
Recent Changes in Canadian Probate Laws
Several updates to probate law in the country are making the process smoother for you and your family.
Here’s a closer look at the fundamental changes that are making a real difference.
1) Virtual witnessing of wills
Now permanent in many provinces, including British Columbia, wills can be signed and witnessed remotely through video calls.
Such a change makes estate planning more accessible, especially for those in remote areas or with limited mobility.
2) Simplified process for small estates
Smaller estates, like those under 25,000 CAD in BC, now have a faster, simplified probate process.
Fewer forms and legal steps mean less hassle for families handling modest estates.
3) Substantial compliance for wills
Courts can now approve wills with minor errors if they reflect the person’s true intentions.
This update prevents unnecessary legal challenges and ensures the deceased’s wishes are respected.
These changes help make probate less stressful and more efficient for you and other families across Canada.
The Probate Process and You: The Role of a Probate Lawyer
(Image: Freepik.com)
Working with a probate lawyer in Vancouver can significantly simplify the probate process, especially given the city’s complex legal landscape.
Here’s how they can help.
Navigating the legal process
Probate lawyers ensure all legal steps are followed, preventing costly mistakes and ensuring the estate is managed properly.
Handling paperwork and deadlines
They manage all the paperwork and court deadlines, taking the burden off of you during this difficult time.
Resolving disputes
If conflicts arise, probate lawyers resolve them, avoiding legal battles.
Providing you peace of mind
With a probate lawyer’s expertise, you can trust that the estate is being handled efficiently and according to the law.
With a skilled probate lawyer, you can ensure the entire process is smooth and stress-free.
Why These Changes Matter
The updates to probate law make a big difference for Canadian families. Here’s why.
Less stress for you. Simplified processes mean you can focus on grieving, not paperwork.
Faster estate settlements. Estates are settled more quickly, so beneficiaries don’t face long delays.
Fewer disputes. Courts can now honor will with minor errors, reducing family conflicts.
Accessible for everyone. Virtual witnessing and easier rules for small estates make probate more accessible for everyone, no matter where you live.
With these changes, probate becomes smoother and more manageable for you and your family.
How to Prepare for the Probate Process
Even with the recent changes, being prepared makes probate smoother. Here are a few steps to help you prepare.
Create a will. Ensure a valid will is in place to avoid complications.
Choose an executor. Pick someone responsible for managing the estate and discuss their role with them.
Organize documents. Keep key financial and legal documents in one place for easy access.
Talk to your family. Have open conversations with your family to prevent future misunderstandings.
Get legal advice. Consult with a probate lawyer to ensure everything is legally sound and up-to-date.
These simple steps make the probate process easier for everyone involved.
Wrapping Up: Making Probate Easier in Vancouver
Recent updates in probate law are simplifying the process for families, from virtual witnessing to easier estate rules. These reforms are designed to ease the burden, helping you focus on what matters—grieving and respecting your dead loved ones’ final wishes.
Despite these changes, it’s best to consult a probate lawyer to ensure you can manage everything properly. Remember, they’re here to help you during this difficult time.
TORONTO – Canada’s main stock index was higher in late-morning trading, helped by strength in energy stocks, while U.S. stock markets also moved up.
The S&P/TSX composite index was up 34.91 points at 23,736.98.
In New York, the Dow Jones industrial average was up 178.05 points at 41,800.13. The S&P 500 index was up 28.38 points at 5,661.47, while the Nasdaq composite was up 133.17 points at 17,725.30.
The Canadian dollar traded for 73.56 cents US compared with 73.57 cents US on Monday.
The November crude oil contract was up 68 cents at US$69.70 per barrel and the October natural gas contract was up three cents at US$2.40 per mmBTU.
The December gold contract was down US$7.80 at US$2,601.10 an ounce and the December copper contract was up a penny at US$4.28 a pound.
This report by The Canadian Press was first published Sept. 17, 2024.
