u/Red_Ochre_Music 5.0 4 ideas

SaaS companies are incorporating LLMs into their products in real, impactful ways. When the pure-play AI hype bubble bursts, the market will rotate capital into SaaS companies that are actually monetizing AI, causing their valuations to catapult. Go long on Adobe as it benefits from the market realizing the practical value of AI integration in SaaS. The AI bubble bursting could drag down the entire tech sector, including SaaS, regardless of fundamental integration.

Snowflake is actively incorporating LLMs into its data cloud products. The market has currently written off many SaaS companies, but will realize their value once the pure AI lab hype dies down. Buy Snowflake ahead of the market's realization of its practical AI utility. Snowflake's consumption-based revenue model might suffer if broader tech spending contracts during a bubble burst.

Salesforce is deploying AI across its enterprise software suite. As the market becomes disillusioned with unprofitable AI research labs, it will reward enterprise software companies with real AI revenue streams. Long CRM as a beneficiary of the shift from AI infrastructure/research hype to SaaS application reality. Enterprise software budgets could tighten if a broader market correction occurs.

Google is developing AI beyond just LLMs (e.g., Isomorphic Labs, AlphaFold). Big tech will take a short-term hit when the AI bubble bursts due to irrational pessimism, creating a buying opportunity for companies with real, non-hype AI tech. Watch Google for a dip to buy, as its long-term AI prospects outside of LLMs remain highly robust. The short-term hit from the AI bubble bursting could be deeper and longer than anticipated.