The latest filings show Representative Nancy Pelosi (D-CA), the most active large investor in the U.S. Congress, betting big on AI. Her latest trades include significant new positions in Google parent Alphabet (NASDAQ: GOOGL) and Amazon (NASDAQ: AMZN), repositioning in NVIDIA (NASDAQ: NVDA), a third buy into Palo Alto Networks, and an aim-for-the-fences play in healthcare. All AI plays that are leading their respective industries and are on track for higher share prices in 2025.
The notable details include her use of leverage, including options, to capture gains. GOOGL, AMZN, and NVIDIA positions include deep-in-the-money call options, expecting significant share price advances in 2025. Among the drivers for this trade are the expectations for NVIDIA’s revenue and earnings growth, aided by its push into new business verticals and services and President Donald Trump.
President Trump rolled back 80 of President Biden’s executive orders to ease the regulatory process and spur economic activity. Among them is the repeal of Biden’s safety-focused AI order from 2023, which has a dubious impact on business.
The order simply states that AI companies that pose a threat to national security must release the results of tests to the government before the public. However, the intent is clear. Trump’s pro-growth agenda includes technology and chipmakers, and NVIDIA is well-positioned to benefit from this.
Nancy Pelosi Takes Stake in Tempus AI
Ms. Pelosi also took a stake in Tempus AI (NASDAQ: TEM). Tempus AI is a technology-driven diagnostics firm providing services to various healthcare professionals. It also offers cloud-based services, including test-result tracking and management and proprietary data-driven insights. The results from the first two months of operations include sequential growth, better-than-expected performance, and a narrowing loss.
The outlook for the next few years is steady, moderate double-digit top-line growth and improving financial health. Profits are forecasted for fiscal 2026, but the outlook may be too low.
AI services are expected to grow at a solid double-digit CAGR over the next five to ten years, with healthcare leading the way. The sector is expected to grow at a nearly 40% CAGR, driven by increased availability and accuracy as the technology develops.
IoT growth will also impact AI healthcare services as demand for remote monitoring increases. Patients requiring higher monitoring levels can remain at home while the AI keeps track of their condition via IoT-connected devices.
The analyst's trends for Temus AI are bullish and suggest Ms. Pelosi has a substantial profit to make. The trends include increasing coverage, firm sentiment, and a rising consensus price target that points to a solid double-digit advance.
Twelve MarketBeat analysts rate the stock a Moderate Buy. They see it advancing by 25% from mid-June levels at the consensus target and another 50% at the high-end range.
How Much Can Nancy Pelosi Make From Her New NVIDIA Investment?
To answer the question of how much Nancy Pelosi can make off of her new NVIDIA investment, it depends. Assuming she holds the position until the January Expiration and nothing else changes, the stock will have to rise at least $15 for her to break even. The analysts forecast a $27 increase this year at MarketBeat’s reported consensus, so the gains could be substantial. At face value, a move to $165 could net her $20 per share or more on the 50 contracts, about $100,000 or an estimated 30% based on the transaction size. The gains could be more substantial depending on the timing and size of the move.
Google and Amazon positions may also net Ms. Pelosi a tidy sum. These stocks are forecasted to advance by mid-single-digit to mid-30% amounts, and the trends are positive. Analysts' coverage increases while the price targets rise, creating a strong market tailwind echoed in the institutional data. The institutions have been buying these stocks on balance quarterly.
The article "Pelosi Bets Big on AI: This Is What You Need to Know" first appeared on MarketBeat.
