Josh Brown

It'll be uncomfortable in certain pockets.

Nobody is, is, uh, nobody's delusional about that.

Um,

So in early February, I was talking about the types of stocks that were on the 52-week high list.

And what they all had in common was they have heavy assets on their balance sheets and they have low obsolescence risk.

And it occurred to me that this was a reversal of the entire post-financial crisis period where we fetishized

um the opposite asset light businesses we wanted companies with subscription revenue arr um very little cost of doing business and almost no assets on their balance sheet and now it's flipped it's the reverse you look at stocks like anheuser-busch coca-cola pepsi you cannot type i want to diet coke into a prompt and uh have somebody else

create that product.

It is not disruptible.

Natural gas transmission lines, utilities, caterpillar, deer, most stocks that are related to heavy industry, in fact, completely halo.

And there were some really fascinating examples inside of one industry

You could say Expedia is highly disruptible by AI.

You can plan trips, you can book flights, you can have an agent that scours these airline websites and find the optimal trip for you, putting Expedia out of business.

But within the same sector, there's Delta.

Can you prompt yourself a fucking airplane?

Obviously not.

So this is a really interesting market.

What this does, Ed, just to sum up, it throws out all these old paradigms that people think about in the stock market.

It crushes the growth versus value thing that's now irrelevant.

It gets rid of cyclical versus defensive.