When many value investors look at the market, they may not necessarily see artificial intelligence as an investible theme. However, by looking in very specific pockets, it is possible to find some value plays.
At the Capstone Student Investment Conference, James Davolos of Horizon Kinetics shared his presentation entitled “Value Investing in Artificial Intelligence.”
Times are changin
He emphasized that things are changing whether people want to recognize it or not. The market is at a record high, stocks are at record multiples. Risk premiums are being compressed and credit spreads are record tight.
Davolos believes investors should pay close attention to what Treasury Secretary Scott Bessant says, noting that he recognizes the structural issues...
