𝗚𝗲𝗻𝗼𝗺𝗶𝗰𝘀 🧬 𝗕𝗹𝘂𝗲 𝗦𝗸𝗶𝗲𝘀 𝗔𝗵𝗲𝗮𝗱
If you’re wondering why genomic stocks have had such a massive run over the past two days, it may be directly related to Jensen Huang’s recent article on $NVDA and the future of AI in genomics.
Since it was published, genomics names like $NTRA, $TEM, $EXAS and $WGS have moved sharply higher.
I think that’s just the beginning.
For decades, the bottleneck in genomics wasn’t sequencing DNA.
It was interpreting it.
Highly trained geneticists had to manually review enormous amounts of data to determine which variants actually cause disease. That was slow, expensive and difficult to scale.
AI changes that equation.
The better AI gets, the faster and cheaper those databases become to use. The same database can diagnose more patients, in less time, at a lower cost.
But here’s the key.
The AI isn’t the moat.
The data is.
That’s why I believe $WGS is so interesting. At roughly a $2B market cap, I believe it owns one of the crown jewels in genomics: a pediatric rare disease database built over more than 20 years.
You can build a better AI model.
You cannot recreate 20 years of clinically validated pediatric genomic data linked to real patient outcomes.
I recently spoke with a father whose son wasn’t diagnosed with autism for almost three years.
Imagine if comprehensive genomic testing at birth eventually becomes part of standard pediatric care. It won’t identify every condition, but for many families it could mean getting answers years earlier.
Families win.
Children receive appropriate care sooner.
The healthcare system could save billions by avoiding years of unnecessary testing, specialist visits and delayed diagnoses.
Stanley Druckenmiller’s largest disclosed equity position is $NTRA, roughly 18% of his reported 13F portfolio. At roughly a $25B market cap, it’s large enough for major institutions to own meaningful positions.
$WGS is different. At around a $2B market cap, many of the largest funds may struggle to build meaningful positions without materially affecting the stock. For individual investors, that’s not the same constraint.
The AI models will keep improving.
The databases took decades to build.
In my view, genomics could become one of AI’s biggest beneficiaries over the next decade, and despite the recent rally, many companies in the space remain well below their all-time highs.
When the greatest investor of our generation and the CEO of the world’s leading AI company tell you to pay attention to a sector, you should probably listen.
VERY LONG $WGS
Article below.
https://t.co/QwlQGb0bQu