In breaking tech news this week, reports indicate that Pittsburgh, Pennsylvania-based self-driving startup Argo AI is strongly considering an IPO this year.
Bloomberg reports:
Bryan Salesky, Argo’s co-founder, told employees in an all-hands meeting April 1 the company is looking to boost its funding as it comes closer to commercializing its self-driving technology, said the people, who asked not to be identified revealing internal discussions. Ford, which invested $1 billion in Argo in 2017, plans to roll out robo-taxis and driverless delivery pods in 2022.
Argo is making a huge splash in the autonomous driving space and, as noted above, is garnering hefty support from the auto industry. As previously cited, Ford Motor Co. is a major investor that’s already pumped $1 billion into Argo. And reports also note Argo received a $2.6 billion cash infusion from the world’s largest automaker, Volkswagen AG, in 2020.
This is a major opportunity for those looking to add a high-octane growth stock to their portfolio this year.
Argo AI was founded in 2016 by former longtime employees from Google and Uber’s autonomous driving program. The company’s autonomous systems are based on advanced LiDAR, a preeminent solution for driverless technology, and contributed to its acquisition of LiDAR company Princeton Lightwave
The joint venture represents both companies’ plans to launch a self-driving taxi service sometime this year.
Why Does This Matter?
Self-driving technology has made incredible advances over the past few years. We’re just a stone’s throw away from seeing fleets of self-driving taxis, limos, buses, and semi-trucks in the major metropolises of the United States.
And that means a swath of new investment opportunities with which to pad your bottom line.
With the accelerated adoption rate of self-driving technology, Argo has the chance to capitalize on the convergence of a number of tailwinds that could result in huge gains for early investors.
We can use Tesla (NASDAQ: TSLA), the most recent trendsetter in innovative car designs, as an example.
For the better part of a decade, Tesla, while known as an electric vehicle (EV) play, was actually also one of the only ways retail investors could claim a stake in the autonomous driving space. It was also without a doubt the only investment folks could make that actually returned huge gains on this game-changing technology over the past decade.
After IPOing in 2010 at a share price of roughly $17, yesterday shares were trading just shy of $740, representing nearly a 4,253% return.
Tesla shareholders who have owned the company through all its ups and downs deserve the riches they acquired
But it’s important to note that this landscape is changing rapidly. For another triple-digit (100%) gain on TSLA, shares would have to rise to a price of $1,480.
Our analysts have traveled the world over, dedicated to finding the best and most profitable investments in the global energy markets. All you have to do to join our Energy and Capital investment community is sign up for the daily newsletter below.
That’s a big ask.
Unfortunately, we’ll have to wait and see if Argo AI actually follows through and IPO’s this year. The insider reports say yes. And my research tells me this is a company you’ll want to keep an eye out for when it does debut.
But if You Can’t Wait Until Then…
TuSimple Holdings Inc. is an autonomous technology company that was founded in 2015 and is based in San Diego, California. The company develops autonomous technology specifically designed for semi-trucks in the U.S., Canada, and Mexico, and is focused on purpose-built Level 4 (L4) autonomous systems. Its autonomous freight network (AFN) is an ecosystem that consists of L4 autonomous semi-trucks, high-definition digital mapped routes, terminals, and TuSimple Connect, a cloud-based autonomous operations oversight system.
The company raised $1.08 billion in its first day of trading on the Nasdaq on April 15 with a volume of 34 million shares trading hands.
The company is currently valued at just over $7 billion.
MarketWatch reports the company claims a fleet of 70 trucks already on the road in the U.S. and China, and has 5,700 reservations for its trucks. Moreover, with Volkswagen backing the company financially, TuSimple has the support from a key player in the automotive industry.
If you need a stake in autonomous driving today, you’ll be happy to know after TuSimple’s IPO yesterday, shares are already trading at a discount.
To your wealth,
Sean McCloskey
Editor, Energy and Capital
@TheRL_McCloskey on TwitterAfter spending 10 years in the consumer tech reporting and educational publishing industries, Sean has since redevoted himself to one of his original passions: identifying and cashing in on the most lucrative opportunities the market has to offer. As the former managing editor of multiple investment newsletters, he's covered virtually every sector of the market, ranging from energy and tech to gold and cannabis. Over the years, Sean has offered his followers the chance to score numerous triple-digit gains, and today he continues his mission to deliver followers the best chance to score big wins on Wall Street and beyond as an editor for Energy and Capital.
Editor’s note: I can’t wait to ride in my first fully autonomous vehicle. Road trips to visit my folks 10 hours away down the I-95 Corridor is something I never enjoy. But sleeping, eating, and watching movies from the back seat while my car drives itself is a different story. It sounds like heaven to me.
But without the creation of one unique technology, none of the above is possible. The good news is this technology is quietly making all the big tech promises of the 21st century, from ultrafast 5G to driverless cars, a reality. The even better news is you can invest in this tech for potentially huge gains right now. Learn more by clicking here.
