Now that’s circular: The profit boom at tech companies like Amazon and Alphabet comes from investments in AI companies
Tech giants like Amazon (AMZN) and Alphabet (GOOG) have powered the stock market to record highs. But in recent months, a big driver of those two companies’ profits came from an unusual source: The increasing value of their investment stakes in artificial intelligence...
This comes at a really bad time–U.S. AI models losing market share to Chinese open source AI
As a result of rising AI costs, American companies have begun to shift to Chinese open source models such as Alibaba’s Qwen, Z.ai’s GLM and Moonshot AI’s Kimi. “This is the first time that it’s happening,” Rafiq Dossani, an economist at Rand, told the Washington Post....
Time to rebuy Nvidia in my long-term 50 Stocks Portfolio
I sold Nvidia (NVDA) out go my long-term 50 Stocks Portfolio on March 18 at a closing price of $180.40 My thinking then was that after a huge run Nvidia’s share had moved to an excessively optimistic valuation and it was time to give the shares a rest with...
The downside of today’s good newsroom memory chip makers
No doubt about it, today’s earnings news from memory chip maker Micron Technology (MU) was astonishing. Micron’s fiscal third quarter 2026 results showed record revenue of $41.46 billion, driven by surging AI memory demand. The company projects fourth quarter...
Wednesday’s MU earnings reports is next test of buy on the dip
Micron Technology (MU) is scheduled to report earnings after the close on Wednesday, June 24, 2026, and consensus expects a very strong AI‑driven number. Will it be strong enough to stem the tech selling and stoke a buy on the dip rally? The Zacks consensus is for...
Is AI too expensive to run? Token maxing is out; metered use is in
As investors contemplate trillion dollar IPOs from OpenAI and Anthropic, they need to remember that we still don’t know what the return on coporatee spending on AI is. Some evidence says that some companies that are finding AI useful–but far too costly. And...
A looming price war between OpenAI and Anthropic couldn’t come at a worse time
I think neither of the AI companies looking at the next $1 trillin IPOs want a price war right now. But that may be exactly what they’re going to get anyway. For two reasons. One is company specific. OpenAI Chief Executive Officer Sam Altman says he’s...
And then there were two: Anthropic files for an IPO
Anthropic, the artificial intelligence company behind the chatbot Claude, confidentially filed on Monday for an initial public offering–possibly as early as this fall. With its IPO filing, Anthropic would be among a trio of high-profile companies preparing to go...
Now that’s a narrow market!
Artificial intelligence infrastructure spending is poised to become the dominant force behind S&P 500 earnings growth over the next two years, according to new analysis from Goldman Sachs. Goldman Sachs projects that beneficiaries of AI infrastructure investment...
A Samsung strike? Just what the global chip supply chain doesn’t need
South Korean chip maker Samsung Electronics is facing its worst-ever strike, with nearly 48,000 workers threatening to walk off production lines on Thursday for 18 days over a dispute about bonus payouts. Samsung’s union has asked the company to abolish a cap that...
I think it’s time to give Nvidia a rest–selling my position on Wednesday
When the CEO extends the company’s $500 billion revenue projection for 2026 by adding another $500 billion for 2027–we’re talking $1 trillion in revenue here, folks–and the stock barely budges, I think we’re looking at a stock in need of a valuation reset....
Nvidia blows past Wall Street earnings expectations
Nvidia (NVDA) shares rose 3% in after-hours trading on Wednesday after the company reported fiscal fourth-quarter results and guidance that topped Wall Street’s forecasts by a wide margin. For the period ending January 25, Nvidia said it earned an adjusted $1.62...
Coming soon, DeepSeek V4: the next big test for AI stocks, tech sector, and the entire market
I’m writing this while waiting for Nvidia’s earnings report. I’m interested to see if the company addresses the DeepSeek challenge. China’s AI disruptor DeepSeek is preparing to introduce a new model. Reuters had initially reported that DeepSeek would launch its...
Would you buy a 100-year AI bond even from Google?
Alphabet/Google (G00G) borrowed another $20 billion in its biggest ever U.S. dollar bond sale on Monday. And that’s just the beginning. The company is also planning debut deals in Switzerland and the UK. Including the sale of 100-year bonds. Drum role, please: That...
Is Taiwan’s chip industry–especially TSM–moving to the U.S.?
Taiwanese semiconductor and tech companies, led by Taiwan Semiconductor Manufacturing (TSM), the chip foundry critical to global AI supply chains, have committed at least $250 billion in investmentS to build and expand chip, energy, and AI production capacity in the...
Meta signs new” deals to buy nuclear power–but check the details of what “new” means
Meta Platforms (META) unveiled three agreements last Friday to buy up to 6.6 GW of nuclear power by 2035 for its data centers. The deals do have an element that clearly meets my definition of new. Meta buy electricity from new small modular reactor (sMR) projects that...
Nvidia speeds things up in AI
I’d argue that the big news out of the 2026 Consumer Electronics Show in Las Vegas wasn’t about new chips, or flashy hardware across TVs, PCs, phones, and robots. It’s all about speed: Nvidia (NVDA) pushed up the launch schedule for its new Vera Rubin AI...
Somehow Oracle just missed this little $248 billion item last week
When last week Oracle (ORCL) published its earnings update on the costs of its artificial-intelligence data center buildout, it didn’t include $248 billion in lease-payments committed for AI data centers. That cost, Bloomberg’s Chris Bryant reported today, December...
Next week is Nvidia’s week
Nvidia (NVDA) will report earnings Wednesday November 19, for the quarter that ended on October 25. According to Zacks Investment Research, based on 13 analysts’ forecasts, the consensus EPS forecast for the quarter is $1.17. The reported EPS for the same...
Walmart pops 7% in two days on news that it will sell stuff on ChatGPT–here’s what that means for the AI bubble/boom
Walmart (WMT) will “team” up with OpenAI to enable shoppers to browse and purchase its products on ChatGPT. Users will be able to shop Walmart’s catalog directly on ChatGPT by clicking a “buy” button.The catalog includes apparel, entertainment, packaged food and...
Nvidia drops 3.03% after earnings as market decides 56% data center growth isn’t good enough
Nvidia’s basic problem is that investor expectations are so high that the company struggles to meet them. In the quarter ended on July 27, results released today after the close of trading, Nvidia said it earned an adjusted $1.05 per share on $46.74 billion in...
Nvidia gains after-hours on earnings, but will the gains hold tomorrow?
In after-hours trading on Wednesday, May 28, shares of Nvidia (NVDA) were up 4.51% as of 5 p.m. in New York after the company reported earnings for the first quarter of fiscal 2026. For any company but Nvidia the results would qualify as a home run. For the period...
Look for a big market reaction to Nvidia’s earnings on Wesnesday
I expect that the most important event of the short week ahead will be Nvidia’S (NVDA) report–after the market close on Wednesday, May 28–of earnings for the fiscal first quarter of 2026 that ended in April 2025. Expect volatility. Both in Nvidia’s...
Nvidia hit with surprise effective ban on chip sales to China
Just days after Nvidia and other chip stocks rallied on news that thee Trump Administration would pause tariffs on chips and electronic goods, the White House has informed the company it would require a special license for exports of its H20 chips. The H20 chips were...
More news likely to keep AI rally going in China–adding Alibaba to my portfolios
Ant Group, backed by Alibaba’s Jack Ma, has announced that it has used Chinese-made semiconductors to train AI models that would cut costs by 20%. Ant Group, formerly Ant Financial and the owner of Alipay, the world’s largest digital payment platform, used Chinese...Buying more Tencent ADRs for my portfolios
Quite a change in the color of the ink. I’ve owned China’s Tencent (the TCEHY ADRs), the world’s biggest computer game company, in my long-term 50 Stocks portfolio since January 3. 2022. I spent lot of 2024 looking at red ink in the position–and experiencing...
China stocks rallying on government stimulus plans–I’m buying iShares China FXI
Just because we’ve seen this page from the play book before and just because I’m skeptical about the long-term effects of this policy doesn’t mean I don’t want to own the China rally now. On Monday March 24, I added the iShares China Large-Cap ETF (FXI) to my Perfect...
Will Nvidia’s earnings this week move the market?
The earnings report of the week will be Nvidia’s (NVDA) report after the close on Wednesday, February 26. For the fiscal quarter ending January 2025, the consensus EPS forecast is $0.79. The reported EPS for the same quarter last year was $0.49. Analysts expect...
AMD’s drop on huge revenue growth exemplifies risks in the tech sector
Yesterday, February 4, after the close of trading Advanced Micro Devices (AMD) reported record revenue growth for the fourth quarter. The chipmaker even reported growth in market share at the expense of rival Intel (INTC). Yet in after-hours reading the stock dropped...Jim’s Daily Email Alerts:
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