Broker Check

2024 Winners and Losers

January 04, 2024

Kicking off 2024 let’s start with Happy New Year to anyone reading. When we take a look into 2024 and try to predict some winners and losers for the year, we have to say that things move very fast and the last couple years are prime examples of that. Every new year is exciting. So first, let’s dive into who / what might have the most excitement and be the winners of 2024. 

Winners

  • Artificial Intelligence (AI)

No surprise here with the top of the list being AI. It took over headlines in 2023 with the rollout of OpenAI’s platform ChatGPT and propelled tech companies to a great year. So is 2024 the year where the excitement wanes or does it explode even further? My opinion is that it will explode even more than what we saw in 2023. We are in the very beginning of what AI can do. Programs like ChatGPT will continue to refine and expand becoming better and better products. In addition to smoothing out the edges, more and more companies will come to the forefront with new and exciting AI programs and ways they utilize the technology. There will certainly be companies that come to the forefront that aren’t around for the long term. However, the further expansion of this technology and the ability for companies and individuals to use it will push AI further in 2024. 

Formerly known as Twitter, X may be poised for a great year. This one may go against the grain a bit given X has been seemingly moving without a clear direction since Elon Musk purchased the company. However, that is understandable given the company is trying to do so much in a small amount of time. It takes a lot of time and effort to make big changes to a huge company like X. But X is seemingly still the go-to news source for the younger generations and there is some strength that comes with that. Especially given a year with increased traffic on the platform due to the election year. I wouldn’t be surprised if X starts to clearly move in the right direction this year as Musk and his team start to figure this company out. 

  • Cyber Security 

Both individuals and companies alike are in need of more cyber security. Especially given the continued increase of demands for companies for an online footprint and the push by individuals to have more and more tools online to use. In addition to all of this, Netflix has an incredibly popular movie “Leave the World Behind” that brings cyber security to the forefront of conversation on a national level. Given where technology has and will continue to take us, cyber security will continue to develop itself into a cornerstone of something we all need to consider and use. 

Alright, those are some potential winners. Let’s jump into some losers. 

Losers

  • Streaming Companies

2020 and 2021 saw streaming companies explode with seemingly every company dipping their toes into the streaming world with their own products and services. And because we were all at home with not much to do, all of these services exploded in growth. However, fast forward a couple years later, and creating content for streaming is incredibly expensive and there are only so many eyeballs and so much competition for those eyeballs. So this year, I wouldn’t be surprised to see some streaming companies lose out. They will either close up shop, or be acquired or merge with competition. But the excitement and boom of streaming is over and now it is survival of the fittest and how do you stay afloat. 

  • Universities and Colleges 

This is not to say getting a degree isn’t important. Everyone has their own path and if getting a degree is on that, then awesome. If it isn’t, also great. But I think with student loan payments resuming in late 2023 and 2024 being the first full year of those payments since 2019, higher education will be put under a spotlight. They will be pushed to actually justify the insane cost of attending some of these colleges and universities. I also believe we may be on the precipice of a long term trend of degrees meaning less and less given the amount of debt you have to accrue for that degree. And additionally, the continued development of learning online for free through services like YouTube, or shorter more specialized courses that are fractions of the cost will put pressure on higher education.

  • China 

Growing a country no matter the cost way too quickly with an incredible amount of regulatory oversight given how the country is ran may be coming to a head. 2023 saw China’s property sector take a major hit given they had entire cities built that no one actually lives in over the past years. In addition to this, they are losing demand in their manufacturing services with some companies moving away from manufacturing in China and consumer’s shifting their buying behaviors. Additionally, their regulation of their tech companies have seen those companies bleed market value as investors are unsure whether you can trust the investment or not given the government’s role in everyday activities of these companies. These are all seemingly deeply ingrained issues that are not easy fixes. China may take a step back and grow at a much slower pace this year than they have in the past.