US Stock Futures Trade Flat Amid Government Shutdown and AI Valuation Hopes

US stock futures trade flat after stocks hit fresh records on Wall Street, driven by AI promise despite government shutdown. The Dow Jones, S&P 500, and Nasdaq 100 futures hover around baseline levels. Investors' hopes in AI soared as OpenAI's valuation reached $500 billion, making it the most valuable startup in the world. The next jobs report is delayed due to the shutdown, which continues despite negotiations between Democrats and Republicans.

US stock futures trade flat after stocks hit fresh records on Wall Street, driven by AI promise despite government shutdown. The Dow Jones, S&P 500, and Nasdaq 100 futures hover around baseline levels. Investors' hopes in AI soared as OpenAI's valuation reached $500 billion, making it the most valuable startup in the world. The next jobs report is delayed due to the shutdown, which continues despite negotiations between Democrats and Republicans.

In the midst of this AI boom, two companies stand out in the Fantastic 40 Growth & Innovation Index curated by Coatue Management: Arm Holdings (NASDAQ: ARM) and MercadoLibre (NASDAQ: MELI). These companies are projected to see substantial growth by 2030, according to the index's latest update in June 2025.

Arm Holdings

Arm Holdings is an Nvidia-backed semiconductor company that licenses its intellectual property to other companies for custom chip development. The company's business model has gained traction in data centers as the artificial intelligence (AI) boom unfolds. Over 70,000 enterprises now use Arm server CPUs, a 14-fold increase in just four years 2 Monster Growth Stocks (1 Backed by Nvidia) to Buy Before They Soar 150% and 430%, According to a Wall Street Expert^[1].

Coatue Management believes Arm will be worth $787 billion by 2030, implying a 430% upside from its current market value of $148 billion, which equates to annual returns of nearly 40% over the next five years 2 Monster Growth Stocks (1 Backed by Nvidia) to Buy Before They Soar 150% and 430%, According to a Wall Street Expert^[1]. However, the company reported mixed results in the June quarter, missing expectations on the top line. Despite this, Wall Street estimates Arm's adjusted earnings will increase at 23% annually through the fiscal year ending in March 2027 2 Monster Growth Stocks (1 Backed by Nvidia) to Buy Before They Soar 150% and 430%, According to a Wall Street Expert^[1].

MercadoLibre

MercadoLibre is a Latin American e-commerce giant following the Amazon blueprint. It runs the largest online marketplace in Latin America, a region where e-commerce represents just 15% of total retail sales. Comparatively, more than 30% of total retail happens through digital channels in the U.S. MercadoLibre accounted for about 28% of retail e-commerce sales in Latin America last year and its market share is projected to reach 30% in 2026 2 Monster Growth Stocks (1 Backed by Nvidia) to Buy Before They Soar 150% and 430%, According to a Wall Street Expert^[1].

Coatue Management believes MercadoLibre will be worth $300 billion by 2030, implying a 150% upside from its current market value of $120 billion, which equates to annual returns of 20% over the next five years 2 Monster Growth Stocks (1 Backed by Nvidia) to Buy Before They Soar 150% and 430%, According to a Wall Street Expert^[1]. The company reported reasonably good financial results in the second quarter, with total revenue increasing 34% to $6.8 billion, representing 29% growth in the commerce segment and 40% growth in the fintech segment 2 Monster Growth Stocks (1 Backed by Nvidia) to Buy Before They Soar 150% and 430%, According to a Wall Street Expert^[1].

Both companies present compelling growth prospects, but investors should consider their current valuations and the risks associated with them. While Arm Holdings' valuation of 87 times earnings looks expensive, MercadoLibre's valuation of 58 times earnings seems more reasonable 2 Monster Growth Stocks (1 Backed by Nvidia) to Buy Before They Soar 150% and 430%, According to a Wall Street Expert^[1].

References

2 Monster Growth Stocks (1 Backed by Nvidia) to Buy Before They Soar 150% and 430%, According to a Wall Street Expert^[1] https://finance.yahoo.com/news/2-monster-growth-stocks-1-081200615.html