The Dot-Com Secret They Never Told You… and Why It Matters Right Now
BY LUKE LANGO, SENIOR INVESTMENT ANALYST, INVESTORPLACE Back in late 1994, a little browser called Netscape quietly opened the internet’s doors. Few noticed then, yet that single event triggered one of the most explosive investment booms of the past century. Between 1994 and 1999, the dot-com boom minted millionaires – and you didn’t need to be early. In fact, the biggest fortunes weren’t made in the beginning of the boom… but in its second half. Cisco Systems Inc. (CSCO) became a poster child for the dot-com era. Its stock rallied about 200% during the first half of the boom, from early 1995 to mid-1997. Not bad. But then, in the second half, from summer 1997 to late 1999, Cisco stock went parabolic – soaring 800%. In simple terms: Cisco tripled in the first two years of the dot-com boom… but delivered a nearly 9X return in the last two: 
It wasn’t just Cisco, either. Viavi Solutions Inc. (VIAV) – like Cisco, a networking solutions provider for the internet buildout – surged about 500% in the first half of the boom… then exploded nearly 3,000% in the second half: 
Qualcomm Inc. (QCOM) followed a similar pattern. The stock doubled early on… then skyrocketed more than 2,800% afterward: 
Lather, rinse, repeat for other massive internet stock winners of the 1990s. Semtech Corp. (SMTC), Applied Materials Inc. (AMAT), Oracle Corp. (ORCL), Paychex Inc. (PAYX), Sanmina Corp. (SANM) – all saw their biggest gains after the world started to panic (more on that in a minute), not before. These stocks were huge winners in the dot-com boom. But why did their biggest moves come late, not early? Netscape… Not because of Netscape – but because of what came after. You see… It took a few years for web browsers such as Netscape to become widespread, but once they did, the stage was set for the acceleration phase of the internet – the period when internet applications we still use today, like Amazon, Google, and eBay, were built atop those browsers. Those applications went on to change the world. Right now, the same thing is happening again. Except this time, it isn’t about the internet. It’s about AI. So, in today’s issue… I’m going to show you three more charts that show you just how precisely the AI boom is following the dot-com boom’s trajectory. Plus, we’ll discuss why the AI boom has been taking a beating the last few months… The catalyst it will take to get the AI boom back on track… And how you can get on board before that catalyst hits. Let’s get going… Three Charts You Must See Now The AI boom began in 2022 when ChatGPT launched – the Netscape moment for this generation. Since then, AI has dominated headlines, and AI stocks have soared. But make no mistake: We are not at the end of the AI boom… We are only at the midpoint. If history is any guide, the next 24 months could be even bigger than the last 24 – just as 1998 and 1999 outshone 1995 and 1996 during the dot-com boom. In fact, my team and I have been tracking the price action of stocks in the AI boom that started in 2023, relative to the price action of stocks in the dot-com boom from 1995 to the peak in 1999. The price trajectories match almost perfectly. Take a look… Across the S&P 500… 
The Nasdaq Composite… 
And the Russell 2000. 
We haven’t seen a setup like this in nearly 30 years… Like I showed you up top, it was possible to see gains of 800%, 2,800%, and even 3,000%… It doesn’t matter what you look at – the correlation is very strong, almost identical. These charts show how we’re poised to keep going up, and quickly. This time, though, something is different. Over the past few months, the global trade war has thrown the stock market into chaos. We’ve seen historic up days followed by devastating crashes. We’ve logged some of the best one-, two-, and three-day stretches ever in the last three months. We’ve also seen some of the worst one-, two-, and three-day stretches. The S&P 500 has been whipped around like a rag doll. Tech stocks have been hit the hardest. The VIX – Wall Street’s “fear index” – recently flashed levels last seen at the depths of the COVID crash and the global financial crisis. It has been one of the most volatile three-month stretches in stock-market history. It’s caused thousands and thousands of investors to give up on the AI boom. But is it that different? The May 7 “Trigger” Think back again to the dot-com boom: The market has been here before. In 1998, global currencies were in turmoil, Russia defaulted, and Long-Term Capital Management collapsed. Pundits whispered that the dot-com boom was finished. It wasn’t. Right in the middle of that chaos, the biggest tech rally in history took off. I believe history is about to repeat itself. That’s because, on May 7, I believe President Donald Trump and a message coming out of Washington will help trigger a $7 trillion panic in the markets as investors on the sidelines – and all the cash they’re holding – rush to jump back in as opportunities open up. This crucial economic event ties together everything happening now – the stock-market chaos, the trade war headlines, the AI boom, and every single investor’s portfolio. This feels the same as 1997 – the panic, the fear, the headlines. Beneath it all, however, a massive opportunity is quietly forming. When the powers that be in Washington take the stage on May 7, they could light the spark. This Thursday, I hosted a free urgent briefing to prepare you for what I’ve been calling The 2025 Summer Panic. Catch the replay here and I’ll walk you through the historical parallels, show you why the AI boom is far from over, and reveal what could happen on May 7 – and how to position yourself. For reasons I’ll explain in the briefing, the crucial economic event that Trump is pushing hard for is set to ignite this rally in a small, specific group of stocks as soon as May 7. I’ll make sure you have all the details on the seven small companies I’ve identified as the biggest potential winners of The 2025 Summer Panic… And I’m not exaggerating when I say: What happens next could go down in history. Click here to get ready. Sincerely,  Luke Lango
Senior Investment Analyst | 
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