Less Drunk-Driving Might Equal Big Profits

America's roads are about to become much safer. It’s all thanks to a technology that could save as many as 9,400 lives a year and trim $268 billion in excess costs. The thing is, this technology is flying right under Wall Street's radar. In fact, I'll bet you've heard very little about this new paradigm. […] You're receiving this email as part of your subscription to Michael Robinson’s Trend Trader Daily [Unsubscribe](. [Trend Trader Daily] Less Drunk-Driving Might Equal Big Profits January 19, 2024 America's roads are about to become much safer. It’s all thanks to a technology that could save as many as 9,400 lives a year and trim $268 billion in excess costs. The thing is, this technology is flying right under Wall Street's radar. In fact, I'll bet you've heard very little about this new paradigm. But make no mistake: This technology could affect every driver and every new car sold in America in the next few years. Today, I'll reveal the details of this technology — and explain how we can position ourselves to profit from it. A New Mandate Tucked inside the massive bipartisan infrastructure law passed in 2021 is a provision to require anti-drunk-driving technology in all new cars. In other words, Congress is mandating that the National Highway Traffic Safety Administration ("NHTSA") establish standards so cars have embedded sensors that can detect excessive alcohol consumption. This would be done hands-free, meaning the driver wouldn't need to blow into a breathalyzer. Instead, sophisticated sensors would gather a reading automatically. Of course, this mandate will take a while to go into effect. In the meantime, though, I've discovered an investment opportunity related to this kind of forward-thinking. It involves a sector that covers everything from sensors to Bluetooth technology to automatic emergency alerts... “Connected” Cars I'm referring to "connected" cars. When you hear the phrase "connected car," picture a car that can communicate with systems outside of the actual vehicle — a car with Internet access, for example. That's what we mean by "connected." Today, cars and trucks are so connected, they're basically giant computers on wheels. That's why it'll be relatively easy for car makers to add sensors that keep drunk drivers from wreaking havoc on the road. The NHTSA estimates that drunk driving costs society $268 billion in lost wages, medical costs, legal fees, and vehicle damage annually. Nearly 10,000 Americans also die at the hands of drunk drivers every year. When it comes to preventing impaired drivers from operating their vehicles, some technology already exists. Companies like Hyundai, Subaru, and Volvo have already announced putting these types of sensors in some models. It's merely another step toward having a fully connected car, and it's becoming the de facto standard for autos around the world. According to analysts, by 2025, nearly every one of the more than 80 million cars made each year will be supercomputers on wheels. The Ideal Investment Opportunity That means they'll have features like Wi-Fi, voice control for navigation, machine vision, and a range of self-driving operations. They'll also be able to "talk" to other cars in an attempt to avoid traffic and collisions. According to Fortune Business Insights, the connected car market will grow 18% a year through 2028. In just five years, the sector will be valued at close to $200 billion. As savvy tech investors, we're looking for a backend play that enables us to capture the growth of the entire connected car sector without having to gamble on a specific car maker... Even better if the opportunity also targets other trending sectors like 5G communications and cloud computing. That's exactly what we get with a tech leader that was only established in 2014 when it spun off from a struggling electronics firm. From Spin-off to Success It’s been a decade since Keysight Technologies (NYSE: KEYS) branched off on its own. But, man, what a decade it’s been. Keysight is now at the forefront of digital products, many of which are poised to grow sharply in the next few years. By rolling out a dynamic range of new testing technologies, this company has become the kind of supplier that can help clients get to market much faster. Of course, connected cars will play a big role in this company's future success. Millions of them will be hitting the road, and each will require 5G wireless connections to ensure peak safety — connections facilitated by Keysight. In fact, the company has seen a sharp uptick in demand for its auto-based 5G testing systems. Its wireless test solutions enable auto makers to verify the various types of wireless technologies used in the connected car. A Who's Who of Clients As you might imagine, there's a lot more going on here than just auto tech. For its part, 5G high-speed cellular technology is in the midst of going mainstream. According to research firm MarketsandMarkets, companies will spend more than $33 billion a year on 5G by 2026. And according to Research and Markets, the 5G sector will be worth $251 billion by 2025. To harness the power of 5G, and ensure that all related hardware and systems work smoothly, Keysight provides testing tools for advanced wireless software, chipsets, devices, and networks. These platforms are tested for signal quality, traffic capacities, and potential security threats. This enables clients to uncover and act on any new insights they learn during product development. Speaking of clients, Keysight’s list is impressive. Notable names include Alphabet (GOOGL), Boeing (BA), Cisco (CSCO), Facebook (META), Microsoft (MSFT), and Nvidia (NVDA). Over the past three years, Keysight has averaged per-share profit growth of 21%. Even better, earnings have grown nearly twice as fast as sales, a good indicator of a well-run business with lots of cash flow. Add it up, and this is a great way to play the long-term trend of automotive technology. And a great addition to your portfolio. Cheers and Good Investing, [Michael Robinson] Michael Robinson Chief Investment Officer Trend Trader Daily   Copyright © Trend Trader Daily, All rights reserved. You signed up on []( Our mailing address is: Trend Trader Daily 1125 N. Charles Street Baltimore, Maryland 21201 [Update Subscription Preferences]( | [Unsubscribe from this list]( RISK NOTICE: All investing comes with risk. That includes the investments teased in this letter. You should never invest more than you can afford to lose. Please use this research for the purpose that it's intended — as research only. You should consult a professional financial advisor before ever taking a position in any securities you see herein. 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