What's up guys and welcome to wall street millennial on this channel, we cover everything related to stocks and investing joe biden recently unveiled his two trillion dollar infrastructure plan. If it gets passed by congress and signed into law, it will have huge implications for both the economy and the stock market. In this video we'll go over the infrastructure plan and discuss which stocks stand to benefit the most before we get into the video. Keep in mind that we are not financial advisors and this video is, for entertainment purposes, only make sure to talk to a professional before making any investment decision.

This video is made possible by our channel members who get access to our non-time sensitive videos one day in advance and get to vote on our video topics. It's not a plan that tinkers around the edges. It's a once-in-a-generation investment in america, unlike anything we've seen or done since we built the interstate highway system and the space race decades ago. In fact, it's the largest american jobs investment since world war ii will create millions of jobs.

Good paying jobs will grow the economy. Make us more competitive around the world, promote our national security interest and put us in a position to win the global competition with china in the upcoming years. It's big! Yes, it's bold, yes, and we can get it done. The first area that binance infrastructure plan targets is the electrification of large swaths of american infrastructure, especially when it comes to electric vehicles.

It includes a grand total of 174 billion dollars dedicated to electric vehicle investments. These funds will be used to electrify 20 of all school buses used by public school districts. According to a 2019 study. If the entire fleet of u.s school buses could be electrified, it could cut carbon emissions by as much as 5.3 million tons of co2.

That's the equivalent of about a million cars and that's just one area of electric vehicles. That biden is targeting. The plan also specifies converting the entire fleet of federally owned vehicles to electric that constitutes a total of 650 000 vehicles. A significant portion of that is the usps fleet, which was recently awarded to oshkosh, causing workhorse talk to tank in february.

Besides mail trucks, it could potentially include things like federal police vehicles and any other vehicles used by federal agencies for a broad array of use cases. The school bus, electrification plan alone would be huge, and the current leader in making electric school buses is the small company called bluebird. Many of us recognize their school buses from our childhoods and they already control a large portion of the national school bus market. Replacing the entire fleet of u.s school buses implies a massive increase in bluebird's revenue over the next 10 years.

The next major part of the plan's proposed budget is devoted to education and affordable housing infrastructure. It includes more than 200 billion dollars for affordable housing, 100 billion dollars for schools and 12 billion dollars for community colleges. These funds will be used for things as varied as building new schools to helping schools eliminate their use of disposable utensils. 50 billion dollars is allocated for new construction alone and tens of billions more for things like reducing lead exposure in schools.

It is a well-known fact that the schools in the us are not in great shape with many needing significant maintenance and repairs. While there is no one company that engages in the specific business of repairing schools, there are many etfs that focus on construction. There are also many home building etfs, which should also most likely receive a significant boost from business from school renovations. Many of the stocks in these etfs are actually just contractor companies that do any work related to construction, not just home, building or construction supply companies that supply construction workers for all types of projects.

The next major part of the plan is dedicated towards new federal offices, specifically in the commerce department, 50 billion dollars is dedicated towards creating a new office within the commerce department, whose purpose it will be to protect nationally strategic supply chains. This pandemic has exposed some critical supply chain vulnerabilities for our country, including the various commodities like semiconductor products and lithium. This has contributed to a semiconductor shortage that is affecting wide swaths of the stock market. Lithium, in particular, is one commodity that will be important for the electric vehicle part of the infrastructure plan.

Lithium is one of the most important raw materials for electric vehicles due to its critical importance in producing rechargeable batteries. Moreover, the supply chain is largely weighted outside the u.s, particularly in china. This is obviously a huge deal for the strategic supply chain issues, exactly what the biden infrastructure plan is trying to address. One of the only lithium producers in the us is lithium america's corporation.

They produce lithium carbonate, the raw material necessary for the production of lithium batteries. They have several projects ramping up right now, including one mining operation in nevada. It is still unclear what biden's infrastructure plan will do, in particular to try to secure america's supply chains, but it seems likely that stocks that are currently of strategic importance may be rewarded. The infrastructure plan also includes 100 billion dollars for increasing internet access in rural areas.

According to a peer research survey in 2018, almost 25 of americans living in rural areas say access to high-speed internet is a major problem in their area. Building out broadband lines is very expensive and often uneconomical in rural areas where houses are very far apart. This precludes many rural communities from access to high-speed internet and even when they do have access prices are often exorbitant. Biden's plan aims to increase access to rural broadband while at the same time reducing costs.

This 100 billion dollar project will not be a giveaway to the major broadband companies like atm t and comcast. The money will instead be given to local governments and non-profits, who can use it to build out local internet infrastructure. The proposal may actually be bad for the big internet service providers, as it will force them to be more transparent about their pricing. Any price caps or regulations in the binding plan will likely target the internet service providers so the safest way to play.

It is probably with companies that make networking hardware such as routers as more and more rural communities get access to high-speed internet demand for networking hardware should increase one. Such company is netgear, which makes routers for consumers. Another option is cisco, which makes a broad array of networking hardware mainly focusing on enterprise customers. Another pillar of biden's plan is a 180 billion dollar investment for research and development.

The goal of this investment is to develop emerging technologies that the military can use to counteract america's geopolitical rivals, such as china, many academics and national security experts fear that china is overtaking the us in artificial intelligence writers at the harvard business review, found that china has Far surpassed the us in its output of ai scientific papers, the chinese government heavily subsidizes ai research as they use this technology for both military and domestic surveillance purposes. Ai will be a big area of focus, as biden tries to keep america competitive with china. There are a few potential beneficiaries of ai research in the u.s. C3Ai is a recently ipo'd ai stock.

That is one of the leaders in the field. The dod already uses c3ai to do data aggregation and analysis work on the f35 joint strike fighter program. Partnerships like this could be expanded under the new investment plan. Ai generally involves vast quantities of complex data chip.

Companies like nvidia could be another beneficiary, as their computer chips are widely used for ai applications. The biden plan will give a 10-year extension to tax credits that subsidize production of solar panels, energy storage and wind power. The recent texas power outage saw millions of residents go without power for an extended period of time. This situation brought to light the importance of modernizing the country's outdated power grid.

The administration also wants to achieve 100 carbon free electricity by 2035.. This will require hundreds of billions of dollars of investment that could be a big windfall for renewable energy companies. One of the most obvious beneficiaries of this plan is first solar, which produces utility-scale solar panels, as well as supporting services. Another way to play.

This is the first truss wind energy etf, which tracks a broad basket of wind energy stocks. The fan etf includes many foreign stocks that you may not be able to buy individually through a u.s trading app, and while many of these companies are foreign, a lot of them do business in the us, so they can still benefit from the infrastructure plan. Alright guys that wraps it up for this video, what do you think about the biden infrastructure plan? Are there any other stocks you think will benefit? Let us know, in the comments section below also don't forget, to check out our second channel wsm research, where we publish dd on high growth tech stocks, as always. Thank you so much for watching and we'll see in the next video wall street millennial signing out.