Charles’ Note: Are you ready? 

The next four years are going to be a wild ride. Fortunes will be made… and lost. There will be booms, busts, and everything in between. 

But it’s the first 100 days that promise to be the wildest of all. 

This is where a new presidential administration comes out swinging… and still has the good will of the public to really push through its legislative agenda. 

So get ready. Trump 2.0 has started. And as my friend and fellow Freeport Society founder Louis Navellier explains, we may have an epic, once-in-a-lifetime melt up in store for us over the first 100 days. 

Louis will tell you how to position for it. 

This isn’t a hypothetical for me. I’ve already taken Louis’ advice and added five new A-rated Navellier stocks to the Freeport Investor portfolio.

You should listen to what he has to say too.

Over to you, Louis! 

So Begins Trump 2.0… Here’s How to Profit

By Louis Navellier, Editor, Accelerated Profits

Buckle up, folks. Donald Trump is back in the White House.

Some are celebrating. Others, not so much.

Regardless of how you feel about it, Trump’s presidency will have profound implications for the country, the economy, and the stock market.

That means you should position yourself NOW if you haven’t already.

Trump is about to usher in a sweeping series of executive orders in his first 100 days that will trigger what I call “Trump’s 100-Day Melt-Up.”

So today, I’m going to share an interview I did recently in which I outline where exactly the Trump 2.0 agenda will make the biggest impacts. 

Plus, I’ll show you where to make the most gains in the stock market over the next three-some months…

What to Expect Under Trump 2.0

As soon as Trump’s win was announced, the market jumped higher. The S&P 500 gained 2.5%, and the tech-heavy NASDAQ rose nearly 3% in the immediate aftermath. The Dow soared 3.6%.

The rally continued for a while in the wake of the election. While the market has since given back some of those gains, this has more to do with “bond vigilantes” who are wringing their hands over the deficit, tariffs, and the potential for inflation. 

The reality is that this is simply fear mongering, as I explain to Editor in Chief Luis Hernandez in our interview.

Press “play” below to watch this interview now.

(If you’d prefer to read the transcript, you’ll find that below.)

Now that Trump is in office, as I explain in the video above, the changes that are coming to American manufacturing, oil and gas, and artificial intelligence are going to light a fire under the stock market. 

Money always flows to companies best positioned to profit and thrive in the current environment. 

So investors who stay focused on fundamentals – like accelerating earnings and sales growth – and don’t get distracted or react to every headline will prosper.

You need to be agile.

And you need to focus on top growth opportunities (many of which are small- or mid-cap stocks). 

That’s why I help my Accelerated Profits members trade only the elite 1% of all stocks on the market today. 

I use strict fundamental principles and highly selective quantitative analysis.

We zero in on the top stocks about to hit their stride… those with obscene earnings and sales growth… those that can hand us double- or triple-digit profits in a matter of weeks and months.

In light of Trump’s inauguration today, I’ve prepared a special report called 5 Stocks for Trump 2.0, with five companies that I believe are best-positioned to thrive under Trump’s second presidency.

This report is exclusively in my Accelerated Profits service, my fastest-moving service. It’s chock-full of stocks that I expect to make big moves within weeks or months.

Just over the past year or two, my Accelerated Profits subscribers have had the chance to cash in for gains such as…

• 60.75% from e.l.f Beauty
• 114.49% from Targa Resources
• 135% from CECO Environmental
• 187.28% from YPF Sociedad Anonomia
• And 604% from Vista Oil & Gas

Trump 2.0 could ignite a huge market melt-up that’ll make these profits look like small stuff. You don’t want to miss any of the opportunities coming our way.

Click here now to learn how you can access my exclusive report.

Sincerely,

Louis Navellier

Editor, Accelerated Profits

P.S. Charles here again… On this Inauguration Day, we’re curious to know what you’re thinking. So let’s do a quick 30-second survey: 

Will Trump keep trashing the dollar? 

• 100% Yes!
• No.
• I don’t care.

Click here to answer.

Later in the week, I’ll share with you the results.

Transcript

Luis: Hi, I’m Luis Hernandez, Editor in Chief at InvestorPlace. Today, I’m here with investing legend Louis Navellier to talk about why he’s so bullish on stocks now that the Trump inauguration is right around the corner. After years of watching the Biden-Harris administration put up roadblocks to economic growth, we’re about to see a radical change. Whether you love Trump or not, it doesn’t matter.

What matters is whether you’re prepared for the change that’s about to happen. And just to be clear, if you don’t prepare, you’ll be left behind. The financial returns generated by a second Trump term could mean the difference between meeting your financial goals and having to struggle to attain the life you want. Trump has already tapped into the expertise of some of America’s most successful businesspeople.

These aren’t career bureaucrats, but entrepreneurs, investors, businessmen and women. Experts from both sides of the political spectrum believe we could see an economic boom over the next four years that can create a fortune for savvy investors. But of course, there are two sides to every coin. For those who are not prepared, fortunes could also be lost as well.

Louie, thanks for taking the time.

Louis: Great to be here.

Luis: Let’s just go ahead and start. What Trump policies do you think are going to have the biggest short-term effect now that he’s about to take office?

Louis: Well, we’re supposed to have shock and awe as soon as he gets in, but obviously energy is going to be the biggest. We saw the Biden administration restrict drilling offshore. They were restricting LNG expansion. They were overturning things in the courts, but there were still lawsuits about that. They were using their friends in the media – like The New York Times – to explain why we shouldn’t expand our LNG, even though we’re the largest exporter in the world.

Now that Ukraine has cut off the Russian gas flowing through Ukraine to Europe, which goes to Hungary, Slovakia, and elsewhere, the demand for more U.S. LNG is a big deal. Europe is also trying to cut off Qatar on human rights issues, so we’re going to score a lot higher than Qatar on whatever human rights criteria the European Commission has. It looks like we’re going to be the Saudi Arabia of natural gas and export all over the globe. We’re going to use that natural gas to build more power plants and double our utility grid so we can power the AI revolution.

My final comment is that some folks might have noticed it’s a little cold, so natural gas prices are up, which just causes more drilling. A lot of exciting things are about to happen.

Luis: Let me ask you this. One of the things you see in the headlines a lot is about Trump’s tariffs. I mean, nothing’s been implemented quite yet, but there’s a lot of talk about what might happen. Are you worried at all about those or how they might be inflationary?

Louis: No, I’m not worried at all. I think the Commerce Secretary said it best. He pointed out that the tariffs did not cause inflation the first time. They didn’t cause inflation when Biden increased Trump’s tariffs on China. We also have a very strong dollar now, so everything we’re importing is getting cheaper. On the other hand, countries with weaker currencies are experiencing inflation. Brazil and Mexico are probably the worst. The Brazilian real was down 21% against the dollar last year, and the Mexican peso was down 19%. So, they have currency inflation. Europe’s also experiencing some because the dollar’s about to break a buck against the euro, and the British pound is struggling as well.

Here’s why I’m not worried. When all these central banks start to cut rates even more than they already have, it will cause worldwide rates to collapse. Then our rates will come down, and our Fed will probably end up cutting at least four times a year. The first interest rate collapse we’ve seen is in China. The 30-year Chinese bond yield is now lower than Japan’s. It looks like China is going to be the next Japan – a country struggling with horrific demographics. Japan actually has the highest birthrate in Asia, which isn’t enough to replenish the country, but it’s better than other Asian countries. China, on the other hand, is losing over 2 million people a year and is struggling. If they can’t work things out with Trump 2.0, they’ll struggle more.

In the meantime, we have the highest Treasury bond yields since 2007. We had a Treasury auction this week. So far it seems to be going fine, but the bond vigilantes outside America are pushing this narrative that tariffs are inflationary. It’s just not going to show up in the data. In fact, Christopher Waller, one of the leading Fed members, has already said we’re still on track for inflation to keep falling and that we’re still going to be cutting. That was very important. He recently spoke in Paris.

Luis: Your prediction that they’re going to cut rates four times this year – 2025 – is not the accepted wisdom right now. Is there going to be a different relationship between the administration and the Fed under Trump 2.0?

Louis: Not really. I just think the Fed cannot fight market rates. The dot plot the Fed released only showed up to two rate cuts, although a minority wanted three and another minority wanted only one. We’ve already seen a weak payroll report from ADP – the slowest in four months. The Fed is still worried about that. Their job is to address unemployment. It was 3.4%, and last I think it’s 4.2%. That’s a big issue.

If we throw out labor-shelter costs, we are at the Fed’s target and have been for a while. Hopefully the real estate inflation we’ve seen will continue to moderate. I’m out West, and they’ve been cutting prices here for some time. We can overbuild out West. It’s mostly New York that’s keeping prices up, but outside of New York Metro, prices are falling. I’m very comfortable that inflation will fizzle fast. Everything we import is getting cheaper because commodities are priced in dollars. That’s why the tariffs won’t be inflationary. Of course, tariffs are Trump’s negotiation tool. He wants everybody uncomfortable when he negotiates with them. Angela Merkel had a book saying the issue with Trump is he always has to win. Sometimes the allies get together, they have one good time on Trump – but he’s just got to win. That’s who he is. So he’s going to negotiate with every country until he gets what he wants.

Luis: A lot of this is just him positioning for the negotiations he’s eventually going to have, right?

Louis: That might include Panama and Greenland. I don’t think Canada’s going to become a 51st state but let them elect a new prime minister in the meantime.

Luis: Yeah, yeah. What about the deregulation efforts? Do you think those are going to be a real tailwind for some sectors of the market?

Louis: Yeah, that’s going to be interesting. We’ll see what Linda McMahon does at the Department of Education. I actually know her. She’s a very competent lady. She ran the Small Business Administration before, and of course her husband is Vince McMahon, who made all that money in the wrestling business. We’ll see if she shuts down the Department of Education. A lot of federal workers don’t go to work. I think they want to start giving these folks 18-month severance payments, so we’ll see how that goes. The federal government is pretty unionized, so maybe they’ll get a two-year severance. We’ll just see what unfolds.

Luis: Do you think, especially for the AI trend, some of the smaller companies will benefit from Trump policies that might loosen regulatory handcuffs?

Louis: Yes. Let’s be clear: Elon Musk is advising Trump, and Elon Musk proved that SpaceX is much more efficient than NASA. Palantir is using AI to help the Defense Department. Clearly, we have to rework our defense industry. When we shoot down a drone or a ship going after the Navy, it costs us $300,000 – or $20,000 or less in other ways. We’re obviously going to have to build different military solutions. The drones have been problematic with tanks and other things. We’ll see if Trump gets a peace dividend by getting Russia and Ukraine to agree to a ceasefire. They’re out of troops. I don’t know how you keep fighting much longer when you don’t have troops, other than lobbing missiles at each other. It’s an incredible waste of life. It’s destroyed both countries, but obviously Ukraine is devastated.

If he gets manufacturing turned around, we can get 4% GDP growth. If he gets a peace dividend, maybe we’ll hit 5% GDP growth. If he makes the government more efficient, maybe we briefly hit 6%. We’ve never experienced that kind of growth before.

Luis: Yeah, those numbers are fantastic. If that actually happens, that would be terrific. So, let’s get down to some more basic stock talk. What is the earnings outlook as we approach the first earnings season of the year?

Louis: The S&P earnings are supposed to be up 12% in this announcement season. Last year was 8.4. They’re supposed to remain double digits for the next two quarters. We have a very strong dollar that’s impeding some of the multinationals, but the domestic stocks are doing good. I recommend Costco Wholesale Corporation, which is mostly domestic. I recommend Sprouts Farmers Market, which is domestic. I just had a stock come out with blowout earnings, Cal-Maine Foods – the egg company in Mississippi. They had blowout sales and earnings. They’re profiting because the bird flu didn’t hit Mississippi, and they’re the biggest egg producer. Those are all examples of domestic stocks, which aren’t impeded by a strong U.S. dollar.

We’re going to have issues with Procter & Gamble, 3M Company, other big U.S. multinationals that operate around the world. Half the S&P’s sales come from outside America. The more domestic we can be, the better. This is why we had such a huge early January effect in November. Based on what I’m seeing, we have a real January effect in January. Under the surface, you couldn’t see the strength at first because when we started this year, Tesla, Inc. (TSLA) had a tough time. Its sales went up 2.2% in the fourth quarter, but they were down year over year, so Tesla got hit with profit taking and took NASDAQ down. Under the surface, though, we were rocking and rolling. We were having a wonderful time.

I’m very bullish. Our stocks have positive analyst revisions, and that creates a lot of buying pressure under the surface. The financials announce first, then a lot more of our stocks. It’s going to be fun.

Luis: One of the things that struck me recently, reading your issues, is how it’s still a stock-picker’s market – not a sector-specific market. Could you talk a bit more about why that’s so important for folks to understand?

Louis: Sure. At our managed company, we check all the sectors to see which ones are top. Last year, the financials were best for a while, but they just got kicked out of the model. The problem with financials is we have the highest consumer default rate since 2010, and the leveraged loan market has a 7.2% default rate, the highest in four years. The problem is that consumers under 30 can’t get ahead. The boomers are doing great – if you own a home or stocks, you’re good. But there’s a part of the economy struggling to catch up with their parents.

As these financials announce, they’ll have increased loan loss reserves. All these credit card companies and banks plan a certain default rate. What I’m most worried about is that in America, we’ve become like China. We have two types of lending: people with perfect 800 credit scores, and everybody else. Those others go to the private credit market. The brokerage industry – Merrill Lynch, Morgan Stanley (MS) – offers 11% yields on private credit. You have to get in at a certain time, and you’re not sure when you can get out, but now we’ve got some defaults happening. That might ruin the party for everyone. It’s a $2 trillion industry, and BlackRock and Blackstone are in that business. BlackRock just bought somebody. We’ve got to keep an eye on that.

So for me, it’s all stock picking. I wish I could say it’s a strong sector market, but it’s not. It’s pure stock picking. For example, Advanced Micro Devices is D-rated, Intel is F, and Nvidia is AA.

Luis: That’s an important distinction – even within what people think of as strong sectors, certain stocks lead the way.

Louis: Exactly. The best we’ve found in retail are those that don’t have many stores. We made a lot of money in the past on a cosmetics company that revolutionized how people buy makeup. Essentially, they cater to every race, creed and age. If you’re Polynesian, you get different makeup than if you’re someone else, and they sell direct. You can find their stuff at Target Corporation (TGT), but it’s a direct sales model.

There’s a retailer we have called Revolve Group. They have a store in L.A. – that’s where they’re headquartered – and one in Aspen, but it’s mainly online. They advertise on social media, catering to a certain age group. It’s very expensive. That’s an example of a retailer doing incredibly well. A lot of folks like Abercrombie & Fitch, which started catering to the people they sold to 15 years ago, because those folks weigh a bit more now, so they’ve expanded their demographic.

Luis: So, it looks like we’ve got great earnings forecasts and a climate where we could get at least four rate cuts this year – probably sparked by rate cuts around the world. It looks like we’ll have an energy boom with drill-baby-drill natural gas, plus a positive deregulation atmosphere brought by Trump as well, and hopefully a peace dividend.

Louis: One last thing I neglected to add: the velocity of money is going to pick up. When we all hoard our money, we destroy the economy. Gold is surging now because there are recessions all over the globe, outside of America – Europe, New Zealand, Australia. China looks like it’s in a recession, even though they won’t admit it. They’re all hoarding gold. In America, I don’t have a problem if you want to buy physical gold, but the velocity of money is picking up – that’s how fast money changes hands, and that’s how prosperity rises. So, it’s going to be fun to watch.

Luis: Thanks for your insights, Louis. It’s going to be an exciting time, for sure. Folks, below this video, you should see a link to Louis’ Accelerated Profits product. This is Louis’ fastest-moving service, where he identifies stocks about to soar and gets his subscribers in and out in weeks or a few months. Every week, Louis identifies his top stocks to buy right now, so when you join, you’ll see Louis’ favorite picks today, then get them every week going forward.

Thanks again for your attention.