Alex Reid’s “Apple Of AI” Stock Revealed (Wealthpin)

Alex Reid of WealthPin is out with a new stock teaser.

He wants to get in on AI mania and is recommending his favorite AI stock.

He claims it's the "Apple of AI" and will help unleash $15.7 trillion of wealth..

These stock pickers sure do love throwing around absurdly high numbers like this!

The good news is Reid left enough clues in the presentation to figure out the stock and I reveal it below for free.

Additionally, I'll give you a full breakdown of the stock so you can determine if it's a good stock or not.

Let's get started!

Breaking Down The Teaser

I've covered Alex Reid a few times on this site before.

He's a young guy who seemed to be into crypto and real estate and recently made the switch to stock picking.

Alex is basically a carbon copy of other stock pickers, and he basically just copies the marketing style of established stock pickers.

This means making big promises, having flashy stock presentations, and, of course, selling a newsletter.

And like other stock pickers, Reid likes to jump on popular investing waves.

This time he's jumping on two of the most popular waves imaginable: AI and Apple.

Reid claims he knows a tiny company that's going to revolutionize AI and that all AI technology in the future will rely on this company.

The reason for this, as Aelx explains, is that this tiny company has created the first AI operating system.

For example, Windows from Microsoft is an operating system that most of the computers in the world rely on.

Reid gives a ton of hints about the company in the presentation, and the stock he's hinting at is Verses AI.

What Is Verses AI?

VERSES AI is a cognitive computing company that develops next-generation AI and the world's first network operating system for enabling distributed intelligence. Their technology, called KOSM, generates a shared world model of contextualized data, policies, simulations, and workflows. This allows different systems to communicate and collaborate with each other, even if they are built on different technologies or use different data formats.

VERSES AI's vision is to build a smarter world where people and technology work in greater harmony to generate shared prosperity. Their mission is to elevate human potential through intelligent tools that radically improve our mutual understanding.

Some of the use cases for VERSES AI's technology include:

• Supply chain optimization: KOSM can be used to optimize the flow of goods and materials through a supply chain, by taking into account factors such as demand, inventory levels, and transportation costs.
• Autonomous vehicles: KOSM can be used to develop autonomous vehicles that can safely navigate the real world, by taking into account factors such as traffic conditions, pedestrians, and other obstacles.
• Cybersecurity: KOSM can be used to develop cybersecurity solutions that can detect and respond to threats in real time, by taking into account data from multiple sources.
• Financial services: KOSM can be used to develop financial services solutions that can provide personalized advice to customers, by taking into account their individual needs and circumstances.

Is Verses AI Worth Investing In?

Here is a full stock breakdown of Verses AI, a company that develops artificial intelligence solutions for various industries. Please note that this is not a recommendation to buy or sell the stock, but only an analysis based on the available information.

Overview:

Verses AI is a micro-cap stock that develops artificial intelligence solutions for various industries. The company has no revenue or earnings, and has a negative cash flow and book value.

The company operates in a highly competitive and rapidly evolving industry, where it faces challenges and uncertainties from technological, regulatory, and legal factors. The company’s stock price is very volatile and risky, and is traded on a market for speculative securities.

The company has a long term vision of creating a spatial web platform that integrates physical and digital worlds, but its success depends on its ability to overcome its short term and medium term difficulties.

Financial Health

Verses AI has a market capitalization of about $93 million, which makes it a micro-cap stock. The company has not reported any revenue or earnings in the past year, and has a negative operating cash flow of $-2.3 million.

The company has a current ratio of 0.7, which means it has more current liabilities than current assets. The company has a debt-to-equity ratio of 0.02, which means it has very low debt levels. However, the company also has a negative book value per share of $-0.01, which means its liabilities exceed its assets.

Industry and Market Trends

Verses AI operates in the artificial intelligence industry, which is expected to grow at a compound annual growth rate (CAGR) of 40.2% from 2020 to 2027, reaching $733.7 billion by 2027.

The industry is driven by the increasing adoption of AI solutions across various sectors, such as healthcare, retail, manufacturing, education, and entertainment.

Some of the key trends in the industry include the development of natural language processing, computer vision, machine learning, and deep learning technologies, as well as the emergence of edge computing, cloud computing, and 5G networks.

The company's main competitors include IBM, Microsoft, Google, Amazon, and Facebook, which are the leading players in the AI market.

These companies have a strong competitive advantage over Verses AI in terms of financial resources, research and development capabilities, brand recognition, customer base, and market share.

Verses AI also faces competition from other smaller and emerging companies that offer similar or alternative AI solutions.

Earnings

Verses AI has not reported any earnings in the past year. The company's last earnings report was for the quarter ended September 30th, 2019, when it reported a net loss of $-1.4 million or $-0.01 per share on zero revenue.

The company attributed its loss to operating expenses related to research and development, general and administrative costs, and interest expenses.

Valuation Metrics

Verses AI's valuation metrics are difficult to assess due to its lack of revenue and earnings.

The company's price-to-sales ratio (P/S) is not applicable as it has no sales. The company's price-to-book ratio (P/B) is negative as it has a negative book value per share.

The company's price-to-earnings ratio (P/E) is also not applicable as it has no earnings.

One possible way to value Verses AI is to compare it with its peers based on their market capitalization. According to Yahoo Finance, some of Verses AI's peers include:

- IBM: Market cap of $131 billion; P/S of 1.8; P/B of 6; P/E of 23.
- Microsoft: Market cap of $2.2 trillion; P/S of 13; P/B of 15; P/E of 37.
- Google: Market cap of $1.8 trillion; P/S of 8; P/B of 7; P/E of 29.
- Amazon: Market cap of $1.6 trillion; P/S of 4; P/B of 18; P/E of 59.
- Facebook: Market cap of $1 trillion; P/S of 10; P/B of 7; P/E of 26.

Based on these comparisons, Verses AI appears to be significantly undervalued compared to its peers. However, this does not take into account the differences in revenue, earnings, growth, profitability, and risk between the companies.

Growth Prospects

Verses AI's growth prospects depend on its ability to develop and commercialize its AI solutions, as well as to attract and retain customers and partners.

The company claims to have a pipeline of potential customers and partners across various industries, such as healthcare, education, entertainment, gaming, retail, and real estate.

The company also claims to have a competitive edge over its rivals in terms of its spatial web technology, which enables the creation of immersive and interactive digital experiences in physical spaces.

However, the company faces several challenges and uncertainties in achieving its growth objectives. Some of these include:

Lack of revenue and profitability: 

The company has not generated any revenue or profit in the past year, and does not expect to do so in the near future. The company relies on external financing to fund its operations, which may not be available or sufficient. The company also incurs significant operating expenses related to research and development, marketing, and administration, which may exceed its revenue potential.

High competition and technological changes:

The company operates in a highly competitive and rapidly evolving industry, where it faces competition from large and established players as well as smaller and emerging ones. The company may not be able to keep up with the technological innovations and customer preferences in the market, or to differentiate its products and services from those of its competitors. The company may also face intellectual property disputes or infringement claims from its competitors or third parties.
Regulatory and legal risks:

The company is subject to various laws and regulations in the jurisdictions where it operates or intends to operate. These laws and regulations may affect the company's ability to develop, market, and sell its products and services, as well as to protect its intellectual property rights. The company may also face legal actions or liabilities from its customers, partners, suppliers, employees, or other parties.

Risk Assessment

Verses AI is a very risky investment due to its lack of revenue and earnings, high operating expenses, negative cash flow, negative book value, high competition, technological uncertainty, regulatory uncertainty, and legal uncertainty.

The company's stock price is also very volatile and subject to significant fluctuations based on market sentiment, news events, analyst ratings, and trading activity. The company's stock price has declined by about 67% from its 52-week high of $2.78 on June 6th, 2023.

The company's stock is also traded on the OTC Markets Group's Pink Open Market tier, which is a market for speculative securities that have limited financial information available and are subject to minimal regulatory oversight. 

Investing in such securities involves a high degree of risk and uncertainty, as they may be subject to fraud, manipulation, liquidity issues, price volatility, and information asymmetry.

Long Term Perspective

Verses AI has a long term vision of creating a spatial web platform that enables the integration of physical and digital worlds through artificial intelligence.

The company believes that this platform will create new opportunities for businesses and consumers across various industries and domains. The company also believes that it has a first-mover advantage in this emerging market segment.

However, the company's long term perspective is based on several assumptions and projections that may not materialize or prove accurate.

The company's success depends on its ability to overcome the challenges and uncertainties that it faces in the short term and medium term. The company also faces the risk of being overtaken by its competitors or disrupted by new entrants or technologies in the long term.

Therefore, Verses AI is a highly speculative investment that requires a high tolerance for risk and a long time horizon. Investors should be prepared for the possibility of losing their entire investment or experiencing significant losses along the way. Investors should also conduct their own due diligence before investing in Verses AI or any other stock.

Wrapping Things Up

So that's the end of my post coveting the "Apple of AI."

In the end, this is a volatile penny stock, and it's too early to predict where it'll be in the next few years.

Are you thinking about investing in it?

Let me know below in the comments!