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WealthBuilder
10-30
You are stupid to sell TSM if bullish about semicon . I believe the writer is also stupid
Taiwan Semiconductor Has Run Too Hot In The AI Euphoria
WealthBuilder
07-31
Surge 11% not because of Morgan Stanley . It is because AMD reported good result yesterday and everyone is buying Nvidia now
Nvidia Stock Surges 11% After AMD Results and Morgan Stanley Names It a Top Pick
WealthBuilder
10-06
Analysts can all go eat shit . I know what I want to buy , I don't need to listen to them . I buy only Nvidia . Full stop
Why Is Wall Street Much More Bullish About Nvidia Than Palantir?
WealthBuilder
12-04
He has lost his underwear shorting SMCI , writing article to try recovering what he has lost
Super Micro Computer: You're Gambling If You Buy This, Not Investing
WealthBuilder
05-24
She sold Nvidia right before price rocket
Cathie Wood Sees a Great Depression-Like Search for Safety in the Stock Market
WealthBuilder
07-23
Crash to how much ? And which day it will crash ? Tell me and I will sell before that date
Sorry, the original content has been removed
WealthBuilder
06-27
It was a good QR, analysts have unrealistic expectation. It is a buy now to harvest 6-12 months from now
Sorry, the original content has been removed
WealthBuilder
12-02
Time to fly again....
Super Micro to Name New CFO, Says No Evidence of Misconduct
WealthBuilder
11-30
You double , I triple
Sorry, the original content has been removed
WealthBuilder
09-23
When Blackwell starts shipping everyone would say : I should have bought in Q3
Nvidia Stock Is in a Slump. What Tesla Can Tell Us
WealthBuilder
09-07
Whatever your fair value is irrelevant. Marketsentiment is bad , all selling . You can boost, good luck
Google: Boosting My Stake In This Big Tech Bargain Now
WealthBuilder
06-23
Tesla will go bust
Tesla Stock: 2 Catalysts That Indicate a Turnaround
WealthBuilder
12-03
He will ask President to fire the Judge
What Is Next for Musk After Judge Rules Against Him in Tesla Pay Case?
WealthBuilder
11-04
Wow
1 Monster Stock That Turned $10,000 Into Almost $5.6 Million in 20 Years
WealthBuilder
10-10
When one didn't buy, will say expensive . Once bought , will say cheap and all the nice words to promote
Nvidia Is Still Undervalued, Says $50 Billion Manager Impax
WealthBuilder
09-10
If you think Nvidia is overvalued , this is even more overvalued
Palantir Stock Surges and Heads to the S&P 500 -- Time to Buy the AI Stock?
WealthBuilder
07-10
Of course it would not last forever. Another 2-3 years would be enough for all shareholders to make good money
Nvidia's Stock Is Soaring Largely Thanks to Microsoft, Alphabet and Tech's Other AI Giants. That Won't Last
WealthBuilder
11-15
That's the spirit [Strong] Fa Da Cai [Eye]
Super Micro Computer: I Am Greedy While Others Are Fearful
WealthBuilder
10-22
No such thing as forever , it will keep flying and reach a point that it will come down. Semicon is cyclical
Taiwan Semiconductor: Buy And Hold This Stock Forever
Go to Tiger App to see more news
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has lost his underwear shorting SMCI , writing article to try recovering what he has lost","listText":"He has lost his underwear shorting SMCI , writing article to try recovering what he has lost","text":"He has lost his underwear shorting SMCI , writing article to try recovering what he has lost","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":6,"commentSize":1,"repostSize":0,"link":"https://ttm.financial/post/377908085366928","repostId":"1199304506","repostType":4,"repost":{"id":"1199304506","kind":"news","pubTimestamp":1733283900,"share":"https://ttm.financial/m/news/1199304506?lang=&edition=fundamental","pubTime":"2024-12-04 11:45","market":"us","language":"en","title":"Super Micro Computer: You're Gambling If You Buy This, Not Investing","url":"https://stock-news.laohu8.com/highlight/detail?id=1199304506","media":"Seeking Alpha","summary":"SummarySMCI's recent auditor resignation, and ongoing DoJ investigation make it a highly risky investment despite a recent short-term price surge.SMCI's past issues include NASDAQ delisting, SEC fines","content":"<html><head></head><body><h2 id=\"id_2210350387\">Summary</h2><ul style=\"\"><li><p>SMCI's recent auditor resignation, and ongoing DoJ investigation make it a highly risky investment despite a recent short-term price surge.</p></li><li><p>SMCI's past issues include NASDAQ delisting, SEC fines, which all raise serious concerns about its financial integrity.</p></li><li><p>The appointment of BDO as the new auditor offers some hope but doesn't eliminate the significant risks and unresolved issues identified by Ernst & Young.</p></li><li><p>Investing in SMCI now is more akin to gambling than smart investing due to the high level of unknowns and potential for severe negative outcomes.</p></li></ul><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/d0dd59825e09cdca1d96afc5c7f9a0d1\" alt=\"SlavkoSereda/iStock via Getty Images\" title=\"SlavkoSereda/iStock via Getty Images\" tg-width=\"750\" tg-height=\"500\"/><span>SlavkoSereda/iStock via Getty Images</span></p><h2 id=\"id_2160079058\">Introduction</h2><p>I mostly like to talk about buying opportunities here on Seeking Alpha, but I've noted that a lot of people have been buying Super Micro Computer (NASDAQ:SMCI) recently, post the news that they appointed BDO as auditor.</p><p>Despite this appointment having some potential good news and a sign of hope, there's way too many unknowns and risk factors that, as investors on the outside, we just don't know the answers to. Of course, when we invest, there's always some unknowns and risks to take, but for me here, there's just way too many unknowns, which makes it a very illogical investment.</p><h2 id=\"id_1452235947\">Background</h2><p>SMCI has been on a crazy ride throughout 2024, rising from $28 back in January all the way up to $115 in March, which equates to a 307% increase in 3 months.</p><p>It then dropped down to $18 by November 15th, erasing 85% of the total market cap. This drop came after Ernst & Young (SMCI's auditor) resigned on October 24th. Ernst & Young cited reasons including:</p><ul style=\"\"><li><p>Lack of trust in management</p></li><li><p>Weak internal controls</p></li><li><p>Lack of board independence</p></li></ul><p>When an auditor resigns from auditing a client the size of SMCI it's never a good sign. Auditors spend hours fighting to win over the biggest clients which allows them to rake in the huge audit fees, but when they deem the risk of being associated with a listed client to be far more negative than the huge audit fees they would receive, there's likely something out of the ordinary going on.</p><h2 id=\"id_146560957\">Here's why SMCI is not worth investing into.</h2><p>If this auditor resignation was a one-off issue, then I'd be inclined to give SMCI the benefit of doubt (though I'd still remain extremely cautious), but unfortunately this negativity around SMCI is not a one-off at all.</p><p>The past 6 years has seen:</p><ul style=\"\"><li><p>NASDAQ delisting</p></li><li><p>$17.5 million fine to SEC</p></li><li><p>Hindenburg Research (one of the most famous short sellers)</p></li><li><p>Department of Justice probe</p></li></ul><p>I'm going to go over each one of these to explain exactly what's happened and my take on them all.</p><h3 id=\"id_2241418678\">NASDAQ delisting - 2018</h3><p>SMCI was temporarily delisted from the NASDAQ stock exchange in August 2018 due to failure to comply with NASDAQ timelines of financial reports. Companies get delisted for many reasons, however the 3 main reasons are:</p><ol start=\"1\" style=\"\"><li><p>Voluntary delisting.</p></li><li><p>Falling below a certain market cap or $1.00 stock price.</p></li><li><p>Accounting issues/missed deadlines.</p></li></ol><p>Reason 3 is exactly why SMCI got delisted, and it tends to be the least common and perhaps most serious due to the internal inefficiencies. NASDAQ generally does have fairly long "grace periods" meaning SMCI failed to comply with the extended NASDAQ deadlines, something which has not happened to a company of SMCI's size in a long time.</p><h3 id=\"id_37544222\">Fine</h3><p>In 2020, SMCI paid a $17.5 million fine to the SEC for accounting violations in which they neither admitted nor denied the SEC findings. The violations were due to incorrect revenue recognition, understating expenses, and other accounting violations over a period of 3 years.</p><p>Arguably a one-off instance like this would not cause too much panic, but the continuous nature of this raises skepticism.</p><h3 id=\"id_1199563137\">Department of Justice</h3><p>On top of all this negativity, SMCI has an ongoing DoJ (Department of Justice) probe which is looking into accounting violations. DoJ probes are a big deal and are likely to have an overarching effect on the SMCI stock price even if all of all the other unknowns start to become more clear.</p><p>As I mentioned before with the Hindenburg research, we have to take their report with a pinch of salt since they are a short-seller after all. However, an investigation by the DoJ is much more serious and anything that comes up in that investigation will materially affect SMCI's future.</p><h3 id=\"id_494708400\">BDO Appointment</h3><p>The positive news after all of this is that SMCI managed to appoint BDO (the 5th largest accounting firm) after all of the above incidents, which has to be a win because it gives them hope to at least restore investor confidence, and prepare some financial statements. That's all the good news I can say about this though.</p><p>The bad news is that BDO isn't a big 4 company that SMCI would have appointed. BDO also has had poor results over recent years in terms of audit quality. To put it simply, SMCI would not have wanted to appoint an auditor outside of the Big 4. It's a shame that this is the way it is, but for a company in the S&P 500, Big 4 auditors are by far the most common. Unless there's a good reason not to appoint a Big 4 auditor, S&P 500 companies simply look a bit more questionable if they don't have a Big 4 company auditing them.</p><p>The other important thing to note is that even though SMCI has appointed a BDO, initial screening or conversations with EY (previous auditor) have not occurred. This was all disclosed in the 8-K but obviously wasn't part of the headlines. Simply what is happening is that BDO are the only company to at least consider looking at the SMCI books in the hope that everything is ok, and therefore they potentially have one of the biggest clients on the books.</p><p>In my opinion, realistically, the issues that EY found won't have been resolved and BDO will also likely find these issues, meaning they'll not sign off.</p><p>Let me take this even further. A first year audit takes a long time. It includes getting a very solid understanding of the company, the internal controls, previous period's numbers etc., etc. In my opinion, the entire process likely cannot happen before February 2025, which is when NASDAQ has granted a filing extension until.</p><p>If the BDO does manage to get all this work done, and assuming there's no issues found (unlikely in my opinion), there is still a chance of secondary reviews by regulators.</p><h2 id=\"id_4231930187\">So is SMCI a buy, sell, or hold?</h2><p>SMCI has performed well the last 3 weeks post appointment of auditor, BDO, plus a short squeeze. Whilst the share price shows some potential signs of recovery, I hope this article made it clear exactly how much risk there still is.</p><p>SMCI still has to get BDO to audit their financials by February without any findings, a potential secondary review, and also get through the DoJ investigation to essentially survive. If any of these come back with material findings, I think there's a very good chance that SMCI gets delisted, which will, of course, have material consequences for all investors.</p><p>Of course, I may be wrong here, and I may be overly worried about the legitimacy of the financials, but when there's hundreds and if not thousands of other stocks without any risk of these issues, I don't see why it's worth risking an investment into SMCI.</p><p>My overall take is that I'd give it a 50:50 chance as to whether SMCI recovers and, in my opinion, investing in them is much more gambling, rather than data driven, educated, smart investing.</p></body></html>","source":"lsy1728464409321","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Super Micro Computer: You're Gambling If You Buy This, Not Investing</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nSuper Micro Computer: You're Gambling If You Buy This, Not Investing\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-12-04 11:45 GMT+8 <a href=https://seekingalpha.com/article/4741870-super-micro-computer-smci-gambling-if-you-buy-not-investing><strong>Seeking Alpha</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>SummarySMCI's recent auditor resignation, and ongoing DoJ investigation make it a highly risky investment despite a recent short-term price surge.SMCI's past issues include NASDAQ delisting, SEC fines...</p>\n\n<a href=\"https://seekingalpha.com/article/4741870-super-micro-computer-smci-gambling-if-you-buy-not-investing\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"SMCI":"超微电脑"},"source_url":"https://seekingalpha.com/article/4741870-super-micro-computer-smci-gambling-if-you-buy-not-investing","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"1199304506","content_text":"SummarySMCI's recent auditor resignation, and ongoing DoJ investigation make it a highly risky investment despite a recent short-term price surge.SMCI's past issues include NASDAQ delisting, SEC fines, which all raise serious concerns about its financial integrity.The appointment of BDO as the new auditor offers some hope but doesn't eliminate the significant risks and unresolved issues identified by Ernst & Young.Investing in SMCI now is more akin to gambling than smart investing due to the high level of unknowns and potential for severe negative outcomes.SlavkoSereda/iStock via Getty ImagesIntroductionI mostly like to talk about buying opportunities here on Seeking Alpha, but I've noted that a lot of people have been buying Super Micro Computer (NASDAQ:SMCI) recently, post the news that they appointed BDO as auditor.Despite this appointment having some potential good news and a sign of hope, there's way too many unknowns and risk factors that, as investors on the outside, we just don't know the answers to. Of course, when we invest, there's always some unknowns and risks to take, but for me here, there's just way too many unknowns, which makes it a very illogical investment.BackgroundSMCI has been on a crazy ride throughout 2024, rising from $28 back in January all the way up to $115 in March, which equates to a 307% increase in 3 months.It then dropped down to $18 by November 15th, erasing 85% of the total market cap. This drop came after Ernst & Young (SMCI's auditor) resigned on October 24th. Ernst & Young cited reasons including:Lack of trust in managementWeak internal controlsLack of board independenceWhen an auditor resigns from auditing a client the size of SMCI it's never a good sign. Auditors spend hours fighting to win over the biggest clients which allows them to rake in the huge audit fees, but when they deem the risk of being associated with a listed client to be far more negative than the huge audit fees they would receive, there's likely something out of the ordinary going on.Here's why SMCI is not worth investing into.If this auditor resignation was a one-off issue, then I'd be inclined to give SMCI the benefit of doubt (though I'd still remain extremely cautious), but unfortunately this negativity around SMCI is not a one-off at all.The past 6 years has seen:NASDAQ delisting$17.5 million fine to SECHindenburg Research (one of the most famous short sellers)Department of Justice probeI'm going to go over each one of these to explain exactly what's happened and my take on them all.NASDAQ delisting - 2018SMCI was temporarily delisted from the NASDAQ stock exchange in August 2018 due to failure to comply with NASDAQ timelines of financial reports. Companies get delisted for many reasons, however the 3 main reasons are:Voluntary delisting.Falling below a certain market cap or $1.00 stock price.Accounting issues/missed deadlines.Reason 3 is exactly why SMCI got delisted, and it tends to be the least common and perhaps most serious due to the internal inefficiencies. NASDAQ generally does have fairly long \"grace periods\" meaning SMCI failed to comply with the extended NASDAQ deadlines, something which has not happened to a company of SMCI's size in a long time.FineIn 2020, SMCI paid a $17.5 million fine to the SEC for accounting violations in which they neither admitted nor denied the SEC findings. The violations were due to incorrect revenue recognition, understating expenses, and other accounting violations over a period of 3 years.Arguably a one-off instance like this would not cause too much panic, but the continuous nature of this raises skepticism.Department of JusticeOn top of all this negativity, SMCI has an ongoing DoJ (Department of Justice) probe which is looking into accounting violations. DoJ probes are a big deal and are likely to have an overarching effect on the SMCI stock price even if all of all the other unknowns start to become more clear.As I mentioned before with the Hindenburg research, we have to take their report with a pinch of salt since they are a short-seller after all. However, an investigation by the DoJ is much more serious and anything that comes up in that investigation will materially affect SMCI's future.BDO AppointmentThe positive news after all of this is that SMCI managed to appoint BDO (the 5th largest accounting firm) after all of the above incidents, which has to be a win because it gives them hope to at least restore investor confidence, and prepare some financial statements. That's all the good news I can say about this though.The bad news is that BDO isn't a big 4 company that SMCI would have appointed. BDO also has had poor results over recent years in terms of audit quality. To put it simply, SMCI would not have wanted to appoint an auditor outside of the Big 4. It's a shame that this is the way it is, but for a company in the S&P 500, Big 4 auditors are by far the most common. Unless there's a good reason not to appoint a Big 4 auditor, S&P 500 companies simply look a bit more questionable if they don't have a Big 4 company auditing them.The other important thing to note is that even though SMCI has appointed a BDO, initial screening or conversations with EY (previous auditor) have not occurred. This was all disclosed in the 8-K but obviously wasn't part of the headlines. Simply what is happening is that BDO are the only company to at least consider looking at the SMCI books in the hope that everything is ok, and therefore they potentially have one of the biggest clients on the books.In my opinion, realistically, the issues that EY found won't have been resolved and BDO will also likely find these issues, meaning they'll not sign off.Let me take this even further. A first year audit takes a long time. It includes getting a very solid understanding of the company, the internal controls, previous period's numbers etc., etc. In my opinion, the entire process likely cannot happen before February 2025, which is when NASDAQ has granted a filing extension until.If the BDO does manage to get all this work done, and assuming there's no issues found (unlikely in my opinion), there is still a chance of secondary reviews by regulators.So is SMCI a buy, sell, or hold?SMCI has performed well the last 3 weeks post appointment of auditor, BDO, plus a short squeeze. Whilst the share price shows some potential signs of recovery, I hope this article made it clear exactly how much risk there still is.SMCI still has to get BDO to audit their financials by February without any findings, a potential secondary review, and also get through the DoJ investigation to essentially survive. If any of these come back with material findings, I think there's a very good chance that SMCI gets delisted, which will, of course, have material consequences for all investors.Of course, I may be wrong here, and I may be overly worried about the legitimacy of the financials, but when there's hundreds and if not thousands of other stocks without any risk of these issues, I don't see why it's worth risking an investment into SMCI.My overall take is that I'd give it a 50:50 chance as to whether SMCI recovers and, in my opinion, investing in them is much more gambling, rather than data driven, educated, smart investing.","news_type":1},"isVote":1,"tweetType":1,"viewCount":381,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":377538521997400,"gmtCreate":1733211641273,"gmtModify":1733211644873,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"He will ask President to fire the Judge","listText":"He will ask President to fire the Judge","text":"He will ask President to fire the Judge","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":1,"repostSize":0,"link":"https://ttm.financial/post/377538521997400","repostId":"2488693392","repostType":2,"repost":{"id":"2488693392","kind":"highlight","weMediaInfo":{"introduction":"Reuters.com brings you the latest news from around the world, covering breaking news in markets, business, politics, entertainment and technology","home_visible":1,"media_name":"Reuters","id":"1032215980","head_image":"https://community-static.tradeup.com/news/4567337cbdf294b657b1fa87c5488b48"},"pubTimestamp":1733211000,"share":"https://ttm.financial/m/news/2488693392?lang=&edition=fundamental","pubTime":"2024-12-03 15:30","market":"us","language":"en","title":"What Is Next for Musk After Judge Rules Against Him in Tesla Pay Case?","url":"https://stock-news.laohu8.com/highlight/detail?id=2488693392","media":"Reuters","summary":"WILMINGTON, Delaware, Dec 2 - Tesla cannot give Elon Musk a $56 billion compensation package despite a vote in support of the CEO's pay deal by the company's shareholders, a Delaware judge ruled on Monday.Below is a look at what could come next for Tesla and its billionaire founder, who is still seeking a huge payday from the company:WHAT DOES MUSK WANT?Tesla could offer Musk the same 304 million stock options with the same $23.34 exercise price used in the 2018 plan. If shareholders wanted to ","content":"<html><head></head><body><p>WILMINGTON, Delaware, Dec 2 (Reuters) - Tesla cannot give Elon Musk a $56 billion compensation package despite a vote in support of the CEO's pay deal by the company's shareholders, a Delaware judge ruled on Monday.</p><p>Below is a look at what could come next for Tesla and its billionaire founder, who is still seeking a huge payday from the company:</p><h2 id=\"id_4015928809\" style=\"text-align: start;\">WHAT DOES MUSK WANT?</h2><p>Musk told a special committee of the Tesla board soon after a judge voided his compensation in January that he wanted a similar-sized replacement package, according to a securities filing.</p><p>In addition, earlier this year he said on his social media platform X that he wanted a larger stake in Tesla or he might develop some products outside the company. Musk's other companies include rocket venture SpaceX and Neuralink, which develops brain implants.</p><h2 id=\"id_2065050315\" style=\"text-align: start;\">TESLA COULD APPEAL THE RULING</h2><p>Musk and Tesla's board could appeal and try to reverse the ruling at the Delaware Supreme Court, a process that typically takes around a year.</p><p>The case, which involved the largest-ever pay deal at a U.S. public company, raises issues that have rarely been addressed by Delaware judges, adding uncertainty to an appeal.</p><p>For example, the trial court judge, Chancellor Kathaleen McCormick, found that Musk controlled the compensation negotiations, even though he owned only about 22% of Tesla's stock.</p><p>In addition, Tesla has acknowledged that the June vote by shareholders to ratify Musk's pay was a "novel" legal tactic and has said it was unclear how it would be treated under Delaware law.</p><h2 id=\"id_741800313\" style=\"text-align: start;\">TESLA COULD DEVISE A NEW PLAN</h2><p>Tesla's board could craft a new pay package, although that could be very expensive.</p><p>The original plan, agreed to by Musk and the company in 2018, awarded him stock options if the company hit very aggressive performance and financial targets. The stock options allowed Musk to buy Tesla stock priced at the 2018 level. The company exceeded the targets, and Tesla's stock has risen 10-fold since then, making the options incredibly valuable.</p><p>Tesla booked a cost of $2.6 billion when the 2018 plan went into effect. The company has said that a replacement plan for the same cost today would likely have to be less than 10% of the size of the 2018 plan.</p><h2 id=\"id_3385019166\" style=\"text-align: start;\">COULD TESLA JUST RESTORE THE OLD PLAN?</h2><p>Tesla could offer Musk the same 304 million stock options with the same $23.34 exercise price used in the 2018 plan. If shareholders wanted to challenge that, they would have to sue in Texas, where the company reincorporated this year, rather than the Court of Chancery in Delaware.</p><p>But the company cannot escape accounting and tax implications.</p><p>Tesla said putting the old plan back in place would require the company to take a $25 billion charge, according to securities filings.</p><p>In addition, because the stock options would be incredibly valuable from the moment they are issued, they would be treated unfavorably for tax purposes as income. Musk could be taxed at the highest rate and pay a 20% penalty, meaning authorities could tax his new plan at 57%, according to an analysis by Schuyler Moore of Greenberg Glusker Fields Claman & Machtinger.</p><h2 id=\"id_1057819079\" style=\"text-align: start;\">MUSK COULD TRY TO SETTLE THE LAWSUIT</h2><p>Musk could try to settle the lawsuit, which was brought by a Tesla shareholder, and accept a smaller portion of his pay package. However, that would contradict his track record of taking cases to trial rather than striking deals, even in the face of huge potential liability. It is unclear how McCormick would view a settlement at this stage in the litigation.</p></body></html>","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>What Is Next for Musk After Judge Rules Against Him in Tesla Pay Case?</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nWhat Is Next for Musk After Judge Rules Against Him in Tesla Pay Case?\n</h2>\n\n<h4 class=\"meta\">\n\n\n<a class=\"head\" href=\"https://laohu8.com/wemedia/1032215980\">\n\n\n<div class=\"h-thumb\" style=\"background-image:url(https://community-static.tradeup.com/news/4567337cbdf294b657b1fa87c5488b48);background-size:cover;\"></div>\n\n<div class=\"h-content\">\n<p class=\"h-name\">Reuters </p>\n<p class=\"h-time\">2024-12-03 15:30</p>\n</div>\n\n</a>\n\n\n</h4>\n\n</header>\n<article>\n<html><head></head><body><p>WILMINGTON, Delaware, Dec 2 (Reuters) - Tesla cannot give Elon Musk a $56 billion compensation package despite a vote in support of the CEO's pay deal by the company's shareholders, a Delaware judge ruled on Monday.</p><p>Below is a look at what could come next for Tesla and its billionaire founder, who is still seeking a huge payday from the company:</p><h2 id=\"id_4015928809\" style=\"text-align: start;\">WHAT DOES MUSK WANT?</h2><p>Musk told a special committee of the Tesla board soon after a judge voided his compensation in January that he wanted a similar-sized replacement package, according to a securities filing.</p><p>In addition, earlier this year he said on his social media platform X that he wanted a larger stake in Tesla or he might develop some products outside the company. Musk's other companies include rocket venture SpaceX and Neuralink, which develops brain implants.</p><h2 id=\"id_2065050315\" style=\"text-align: start;\">TESLA COULD APPEAL THE RULING</h2><p>Musk and Tesla's board could appeal and try to reverse the ruling at the Delaware Supreme Court, a process that typically takes around a year.</p><p>The case, which involved the largest-ever pay deal at a U.S. public company, raises issues that have rarely been addressed by Delaware judges, adding uncertainty to an appeal.</p><p>For example, the trial court judge, Chancellor Kathaleen McCormick, found that Musk controlled the compensation negotiations, even though he owned only about 22% of Tesla's stock.</p><p>In addition, Tesla has acknowledged that the June vote by shareholders to ratify Musk's pay was a "novel" legal tactic and has said it was unclear how it would be treated under Delaware law.</p><h2 id=\"id_741800313\" style=\"text-align: start;\">TESLA COULD DEVISE A NEW PLAN</h2><p>Tesla's board could craft a new pay package, although that could be very expensive.</p><p>The original plan, agreed to by Musk and the company in 2018, awarded him stock options if the company hit very aggressive performance and financial targets. The stock options allowed Musk to buy Tesla stock priced at the 2018 level. The company exceeded the targets, and Tesla's stock has risen 10-fold since then, making the options incredibly valuable.</p><p>Tesla booked a cost of $2.6 billion when the 2018 plan went into effect. The company has said that a replacement plan for the same cost today would likely have to be less than 10% of the size of the 2018 plan.</p><h2 id=\"id_3385019166\" style=\"text-align: start;\">COULD TESLA JUST RESTORE THE OLD PLAN?</h2><p>Tesla could offer Musk the same 304 million stock options with the same $23.34 exercise price used in the 2018 plan. If shareholders wanted to challenge that, they would have to sue in Texas, where the company reincorporated this year, rather than the Court of Chancery in Delaware.</p><p>But the company cannot escape accounting and tax implications.</p><p>Tesla said putting the old plan back in place would require the company to take a $25 billion charge, according to securities filings.</p><p>In addition, because the stock options would be incredibly valuable from the moment they are issued, they would be treated unfavorably for tax purposes as income. Musk could be taxed at the highest rate and pay a 20% penalty, meaning authorities could tax his new plan at 57%, according to an analysis by Schuyler Moore of Greenberg Glusker Fields Claman & Machtinger.</p><h2 id=\"id_1057819079\" style=\"text-align: start;\">MUSK COULD TRY TO SETTLE THE LAWSUIT</h2><p>Musk could try to settle the lawsuit, which was brought by a Tesla shareholder, and accept a smaller portion of his pay package. However, that would contradict his track record of taking cases to trial rather than striking deals, even in the face of huge potential liability. It is unclear how McCormick would view a settlement at this stage in the litigation.</p></body></html>\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"LU2602419157.SGD":"HSBC ISLAMIC GLOBAL EQUITY INDEX \"AC\" (SGD) ACC","BK4548":"巴美列捷福持仓","LU1551013425.SGD":"Allianz Income and Growth Cl AMg2 DIS H2-SGD","BK4598":"佩洛西持仓","LU2756315318.SGD":"ALLIANZ INCOME AND GROWTH \"AMG\" (SGDHDG) INC A","LU1629891620.HKD":"ALLIANZ INCOME AND GROWTH \"AMG2\" (H2-HKD) INC","LU0348723411.USD":"ALLIANZ GLOBAL HI-TECH GROWTH \"A\" (USD) INC","LU1861220033.SGD":"Blackrock Next Generation Technology A2 SGD-H","LU1720051108.HKD":"ALLIANZ GLOBAL ARTIFICIAL INTELLIGENCE \"AT\" (HKD) ACC","BK4592":"伊斯兰概念","LU2326559502.SGD":"Natixis Loomis Sayles US Growth Equity P/A SGD-H","LU1429558221.USD":"Natixis Loomis Sayles US Growth Equity RA USD","BK4534":"瑞士信贷持仓","LU0823411888.USD":"法巴消费创新基金 Cap","LU2213496289.HKD":"ALLIANZ INCOME AND GROWTH \"AT\" (HKD) ACC","LU0056508442.USD":"贝莱德世界科技基金A2","BK4533":"AQR资本管理(全球第二大对冲基金)","IE00B1XK9C88.USD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A\" (USD) ACC","LU0719512351.SGD":"JPMorgan Funds - US Technology A (acc) SGD","LU0234572021.USD":"高盛美国核心股票组合Acc","IE00BJLML261.HKD":"HSBC GLOBAL EQUITY INDEX \"HCH\" (HKD) ACC","LU2249611893.SGD":"BNP PARIBAS ENERGY TRANSITION \"CRH\" (SGD) ACC","LU0820561909.HKD":"ALLIANZ INCOME AND GROWTH \"AM\" (HKD) INC","LU0820562030.AUD":"ALLIANZ INCOME AND GROWTH \"AMH2\" (AUDHDG) H2 INC","LU2756315664.SGD":"ALLIANZ INCOME AND GROWTH \"AMI\" (SGDHDG) INC","LU2063271972.USD":"富兰克林创新领域基金","BK4588":"碎股","LU0082616367.USD":"摩根大通美国科技A(dist)","BK4550":"红杉资本持仓","LU0820561818.USD":"安联收益及增长平衡基金Cl AM DIS","LU0823414478.USD":"法巴经典能源转换基金","IE00BWXC8680.SGD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A5\" (SGD) ACC","SG9999015986.USD":"LIONGLOBAL DISRUPTIVE INNOVATION \"I\" (USD) ACC","LU1145028129.USD":"ALLIANZ INCOME AND GROWTH \"AQ\" (USD) INC","LU0466842654.USD":"HSBC ISLAMIC GLOBAL EQUITY INDEX \"A\" (USD) ACC","BK4574":"无人驾驶","LU0097036916.USD":"贝莱德美国增长A2 USD","SG9999015978.USD":"利安颠覆性创新基金A","LU2023250330.USD":"ALLIANZ INCOME AND GROWTH \"AMG\" (USD) INC","BK4551":"寇图资本持仓","LU0053666078.USD":"摩根大通基金-美国股票A(离岸)美元","LU0689472784.USD":"安联收益及增长基金Cl AM AT Acc","LU2087621335.USD":"ALLSPRING GLOBAL FACTOR ENHANCED EQUITY \"A\" (USD) ACC","LU0198837287.USD":"UBS (LUX) EQUITY SICAV - USA GROWTH \"P\" (USD) ACC","LU0316494557.USD":"FRANKLIN GLOBAL FUNDAMENTAL STRATEGIES \"A\" ACC","LU1861215975.USD":"贝莱德新一代科技基金 A2","LU1548497426.USD":"安联环球人工智能AT Acc","TSLA":"特斯拉","BK4099":"汽车制造商","BK4511":"特斯拉概念"},"source_url":"https://api.refinitiv.com/data/news/v1/stories/urn:newsml:reuters.com:20241203:nL1N3KL0VL:1","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"2488693392","content_text":"WILMINGTON, Delaware, Dec 2 (Reuters) - Tesla cannot give Elon Musk a $56 billion compensation package despite a vote in support of the CEO's pay deal by the company's shareholders, a Delaware judge ruled on Monday.Below is a look at what could come next for Tesla and its billionaire founder, who is still seeking a huge payday from the company:WHAT DOES MUSK WANT?Musk told a special committee of the Tesla board soon after a judge voided his compensation in January that he wanted a similar-sized replacement package, according to a securities filing.In addition, earlier this year he said on his social media platform X that he wanted a larger stake in Tesla or he might develop some products outside the company. Musk's other companies include rocket venture SpaceX and Neuralink, which develops brain implants.TESLA COULD APPEAL THE RULINGMusk and Tesla's board could appeal and try to reverse the ruling at the Delaware Supreme Court, a process that typically takes around a year.The case, which involved the largest-ever pay deal at a U.S. public company, raises issues that have rarely been addressed by Delaware judges, adding uncertainty to an appeal.For example, the trial court judge, Chancellor Kathaleen McCormick, found that Musk controlled the compensation negotiations, even though he owned only about 22% of Tesla's stock.In addition, Tesla has acknowledged that the June vote by shareholders to ratify Musk's pay was a \"novel\" legal tactic and has said it was unclear how it would be treated under Delaware law.TESLA COULD DEVISE A NEW PLANTesla's board could craft a new pay package, although that could be very expensive.The original plan, agreed to by Musk and the company in 2018, awarded him stock options if the company hit very aggressive performance and financial targets. The stock options allowed Musk to buy Tesla stock priced at the 2018 level. The company exceeded the targets, and Tesla's stock has risen 10-fold since then, making the options incredibly valuable.Tesla booked a cost of $2.6 billion when the 2018 plan went into effect. The company has said that a replacement plan for the same cost today would likely have to be less than 10% of the size of the 2018 plan.COULD TESLA JUST RESTORE THE OLD PLAN?Tesla could offer Musk the same 304 million stock options with the same $23.34 exercise price used in the 2018 plan. If shareholders wanted to challenge that, they would have to sue in Texas, where the company reincorporated this year, rather than the Court of Chancery in Delaware.But the company cannot escape accounting and tax implications.Tesla said putting the old plan back in place would require the company to take a $25 billion charge, according to securities filings.In addition, because the stock options would be incredibly valuable from the moment they are issued, they would be treated unfavorably for tax purposes as income. Musk could be taxed at the highest rate and pay a 20% penalty, meaning authorities could tax his new plan at 57%, according to an analysis by Schuyler Moore of Greenberg Glusker Fields Claman & Machtinger.MUSK COULD TRY TO SETTLE THE LAWSUITMusk could try to settle the lawsuit, which was brought by a Tesla shareholder, and accept a smaller portion of his pay package. However, that would contradict his track record of taking cases to trial rather than striking deals, even in the face of huge potential liability. It is unclear how McCormick would view a settlement at this stage in the litigation.","news_type":1},"isVote":1,"tweetType":1,"viewCount":184,"authorTweetTopStatus":1,"verified":2,"comments":[{"author":{"id":"3554184728100240","authorId":"3554184728100240","name":"T90","avatar":"https://static.tigerbbs.com/64a844af127318de6f06837e04004a86","crmLevel":7,"crmLevelSwitch":0,"idStr":"3554184728100240","authorIdStr":"3554184728100240"},"content":"Tesla will appeal further... and will succeed in the end...","text":"Tesla will appeal further... and will succeed in the end...","html":"Tesla will appeal further... and will succeed in the end..."}],"imageCount":0,"langContent":"EN","totalScore":0},{"id":377330251894912,"gmtCreate":1733150068739,"gmtModify":1733150072982,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"Time to fly again....","listText":"Time to fly again....","text":"Time to fly again....","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":4,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/377330251894912","repostId":"2488748126","repostType":2,"repost":{"id":"2488748126","kind":"live","pubTimestamp":1733148669,"share":"https://ttm.financial/m/news/2488748126?lang=&edition=fundamental","pubTime":"2024-12-02 22:11","market":"us","language":"en","title":"Super Micro to Name New CFO, Says No Evidence of Misconduct","url":"https://stock-news.laohu8.com/highlight/detail?id=2488748126","media":"Bloomberg","summary":"Super Micro Computer Inc. said an external review of its business by a special committee of its boar","content":"<html><head></head><body><p>Super Micro Computer Inc. said an external review of its business by a special committee of its board and external counsel found no evidence of wrongdoing and that the company will appoint new top financial leadership.</p><p>Super Micro shares surges 16% Premarket.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/4529c3ac787a5cd0f639ac27ac3fe60f\" title=\"\" tg-width=\"792\" tg-height=\"831\"/></p><p>The company is looking for a new chief financial officer, chief compliance officer, and general counsel, it said in a statement Monday. Kenneth Cheung, formerly vice president of finance, will be the company’s new chief accounting officer.</p><p style=\"text-align: start;\">Its been a tumultuous year for Super Micro. The maker of high-powered servers missed an August deadline to file its annual financial report and its auditor, Ernst & Young LLP, resigned in October, citing concerns about the company’s governance and transparency. Super Micro is also facing a US Department of Justice probe following a damaging report from short seller Hindenburg Research.</p><p style=\"text-align: start;\">The review was completed by a special committee of its board alongside more than 50 attorneys from law firm Cooley LLP and a team from forensic accounting firm Secretariat Advisors, Super Micro said in the statement.</p></body></html>","source":"lsy1584095487587","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Super Micro to Name New CFO, Says No Evidence of Misconduct</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nSuper Micro to Name New CFO, Says No Evidence of Misconduct\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-12-02 22:11 GMT+8 <a href=https://www.bloomberg.com/news/articles/2024-12-02/super-micro-special-committee-finds-no-evidence-of-misconduct><strong>Bloomberg</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Super Micro Computer Inc. said an external review of its business by a special committee of its board and external counsel found no evidence of wrongdoing and that the company will appoint new top ...</p>\n\n<a href=\"https://www.bloomberg.com/news/articles/2024-12-02/super-micro-special-committee-finds-no-evidence-of-misconduct\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"BK4585":"ETF&股票定投概念","LU1861215975.USD":"贝莱德新一代科技基金 A2","BK4588":"碎股","LU0053671581.USD":"摩根大通美国小盘成长股 A(dist)","LU1861220033.SGD":"Blackrock Next Generation Technology A2 SGD-H","SMCI":"超微电脑","BK4170":"电脑硬件、储存设备及电脑周边"},"source_url":"https://www.bloomberg.com/news/articles/2024-12-02/super-micro-special-committee-finds-no-evidence-of-misconduct","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"2488748126","content_text":"Super Micro Computer Inc. said an external review of its business by a special committee of its board and external counsel found no evidence of wrongdoing and that the company will appoint new top financial leadership.Super Micro shares surges 16% Premarket.The company is looking for a new chief financial officer, chief compliance officer, and general counsel, it said in a statement Monday. Kenneth Cheung, formerly vice president of finance, will be the company’s new chief accounting officer.Its been a tumultuous year for Super Micro. The maker of high-powered servers missed an August deadline to file its annual financial report and its auditor, Ernst & Young LLP, resigned in October, citing concerns about the company’s governance and transparency. Super Micro is also facing a US Department of Justice probe following a damaging report from short seller Hindenburg Research.The review was completed by a special committee of its board alongside more than 50 attorneys from law firm Cooley LLP and a team from forensic accounting firm Secretariat Advisors, Super Micro said in the statement.","news_type":1},"isVote":1,"tweetType":1,"viewCount":27,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":376496861188152,"gmtCreate":1732960931788,"gmtModify":1732960935866,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"You double , I triple ","listText":"You double , I triple ","text":"You double , I triple","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":4,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/376496861188152","repostId":"1154285819","repostType":2,"repost":{"id":"1154285819","kind":"news","pubTimestamp":1732935600,"share":"https://ttm.financial/m/news/1154285819?lang=&edition=fundamental","pubTime":"2024-11-30 11:00","market":"us","language":"en","title":"Nvidia: Why I Am Doubling Down On The Drop","url":"https://stock-news.laohu8.com/highlight/detail?id=1154285819","media":"Seeking Alpha","summary":"SummaryNvidia's 1Q25 earnings beat expectations, but investor fatigue led to a muted stock response, creating a buying opportunity for long-term investors.NVDA's sales nearly doubled YoY, driven by st","content":"<html><head></head><body><h2 id=\"id_1979329205\">Summary</h2><ul style=\"\"><li><p>Nvidia's 1Q25 earnings beat expectations, but investor fatigue led to a muted stock response, creating a buying opportunity for long-term investors.</p></li><li><p>NVDA's sales nearly doubled YoY, driven by strong data center GPU demand, with profits growing even faster than sales.</p></li><li><p>The upcoming Blackwell-themed data center GPU launch in Q4 is expected to be a significant catalyst for Nvidia's sales and profit growth in 2025.</p></li><li><p>Despite a slight deceleration in sales growth, the Company's long-term prospects remain strong, supported by robust demand for AI-capable GPUs and high gross margins.</p></li></ul><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/966eb37394e6456ae039ecc808cbe3c0\" alt=\"BING-JHEN HONG\" title=\"BING-JHEN HONG\" tg-width=\"750\" tg-height=\"500\"/><span>BING-JHEN HONG</span></p><p>Earnings for <strong>Nvidia Corp. (NASDAQ:NVDA)</strong> beat investor's expectations with respect to sales and profits, yet the market didn't really respond as favorably to the company's earnings as it used to in the past. This, in my view, could indicate some short-term fatigue with regard to Nvidia's performance, which I think sets investors up for a doubling-down opportunity.</p><p>Nvidia's sales almost doubled YoY in the last quarter, and the GPU pioneer is still seeing a substantial scaling up of profits.</p><p>Nvidia's Blackwell-themed data center GPU is poised for release in the fourth quarter, which should boost the company's sales moving forward and which could provide a much-needed catalyst for Nvidia's stock.</p><p>In my view, the recent dip is a buying opportunity for long-term investors and I think that with Blackwell sales data soon going to be available, investors will rekindle their love affair with Nvidia.</p><h2 id=\"id_2547530644\">My Rating History</h2><p>My bullish view on Nvidia was underscored by a slew of factors including strong sales growth, high gross margins as well as the potential for GPU upscaling, which is the idea that the data center of the future will include substantially more GPUs within each cluster (possibly millions). This presents the GPU pioneer with a catalyst for sales and profit growth at the GPU pioneer.</p><p>Even though Nvidia's business is slowing down a bit, the potential to add substantial sales with regard to Blackwell makes the stock a 'Buy'.</p><h2 id=\"id_1619913988\">Nvidia's 1Q25: Strong Profit Growth, Upcoming Blackwell Launch Is A Catalyst</h2><p>The primary driver of Nvidia's outperformance once again was the data center industry, which is ripping GPUs out of Nvidia's hands as soon as they become available.</p><p>The unfolding revolution in AI, sustained by billions of dollars in investments in large-language models for which Nvidia's GPUs are needed, is turning out to be sustained growth catalyst for the GPU company: In 1Q25, Nvidia's sales skyrocketed 94% YoY to $35.1 billion, a quarterly record that has never been achieved before in the company's history.</p><p>The surge in sales is related primarily to Nvidia's GPUs that are delivered to data centers. This segment produced a whopping $30.8 billion in sales in 1Q25, 88% of the total, and up 112% YoY, reflecting the fastest growth in any of Nvidia's segments. Sales in the prior quarter were up 122% whereas data center sales climbed 154% YoY in 2Q25.</p><p>Unfortunately, Nvidia's sales have thus decelerated a bit, which may be one explanatory reason why investors have not reacted as positively as they used to in prior quarters.</p><p>With that said, it is noteworthy that Nvidia's profits are growing faster than its sales: Its total sales rose 94% in 1Q25 while its profits, on a per share basis, went up 111% YoY.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/2699a13e4d5c670c2564ab022359ddcb\" alt=\"Q3 Fiscal 2025 Summary (Nvidia Corp.)\" title=\"Q3 Fiscal 2025 Summary (Nvidia Corp.)\" tg-width=\"640\" tg-height=\"240\"/><span>Q3 Fiscal 2025 Summary (Nvidia Corp.)</span></p><p>Nvidia's gross margins, on a GAAP level, presently amount to 75% and edged lower only slightly QoQ, by 0.5 percentage points. Margins are a key indicator of pricing strength for Nvidia, and I anticipate that the shipment ramp of Blackwell GB200 AI servers will have a positive impact on Nvidia's margins in 2025.</p><p>GPU-accelerated computing is obviously providing a big revenue upscaling opportunity for Nvidia and though the GPU company suffered a bit of a deceleration in terms of its sales growth, I am generally bullish on Nvidia's potential for Blackwell chip sales.</p><p>The U.S. data center GPU market is expanding, and this growth is both persistent and accelerating, which is where Nvidia's Blackwell chip comes in: Blackwell is set to ship in the fourth calendar quarter with sales and shipments anticipated to scale up quickly in the first calendar quarter of 2025.</p><p>I anticipate that Nvidia could distribute 2 million Blackwell chips in 2025 (about 500K per quarter) which is poised to yield billions of dollars in incremental sales.</p><p>The company's CEO said earlier this year that he expects to sell the chip to data centers for $30-40K a piece, which would equate to $60-80 billion in incremental sales that Blackwell alone could contribute to Nvidia's bank accounts next year. Some of these sales, however, replace existing H100 sales, which are Nvidia's main GPU product so far.</p><p>With that said, Nvidia is poised to see a considerable boost in its sales and profits in 2025 and though investors have been well aware of this, the company's stock price has shown a lackluster response to Nvidia's earnings. This, on the flip side, creates a buying opportunity.</p><h2 id=\"id_2176249581\">Technical Chart Situation</h2><p>Nvidia's stock hardly reacted to the company's 1Q25 earnings a week ago, which could possibly indicate higher levels of investor fatigue when it comes to semiconductor companies. Nvidia's stock, technically speaking, is in fairly neutral territory, with the Relative Strength Index showcasing a value of 43.5 which makes NVDA neither overbought nor oversold.</p><p>NVDA, most recently, fell through both the 20-day and 50-day moving average trend lines, which creates a bit of bearish pressure for the stock in the short term, and I would not be surprised to see Nvidia fall towards 111.73 which is where the 200-day moving average line presently sits. This level should provide considerable support, however, and I would consider doubling down at this price level.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/f3c6929b7c518d320952fbd996a7bce6\" alt=\"Moving Averages (Stockcharts.com)\" title=\"Moving Averages (Stockcharts.com)\" tg-width=\"640\" tg-height=\"429\"/><span>Moving Averages (Stockcharts.com)</span></p><h2 id=\"id_1673770245\">How Cheap Is Nvidia?</h2><p>The market models $2.95 per share in profits for Nvidia in 2024, which reflects 127% profit growth YoY. In terms of sales, the market anticipates $129.1B which reflects sales growth YoY of 112%, so Nvidia is projected to continue to grow its profits at a quicker pace than its sales.</p><p>Since Nvidia's stock is presently changing hands for $136, the valuation implies a 2024 profit multiple of 46x. With profits again anticipated to grow 50% next year, the leading 2025 profit multiple decreases to 31x.</p><p><strong>Advanced Micro Devices, Inc. (AMD)</strong> is selling for profit multiples of 41x (2024) and 27x (2025) and I just explained why AMD is a gift at its present price. I think that Nvidia is not necessarily cheap here with a leading profit multiple of 31x, but the semiconductor company has rarely been a real bargain.</p><p>Nvidia's stock is also considerable more expensive than Advanced Micro Devices, but AMD does not have a Blackwell chip, which, according to Nvidia, is already sold out.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/130621f85f0ca690125b7eb233fa73af\" alt=\"Earnings Estimate (Yahoo Finance)\" title=\"Earnings Estimate (Yahoo Finance)\" tg-width=\"640\" tg-height=\"195\"/><span>Earnings Estimate (Yahoo Finance)</span></p><h2 id=\"id_1380281184\">Why The Investment Thesis Might Be Wrong</h2><p>The investment thesis hinges primarily on the assumption that demand for GPUs will remain sky-high, and that companies will continue to allocate large chunks of their capital budgets to the purchase of AI-capable GPUs.</p><p>If those companies, which are mostly the biggest tech companies in the world, like Microsoft and Google, fail to achieve an adequate ROI on their investments, we could possibly see a retracement in spending on GPUs. Such a retracement could do considerable damage to Nvidia's margins and valuation.</p><h2 id=\"id_1872216251\">My Conclusion</h2><p>Nvidia's 1Q25 earnings were great on a variety of fronts, but investors seem to display some kind of fatigue, which translates into lackluster interest in the semiconductor company despite robust results.</p><p>Nvidia did well in terms of sales, gross margins and profits, and the earnings presentation painted the picture of a company that is moving forward on all fronts, particularly in data centers. Nvidia's profit growth is something that I was particularly impressed by, as its profits grew even quicker than its sales. Nvidia is seeing a deceleration of its sales growth right now, which might explain why Nvidia's stock dipped after earnings.</p><p>With that said, the long-term trajectory of Nvidia favors the company greatly and with the Blackwell GB200 AI servers shipping in the fourth quarter, I think Nvidia has a catalyst for sales and profit growth in 2025 that the market ultimately will want to reward.</p></body></html>","source":"lsy1728464409321","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Nvidia: Why I Am Doubling Down On The Drop</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNvidia: Why I Am Doubling Down On The Drop\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-11-30 11:00 GMT+8 <a href=https://seekingalpha.com/article/4741066-nvidia-stock-why-doubling-down-on-drop><strong>Seeking Alpha</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>SummaryNvidia's 1Q25 earnings beat expectations, but investor fatigue led to a muted stock response, creating a buying opportunity for long-term investors.NVDA's sales nearly doubled YoY, driven by ...</p>\n\n<a href=\"https://seekingalpha.com/article/4741066-nvidia-stock-why-doubling-down-on-drop\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"NVDA":"英伟达"},"source_url":"https://seekingalpha.com/article/4741066-nvidia-stock-why-doubling-down-on-drop","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"1154285819","content_text":"SummaryNvidia's 1Q25 earnings beat expectations, but investor fatigue led to a muted stock response, creating a buying opportunity for long-term investors.NVDA's sales nearly doubled YoY, driven by strong data center GPU demand, with profits growing even faster than sales.The upcoming Blackwell-themed data center GPU launch in Q4 is expected to be a significant catalyst for Nvidia's sales and profit growth in 2025.Despite a slight deceleration in sales growth, the Company's long-term prospects remain strong, supported by robust demand for AI-capable GPUs and high gross margins.BING-JHEN HONGEarnings for Nvidia Corp. (NASDAQ:NVDA) beat investor's expectations with respect to sales and profits, yet the market didn't really respond as favorably to the company's earnings as it used to in the past. This, in my view, could indicate some short-term fatigue with regard to Nvidia's performance, which I think sets investors up for a doubling-down opportunity.Nvidia's sales almost doubled YoY in the last quarter, and the GPU pioneer is still seeing a substantial scaling up of profits.Nvidia's Blackwell-themed data center GPU is poised for release in the fourth quarter, which should boost the company's sales moving forward and which could provide a much-needed catalyst for Nvidia's stock.In my view, the recent dip is a buying opportunity for long-term investors and I think that with Blackwell sales data soon going to be available, investors will rekindle their love affair with Nvidia.My Rating HistoryMy bullish view on Nvidia was underscored by a slew of factors including strong sales growth, high gross margins as well as the potential for GPU upscaling, which is the idea that the data center of the future will include substantially more GPUs within each cluster (possibly millions). This presents the GPU pioneer with a catalyst for sales and profit growth at the GPU pioneer.Even though Nvidia's business is slowing down a bit, the potential to add substantial sales with regard to Blackwell makes the stock a 'Buy'.Nvidia's 1Q25: Strong Profit Growth, Upcoming Blackwell Launch Is A CatalystThe primary driver of Nvidia's outperformance once again was the data center industry, which is ripping GPUs out of Nvidia's hands as soon as they become available.The unfolding revolution in AI, sustained by billions of dollars in investments in large-language models for which Nvidia's GPUs are needed, is turning out to be sustained growth catalyst for the GPU company: In 1Q25, Nvidia's sales skyrocketed 94% YoY to $35.1 billion, a quarterly record that has never been achieved before in the company's history.The surge in sales is related primarily to Nvidia's GPUs that are delivered to data centers. This segment produced a whopping $30.8 billion in sales in 1Q25, 88% of the total, and up 112% YoY, reflecting the fastest growth in any of Nvidia's segments. Sales in the prior quarter were up 122% whereas data center sales climbed 154% YoY in 2Q25.Unfortunately, Nvidia's sales have thus decelerated a bit, which may be one explanatory reason why investors have not reacted as positively as they used to in prior quarters.With that said, it is noteworthy that Nvidia's profits are growing faster than its sales: Its total sales rose 94% in 1Q25 while its profits, on a per share basis, went up 111% YoY.Q3 Fiscal 2025 Summary (Nvidia Corp.)Nvidia's gross margins, on a GAAP level, presently amount to 75% and edged lower only slightly QoQ, by 0.5 percentage points. Margins are a key indicator of pricing strength for Nvidia, and I anticipate that the shipment ramp of Blackwell GB200 AI servers will have a positive impact on Nvidia's margins in 2025.GPU-accelerated computing is obviously providing a big revenue upscaling opportunity for Nvidia and though the GPU company suffered a bit of a deceleration in terms of its sales growth, I am generally bullish on Nvidia's potential for Blackwell chip sales.The U.S. data center GPU market is expanding, and this growth is both persistent and accelerating, which is where Nvidia's Blackwell chip comes in: Blackwell is set to ship in the fourth calendar quarter with sales and shipments anticipated to scale up quickly in the first calendar quarter of 2025.I anticipate that Nvidia could distribute 2 million Blackwell chips in 2025 (about 500K per quarter) which is poised to yield billions of dollars in incremental sales.The company's CEO said earlier this year that he expects to sell the chip to data centers for $30-40K a piece, which would equate to $60-80 billion in incremental sales that Blackwell alone could contribute to Nvidia's bank accounts next year. Some of these sales, however, replace existing H100 sales, which are Nvidia's main GPU product so far.With that said, Nvidia is poised to see a considerable boost in its sales and profits in 2025 and though investors have been well aware of this, the company's stock price has shown a lackluster response to Nvidia's earnings. This, on the flip side, creates a buying opportunity.Technical Chart SituationNvidia's stock hardly reacted to the company's 1Q25 earnings a week ago, which could possibly indicate higher levels of investor fatigue when it comes to semiconductor companies. Nvidia's stock, technically speaking, is in fairly neutral territory, with the Relative Strength Index showcasing a value of 43.5 which makes NVDA neither overbought nor oversold.NVDA, most recently, fell through both the 20-day and 50-day moving average trend lines, which creates a bit of bearish pressure for the stock in the short term, and I would not be surprised to see Nvidia fall towards 111.73 which is where the 200-day moving average line presently sits. This level should provide considerable support, however, and I would consider doubling down at this price level.Moving Averages (Stockcharts.com)How Cheap Is Nvidia?The market models $2.95 per share in profits for Nvidia in 2024, which reflects 127% profit growth YoY. In terms of sales, the market anticipates $129.1B which reflects sales growth YoY of 112%, so Nvidia is projected to continue to grow its profits at a quicker pace than its sales.Since Nvidia's stock is presently changing hands for $136, the valuation implies a 2024 profit multiple of 46x. With profits again anticipated to grow 50% next year, the leading 2025 profit multiple decreases to 31x.Advanced Micro Devices, Inc. (AMD) is selling for profit multiples of 41x (2024) and 27x (2025) and I just explained why AMD is a gift at its present price. I think that Nvidia is not necessarily cheap here with a leading profit multiple of 31x, but the semiconductor company has rarely been a real bargain.Nvidia's stock is also considerable more expensive than Advanced Micro Devices, but AMD does not have a Blackwell chip, which, according to Nvidia, is already sold out.Earnings Estimate (Yahoo Finance)Why The Investment Thesis Might Be WrongThe investment thesis hinges primarily on the assumption that demand for GPUs will remain sky-high, and that companies will continue to allocate large chunks of their capital budgets to the purchase of AI-capable GPUs.If those companies, which are mostly the biggest tech companies in the world, like Microsoft and Google, fail to achieve an adequate ROI on their investments, we could possibly see a retracement in spending on GPUs. Such a retracement could do considerable damage to Nvidia's margins and valuation.My ConclusionNvidia's 1Q25 earnings were great on a variety of fronts, but investors seem to display some kind of fatigue, which translates into lackluster interest in the semiconductor company despite robust results.Nvidia did well in terms of sales, gross margins and profits, and the earnings presentation painted the picture of a company that is moving forward on all fronts, particularly in data centers. Nvidia's profit growth is something that I was particularly impressed by, as its profits grew even quicker than its sales. Nvidia is seeing a deceleration of its sales growth right now, which might explain why Nvidia's stock dipped after earnings.With that said, the long-term trajectory of Nvidia favors the company greatly and with the Blackwell GB200 AI servers shipping in the fourth quarter, I think Nvidia has a catalyst for sales and profit growth in 2025 that the market ultimately will want to reward.","news_type":1},"isVote":1,"tweetType":1,"viewCount":45,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":370950969823600,"gmtCreate":1731603359102,"gmtModify":1731603364373,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"That's the spirit [Strong] Fa Da Cai [Eye] ","listText":"That's the spirit [Strong] Fa Da Cai [Eye] ","text":"That's the spirit [Strong] Fa Da Cai [Eye]","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/370950969823600","repostId":"1165124291","repostType":2,"repost":{"id":"1165124291","kind":"news","pubTimestamp":1731599503,"share":"https://ttm.financial/m/news/1165124291?lang=&edition=fundamental","pubTime":"2024-11-14 23:51","market":"us","language":"en","title":"Super Micro Computer: I Am Greedy While Others Are Fearful","url":"https://stock-news.laohu8.com/highlight/detail?id=1165124291","media":"Seeking Alpha","summary":"SummarySuper Micro Computer is significantly undervalued due to highly likely exaggerated fears of accounting manipulations and the reported DOJ investigation, presenting a strong buying opportunity.D","content":"<html><head></head><body><h2 id=\"id_1975904538\">Summary</h2><ul style=\"\"><li><p>Super Micro Computer is significantly undervalued due to highly likely exaggerated fears of accounting manipulations and the reported DOJ investigation, presenting a strong buying opportunity.</p></li><li><p>Despite reputational challenges, SMCI's partnerships with NVIDIA and AMD affirm its credibility and operational integrity, bolstering confidence in its financial reports.</p></li><li><p>Preliminary FQ1 2025 results show robust revenue growth and improved margins, driven by strong AI GPU platform demand, indicating solid business fundamentals.</p></li><li><p>Valuation analysis suggests a fair share price of $90, highlighting substantial upside potential from current levels, making SMCI a compelling opportunity.</p></li></ul><p></p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/e678235f3d3a4c30f6900e649543eed9\" alt=\"Supermicro headquarters in San Jose, California, USA\" title=\"Supermicro headquarters in San Jose, California, USA\" tg-width=\"750\" tg-height=\"500\"/><span>Supermicro headquarters in San Jose, California, USA</span></p><h2 id=\"id_392237773\">Introduction</h2><p>Super Micro Computer (NASDAQ:SMCI) is still dropping, and is five times cheaper than its March 2024 peak. The company is still generating exponential revenue growth and increasing EPS. However, the stock price suggests that concerns about SMCI's accounting inaccuracy overshadow robust business expansion.</p><p>I am not happy that the stock plunged by 63% since my August bullish call, as I have skin in the game. I have been buying aggressively since the stock started tanking in late August, meaning that I have a substantial SMCI position. I also worry about the recent auditor resignation and there is a lot of uncertainty in the FY2024 10-K report release timing. Yet, the stock is so cheap that it provides an excellent opportunity to double down. The preliminary earnings for the latest quarter were released a week ago. It is very hard to imagine that the management would risk presenting an unfair view of SMCI's financial performance, given the panic around the stock and the reported DOJ investigation.</p><p>The deeply low 14-day RSI reading shows how very spooked the market is over SMCI. This makes me greedy. I tend to believe that allegations of accounting manipulations are exaggerated. Therefore, I still consider SMCI a 'Strong Buy'.</p><h2 id=\"id_3077953962\">Fundamental analysis</h2><p>SMCI has recently encountered several significant reputational challenges. This began with a late-August opinions from some analysts that questioned the trustworthiness of SMCI's financial statements and the management's integrity. The company then failed to file its 10-K report on time, and there are reports of a DOJ investigation regarding allegations around accounting manipulations. As a result of all these adverse events, the stock price decreased by more than 60% since late August.</p><p>The company has recently released its FQ1 2025 preliminary results and FQ2 2025 guidance, with robust revenue and EPS growth. I tend to trust in the accuracy of this release, despite the aforementioned allegations. There are two big reasons for such confidence.</p><p>The first is that it is hard to imagine that a company under public pressure and scrutiny would manipulate its financials. Second, no major semiconductor companies have separated from SMCI and continue to call SMCI their partner. It has been rumored that Nvidia is taking orders away from SMCI, but I tend to go with what the companies say on their website.</p><p>On October 15, Nvidia announced a new partnership with SMCI. The expanded collaboration highlights the integration of Nvidia's BlueField data processing unit ('DPU') into SMCI's storage solutions. This factor highlights Nvidia's confidence in SMCI's trustworthiness. Furthermore, a presentation endorsing SMCI is still available on AMD's official website. I might be missing something, but Nvidia and AMD appear to be companies with flawless reputations. Thus, it is highly unlikely that Jensen Huang or Lisa Su would risk their reputations by supporting collaboration with a company with questionable integrity or operational practices. There is also a separate page on Intel's website dedicated to endorse SMCI's offerings.</p><p></p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/e915ca85bac0b07cb94d9f717e09bebb\" alt=\"SA\" title=\"SA\" tg-width=\"617\" tg-height=\"311\"/><span>SA</span></p><p></p><p>Therefore, I consider the preliminary earnings announcement as trustworthy. According to preliminary results, revenue for FQ1 ranged from $5.9 billion to $6 billion, representing an 181% year-over-year increase. The growth was primarily driven by strong demand for AI GPU platforms. SMCI's non-GAAP gross margin has improved quarter-over-quarter from 11.3% to 13.3%. The profitability expansion was powered by favorable shifts in the product and customer mix.</p><p>The FQ2 guidance also looks robust, with the projected range from $5.5 billion to $6.1 billion. The $5.8 billion midpoint level is 58% higher compared to the same quarter of FY2024. The guidance fell short of Wall Street expectations, but this looks explainable, as the management cites low Blackwell GPU availability due to high demand. So, the problem looks temporary.</p><p>Secular trends are still strong as cloud giants look unwilling to cool down their data center spending spree. Amazon plans to invest another billion+ in Italian data centers and has recently bought 350 acres for data center in Becker. Google's plans to invest much more in data centers over the long term are apparent after the company announced that it is buying nuclear reactors to meet the energy demand of its current and future data centers. Microsoft also recognizes the potential for data center expansion and is already incorporating sustainable solutions to minimize its environmental footprint. Thus, the industry is thriving and evolving rapidly, providing a strong tailwind for SMCI.</p><p></p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/c88485771692e0f540617907c77cd416\" alt=\"\" title=\"\" tg-width=\"635\" tg-height=\"424\"/></p><p></p><p>The stock is significantly oversold, with its 14-day RSI indicator at a historically low level of 27. While the market seems extremely fearful about SMCI, I prefer to set emotions aside. The world's largest semiconductor companies, which undoubtedly value their reputations, continue to work closely with SMCI, suggesting that the allegations are likely overestimated. Furthermore, the company is already under significant public pressure and scrutiny, making accounting manipulations around the latest preliminary quarterly earnings release extremely unlikely.</p><h2 id=\"id_1000083254\">Valuation analysis</h2><p>As I mentioned, the stock is now significantly cheaper than it was in late August, and such a plunge is explained by fears of the market regarding accounting manipulation allegations. However, since I outlined why I believe that these fears are highly likely exaggerated, I plan to rely on long-term consensus revenue projections to build my DCF model. The zero FCF margin for the base year reflects the company's aggressive CapEx spending to address soaring demand. For the years after FY2025, I reiterate the same trajectory of the metric expanding by 200 basis points yearly. To balance out an aggressive FCF margin assumption, I use a very conservative 2% constant growth rate to calculate terminal value ('TV'). I use an 8% WACC to discount future cash flows.</p><p></p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/ad7a5df190b39226ec84be40cfeb92e3\" alt=\"Calculated by the author\" title=\"Calculated by the author\" tg-width=\"640\" tg-height=\"296\"/><span>Calculated by the author</span></p><p></p><p>The first simulation indicates a fair share price of approximately $90, which is almost four times higher compared to the current share price. Thus, fears around the stock made it extremely cheap.</p><p>The fair value estimation approaches the current share price only if unrealistically pessimistic assumptions are incorporated. The fair share price is around $23 when I apply a 1% constant growth rate and a very low 3% revenue CAGR for the next five years, with the FCF margin expanding by only 100 basis points annually.</p><p></p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/eac69b7345c3cdf59226b894d21ac6c7\" alt=\"Calculated by the author\" title=\"Calculated by the author\" tg-width=\"640\" tg-height=\"294\"/><span>Calculated by the author</span></p><p></p><p>With that said, I believe SMCI is very attractively valued. My target price is $90 per share, which is close to mid-summer 2024 levels, making such upside potential realistic.</p><h2 id=\"id_1906077690\">Mitigating factors</h2><p>Official communication is crucial in emergency cases threatening the image of a business, such as those experienced by SMCI over the last few months. In my opinion, the management could have handled the situation in a smoother way. As a result, it seems that the stock crash would not have been as bad. There is still no indication of when the company’s FY2024 10-K report will be published, which creates room for possible new bad-looking headlines. This might just set off another bearish market wave if the communication approach between the management and investors remains the same.</p><p>Additionally, the past precedent of delisting in 2019 due to accounting issues remains a concern. According to the official information from SMCI, the management is still unable to share the expected date of the 10-K filing, which increases risks of failing to comply with Nasdaq listing rules. However, I believe that the company's efforts to engage a new auditor will mitigate the risk. The completion of the Special Committee's investigation, which found no evidence of fraud or misconduct, is a positive step towards resolving this adverse situation.</p><h2 id=\"id_3728447271\">Conclusion</h2><p>As an investor, I prefer to set emotions aside and focus on the facts. A company that has faces intense public scrutiny is almost certainly not going to play along with its accounting books. This factor makes the recent preliminary FQ1 2025 earnings release is a reliable informational tool. I am also extremely skeptical that Nvidia, AMD, or Intel would continue supporting SMCI as a crucial technological partner if there was really something wrong with it.</p></body></html>","source":"seekingalpha_fund","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Super Micro Computer: I Am Greedy While Others Are Fearful</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nSuper Micro Computer: I Am Greedy While Others Are Fearful\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-11-14 23:51 GMT+8 <a href=https://seekingalpha.com/article/4736805-super-micro-computer-stock-substantial-upside-potential-compelling-opportunity><strong>Seeking Alpha</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>SummarySuper Micro Computer is significantly undervalued due to highly likely exaggerated fears of accounting manipulations and the reported DOJ investigation, presenting a strong buying opportunity....</p>\n\n<a href=\"https://seekingalpha.com/article/4736805-super-micro-computer-stock-substantial-upside-potential-compelling-opportunity\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"SMCI":"超微电脑"},"source_url":"https://seekingalpha.com/article/4736805-super-micro-computer-stock-substantial-upside-potential-compelling-opportunity","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"1165124291","content_text":"SummarySuper Micro Computer is significantly undervalued due to highly likely exaggerated fears of accounting manipulations and the reported DOJ investigation, presenting a strong buying opportunity.Despite reputational challenges, SMCI's partnerships with NVIDIA and AMD affirm its credibility and operational integrity, bolstering confidence in its financial reports.Preliminary FQ1 2025 results show robust revenue growth and improved margins, driven by strong AI GPU platform demand, indicating solid business fundamentals.Valuation analysis suggests a fair share price of $90, highlighting substantial upside potential from current levels, making SMCI a compelling opportunity.Supermicro headquarters in San Jose, California, USAIntroductionSuper Micro Computer (NASDAQ:SMCI) is still dropping, and is five times cheaper than its March 2024 peak. The company is still generating exponential revenue growth and increasing EPS. However, the stock price suggests that concerns about SMCI's accounting inaccuracy overshadow robust business expansion.I am not happy that the stock plunged by 63% since my August bullish call, as I have skin in the game. I have been buying aggressively since the stock started tanking in late August, meaning that I have a substantial SMCI position. I also worry about the recent auditor resignation and there is a lot of uncertainty in the FY2024 10-K report release timing. Yet, the stock is so cheap that it provides an excellent opportunity to double down. The preliminary earnings for the latest quarter were released a week ago. It is very hard to imagine that the management would risk presenting an unfair view of SMCI's financial performance, given the panic around the stock and the reported DOJ investigation.The deeply low 14-day RSI reading shows how very spooked the market is over SMCI. This makes me greedy. I tend to believe that allegations of accounting manipulations are exaggerated. Therefore, I still consider SMCI a 'Strong Buy'.Fundamental analysisSMCI has recently encountered several significant reputational challenges. This began with a late-August opinions from some analysts that questioned the trustworthiness of SMCI's financial statements and the management's integrity. The company then failed to file its 10-K report on time, and there are reports of a DOJ investigation regarding allegations around accounting manipulations. As a result of all these adverse events, the stock price decreased by more than 60% since late August.The company has recently released its FQ1 2025 preliminary results and FQ2 2025 guidance, with robust revenue and EPS growth. I tend to trust in the accuracy of this release, despite the aforementioned allegations. There are two big reasons for such confidence.The first is that it is hard to imagine that a company under public pressure and scrutiny would manipulate its financials. Second, no major semiconductor companies have separated from SMCI and continue to call SMCI their partner. It has been rumored that Nvidia is taking orders away from SMCI, but I tend to go with what the companies say on their website.On October 15, Nvidia announced a new partnership with SMCI. The expanded collaboration highlights the integration of Nvidia's BlueField data processing unit ('DPU') into SMCI's storage solutions. This factor highlights Nvidia's confidence in SMCI's trustworthiness. Furthermore, a presentation endorsing SMCI is still available on AMD's official website. I might be missing something, but Nvidia and AMD appear to be companies with flawless reputations. Thus, it is highly unlikely that Jensen Huang or Lisa Su would risk their reputations by supporting collaboration with a company with questionable integrity or operational practices. There is also a separate page on Intel's website dedicated to endorse SMCI's offerings.SATherefore, I consider the preliminary earnings announcement as trustworthy. According to preliminary results, revenue for FQ1 ranged from $5.9 billion to $6 billion, representing an 181% year-over-year increase. The growth was primarily driven by strong demand for AI GPU platforms. SMCI's non-GAAP gross margin has improved quarter-over-quarter from 11.3% to 13.3%. The profitability expansion was powered by favorable shifts in the product and customer mix.The FQ2 guidance also looks robust, with the projected range from $5.5 billion to $6.1 billion. The $5.8 billion midpoint level is 58% higher compared to the same quarter of FY2024. The guidance fell short of Wall Street expectations, but this looks explainable, as the management cites low Blackwell GPU availability due to high demand. So, the problem looks temporary.Secular trends are still strong as cloud giants look unwilling to cool down their data center spending spree. Amazon plans to invest another billion+ in Italian data centers and has recently bought 350 acres for data center in Becker. Google's plans to invest much more in data centers over the long term are apparent after the company announced that it is buying nuclear reactors to meet the energy demand of its current and future data centers. Microsoft also recognizes the potential for data center expansion and is already incorporating sustainable solutions to minimize its environmental footprint. Thus, the industry is thriving and evolving rapidly, providing a strong tailwind for SMCI.The stock is significantly oversold, with its 14-day RSI indicator at a historically low level of 27. While the market seems extremely fearful about SMCI, I prefer to set emotions aside. The world's largest semiconductor companies, which undoubtedly value their reputations, continue to work closely with SMCI, suggesting that the allegations are likely overestimated. Furthermore, the company is already under significant public pressure and scrutiny, making accounting manipulations around the latest preliminary quarterly earnings release extremely unlikely.Valuation analysisAs I mentioned, the stock is now significantly cheaper than it was in late August, and such a plunge is explained by fears of the market regarding accounting manipulation allegations. However, since I outlined why I believe that these fears are highly likely exaggerated, I plan to rely on long-term consensus revenue projections to build my DCF model. The zero FCF margin for the base year reflects the company's aggressive CapEx spending to address soaring demand. For the years after FY2025, I reiterate the same trajectory of the metric expanding by 200 basis points yearly. To balance out an aggressive FCF margin assumption, I use a very conservative 2% constant growth rate to calculate terminal value ('TV'). I use an 8% WACC to discount future cash flows.Calculated by the authorThe first simulation indicates a fair share price of approximately $90, which is almost four times higher compared to the current share price. Thus, fears around the stock made it extremely cheap.The fair value estimation approaches the current share price only if unrealistically pessimistic assumptions are incorporated. The fair share price is around $23 when I apply a 1% constant growth rate and a very low 3% revenue CAGR for the next five years, with the FCF margin expanding by only 100 basis points annually.Calculated by the authorWith that said, I believe SMCI is very attractively valued. My target price is $90 per share, which is close to mid-summer 2024 levels, making such upside potential realistic.Mitigating factorsOfficial communication is crucial in emergency cases threatening the image of a business, such as those experienced by SMCI over the last few months. In my opinion, the management could have handled the situation in a smoother way. As a result, it seems that the stock crash would not have been as bad. There is still no indication of when the company’s FY2024 10-K report will be published, which creates room for possible new bad-looking headlines. This might just set off another bearish market wave if the communication approach between the management and investors remains the same.Additionally, the past precedent of delisting in 2019 due to accounting issues remains a concern. According to the official information from SMCI, the management is still unable to share the expected date of the 10-K filing, which increases risks of failing to comply with Nasdaq listing rules. However, I believe that the company's efforts to engage a new auditor will mitigate the risk. The completion of the Special Committee's investigation, which found no evidence of fraud or misconduct, is a positive step towards resolving this adverse situation.ConclusionAs an investor, I prefer to set emotions aside and focus on the facts. A company that has faces intense public scrutiny is almost certainly not going to play along with its accounting books. This factor makes the recent preliminary FQ1 2025 earnings release is a reliable informational tool. I am also extremely skeptical that Nvidia, AMD, or Intel would continue supporting SMCI as a crucial technological partner if there was really something wrong with it.","news_type":1},"isVote":1,"tweetType":1,"viewCount":125,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":367492072869968,"gmtCreate":1730735366162,"gmtModify":1730735369739,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"Wow","listText":"Wow","text":"Wow","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":2,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/367492072869968","repostId":"2480586315","repostType":2,"repost":{"id":"2480586315","kind":"highlight","pubTimestamp":1730723417,"share":"https://ttm.financial/m/news/2480586315?lang=&edition=fundamental","pubTime":"2024-11-04 20:30","market":"fut","language":"en","title":"1 Monster Stock That Turned $10,000 Into Almost $5.6 Million in 20 Years","url":"https://stock-news.laohu8.com/highlight/detail?id=2480586315","media":"Motley Fool","summary":"It's hard to find many better-performing stocks than this one.","content":"<html><head></head><body><ul style=\"\"><li><p>This company has found huge success disrupting the traditional cable TV industry.</p></li><li><p>The business is generating billions in free cash flow each year.</p></li><li><p>Shares aren’t cheap, and investors should expect more muted gains going forward.</p></li></ul><p>In the past two decades, the <strong>S&P 500</strong> has generated a total return of 661%. That annualized gain of about 10.7% means that a $10,000 cash outlay would be worth $76,110 right now. This is a result that any investor would be pleased with.</p><p>But there's one monster stock that turned a $10,000 initial investment 20 years ago into nearly $5.6 million today. Here's what investors need to know about this dominant industry-leading enterprise.</p><h2 id=\"id_400600341\">Looking at the past</h2><p>Without a doubt, <strong>Netflix</strong> (NFLX 0.01%) is one of the best-performing stocks in the past two decades. It's crazy to think that in 20 years, a single stock could turn early investors into multimillionaires. Investors would certainly struggle to find many businesses that have outperformed this one in recent memory.</p><p>The company first launched its streaming service in the U.S. in 2007. The management team was convinced that the internet was going to fundamentally change how consumers watched video entertainment. Netflix achieved huge success early on because it was cheaper and more convenient than traditional cable TV packages. Furthermore, it had very limited direct competition for many years, as it was a disruptive and innovative pioneer.</p><p>This resulted in tremendous growth. Between 2010 and 2020, revenue surged over 1,000%, and the subscriber base expanded tenfold. Netflix's notable success spurred an acceleration of the cord-cutting trend, as competing offerings from other media companies entered the market and gave consumers even greater choice.</p><p>According to eMarketer, less than 50% of households in the U.S. still have their cable subscription today. But that penetration rate continues declining with each passing year, partly to the benefit of a business like Netflix.</p><h2 id=\"id_165151068\">Current situation</h2><p>Netflix is no longer the scrappy upstart it was two decades ago. This company has now become a global media powerhouse with a presence in more than 190 countries. As of Sept. 30, it counts a whopping 283 million customers, a figure that continues increasing each quarter. And the business is now bringing in almost $40 billion in annual run-rate revenue.</p><p>One of the most obvious changes to Netflix's operations, and perhaps something the critics never thought would happen, is that the business is extremely profitable today. The leadership team expects to report a stellar 27% operating margin this year. What's more, free cash flow (FCF) is projected to total $6 billion to $6.5 billion this year.</p><p>The growth story isn't over, though. Netflix is finding new ways to attract members and grow its sales base. It has successfully cracked down on password-sharing accounts. And it even introduced a cheaper ad-based subscription tier, something management previously said they'd never do. This option saw its membership base grow 35% quarter over quarter.</p><p>Netflix is also leaning into new content opportunities. It started offering video games on the platform in November 2021. And it recently signed deals to show <em>WWE Raw</em> in 2025 and Christmas Day NFL games later this year.</p><h2 id=\"id_2111668935\">Is it time to buy?</h2><p>There's not a lot to dislike when taking an objective view of Netflix's fundamentals. The company is posting healthy growth, even at its current scale. And its profitability, particularly from a FCF perspective, is impressive.</p><p>But the shares look to be richly valued. They trade at a price-to-earnings (P/E) ratio of 42.7 right now. That's much higher than what the stock sold for in the middle of 2022. And it clearly shows how much optimism the market prices in.</p><p>This has been a fantastic stock to have owned in the past 10 or 20 years. However, investors shouldn't expect those monster gains to repeat themselves going forward.</p></body></html>","source":"fool_stock","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>1 Monster Stock That Turned $10,000 Into Almost $5.6 Million in 20 Years</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\n1 Monster Stock That Turned $10,000 Into Almost $5.6 Million in 20 Years\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-11-04 20:30 GMT+8 <a href=https://www.fool.com/investing/2024/11/03/monster-stock-turned-10000-into-56-million/><strong>Motley Fool</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>This company has found huge success disrupting the traditional cable TV industry.The business is generating billions in free cash flow each year.Shares aren’t cheap, and investors should expect more ...</p>\n\n<a href=\"https://www.fool.com/investing/2024/11/03/monster-stock-turned-10000-into-56-million/\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"IE00B19Z9505.USD":"美盛-美国大盘成长股A Acc","LU1429558221.USD":"Natixis Loomis Sayles US Growth Equity RA USD","BK4532":"文艺复兴科技持仓","LU1988902786.USD":"FULLERTON LUX FUNDS GLOBAL ABSOLUTE ALPHA \"I\" (USD) ACC","LU0942090050.USD":"UBS (LUX) EQUITY SICAV - US TOTAL YIELD SUSTAINABLE \"P\" (USD) INC","LU1435385759.SGD":"Natixis Loomis Sayles US Growth Equity RA SGD-H","BK4585":"ETF&股票定投概念","LU0082616367.USD":"摩根大通美国科技A(dist)","BK4108":"电影和娱乐","BK4507":"流媒体概念","BK4534":"瑞士信贷持仓","LU0719512351.SGD":"JPMorgan Funds - US Technology A (acc) SGD","LU0868494708.USD":"UBS (LUX) EQUITY SICAV - US TOTAL YIELD SUSTAINABLE \"P\" (USD) INC","LU1823568750.SGD":"Fidelity Global Technology A-ACC SGD","LU1989764664.SGD":"CPR Invest - Global Disruptive Opportunities A2 Acc SGD-H","BK4587":"ChatGPT概念","BK4566":"资本集团","BK4211":"区域性银行","SG9999004303.SGD":"Nikko AM Shenton Global Opportunities SGD","BK4524":"宅经济概念","LU2237957902.USD":"NIKKO AM GLOBAL EQUITY \"F\" (USD) ACC","IE00BKPKM429.USD":"NEUBERGER BERMAN GLOBAL SUSTAINABLE EQUITY \"A\" (USD) ACC","BK4527":"明星科技股","LU2264538146.SGD":"Fullerton Lux Funds - Global Absolute Alpha A Acc SGD","LU2237957811.SGD":"NIKKO AM GLOBAL EQUITY \"F\" (SGD) ACC","BK4588":"碎股","LU0006306889.USD":"SCHRODER ISF US LARGE CAP \"A\" (USD) INC AV","NFLX":"奈飞","IE00BQXX3D17.EUR":"GUINNESS GLOBAL INNOVATORS \"C\" (EUR) ACC","LU2326559502.SGD":"Natixis Loomis Sayles US Growth Equity P/A SGD-H","LU0106261372.USD":"SCHRODER ISF US LARGE CAP \"A\" ACC","BK4551":"寇图资本持仓","LU1814569148.SGD":"WELLINGTON GLOBAL QUALITY GROWTH \"D\" (SGDHDG) ACC","IE00BQXX3C00.GBP":"GUINNESS GLOBAL INNOVATORS \"C\" (GBP) ACC","IE00B19Z8X17.USD":"FTGF CLEARBRIDGE US LARGE CAP GROWTH \"AG\" (USD) ACC","LU0225283273.USD":"SCHRODER ISF GLOBAL EQUITY ALPHA \"A\" (USD) ACC","LU0868494617.USD":"UBS (LUX) EQUITY SICAV - US TOTAL YIELD SUSTAINABLE \"P\" (USD) ACC","LU1046421795.USD":"富达环球科技A-ACC","LU1720051017.SGD":"Allianz Global Artificial Intelligence AT Acc H2-SGD","IE00BQXX3F31.USD":"GUINNESS GLOBAL INNOVATORS \"C\" (USD) ACC","LU1064131342.USD":"Fullerton Lux Funds - Global Absolute Alpha A Acc USD","SGXZ23171101.USD":"NIKKO AM SHENTON GLOBAL OPPORTUNITIES (USD) ACC","LU1548497426.USD":"安联环球人工智能AT Acc","IE00B19Z8W00.USD":"FTGF CLEARBRIDGE US LARGE CAP GROWTH \"A\" INC","BK4548":"巴美列捷福持仓","LU0882574139.USD":"富达环球消费行业基金A ACC","LU1035775433.USD":"AB SICAV I - AMERICAN GROWTH PORTFOLIO \"AD\" (USD) INC","LU1720051108.HKD":"ALLIANZ GLOBAL ARTIFICIAL INTELLIGENCE \"AT\" (HKD) ACC","LU2357305700.SGD":"Allianz Global Artificial Intelligence ET H2-SGD"},"source_url":"https://www.fool.com/investing/2024/11/03/monster-stock-turned-10000-into-56-million/","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"2480586315","content_text":"This company has found huge success disrupting the traditional cable TV industry.The business is generating billions in free cash flow each year.Shares aren’t cheap, and investors should expect more muted gains going forward.In the past two decades, the S&P 500 has generated a total return of 661%. That annualized gain of about 10.7% means that a $10,000 cash outlay would be worth $76,110 right now. This is a result that any investor would be pleased with.But there's one monster stock that turned a $10,000 initial investment 20 years ago into nearly $5.6 million today. Here's what investors need to know about this dominant industry-leading enterprise.Looking at the pastWithout a doubt, Netflix (NFLX 0.01%) is one of the best-performing stocks in the past two decades. It's crazy to think that in 20 years, a single stock could turn early investors into multimillionaires. Investors would certainly struggle to find many businesses that have outperformed this one in recent memory.The company first launched its streaming service in the U.S. in 2007. The management team was convinced that the internet was going to fundamentally change how consumers watched video entertainment. Netflix achieved huge success early on because it was cheaper and more convenient than traditional cable TV packages. Furthermore, it had very limited direct competition for many years, as it was a disruptive and innovative pioneer.This resulted in tremendous growth. Between 2010 and 2020, revenue surged over 1,000%, and the subscriber base expanded tenfold. Netflix's notable success spurred an acceleration of the cord-cutting trend, as competing offerings from other media companies entered the market and gave consumers even greater choice.According to eMarketer, less than 50% of households in the U.S. still have their cable subscription today. But that penetration rate continues declining with each passing year, partly to the benefit of a business like Netflix.Current situationNetflix is no longer the scrappy upstart it was two decades ago. This company has now become a global media powerhouse with a presence in more than 190 countries. As of Sept. 30, it counts a whopping 283 million customers, a figure that continues increasing each quarter. And the business is now bringing in almost $40 billion in annual run-rate revenue.One of the most obvious changes to Netflix's operations, and perhaps something the critics never thought would happen, is that the business is extremely profitable today. The leadership team expects to report a stellar 27% operating margin this year. What's more, free cash flow (FCF) is projected to total $6 billion to $6.5 billion this year.The growth story isn't over, though. Netflix is finding new ways to attract members and grow its sales base. It has successfully cracked down on password-sharing accounts. And it even introduced a cheaper ad-based subscription tier, something management previously said they'd never do. This option saw its membership base grow 35% quarter over quarter.Netflix is also leaning into new content opportunities. It started offering video games on the platform in November 2021. And it recently signed deals to show WWE Raw in 2025 and Christmas Day NFL games later this year.Is it time to buy?There's not a lot to dislike when taking an objective view of Netflix's fundamentals. The company is posting healthy growth, even at its current scale. And its profitability, particularly from a FCF perspective, is impressive.But the shares look to be richly valued. They trade at a price-to-earnings (P/E) ratio of 42.7 right now. That's much higher than what the stock sold for in the middle of 2022. And it clearly shows how much optimism the market prices in.This has been a fantastic stock to have owned in the past 10 or 20 years. However, investors shouldn't expect those monster gains to repeat themselves going forward.","news_type":1},"isVote":1,"tweetType":1,"viewCount":188,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":367424542249264,"gmtCreate":1730718363281,"gmtModify":1730718367018,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"He wants to be the President one day.","listText":"He wants to be the President one day.","text":"He wants to be the President one day.","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":0,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/367424542249264","repostId":"1156560859","repostType":2,"repost":{"id":"1156560859","kind":"news","pubTimestamp":1730717371,"share":"https://ttm.financial/m/news/1156560859?lang=&edition=fundamental","pubTime":"2024-11-04 18:49","market":"us","language":"en","title":"Musk’s Election Bet Is Clear. How Might It Pay Off?","url":"https://stock-news.laohu8.com/highlight/detail?id=1156560859","media":"Bloomberg","summary":"Terraforming Mars may be a pipe dream, but Elon Musk is all in on colonizing somewhere closer to home: the White House.The world’s richest man is lavishing money and vast corporate resources on ensuri","content":"<html><head></head><body><p>Terraforming Mars may be a pipe dream, but Elon Musk is all in on colonizing somewhere closer to home: the White House.</p><p style=\"text-align: start;\">The world’s richest man is lavishing money and vast corporate resources on ensuring Donald Trump is reelected as the US president. The web of contracts and subsidies that bind his empire to government largess have not prevented him from inserting himself into America’s fraught politics — and, depending on the outcome, ever more deeply into the fabric of society and national security.</p><p style=\"text-align: start;\">Billionaires, corporate titans and anyone else with financial interests on the line rarely offer their wealth and time gratis. So what is Musk after, and what potential conflicts of interest arise when someone with such broad influence throws himself into one of the most consequential elections in US history?<br/><br/>After all, the man behind Tesla Inc., X Corp., Space Exploration Technologies Corp. and a host of other companies isn’t simply campaigning for the man who might be president again. Musk may also join a potential second Trump administration.</p><p style=\"text-align: start;\">While the boundaries between business and politics in the US have always been malleable, for better and worse, Musk’s roles and reach raise unprecedented questions about self-dealing and the evaporation of ethical, legal and financial guidelines meant to protect the public interest and good government.</p><p style=\"text-align: start;\">Consider Musk’s sway, built over an undeniably remarkable career. Tesla brought electric vehicles into the mainstream, forcing the legacy automobile industry to play catch-up. SpaceX made the US competitive again in the commercial rocket business. Starlink, a SpaceX subsidiary, offers a satellite-based communication network that spans the globe. X, the social media platform formerly known as Twitter, still shapes public opinion with a keystroke, despite its pell-mell management and transformation into a font of disinformation and muck under Musk.</p><p></p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/907a12919c6d10914e01479084381f09\" tg-width=\"680\" tg-height=\"383\"/></p><p>Musk’s foothold in Trump’s orbit could add direct policymaking power to his business portfolio — giving him a say on public finances and an opportunity to bring his special brand of “moving fast and breaking things” to the foundations of popular programs such as Social Security and Medicare.</p><p style=\"text-align: start;\">Musk treads a well-worn path; his mix of innovation, industrial heft, penchant for racist conspiracy theories and overt eccentricities recall the likes of Henry Ford and Howard Hughes.</p><p style=\"text-align: start;\">What distinguishes him is the sheer scale of his contribution, encompassing not just well over $100 million of donations but also free promotion on X, and much of his own time — including high-profile appearances at Trump rallies. His spending on behalf of Trump — particularly $1 million “prize” offerings — has made him a target of law enforcement. Musk is also adding a personal touch to his influence peddling. He’s marrying his control of critical technologies to his erratic, combative persona; a combustible mix that could be supercharged by formal political power should Trump reclaim the presidency after Tuesday’s election.</p><p style=\"text-align: start;\">Musk’s and Trump’s respective ascendancies could hardly be any different, with one a self-made immigrant and Silicon Valley billionaire and the other a boom-and-bust self-promoter who inherited a New York real estate fortune. There are also striking similarities that explain their bond and shared interests. Both inspire cult-like devotion that renders them seemingly immune to consequences. Each possesses colossal self-assurance and contempt for institutions and norms. They are also thoroughly transactional, not least in their willingness to set aside prior slights and seemingly irreconcilable differences that once left them at odds. Above all, they both have vested interests in the powers, protections and resources of the federal government.</p><p style=\"text-align: start;\">Musk, unfazed by his lack of experience in public office, could run a new Department of Government Efficiency that would attempt to tear out $2 trillion of a roughly $6.8 trillion federal budget. Reality might intrude, however. Congress, not the president, typically establishes new federal departments. Musk’s myriad financial and political conflicts might also make it impossible for him to secure Congress’ blessing to run any agency.</p><p style=\"text-align: start;\">But Musk doesn’t necessarily need an agency or a title to have influence in a Trump White House. He’s almost certain to remain a powerful consiglieri should Trump win, someone with easy access who can shape legislation and the Oval Office’s agenda. His major companies would obviously benefit from his proximity to Trump, as any tour of his portfolio reveals. (Musk and his companies didn’t answer requests for comment for this column.)</p><h3 id=\"id_611757874\" style=\"text-align: start;\">Tesla wants an autonomous future</h3><p style=\"text-align: start;\">Tesla is a pioneer of an energy transition that Trump decries as a scam. Musk laid out his original “master plan” for Tesla 18 years ago: To foster a move toward a solar electric economy by mainstreaming electric vehicles. The initial breakthrough came in 2012 with the launch of the Model S, a luxury electric sedan that proved EVs could be cool and compete with traditional cars. With Musk as chief executive officer, Tesla has become the most valuable auto company in the world by far, with a market value of almost $800 billion, and the biggest seller of battery EVs worldwide. In the US, its charging network has become the de facto standard for the EV industry.</p><p style=\"text-align: start;\">While Musk’s vision and knack for raising capital were critical during long years of losses, so too was government help. The Department of Energy’s Loan Programs Office lent Tesla $465 million at a critical moment in 2010, since repaid. Above all, consumer tax credits have been crucial in reducing the upfront price for EV adopters, with President Joe Biden’s Inflation Reduction Act allowing a federal $7,500 credit to be given at the point of sale. The IRA also established generous credits for batteries and other clean technology manufactured in the US.</p><p style=\"text-align: start;\">Even now, with Tesla making close to 2 million EVs annually and holding $20 billion of net cash on its balance sheet, an analysis published in March by Evercore ISI, an investment bank, implied about 40% of the company’s estimated operating profit<strong> </strong>this year would consist of credits enabled by the IRA. Bear that in mind when Musk lambastes government spending.</p><p style=\"text-align: start;\">Given all this, it might seem odd for Musk to team up with a candidate promising to undo Biden’s green subsidies. But this misses an important shift in Tesla’s investment story over the past two years. Its EV sales have stalled, with analysts expecting an outright decline this year (Tesla says otherwise.) Instead, the stock price is now held aloft by Musk’s vision of autonomous “robotaxis” and humanoid robots.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/f1cf0fca3bbe83ca93fc9c6596d184e5\" alt=\"Robotaxi\" title=\"Robotaxi\" tg-width=\"1236\" tg-height=\"824\"/><span>Robotaxi</span></p><p style=\"text-align: start;\">Tesla has relied on the government for subsidies in its EV business. Robotaxis are a different matter. The company would prefer that the government leave that business alone.</p><p style=\"text-align: start;\">Tesla’s approach to autonomous vehicles has involved upselling advanced driver assistance features on the premise that, eventually, these will reach a level of sophistication so the vehicles can simply drive themselves. Drivers are essentially beta testing these systems on public roads, gathering millions of miles of data to train Tesla’s autonomous vehicle software — with all the risks this entails, especially given the unrealistic expectations set by product names such as Autopilot and Full Self Driving. Since Musk has set and missed repeated deadlines for the launch of autonomous Teslas, the company needs much more time. Yet a series of accidents involving vehicles using these systems, some fatal, have prompted lawsuits and a recent intensification of scrutiny by federal bodies like the National Highway Traffic Safety Administration.</p><p style=\"text-align: start;\">Musk’s mere proximity to any future Trump Oval Office could cause federal agencies to think twice about upsetting a presidential ally who has the potential to influence budgets and appointments. Musk could certainly use one specific government break: lifting the NHTSA cap on how many vehicles a company can deploy annually, with permission, that don’t have steering wheels and pedals. That cap stands at 2,500, but Musk aspires to produce millions of these so-called cybercabs. Raising the cap would require Congress to act, but Trump might help secure that from an obedient Republican majority.</p><p style=\"text-align: start;\">A formal Cabinet role for Musk requiring Senate confirmation looks unlikely, not least because he would almost certainly have to resign as Tesla’s CEO and possibly dispose of his shareholdings à la Hank Paulson, who sold his Goldman Sachs Group Inc. stock when he became Treasury secretary in 2006. Resigning as CEO might be acceptable to investors given Musk’s hold over his companies and Tesla’s historically supine board, but a forced sale of his 12.8% stake would be financially catastrophic. When he dumped part of his stake in 2022 during the Twitter acquisition, Tesla’s share price dived. (The same question would arise about his holdings in companies including SpaceX and X, too, though a more acceptable alternative could be putting them all in a blind trust, as Trump did with his corporate interests during his presidency.)</p><p style=\"text-align: start;\">On the other hand, while a part-time advisory or commission role would represent another distraction for Musk, investors in Tesla (and his other companies) might view it as an advantage given his potential ability to influence regulation and policy.</p><p style=\"text-align: start;\">He could blunt attacks on EVs, for example, which still provide the vast majority of Tesla’s cash flow. John Paulson, the hedge-fund billionaire angling to run the Treasury Department in a Trump Cabinet, envisages working with Musk to dismantle IRA subsidies. In that position, Musk could potentially steer any such cuts away from EVs and toward, say, renewable energy — or, in a grim irony, the Loan Programs Office that once helped nurture Tesla and is now squarely in the sights of Republicans for cuts.</p><p style=\"text-align: start;\">That’s easier said than done, however. There is an additional layer of protection for cleantech subsidies: The vast majority of IRA-inspired jobs and investment dollars are flowing to red districts, prompting second thoughts from GOP House members about outright repeal.</p><p style=\"text-align: start;\">EV subsidies would be safe in the event of a Trump loss, of course, but a Harris administration poses other risks. While a Democratic White House wouldn’t touch the IRA, it also wouldn’t restrain the agencies policing robotaxis. Perhaps the most significant difference would be that Harris’ team would be less likely to take Musk’s calls.</p><h3 id=\"id_815297160\" style=\"text-align: start;\">SpaceX rules — with or without Trump</h3><p style=\"text-align: start;\">SpaceX, the privately held rocket developer in which Musk is the CEO and largest shareholder, is where his empire intersects most clearly with the public interest — and national security. The company dominates space transportation, has revitalized the US aerospace industry and is indispensable to the federal government.</p><p style=\"text-align: start;\">Its pivotal innovation was developing reusable rockets to sharply cut launch costs, born of Musk’s dream of traveling to — and eventually occupying — Mars. In 2002, he bet part of his fortune from early entrepreneurial successes, including Paypal Holdings Inc., on SpaceX, weathering several failures to finally notch his first successful launch in 2008. NASA was an early and crucial partner, providing contracts, expertise and crews.</p><p style=\"text-align: start;\">The tide really turned in SpaceX’s favor in 2014 when NASA chose it and Boeing Co. to carry astronauts to the International Space Station, which would finally break the agency’s dependence on Russian rockets. The company retrieved its first rocket booster the next year and now boasts the world’s most flown rocket in the Falcon 9.</p><p style=\"text-align: start;\">Although SpaceX received a smaller initial contract than Boeing, Musk’s company has taken astronauts to the space station on several missions while Boeing has yet to fulfill its contract amid well-publicized stumbles.</p><p style=\"text-align: start;\">In 2019, SpaceX launched its first group of 60 satellites into low-Earth orbit, marking the beginning of Starlink, which now has more than 6,000 satellites that provide high-speed internet almost anywhere, including to vehicles on the move such as RVs, aircraft and ships. Designed for consumers, it has become invaluable to governments during disasters and in war zones. Musk is also launching secured satellites to create a network called Starshield that’s specifically for governments.<br/><br/>All this has made SpaceX a vital contractor to the US government, including its military and intelligence agencies, as well as to nations around the world, giving Musk unprecedented access to and leverage with officials.</p><p style=\"text-align: start;\">Starlink has provided internet services to war-torn Ukraine, but Musk has also clashed with its government after curtailing the service to prevent an attack on Russia’s Black Sea Fleet in occupied Crimea. Musk, according to a biography, was concerned that the operation would provoke a Russian nuclear strike. Meanwhile, the US Federal Emergency Management Agency has used Starlink to provide communications in areas hit by Hurricane Helene.</p><p style=\"text-align: start;\">There has been alarm over Musk’s polarizing machinations, including his zealous support for Trump and, more ominously, his “regular contact” with Russian President Vladimir Putin, as reported by the Wall Street Journal. Despite all of that, the Biden administration has had to deal with him — if not always harmoniously. Expect that to continue if Vice President Kamala Harris wins the presidency.</p><p style=\"text-align: start;\">A Trump White House, on the other hand, could help address the litany of complaints Musk has leveled against government agencies. He cried foul after Starlink didn’t qualify to provide service in the $42 billion Broadband Equity, Access, and Deployment Program to bring high-speed internet to rural areas. He has clashed with the Federal Aviation Administration over permits for rocket launches and denounced fines over license violations as “lawfare.” SpaceX blasted the FAA in September for delaying a test launch of its Starship rocket over environmental concerns — a tactic that seemed to work when permission for the launch was then granted earlier than expected. (SpaceX wowed the world by capturing the spent first-stage booster with mechanical “chopsticks” at the launch pad.)</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/21e1b9d1c4201a53f0b390caab51935e\" alt=\"Starship's Super Heavy rocket booster is caught mid-air during the fifth flight test in Texas\" title=\"Starship's Super Heavy rocket booster is caught mid-air during the fifth flight test in Texas\" tg-width=\"1918\" tg-height=\"1032\"/><span>Starship's Super Heavy rocket booster is caught mid-air during the fifth flight test in Texas</span></p><p style=\"text-align: start;\">With Musk ensconced within a Trump administration, federal regulators might feel even less inclined to clash with SpaceX (echoing his preferred regulatory treatment of autonomous vehicles). Musk would wield outsized influence on space policy, an area of special interest to Trump, on whose watch the US Space Force was established. A Trump administration could also be expected to relax the enforcement of regulations for SpaceX in areas such as launch safety and environmental impacts, and likely increase the government’s dependency on it, ignoring the conflicts that would entail.</p><p style=\"text-align: start;\">Beyond the domestic sphere, Trump might be tempted to use Musk and his company as a tool for foreign policy. The impact of Starlink’s technology cannot be overstated, especially outside the US. That has made some in the Biden administration nervous because of Musk’s ability to switch the service on or off at will. The Starlink kit typically costs about $600 and is easily deployable. Governments across Latin America, Africa and Asia have granted the company access. <u>Black-market sales</u> elsewhere underscore the scale of demand.</p><p style=\"text-align: start;\">No matter who wins the election, government dependency on SpaceX will only grow as the world gears up for a second space race. A Harris victory would temper that relationship with tension over regulations and a dose of mistrust. Under Trump, the SpaceX-government relationship would come with lower guardrails. That could have potentially worrying consequences for safety (if lax regulation ensues), competition and — most important — national security.</p><h3 id=\"id_631511288\" style=\"text-align: start;\">X is campaign central for Trump</h3><p style=\"text-align: start;\">If Trump wins and does indeed bring Musk inside the White House, X would essentially resemble something previously unthinkable: a US state-run social network.</p><p style=\"text-align: start;\">The site’s transformation began in 2022 when Musk, already a power user on the platform, acquired the site for $44 billion, having briefly tried to back out of the deal. Until that point, Musk had used what was then Twitter to mostly hype his businesses — a single tweet could and did send Tesla’s stock price soaring.</p><p style=\"text-align: start;\">Musk — back then, at least — was a self-proclaimed “free speech absolutist.” He had long maintained he was a neutral party who would adhere to that standard and avoid promoting any defined political agenda. He reinstated Trump’s personal account — in the interest of free speech, he said — after it had been suspended by previous Twitter leadership in the wake of the Jan. 6 riots at the Capitol.</p><p style=\"text-align: start;\">Before long, Musk’s self-described “moderate” politics began to evaporate. Soon, he was livestreaming from the US-Mexico border. He became, <u>statistically</u>, the biggest single peddler of right-wing conspiracy theories on the site. In the immediate aftermath of the assassination attempt on Trump in July, he announced he would endorse the former president — which by then surprised few.</p><p style=\"text-align: start;\">Whether this support is due to a genuine belief in Trump’s politics, or a tactic to protect his businesses, is known only to Musk himself. Either way, X has morphed into the communications wing of the Trump campaign.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/40a277847bb7d75262fbd63ad5bbc6a7\" alt=\"\" title=\"\" tg-width=\"974\" tg-height=\"1192\"/></p><p style=\"text-align: start;\">Musk has used his platform to aggressively push the political spending efforts of his America PAC, including amplifying baseless allegations of voter fraud and dangerous exaggerations and falsehoods about immigration and its effects, as our colleagues in Bloomberg News have reported. He has livestreamed his own get-out-the-vote rallies on behalf of Trump. And, at a rate of usually dozens a day, Musk has personally shared numerous pro-Trump posts and conspiracy theories. The virality of Republican messaging on X has soared during the campaign, according to one analysis.</p><p style=\"text-align: start;\">This power to aggressively shape the online narrative makes Musk a crucial ally to Trump during a potential second term — and even if he loses. In the event of a Harris victory, X could become the engine room for the opposition. A dedicated X community, backed by Musk, has already been established for sharing “potential incidents” of problems at the polls, laying the groundwork for another “Stop the Steal” effort.</p><p style=\"text-align: start;\">X’s struggling business, deserted by many major advertisers, has much to gain from a second Trump term if he uses the site as he did during his presidency. Trump used Twitter as his primary medium for announcing policy when he was in the White House, firing Cabinet members, disparaging critics, claiming inflated crowd sizes and so on.</p><p style=\"text-align: start;\">Trump has been less of a voice on X, since having his account reinstated, because there’s money to be made elsewhere. He holds a 57% stake in the company that owns Truth Social, a rival “free speech” platform. Those shares are currently worth about $3.5 billion — though the value is closely tethered to Trump’s electoral prospects and has fluctuated wildly. When Trump Media & Technology Group Corp. went public (ticker: DJT) investors were assured that Trump had agreed to a clause that required his posts, with some vague exceptions, be on Truth Social for six hours before appearing elsewhere. For a full year, Trump posted on X just once — his mugshot.</p><p style=\"text-align: start;\">As Election Day has neared, this stipulation has been largely overlooked, suggesting Trump still sees X as politically valuable. He started posting regularly there when Harris became the Democratic nominee. And he took part in a glitch-ridden livestream on the site with Musk during which the duo first floated the idea of Musk joining a Trump administration.</p><p style=\"text-align: start;\">Trump hasn’t said what he intends to do with his various business interests if he wins (TMTG did not respond to requests for clarification). Last time around, he placed them in a blind trust controlled by his sons and his longtime chief financial officer, leading to understandable skepticism over how “blind” the trust truly was. Any change in circumstance could pave the way for his full-throated return to X, bringing some desperately needed and bankable long-term engagement to the site.</p><p style=\"text-align: start;\">Truth Social isn’t a bona fide X competitor; its sky-high stock price, pegged to hopes of a Trump win, belies its tiny — and one-sided — user base and financial losses. X, meanwhile, would be more than happy to accommodate Trump’s worst excesses in a way that would render Truth Social’s reason for existing largely obsolete.</p><p style=\"text-align: start;\">One way or another, Musk could be expected to use his proximity to Trump to further his business goals for X, which include going after advertisers and nonprofits that have abandoned the platform. Musk, counterproductively, is suing some advertisers that avoid the site, accusing them of an “illegal boycott.”</p><p style=\"text-align: start;\">Musk’s stated goal of positioning X as an “everything” app, with a major financial services component, might also benefit from some government support. The company has disclosed it has secured money transmitter licenses in 38 US states — but not yet in the critical market of New York.</p><p style=\"text-align: start;\">Elsewhere, Musk’s artificial intelligence company, xAI, is on the cusp of a new funding round that would value it at a reported $40 billion (Musk has <u>said previously</u> that X would own 25% of xAI). The xAI startup is Musk’s bid to be part of the booming new sector, having parted ways with OpenAI — which he co-founded — over disagreements with that company’s CEO, Sam Altman.</p><p style=\"text-align: start;\">Musk’s xAI is pitched as a viable alternative to OpenAI and competing products being developed by Anthropic and Meta Platforms Inc. It is being trained (partly) on X posts, powering the site’s AI chatbot, Grok.</p><p style=\"text-align: start;\">Musk is developing an AI-training supercomputer that came online in Memphis last month. Powering these energy-hungry models is another challenge that a Trump White House could address. The administration would almost certainly loosen restrictions on emissions, making it easier for companies to use gas-fired power, and might be persuaded to pour more funding into nuclear power — all of which would be advantageous to Musk’s push.</p><p style=\"text-align: start;\">Becoming the AI model of choice for the federal government is an opportunity worth billions of dollars. Musk’s insistence that his model is an “anti woke” AI, one that contrasts with the supposedly tainted efforts of “Silicon Valley liberals,” would be of great appeal to his potential new boss.</p><p style=\"text-align: start;\">Musk’s shrewd risk-taking and market insights have seen him parlay his initial PayPal windfall into an eye-watering fortune, enabling him to reimagine entire industries and to command a level of global influence few businesspeople have ever enjoyed. Musk is both a welcome and rare catalyst for change, and a symbol of the outsized, troubling privileges and access that come with extraordinary wealth. He personifies a world in which one person, unconstrained and seemingly remorseless, can use concentrated riches and power to dominate critical sectors of society and the economy. That, in turn, allows Musk to thumb his nose at convention, civility, the truth and the rule of law. He is, in that sense, a natural partner for Trump.</p><p style=\"text-align: start;\">Should Musk enter a Trump administration, what could curb his power — or, at a minimum, ensure that it isn’t exercised merely to serve his own needs? US institutions, including Congress, regulators and courts, would have to stand tall.</p><p style=\"text-align: start;\">There’s good reason for pessimism. Trump flouted ethical norms his predecessors had observed during his presidency, reveling in financial and political conflicts of interest that have tested — and may have broken — the law. He went unchecked at crucial moments by law enforcement and Congress. His post-presidential resurgence from the Jan. 6, 2021, siege at the US Capitol made it clear that the Republican Party and tens of millions of American voters didn’t care about his myriad transgressions.</p><p style=\"text-align: start;\">Musk has watched Trump skate past many of his problems and is likely to take cues from that journey. He is already accustomed to dealing with accommodating corporate boards and loyal shareholders, so operating unchecked in a second Trump administration would come easily to him.</p><p style=\"text-align: start;\">Government bureaucracy alone may offer a check. Musk is used to firing tens of thousands of people as he wishes and pivoting an entire company with a tweet or two. That may make him ill-suited to working through the inertia, frustration and sheer boredom of public governance and consensus-building. He wouldn’t be the first wannabe swamp-drainer to get mired in the ooze instead. Rex Tillerson, another corporate titan used to directing a slick, industry-leading machine in the form of Exxon Mobil Corp., found himself ill-prepared for the workings of the State Department and the skulduggery of the Trump White House.</p><p style=\"text-align: start;\">Tillerson also happened to be the first Cabinet official ever to be fired on social media after reportedly describing his boss with a little too much of what Musk might term free speech. Therein may lie another potential check.</p><p style=\"text-align: start;\">Trump loves having rich, flashy, aggressive men at his side, and Musk fits the bill. Trump doesn’t like sharing the spotlight, however, especially if his partners have the celebrity status Musk enjoys. It’s a recipe for conflict.</p><p style=\"text-align: start;\">After all, we now have two self-interested alpha males in a marriage of convenience who share a fascination with attention, fast money and unbridled power, even at the expense of democracy and the public interest. What could possibly go wrong?</p></body></html>","source":"lsy1584095487587","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Musk’s Election Bet Is Clear. How Might It Pay Off?</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nMusk’s Election Bet Is Clear. How Might It Pay Off?\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-11-04 18:49 GMT+8 <a href=https://www.bloomberg.com/opinion/features/2024-11-03/election-2024-trump-may-let-musk-colonize-the-white-house?srnd=prognosis><strong>Bloomberg</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Terraforming Mars may be a pipe dream, but Elon Musk is all in on colonizing somewhere closer to home: the White House.The world’s richest man is lavishing money and vast corporate resources on ...</p>\n\n<a href=\"https://www.bloomberg.com/opinion/features/2024-11-03/election-2024-trump-may-let-musk-colonize-the-white-house?srnd=prognosis\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"TSLA":"特斯拉",".DJI":"道琼斯",".SPX":"S&P 500 Index",".IXIC":"NASDAQ Composite"},"source_url":"https://www.bloomberg.com/opinion/features/2024-11-03/election-2024-trump-may-let-musk-colonize-the-white-house?srnd=prognosis","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"1156560859","content_text":"Terraforming Mars may be a pipe dream, but Elon Musk is all in on colonizing somewhere closer to home: the White House.The world’s richest man is lavishing money and vast corporate resources on ensuring Donald Trump is reelected as the US president. The web of contracts and subsidies that bind his empire to government largess have not prevented him from inserting himself into America’s fraught politics — and, depending on the outcome, ever more deeply into the fabric of society and national security.Billionaires, corporate titans and anyone else with financial interests on the line rarely offer their wealth and time gratis. So what is Musk after, and what potential conflicts of interest arise when someone with such broad influence throws himself into one of the most consequential elections in US history?After all, the man behind Tesla Inc., X Corp., Space Exploration Technologies Corp. and a host of other companies isn’t simply campaigning for the man who might be president again. Musk may also join a potential second Trump administration.While the boundaries between business and politics in the US have always been malleable, for better and worse, Musk’s roles and reach raise unprecedented questions about self-dealing and the evaporation of ethical, legal and financial guidelines meant to protect the public interest and good government.Consider Musk’s sway, built over an undeniably remarkable career. Tesla brought electric vehicles into the mainstream, forcing the legacy automobile industry to play catch-up. SpaceX made the US competitive again in the commercial rocket business. Starlink, a SpaceX subsidiary, offers a satellite-based communication network that spans the globe. X, the social media platform formerly known as Twitter, still shapes public opinion with a keystroke, despite its pell-mell management and transformation into a font of disinformation and muck under Musk.Musk’s foothold in Trump’s orbit could add direct policymaking power to his business portfolio — giving him a say on public finances and an opportunity to bring his special brand of “moving fast and breaking things” to the foundations of popular programs such as Social Security and Medicare.Musk treads a well-worn path; his mix of innovation, industrial heft, penchant for racist conspiracy theories and overt eccentricities recall the likes of Henry Ford and Howard Hughes.What distinguishes him is the sheer scale of his contribution, encompassing not just well over $100 million of donations but also free promotion on X, and much of his own time — including high-profile appearances at Trump rallies. His spending on behalf of Trump — particularly $1 million “prize” offerings — has made him a target of law enforcement. Musk is also adding a personal touch to his influence peddling. He’s marrying his control of critical technologies to his erratic, combative persona; a combustible mix that could be supercharged by formal political power should Trump reclaim the presidency after Tuesday’s election.Musk’s and Trump’s respective ascendancies could hardly be any different, with one a self-made immigrant and Silicon Valley billionaire and the other a boom-and-bust self-promoter who inherited a New York real estate fortune. There are also striking similarities that explain their bond and shared interests. Both inspire cult-like devotion that renders them seemingly immune to consequences. Each possesses colossal self-assurance and contempt for institutions and norms. They are also thoroughly transactional, not least in their willingness to set aside prior slights and seemingly irreconcilable differences that once left them at odds. Above all, they both have vested interests in the powers, protections and resources of the federal government.Musk, unfazed by his lack of experience in public office, could run a new Department of Government Efficiency that would attempt to tear out $2 trillion of a roughly $6.8 trillion federal budget. Reality might intrude, however. Congress, not the president, typically establishes new federal departments. Musk’s myriad financial and political conflicts might also make it impossible for him to secure Congress’ blessing to run any agency.But Musk doesn’t necessarily need an agency or a title to have influence in a Trump White House. He’s almost certain to remain a powerful consiglieri should Trump win, someone with easy access who can shape legislation and the Oval Office’s agenda. His major companies would obviously benefit from his proximity to Trump, as any tour of his portfolio reveals. (Musk and his companies didn’t answer requests for comment for this column.)Tesla wants an autonomous futureTesla is a pioneer of an energy transition that Trump decries as a scam. Musk laid out his original “master plan” for Tesla 18 years ago: To foster a move toward a solar electric economy by mainstreaming electric vehicles. The initial breakthrough came in 2012 with the launch of the Model S, a luxury electric sedan that proved EVs could be cool and compete with traditional cars. With Musk as chief executive officer, Tesla has become the most valuable auto company in the world by far, with a market value of almost $800 billion, and the biggest seller of battery EVs worldwide. In the US, its charging network has become the de facto standard for the EV industry.While Musk’s vision and knack for raising capital were critical during long years of losses, so too was government help. The Department of Energy’s Loan Programs Office lent Tesla $465 million at a critical moment in 2010, since repaid. Above all, consumer tax credits have been crucial in reducing the upfront price for EV adopters, with President Joe Biden’s Inflation Reduction Act allowing a federal $7,500 credit to be given at the point of sale. The IRA also established generous credits for batteries and other clean technology manufactured in the US.Even now, with Tesla making close to 2 million EVs annually and holding $20 billion of net cash on its balance sheet, an analysis published in March by Evercore ISI, an investment bank, implied about 40% of the company’s estimated operating profit this year would consist of credits enabled by the IRA. Bear that in mind when Musk lambastes government spending.Given all this, it might seem odd for Musk to team up with a candidate promising to undo Biden’s green subsidies. But this misses an important shift in Tesla’s investment story over the past two years. Its EV sales have stalled, with analysts expecting an outright decline this year (Tesla says otherwise.) Instead, the stock price is now held aloft by Musk’s vision of autonomous “robotaxis” and humanoid robots.RobotaxiTesla has relied on the government for subsidies in its EV business. Robotaxis are a different matter. The company would prefer that the government leave that business alone.Tesla’s approach to autonomous vehicles has involved upselling advanced driver assistance features on the premise that, eventually, these will reach a level of sophistication so the vehicles can simply drive themselves. Drivers are essentially beta testing these systems on public roads, gathering millions of miles of data to train Tesla’s autonomous vehicle software — with all the risks this entails, especially given the unrealistic expectations set by product names such as Autopilot and Full Self Driving. Since Musk has set and missed repeated deadlines for the launch of autonomous Teslas, the company needs much more time. Yet a series of accidents involving vehicles using these systems, some fatal, have prompted lawsuits and a recent intensification of scrutiny by federal bodies like the National Highway Traffic Safety Administration.Musk’s mere proximity to any future Trump Oval Office could cause federal agencies to think twice about upsetting a presidential ally who has the potential to influence budgets and appointments. Musk could certainly use one specific government break: lifting the NHTSA cap on how many vehicles a company can deploy annually, with permission, that don’t have steering wheels and pedals. That cap stands at 2,500, but Musk aspires to produce millions of these so-called cybercabs. Raising the cap would require Congress to act, but Trump might help secure that from an obedient Republican majority.A formal Cabinet role for Musk requiring Senate confirmation looks unlikely, not least because he would almost certainly have to resign as Tesla’s CEO and possibly dispose of his shareholdings à la Hank Paulson, who sold his Goldman Sachs Group Inc. stock when he became Treasury secretary in 2006. Resigning as CEO might be acceptable to investors given Musk’s hold over his companies and Tesla’s historically supine board, but a forced sale of his 12.8% stake would be financially catastrophic. When he dumped part of his stake in 2022 during the Twitter acquisition, Tesla’s share price dived. (The same question would arise about his holdings in companies including SpaceX and X, too, though a more acceptable alternative could be putting them all in a blind trust, as Trump did with his corporate interests during his presidency.)On the other hand, while a part-time advisory or commission role would represent another distraction for Musk, investors in Tesla (and his other companies) might view it as an advantage given his potential ability to influence regulation and policy.He could blunt attacks on EVs, for example, which still provide the vast majority of Tesla’s cash flow. John Paulson, the hedge-fund billionaire angling to run the Treasury Department in a Trump Cabinet, envisages working with Musk to dismantle IRA subsidies. In that position, Musk could potentially steer any such cuts away from EVs and toward, say, renewable energy — or, in a grim irony, the Loan Programs Office that once helped nurture Tesla and is now squarely in the sights of Republicans for cuts.That’s easier said than done, however. There is an additional layer of protection for cleantech subsidies: The vast majority of IRA-inspired jobs and investment dollars are flowing to red districts, prompting second thoughts from GOP House members about outright repeal.EV subsidies would be safe in the event of a Trump loss, of course, but a Harris administration poses other risks. While a Democratic White House wouldn’t touch the IRA, it also wouldn’t restrain the agencies policing robotaxis. Perhaps the most significant difference would be that Harris’ team would be less likely to take Musk’s calls.SpaceX rules — with or without TrumpSpaceX, the privately held rocket developer in which Musk is the CEO and largest shareholder, is where his empire intersects most clearly with the public interest — and national security. The company dominates space transportation, has revitalized the US aerospace industry and is indispensable to the federal government.Its pivotal innovation was developing reusable rockets to sharply cut launch costs, born of Musk’s dream of traveling to — and eventually occupying — Mars. In 2002, he bet part of his fortune from early entrepreneurial successes, including Paypal Holdings Inc., on SpaceX, weathering several failures to finally notch his first successful launch in 2008. NASA was an early and crucial partner, providing contracts, expertise and crews.The tide really turned in SpaceX’s favor in 2014 when NASA chose it and Boeing Co. to carry astronauts to the International Space Station, which would finally break the agency’s dependence on Russian rockets. The company retrieved its first rocket booster the next year and now boasts the world’s most flown rocket in the Falcon 9.Although SpaceX received a smaller initial contract than Boeing, Musk’s company has taken astronauts to the space station on several missions while Boeing has yet to fulfill its contract amid well-publicized stumbles.In 2019, SpaceX launched its first group of 60 satellites into low-Earth orbit, marking the beginning of Starlink, which now has more than 6,000 satellites that provide high-speed internet almost anywhere, including to vehicles on the move such as RVs, aircraft and ships. Designed for consumers, it has become invaluable to governments during disasters and in war zones. Musk is also launching secured satellites to create a network called Starshield that’s specifically for governments.All this has made SpaceX a vital contractor to the US government, including its military and intelligence agencies, as well as to nations around the world, giving Musk unprecedented access to and leverage with officials.Starlink has provided internet services to war-torn Ukraine, but Musk has also clashed with its government after curtailing the service to prevent an attack on Russia’s Black Sea Fleet in occupied Crimea. Musk, according to a biography, was concerned that the operation would provoke a Russian nuclear strike. Meanwhile, the US Federal Emergency Management Agency has used Starlink to provide communications in areas hit by Hurricane Helene.There has been alarm over Musk’s polarizing machinations, including his zealous support for Trump and, more ominously, his “regular contact” with Russian President Vladimir Putin, as reported by the Wall Street Journal. Despite all of that, the Biden administration has had to deal with him — if not always harmoniously. Expect that to continue if Vice President Kamala Harris wins the presidency.A Trump White House, on the other hand, could help address the litany of complaints Musk has leveled against government agencies. He cried foul after Starlink didn’t qualify to provide service in the $42 billion Broadband Equity, Access, and Deployment Program to bring high-speed internet to rural areas. He has clashed with the Federal Aviation Administration over permits for rocket launches and denounced fines over license violations as “lawfare.” SpaceX blasted the FAA in September for delaying a test launch of its Starship rocket over environmental concerns — a tactic that seemed to work when permission for the launch was then granted earlier than expected. (SpaceX wowed the world by capturing the spent first-stage booster with mechanical “chopsticks” at the launch pad.)Starship's Super Heavy rocket booster is caught mid-air during the fifth flight test in TexasWith Musk ensconced within a Trump administration, federal regulators might feel even less inclined to clash with SpaceX (echoing his preferred regulatory treatment of autonomous vehicles). Musk would wield outsized influence on space policy, an area of special interest to Trump, on whose watch the US Space Force was established. A Trump administration could also be expected to relax the enforcement of regulations for SpaceX in areas such as launch safety and environmental impacts, and likely increase the government’s dependency on it, ignoring the conflicts that would entail.Beyond the domestic sphere, Trump might be tempted to use Musk and his company as a tool for foreign policy. The impact of Starlink’s technology cannot be overstated, especially outside the US. That has made some in the Biden administration nervous because of Musk’s ability to switch the service on or off at will. The Starlink kit typically costs about $600 and is easily deployable. Governments across Latin America, Africa and Asia have granted the company access. Black-market sales elsewhere underscore the scale of demand.No matter who wins the election, government dependency on SpaceX will only grow as the world gears up for a second space race. A Harris victory would temper that relationship with tension over regulations and a dose of mistrust. Under Trump, the SpaceX-government relationship would come with lower guardrails. That could have potentially worrying consequences for safety (if lax regulation ensues), competition and — most important — national security.X is campaign central for TrumpIf Trump wins and does indeed bring Musk inside the White House, X would essentially resemble something previously unthinkable: a US state-run social network.The site’s transformation began in 2022 when Musk, already a power user on the platform, acquired the site for $44 billion, having briefly tried to back out of the deal. Until that point, Musk had used what was then Twitter to mostly hype his businesses — a single tweet could and did send Tesla’s stock price soaring.Musk — back then, at least — was a self-proclaimed “free speech absolutist.” He had long maintained he was a neutral party who would adhere to that standard and avoid promoting any defined political agenda. He reinstated Trump’s personal account — in the interest of free speech, he said — after it had been suspended by previous Twitter leadership in the wake of the Jan. 6 riots at the Capitol.Before long, Musk’s self-described “moderate” politics began to evaporate. Soon, he was livestreaming from the US-Mexico border. He became, statistically, the biggest single peddler of right-wing conspiracy theories on the site. In the immediate aftermath of the assassination attempt on Trump in July, he announced he would endorse the former president — which by then surprised few.Whether this support is due to a genuine belief in Trump’s politics, or a tactic to protect his businesses, is known only to Musk himself. Either way, X has morphed into the communications wing of the Trump campaign.Musk has used his platform to aggressively push the political spending efforts of his America PAC, including amplifying baseless allegations of voter fraud and dangerous exaggerations and falsehoods about immigration and its effects, as our colleagues in Bloomberg News have reported. He has livestreamed his own get-out-the-vote rallies on behalf of Trump. And, at a rate of usually dozens a day, Musk has personally shared numerous pro-Trump posts and conspiracy theories. The virality of Republican messaging on X has soared during the campaign, according to one analysis.This power to aggressively shape the online narrative makes Musk a crucial ally to Trump during a potential second term — and even if he loses. In the event of a Harris victory, X could become the engine room for the opposition. A dedicated X community, backed by Musk, has already been established for sharing “potential incidents” of problems at the polls, laying the groundwork for another “Stop the Steal” effort.X’s struggling business, deserted by many major advertisers, has much to gain from a second Trump term if he uses the site as he did during his presidency. Trump used Twitter as his primary medium for announcing policy when he was in the White House, firing Cabinet members, disparaging critics, claiming inflated crowd sizes and so on.Trump has been less of a voice on X, since having his account reinstated, because there’s money to be made elsewhere. He holds a 57% stake in the company that owns Truth Social, a rival “free speech” platform. Those shares are currently worth about $3.5 billion — though the value is closely tethered to Trump’s electoral prospects and has fluctuated wildly. When Trump Media & Technology Group Corp. went public (ticker: DJT) investors were assured that Trump had agreed to a clause that required his posts, with some vague exceptions, be on Truth Social for six hours before appearing elsewhere. For a full year, Trump posted on X just once — his mugshot.As Election Day has neared, this stipulation has been largely overlooked, suggesting Trump still sees X as politically valuable. He started posting regularly there when Harris became the Democratic nominee. And he took part in a glitch-ridden livestream on the site with Musk during which the duo first floated the idea of Musk joining a Trump administration.Trump hasn’t said what he intends to do with his various business interests if he wins (TMTG did not respond to requests for clarification). Last time around, he placed them in a blind trust controlled by his sons and his longtime chief financial officer, leading to understandable skepticism over how “blind” the trust truly was. Any change in circumstance could pave the way for his full-throated return to X, bringing some desperately needed and bankable long-term engagement to the site.Truth Social isn’t a bona fide X competitor; its sky-high stock price, pegged to hopes of a Trump win, belies its tiny — and one-sided — user base and financial losses. X, meanwhile, would be more than happy to accommodate Trump’s worst excesses in a way that would render Truth Social’s reason for existing largely obsolete.One way or another, Musk could be expected to use his proximity to Trump to further his business goals for X, which include going after advertisers and nonprofits that have abandoned the platform. Musk, counterproductively, is suing some advertisers that avoid the site, accusing them of an “illegal boycott.”Musk’s stated goal of positioning X as an “everything” app, with a major financial services component, might also benefit from some government support. The company has disclosed it has secured money transmitter licenses in 38 US states — but not yet in the critical market of New York.Elsewhere, Musk’s artificial intelligence company, xAI, is on the cusp of a new funding round that would value it at a reported $40 billion (Musk has said previously that X would own 25% of xAI). The xAI startup is Musk’s bid to be part of the booming new sector, having parted ways with OpenAI — which he co-founded — over disagreements with that company’s CEO, Sam Altman.Musk’s xAI is pitched as a viable alternative to OpenAI and competing products being developed by Anthropic and Meta Platforms Inc. It is being trained (partly) on X posts, powering the site’s AI chatbot, Grok.Musk is developing an AI-training supercomputer that came online in Memphis last month. Powering these energy-hungry models is another challenge that a Trump White House could address. The administration would almost certainly loosen restrictions on emissions, making it easier for companies to use gas-fired power, and might be persuaded to pour more funding into nuclear power — all of which would be advantageous to Musk’s push.Becoming the AI model of choice for the federal government is an opportunity worth billions of dollars. Musk’s insistence that his model is an “anti woke” AI, one that contrasts with the supposedly tainted efforts of “Silicon Valley liberals,” would be of great appeal to his potential new boss.Musk’s shrewd risk-taking and market insights have seen him parlay his initial PayPal windfall into an eye-watering fortune, enabling him to reimagine entire industries and to command a level of global influence few businesspeople have ever enjoyed. Musk is both a welcome and rare catalyst for change, and a symbol of the outsized, troubling privileges and access that come with extraordinary wealth. He personifies a world in which one person, unconstrained and seemingly remorseless, can use concentrated riches and power to dominate critical sectors of society and the economy. That, in turn, allows Musk to thumb his nose at convention, civility, the truth and the rule of law. He is, in that sense, a natural partner for Trump.Should Musk enter a Trump administration, what could curb his power — or, at a minimum, ensure that it isn’t exercised merely to serve his own needs? US institutions, including Congress, regulators and courts, would have to stand tall.There’s good reason for pessimism. Trump flouted ethical norms his predecessors had observed during his presidency, reveling in financial and political conflicts of interest that have tested — and may have broken — the law. He went unchecked at crucial moments by law enforcement and Congress. His post-presidential resurgence from the Jan. 6, 2021, siege at the US Capitol made it clear that the Republican Party and tens of millions of American voters didn’t care about his myriad transgressions.Musk has watched Trump skate past many of his problems and is likely to take cues from that journey. He is already accustomed to dealing with accommodating corporate boards and loyal shareholders, so operating unchecked in a second Trump administration would come easily to him.Government bureaucracy alone may offer a check. Musk is used to firing tens of thousands of people as he wishes and pivoting an entire company with a tweet or two. That may make him ill-suited to working through the inertia, frustration and sheer boredom of public governance and consensus-building. He wouldn’t be the first wannabe swamp-drainer to get mired in the ooze instead. Rex Tillerson, another corporate titan used to directing a slick, industry-leading machine in the form of Exxon Mobil Corp., found himself ill-prepared for the workings of the State Department and the skulduggery of the Trump White House.Tillerson also happened to be the first Cabinet official ever to be fired on social media after reportedly describing his boss with a little too much of what Musk might term free speech. Therein may lie another potential check.Trump loves having rich, flashy, aggressive men at his side, and Musk fits the bill. Trump doesn’t like sharing the spotlight, however, especially if his partners have the celebrity status Musk enjoys. It’s a recipe for conflict.After all, we now have two self-interested alpha males in a marriage of convenience who share a fascination with attention, fast money and unbridled power, even at the expense of democracy and the public interest. What could possibly go wrong?","news_type":1},"isVote":1,"tweetType":1,"viewCount":213,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":365633565065384,"gmtCreate":1730266578566,"gmtModify":1730266642276,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"You are stupid to sell TSM if bullish about semicon . I believe the writer is also stupid","listText":"You are stupid to sell TSM if bullish about semicon . I believe the writer is also stupid","text":"You are stupid to sell TSM if bullish about semicon . I believe the writer is also stupid","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":7,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/365633565065384","repostId":"2479426721","repostType":2,"isVote":1,"tweetType":1,"viewCount":72,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":362635616243864,"gmtCreate":1729575960771,"gmtModify":1729575964570,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"No such thing as forever , it will keep flying and reach a point that it will come down. Semicon is cyclical ","listText":"No such thing as forever , it will keep flying and reach a point that it will come down. Semicon is cyclical ","text":"No such thing as forever , it will keep flying and reach a point that it will come down. Semicon is cyclical","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/362635616243864","repostId":"2477990068","repostType":2,"repost":{"id":"2477990068","kind":"highlight","pubTimestamp":1729567615,"share":"https://ttm.financial/m/news/2477990068?lang=&edition=fundamental","pubTime":"2024-10-22 11:26","market":"us","language":"en","title":"Taiwan Semiconductor: Buy And Hold This Stock Forever","url":"https://stock-news.laohu8.com/highlight/detail?id=2477990068","media":"seekingalpha","summary":"SummaryTaiwan Semiconductor Manufacturing Company Limited's stock has risen considerably over the past 12 months.The company's strong moat, operational excellence, and robust growth have fueled invest","content":"<html><head></head><body><h2 id=\"id_2807934737\">Summary</h2><ul style=\"\"><li><p>Taiwan Semiconductor Manufacturing Company Limited's stock has risen considerably over the past 12 months.</p></li><li><p>The company's strong moat, operational excellence, and robust growth have fueled investor optimism.</p></li><li><p>TSMC is one of my stocks to own forever.</p></li></ul><p><strong>Taiwan Semiconductor Manufacturing Company Limited </strong>aka<strong> TSMC</strong> (NYSE:TSM) reported earnings last week to great fanfare, as the stock added a 5+% rally on top of a share price that has already more than doubled over the last 12 months. Even after this run-up, TSM remains one of my favorite picks for the simple reason that it has all the hallmarks of a business to own forever: it has a wide moat, is positioned in an essential and growing sector, and has demonstrated unparalleled operational excellence. Buy TSM and don't let go.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/45dfa7f35f6fb5652725f3d870b86336\" alt=\"Data by YCharts\" title=\"Data by YCharts\" tg-width=\"635\" tg-height=\"424\"/><span>Data by YCharts</span></p><p>With AI demand continuing to surge and stock valuations soaring, expectations were fairly high for TSMC's Q3 results: as the world's pre-eminent chip manufacturer, servicing almost all the leading semiconductor design companies, TSMC is a bellwether for the health of the tech sector and the economy at large. Even so, the company was able to surpass those lofty expectations and further fuel investor optimism over its ability to maintain its dominant market position. Let's recap the most recent earnings results.</p><p>TSMC reported quarterly revenue of $23.5 billion, up 39% YoY and 12% QoQ, EPS of $1.94, up 54% YoY and 31% QoQ, and gross margin of 57.8%, up 350 bps YoY and 450 bps QoQ. As far as core metrics go, not many companies are achieving this level of growth on a revenue base this high with a margin this lucrative. Contract manufacturing in most industries is a low-margin race to the bottom. However, TSMC is so far ahead of the competition, which is really just Samsung Electronics Co., Ltd. (OTCPK:SSNLF) and Intel Corporation (INTC), that it has been able to consistently achieve an outsized net profit margin, including a record-high 42.8% for Q3 2024.</p><p>On the balance sheet side, the company is in great shape as cash & equivalents have ballooned to nearly $60 billion, up 44% YoY, compared to just $28 billion in long-term debt, which is actually slightly down from Q3 2023. And while TSMC's business is highly capital intensive, the cash flows look pristine as well with $5.7 billion in free cash flow, adding to the stockpile and easily covering the $2.8 billion quarterly dividend payment.</p><p>Guidance was equally upbeat with revenue expected between $26.1 billion and $26.9 billion, up 35% YoY and 13% QoQ at the midpoint, and margins expected to be flat or see a slight increase.</p><p>When it comes to TSMC, you can usually get a finger on the pulse of management's expectations by following capital expenditures, which the company ramps up and down based on the demand profile for the coming quarters. In that vein, TSMC boosted CapEx guidance for FY2024 to be slightly above its original $30 billion estimate and projected, without specifying a number, that FY2025 CapEx will likely be higher still.</p><p>For those following the semiconductor space, this steady march higher in spending should perhaps come as no surprise. NVIDIA Corporation (NVDA) is in the midst of launching its next-generation Blackwell AI chips, the demand for which CEO Jensen Huang characterized as “insane.” Apple Inc. (AAPL) is placing massive orders for capacity on TSMC's most cutting-edge node (N3) for its iPhones and Mac laptops. Advanced Micro Devices, Inc. (AMD) is using TSMC for its various CPU and AI accelerator offerings. QUALCOMM Incorporated (QCOM) has booked capacity for its Snapdragon mobile chips, and even Intel contracted out its Arrow Lake processors to TSMC after ditching volume production on its 20A process node.</p><p>This who's who of semiconductor design behemoths demonstrates just how far ahead TSMC is compared to the competition: the world's largest companies fight over its capacity for their most advanced SoCs and pay top dollar for it. And while TSMC has demonstrated operational excellence, Intel and Samsung have faltered recently. After being the undisputed king of the foundry for decades, Intel flubbed its 10nm process (re-branded Intel 7), eliminating what was viewed as an insurmountable moat. For an article that chronicles this downfall contemporaneously, you can read my piece about Intel's 10nm debacle from 2019 here.</p><p>Intel has shown progress recently with a more aggressive approach to node development timelines, which, I think, has resulted in what could very well be a competitive node in 2025, dubbed 20A. However, TSMC has now established a technological lead, an operational lead, and a customer lead that won't be easily disrupted.</p><p>As for Samsung, though it remains a leader in memory chip manufacturing, logic chips have been a tougher nut to crack. After previously boasting Qualcomm as one of its major customers, Samsung was unable to sufficiently scale its 3nm process to Qualcomm's satisfaction, prompting the latter to move all major orders to TSMC. It was further reported last week that Samsung had delayed taking shipment of EUV lithography machines, which are used in the manufacturing of advanced chips, from Dutch company ASML Holding N.V. (ASML). These were originally intended for Samsung's upcoming fab in Texas, which has also seen some on-site staff from the company sent back to South Korea.</p><p>At this point, Intel and Samsung are fighting over whatever scraps are left on the table as TSMC continues to massively expand manufacturing capacity to capture as much of the market as possible. And once that market share is captured and customers are locked in, it's difficult to pry them away. Due to this significant lead, the ever-expanding demand for semiconductor manufacturing, and the operational excellence the company continues to demonstrate, I'm having a hard time thinking of a company that is more set for long-term success than TSMC.</p><p>Whether it's generative AI, smartphones, servers, or whatever the next five or ten secular trends appear to entail, TSMC is positioned to profit from whatever comes down the pipe. Yes, there is the risk that competitors will catch up and margins will fall off slightly. Or, that an economic recession will cripple end-user demand and cause major capacity utilization issues. AI could end up being massively scaled back due to a lack of applications. However, there will always be someone willing to pay a hefty sum for a contract manufacturer that can deliver on the bleeding edge, on time, and within specifications.</p><p>With how much cash TSMC is pulling in, I expect to see a steady increase in the dividend over the foreseeable future:</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/632e926e32146bfceded9145c1f0dab8\" alt=\"Data by YCharts\" title=\"Data by YCharts\" tg-width=\"635\" tg-height=\"491\"/><span>Data by YCharts</span></p><p>It has already begun creeping up, but with the payout ratio falling and cash piling up on the balance sheet, I expect the company to begin returning capital to shareholders at a higher rate. In fact, one of my main criticisms would be management's current reluctance to spend cash, so I'll be keeping a watchful eye on that in the coming quarters and years.</p><p>While the valuation might be considered rich at a forward P/E of around 28, the high revenue base paired with robust growth and best-in-class margins makes the stock attractive. Beyond just next year's earnings, TSMC's market position is perhaps one of the best of any company in the market today and I intend to hold my shares for a very long time, if not forever.</p><h2 id=\"id_2443855904\">Investor Takeaway</h2><p>TSMC is the undisputed leader in a sector that will be critical for corporate and national security interests for decades to come. The company is generating record revenue, earnings, margins, and cash flow on the back of secular trends like AI and will continue to benefit whatever the next trend may be. Operational excellence and unparalleled execution have made and will continue to make TSMC the go-to foundry of choice for the world's top tech companies.</p><p>While the stock may waffle or drop in the coming years, whether due to a dip in AI demand or the specter of an economic recession or the arrival of an actual economic recession, I will use that as an opportunity to add to my position. I'm rating TSM a Strong Buy, and it's a stock I intend to own forever.</p></body></html>","source":"seekingalpha","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Taiwan Semiconductor: Buy And Hold This Stock Forever</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nTaiwan Semiconductor: Buy And Hold This Stock Forever\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-10-22 11:26 GMT+8 <a href=https://seekingalpha.com/article/4728056-taiwan-semiconductor-buy-and-hold-this-stock-forever><strong>seekingalpha</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>SummaryTaiwan Semiconductor Manufacturing Company Limited's stock has risen considerably over the past 12 months.The company's strong moat, operational excellence, and robust growth have fueled ...</p>\n\n<a href=\"https://seekingalpha.com/article/4728056-taiwan-semiconductor-buy-and-hold-this-stock-forever\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"TSM":"台积电"},"source_url":"https://seekingalpha.com/article/4728056-taiwan-semiconductor-buy-and-hold-this-stock-forever","is_english":true,"share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","article_id":"2477990068","content_text":"SummaryTaiwan Semiconductor Manufacturing Company Limited's stock has risen considerably over the past 12 months.The company's strong moat, operational excellence, and robust growth have fueled investor optimism.TSMC is one of my stocks to own forever.Taiwan Semiconductor Manufacturing Company Limited aka TSMC (NYSE:TSM) reported earnings last week to great fanfare, as the stock added a 5+% rally on top of a share price that has already more than doubled over the last 12 months. Even after this run-up, TSM remains one of my favorite picks for the simple reason that it has all the hallmarks of a business to own forever: it has a wide moat, is positioned in an essential and growing sector, and has demonstrated unparalleled operational excellence. Buy TSM and don't let go.Data by YChartsWith AI demand continuing to surge and stock valuations soaring, expectations were fairly high for TSMC's Q3 results: as the world's pre-eminent chip manufacturer, servicing almost all the leading semiconductor design companies, TSMC is a bellwether for the health of the tech sector and the economy at large. Even so, the company was able to surpass those lofty expectations and further fuel investor optimism over its ability to maintain its dominant market position. Let's recap the most recent earnings results.TSMC reported quarterly revenue of $23.5 billion, up 39% YoY and 12% QoQ, EPS of $1.94, up 54% YoY and 31% QoQ, and gross margin of 57.8%, up 350 bps YoY and 450 bps QoQ. As far as core metrics go, not many companies are achieving this level of growth on a revenue base this high with a margin this lucrative. Contract manufacturing in most industries is a low-margin race to the bottom. However, TSMC is so far ahead of the competition, which is really just Samsung Electronics Co., Ltd. (OTCPK:SSNLF) and Intel Corporation (INTC), that it has been able to consistently achieve an outsized net profit margin, including a record-high 42.8% for Q3 2024.On the balance sheet side, the company is in great shape as cash & equivalents have ballooned to nearly $60 billion, up 44% YoY, compared to just $28 billion in long-term debt, which is actually slightly down from Q3 2023. And while TSMC's business is highly capital intensive, the cash flows look pristine as well with $5.7 billion in free cash flow, adding to the stockpile and easily covering the $2.8 billion quarterly dividend payment.Guidance was equally upbeat with revenue expected between $26.1 billion and $26.9 billion, up 35% YoY and 13% QoQ at the midpoint, and margins expected to be flat or see a slight increase.When it comes to TSMC, you can usually get a finger on the pulse of management's expectations by following capital expenditures, which the company ramps up and down based on the demand profile for the coming quarters. In that vein, TSMC boosted CapEx guidance for FY2024 to be slightly above its original $30 billion estimate and projected, without specifying a number, that FY2025 CapEx will likely be higher still.For those following the semiconductor space, this steady march higher in spending should perhaps come as no surprise. NVIDIA Corporation (NVDA) is in the midst of launching its next-generation Blackwell AI chips, the demand for which CEO Jensen Huang characterized as “insane.” Apple Inc. (AAPL) is placing massive orders for capacity on TSMC's most cutting-edge node (N3) for its iPhones and Mac laptops. Advanced Micro Devices, Inc. (AMD) is using TSMC for its various CPU and AI accelerator offerings. QUALCOMM Incorporated (QCOM) has booked capacity for its Snapdragon mobile chips, and even Intel contracted out its Arrow Lake processors to TSMC after ditching volume production on its 20A process node.This who's who of semiconductor design behemoths demonstrates just how far ahead TSMC is compared to the competition: the world's largest companies fight over its capacity for their most advanced SoCs and pay top dollar for it. And while TSMC has demonstrated operational excellence, Intel and Samsung have faltered recently. After being the undisputed king of the foundry for decades, Intel flubbed its 10nm process (re-branded Intel 7), eliminating what was viewed as an insurmountable moat. For an article that chronicles this downfall contemporaneously, you can read my piece about Intel's 10nm debacle from 2019 here.Intel has shown progress recently with a more aggressive approach to node development timelines, which, I think, has resulted in what could very well be a competitive node in 2025, dubbed 20A. However, TSMC has now established a technological lead, an operational lead, and a customer lead that won't be easily disrupted.As for Samsung, though it remains a leader in memory chip manufacturing, logic chips have been a tougher nut to crack. After previously boasting Qualcomm as one of its major customers, Samsung was unable to sufficiently scale its 3nm process to Qualcomm's satisfaction, prompting the latter to move all major orders to TSMC. It was further reported last week that Samsung had delayed taking shipment of EUV lithography machines, which are used in the manufacturing of advanced chips, from Dutch company ASML Holding N.V. (ASML). These were originally intended for Samsung's upcoming fab in Texas, which has also seen some on-site staff from the company sent back to South Korea.At this point, Intel and Samsung are fighting over whatever scraps are left on the table as TSMC continues to massively expand manufacturing capacity to capture as much of the market as possible. And once that market share is captured and customers are locked in, it's difficult to pry them away. Due to this significant lead, the ever-expanding demand for semiconductor manufacturing, and the operational excellence the company continues to demonstrate, I'm having a hard time thinking of a company that is more set for long-term success than TSMC.Whether it's generative AI, smartphones, servers, or whatever the next five or ten secular trends appear to entail, TSMC is positioned to profit from whatever comes down the pipe. Yes, there is the risk that competitors will catch up and margins will fall off slightly. Or, that an economic recession will cripple end-user demand and cause major capacity utilization issues. AI could end up being massively scaled back due to a lack of applications. However, there will always be someone willing to pay a hefty sum for a contract manufacturer that can deliver on the bleeding edge, on time, and within specifications.With how much cash TSMC is pulling in, I expect to see a steady increase in the dividend over the foreseeable future:Data by YChartsIt has already begun creeping up, but with the payout ratio falling and cash piling up on the balance sheet, I expect the company to begin returning capital to shareholders at a higher rate. In fact, one of my main criticisms would be management's current reluctance to spend cash, so I'll be keeping a watchful eye on that in the coming quarters and years.While the valuation might be considered rich at a forward P/E of around 28, the high revenue base paired with robust growth and best-in-class margins makes the stock attractive. Beyond just next year's earnings, TSMC's market position is perhaps one of the best of any company in the market today and I intend to hold my shares for a very long time, if not forever.Investor TakeawayTSMC is the undisputed leader in a sector that will be critical for corporate and national security interests for decades to come. The company is generating record revenue, earnings, margins, and cash flow on the back of secular trends like AI and will continue to benefit whatever the next trend may be. Operational excellence and unparalleled execution have made and will continue to make TSMC the go-to foundry of choice for the world's top tech companies.While the stock may waffle or drop in the coming years, whether due to a dip in AI demand or the specter of an economic recession or the arrival of an actual economic recession, I will use that as an opportunity to add to my position. I'm rating TSM a Strong Buy, and it's a stock I intend to own forever.","news_type":1},"isVote":1,"tweetType":1,"viewCount":254,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":360875790336304,"gmtCreate":1729145875843,"gmtModify":1729145879854,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"He can buy again today to undo past mistake [Happy] ","listText":"He can buy again today to undo past mistake [Happy] ","text":"He can buy again today to undo past mistake [Happy]","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":0,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/360875790336304","repostId":"2476944895","repostType":2,"repost":{"id":"2476944895","kind":"highlight","pubTimestamp":1729136921,"share":"https://ttm.financial/m/news/2476944895?lang=&edition=fundamental","pubTime":"2024-10-17 11:48","market":"us","language":"en","title":"Druckenmiller: \"Selling All My Nvidia Was a Big Mistake\"","url":"https://stock-news.laohu8.com/highlight/detail?id=2476944895","media":"Seekingalpha","summary":"Billionaire investor Stanley Druckenmiller said that selling his $Nvidia$ position was a big mistake.In a Bloomberg interview, the head of Duquesne Family Office said he now owns no Nvidia shares.He explained that he thought Nvidia’s valuation was rich.“We are long-term believers in AI,” he said. “And there are still many ways we're playing [the AI theme], particularly in the infrastructure that's being built out to support the power needed.”Druckenmiller said he thinks Nvidia “is a wonderful co","content":"<html><head></head><body><p>Billionaire investor Stanley Druckenmiller said that selling his <a href=\"https://laohu8.com/S/NVDA\">Nvidia</a> position was a big mistake.</p><p style=\"text-align: left;\">In a Bloomberg interview, the head of Duquesne Family Office said he now owns no Nvidia shares.</p><p style=\"text-align: left;\">He explained that he thought Nvidia’s valuation was rich.</p><p style=\"text-align: left;\">“We are long-term believers in AI,” he said. “And there are still many ways we're playing [the AI theme], particularly in the infrastructure that's being built out to support the power needed.”</p><p style=\"text-align: left;\">Druckenmiller said he thinks Nvidia “is a wonderful company,” and that “when the pressure comes down, we [will] get involved again.”</p><p style=\"text-align: left;\">“But right now, I'm licking my wounds from a bad sell there.”</p></body></html>","source":"seekingalpha_trending_news","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Druckenmiller: \"Selling All My Nvidia Was a Big Mistake\"</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nDruckenmiller: \"Selling All My Nvidia Was a Big Mistake\"\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-10-17 11:48 GMT+8 <a href=https://seekingalpha.com/news/4166264-druckenmiller-selling-all-my-nvidia-was-a-big-mistake><strong>Seekingalpha</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Billionaire investor Stanley Druckenmiller said that selling his Nvidia position was a big mistake.In a Bloomberg interview, the head of Duquesne Family Office said he now owns no Nvidia shares.He ...</p>\n\n<a href=\"https://seekingalpha.com/news/4166264-druckenmiller-selling-all-my-nvidia-was-a-big-mistake\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"IE00BKVL7J92.USD":"Legg Mason ClearBridge - US Equity Sustainability Leaders A Acc USD","IE00B19Z8W00.USD":"FTGF CLEARBRIDGE US LARGE CAP GROWTH \"A\" INC","BK4534":"瑞士信贷持仓","BK4533":"AQR资本管理(全球第二大对冲基金)","IE00B4JS1V06.HKD":"JANUS HENDERSON BALANCED \"A2\" (HKD) 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Acc","BK4567":"ESG概念"},"source_url":"https://seekingalpha.com/news/4166264-druckenmiller-selling-all-my-nvidia-was-a-big-mistake","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"2476944895","content_text":"Billionaire investor Stanley Druckenmiller said that selling his Nvidia position was a big mistake.In a Bloomberg interview, the head of Duquesne Family Office said he now owns no Nvidia shares.He explained that he thought Nvidia’s valuation was rich.“We are long-term believers in AI,” he said. “And there are still many ways we're playing [the AI theme], particularly in the infrastructure that's being built out to support the power needed.”Druckenmiller said he thinks Nvidia “is a wonderful company,” and that “when the pressure comes down, we [will] get involved again.”“But right now, I'm licking my wounds from a bad sell there.”","news_type":1},"isVote":1,"tweetType":1,"viewCount":254,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":360623186358480,"gmtCreate":1729068594110,"gmtModify":1729071399350,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"If government wants to interfere who ASML can sell to, it is doom case for ASML","listText":"If government wants to interfere who ASML can sell to, it is doom case for ASML","text":"If government wants to interfere who ASML can sell to, it is doom case for ASML","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/360623186358480","repostId":"2475641636","repostType":2,"repost":{"id":"2475641636","kind":"highlight","weMediaInfo":{"introduction":"Reuters.com brings you the latest news from around the world, covering breaking news in markets, business, politics, entertainment and technology","home_visible":1,"media_name":"Reuters","id":"1036604489","head_image":"https://static.tigerbbs.com/443ce19704621c837795676028cec868"},"pubTimestamp":1729042500,"share":"https://ttm.financial/m/news/2475641636?lang=&edition=fundamental","pubTime":"2024-10-16 09:35","market":"us","language":"en","title":"ASML's Lowered Outlook Suggests Factory Overcapacity, Not Chip Doom","url":"https://stock-news.laohu8.com/highlight/detail?id=2475641636","media":"Reuters","summary":"Oct 15 (Reuters) - Computer chip equipment maker ASML's deep cuts to its 2025 sales forecast sparked a sell-off in chip stocks on Tuesday over worries that global chip demand may be faltering.The weak","content":"<html><head></head><body><p>Oct 15 (Reuters) - Computer chip equipment maker ASML's deep cuts to its 2025 sales forecast sparked a sell-off in chip stocks on Tuesday over worries that global chip demand may be faltering.</p><p>The weaker outlook could, instead, reflect some overcapacity at chip factories that had already stocked up on ASML's pricey tools during the pandemic and have become better at using them to produce a larger numbers of chips, analysts said.</p><p>ASML's stock plummeted to its biggest single-day loss in a quarter century on its downgraded forecast. In results that the company inadvertently posted a day ahead of schedule, ASML said it expects 2025 total net sales of 30 billion-35 billion euros, near the bottom of its previous forecast.</p><p>That dragged down a large swath of the semiconductor industry because ASML has a near-monopoly on critical tools used by TSMC, Intel, and Samsung Electronics to make advanced chips.</p><p>Spurred by blockbuster demand for chips during the pandemic, these chipmakers built extra capacity. That growth stabilized as supply chains eased, leaving them to wait to order new tools until their factories looked ready to overflow with orders.</p><p>ASML's forecast was a lagging indicator of what has been playing out at these chip factories for months, analysts said.</p><p>The company said in a statement that despite a boom in AI-related chips, other parts of the semiconductor market were weaker for longer than expected, leading companies that make logic chips to delay orders and customers that make memory chips to only plan "limited" new capacity additions.</p><p>Intel, TSMC and Samsung are pulling back on orders from ASML because they have realized there is plenty of capacity, said Dan Hutcheson, vice chair at analyst firm TechInsights.</p><p>Chip factory usage is around 81% this year, but manufacturers tend to buy tools when that gets into the mid-90% range, Hutcheson said. Intel has slowed down its factory expansion, which suggests Samsung and TSMC will also be cautious, he said.</p><p>Chip stockpiles remain high, and chipmakers have become more efficient with ASML's tools, meaning they can make more chips without having to order more.</p><p>Handel Jones, CEO of International Business Strategies, which tracks the chipmaking industry, has slashed the number of steps where ASML's flagship machines are used, sometimes by almost a third.</p><p>Jones said Samsung, for example, may be able to use cutting edge chip-etching technology to reduce the number of steps using ASML's flagship machines from five or six down to one or two.</p><p>If successful, Samsung could have significant excess capacity for those machines, known as extreme ultraviolet lithography machines, he said.</p><p>Jones said he had not changed any of his overall chip industry forecasts, which call for booming demand for AI chips and AI-specific memory chips.</p><p>"This is a short-term blip. In the long term, it's going to be okay," Jones said.</p></body></html>","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>ASML's Lowered Outlook Suggests Factory Overcapacity, Not Chip Doom</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nASML's Lowered Outlook Suggests Factory Overcapacity, Not Chip Doom\n</h2>\n\n<h4 class=\"meta\">\n\n\n<a class=\"head\" href=\"https://laohu8.com/wemedia/1036604489\">\n\n\n<div class=\"h-thumb\" style=\"background-image:url(https://static.tigerbbs.com/443ce19704621c837795676028cec868);background-size:cover;\"></div>\n\n<div class=\"h-content\">\n<p class=\"h-name\">Reuters </p>\n<p class=\"h-time\">2024-10-16 09:35</p>\n</div>\n\n</a>\n\n\n</h4>\n\n</header>\n<article>\n<html><head></head><body><p>Oct 15 (Reuters) - Computer chip equipment maker ASML's deep cuts to its 2025 sales forecast sparked a sell-off in chip stocks on Tuesday over worries that global chip demand may be faltering.</p><p>The weaker outlook could, instead, reflect some overcapacity at chip factories that had already stocked up on ASML's pricey tools during the pandemic and have become better at using them to produce a larger numbers of chips, analysts said.</p><p>ASML's stock plummeted to its biggest single-day loss in a quarter century on its downgraded forecast. In results that the company inadvertently posted a day ahead of schedule, ASML said it expects 2025 total net sales of 30 billion-35 billion euros, near the bottom of its previous forecast.</p><p>That dragged down a large swath of the semiconductor industry because ASML has a near-monopoly on critical tools used by TSMC, Intel, and Samsung Electronics to make advanced chips.</p><p>Spurred by blockbuster demand for chips during the pandemic, these chipmakers built extra capacity. That growth stabilized as supply chains eased, leaving them to wait to order new tools until their factories looked ready to overflow with orders.</p><p>ASML's forecast was a lagging indicator of what has been playing out at these chip factories for months, analysts said.</p><p>The company said in a statement that despite a boom in AI-related chips, other parts of the semiconductor market were weaker for longer than expected, leading companies that make logic chips to delay orders and customers that make memory chips to only plan "limited" new capacity additions.</p><p>Intel, TSMC and Samsung are pulling back on orders from ASML because they have realized there is plenty of capacity, said Dan Hutcheson, vice chair at analyst firm TechInsights.</p><p>Chip factory usage is around 81% this year, but manufacturers tend to buy tools when that gets into the mid-90% range, Hutcheson said. Intel has slowed down its factory expansion, which suggests Samsung and TSMC will also be cautious, he said.</p><p>Chip stockpiles remain high, and chipmakers have become more efficient with ASML's tools, meaning they can make more chips without having to order more.</p><p>Handel Jones, CEO of International Business Strategies, which tracks the chipmaking industry, has slashed the number of steps where ASML's flagship machines are used, sometimes by almost a third.</p><p>Jones said Samsung, for example, may be able to use cutting edge chip-etching technology to reduce the number of steps using ASML's flagship machines from five or six down to one or two.</p><p>If successful, Samsung could have significant excess capacity for those machines, known as extreme ultraviolet lithography machines, he said.</p><p>Jones said he had not changed any of his overall chip industry forecasts, which call for booming demand for AI chips and AI-specific memory chips.</p><p>"This is a short-term blip. In the long term, it's going to be okay," Jones said.</p></body></html>\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"IE0002270589.USD":"LEGG MASON CLEARBRIDGE VALUE \"A\" (USD) INC","IE00BD6J9T35.USD":"NEUBERGER BERMAN NEXT GENERATION MOBILITY \"A\" (USD) ACC","BK4566":"资本集团","BK4535":"淡马锡持仓","BK4527":"明星科技股","LU0127658192.USD":"EASTSPRING INVESTMENTS GLOBAL TECHNOLOGY \"A\" (USD) ACC","LU2286300806.USD":"Allianz Cyber Security AT Acc USD","BK4579":"人工智能","BK4588":"碎股","BK4550":"红杉资本持仓","BK4141":"半导体产品","ASML":"阿斯麦","LU1316542783.SGD":"Janus Henderson Horizon Global Technology Leaders A2 SGD","LU0889566641.SGD":"FTSF - Templeton Shariah Global Equity A Acc SGD","IE00B7SZLL34.SGD":"Legg Mason ClearBridge - Value A Acc SGD-H","LU2250418816.HKD":"BGF WORLD TECHNOLOGY \"A\" (HKD) ACC","IE0004445239.USD":"JANUS HENDERSON US FORTY \"A2\" (USD) ACC","LU0792757196.USD":"TEMPLETON SHARIAH GLOBAL EQUITY FUND \"A\" (USD) ACC","BK4512":"苹果概念","LU0642271901.SGD":"Janus Henderson Horizon Global Technology Leaders A2 SGD-H","LU1852331112.SGD":"Blackrock World Technology Fund A2 SGD-H","IE00B19Z3581.USD":"Legg Mason ClearBridge - Value A Acc USD","LU0082616367.USD":"摩根大通美国科技A(dist)","LU2360106780.USD":"BGF WORLD TECHNOLOGY \"A4\" (USD) INC","LU0056508442.USD":"贝莱德世界科技基金A2","GB00BDT5M118.USD":"天利环球扩展Alpha基金A Acc","LU0719512351.SGD":"JPMorgan Funds - US Technology A (acc) SGD","IE00B19Z3B42.SGD":"Legg Mason ClearBridge - Value A Acc SGD","BK4529":"IDC概念","LU1734074674.USD":"NINETY ONE GSF ASIA PACIFIC FRANCHISE \"A\"(USD) ACC","LU0321505439.SGD":"Schroder ISF Global Dividend Maximiser A Acc SGD","LU0081259029.USD":"UBS (LUX) EQUITY FUND - TECH OPPORTUNITY \"P\" (USD) ACC","BK4554":"元宇宙及AR概念","BK4532":"文艺复兴科技持仓","LU2063271972.USD":"富兰克林创新领域基金","LU1267930813.SGD":"FRANKLIN TEMPLETON SHARIAH GLOBAL EQUITY \"AS\" (SGD) ACC","BK4515":"5G概念","BK4553":"喜马拉雅资本持仓","LU0097036916.USD":"贝莱德美国增长A2 USD","BK4534":"瑞士信贷持仓","BK4585":"ETF&股票定投概念","LU0321505868.SGD":"Schroder ISF Global Dividend Maximiser A Dis SGD","BK4147":"半导体设备","BK4533":"AQR资本管理(全球第二大对冲基金)","BK4575":"芯片概念"},"source_url":"https://api.rkd.refinitiv.com/api/News/News.svc/REST/News_1/RetrieveStoryML_1","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"2475641636","content_text":"Oct 15 (Reuters) - Computer chip equipment maker ASML's deep cuts to its 2025 sales forecast sparked a sell-off in chip stocks on Tuesday over worries that global chip demand may be faltering.The weaker outlook could, instead, reflect some overcapacity at chip factories that had already stocked up on ASML's pricey tools during the pandemic and have become better at using them to produce a larger numbers of chips, analysts said.ASML's stock plummeted to its biggest single-day loss in a quarter century on its downgraded forecast. In results that the company inadvertently posted a day ahead of schedule, ASML said it expects 2025 total net sales of 30 billion-35 billion euros, near the bottom of its previous forecast.That dragged down a large swath of the semiconductor industry because ASML has a near-monopoly on critical tools used by TSMC, Intel, and Samsung Electronics to make advanced chips.Spurred by blockbuster demand for chips during the pandemic, these chipmakers built extra capacity. That growth stabilized as supply chains eased, leaving them to wait to order new tools until their factories looked ready to overflow with orders.ASML's forecast was a lagging indicator of what has been playing out at these chip factories for months, analysts said.The company said in a statement that despite a boom in AI-related chips, other parts of the semiconductor market were weaker for longer than expected, leading companies that make logic chips to delay orders and customers that make memory chips to only plan \"limited\" new capacity additions.Intel, TSMC and Samsung are pulling back on orders from ASML because they have realized there is plenty of capacity, said Dan Hutcheson, vice chair at analyst firm TechInsights.Chip factory usage is around 81% this year, but manufacturers tend to buy tools when that gets into the mid-90% range, Hutcheson said. Intel has slowed down its factory expansion, which suggests Samsung and TSMC will also be cautious, he said.Chip stockpiles remain high, and chipmakers have become more efficient with ASML's tools, meaning they can make more chips without having to order more.Handel Jones, CEO of International Business Strategies, which tracks the chipmaking industry, has slashed the number of steps where ASML's flagship machines are used, sometimes by almost a third.Jones said Samsung, for example, may be able to use cutting edge chip-etching technology to reduce the number of steps using ASML's flagship machines from five or six down to one or two.If successful, Samsung could have significant excess capacity for those machines, known as extreme ultraviolet lithography machines, he said.Jones said he had not changed any of his overall chip industry forecasts, which call for booming demand for AI chips and AI-specific memory chips.\"This is a short-term blip. In the long term, it's going to be okay,\" Jones said.","news_type":1},"isVote":1,"tweetType":1,"viewCount":104,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":358506692878512,"gmtCreate":1728534286971,"gmtModify":1728534290879,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"When one didn't buy, will say expensive . Once bought , will say cheap and all the nice words to promote ","listText":"When one didn't buy, will say expensive . Once bought , will say cheap and all the nice words to promote ","text":"When one didn't buy, will say expensive . Once bought , will say cheap and all the nice words to promote","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":2,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/358506692878512","repostId":"2474062082","repostType":2,"repost":{"id":"2474062082","kind":"highlight","pubTimestamp":1728518400,"share":"https://ttm.financial/m/news/2474062082?lang=&edition=fundamental","pubTime":"2024-10-10 08:00","market":"us","language":"en","title":"Nvidia Is Still Undervalued, Says $50 Billion Manager Impax","url":"https://stock-news.laohu8.com/highlight/detail?id=2474062082","media":"Bloomberg","summary":"Impax is best known as an investor in the green transitionSlump helped Impax buy into Nvidia after missing earlier rallyNvidia Corp. share-price slump earlier this year resulted in a peak-to-trough de","content":"<html><head></head><body><ul style=\"\"><li><p>Impax is best known as an investor in the green transition</p></li><li><p>Slump helped Impax buy into Nvidia after missing earlier rally</p></li></ul><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/b6d6420f61bafe958cdc355f6c52f1d9\" alt=\"Nvidia Corp. share-price slump earlier this year resulted in a peak-to-trough decline in its market value of close to $1 trillion.\" title=\"Nvidia Corp. share-price slump earlier this year resulted in a peak-to-trough decline in its market value of close to $1 trillion.\" tg-width=\"2000\" tg-height=\"1334\"/><span>Nvidia Corp. share-price slump earlier this year resulted in a peak-to-trough decline in its market value of close to $1 trillion.</span></p><p style=\"text-align: start;\">As Nvidia Corp. found itself the target of a deep selloff earlier this year, Impax Asset Management was quietly seizing the moment to build a stake it had long regretted not owning.</p><p style=\"text-align: start;\">Ian Simm, chief executive officer and founder of the $50 billion London-based asset manager, says he and his team had been looking for an opportunity to correct what they had come to realize was a wrong call a few years ago, which meant missing out on Nvidia’s stunning 800% rally since the beginning of 2023.</p><p style=\"text-align: start;\">“We just underestimated the market potential of their product,” Simm said in an interview. Impax had been looking for a way in, but Nvidia “was expensive.” That is, “until it had a selloff.”</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/97ee59f46aa0ddbad37109df8339cc8d\" alt=\"Ian Simm\" title=\"Ian Simm\" tg-width=\"1997\" tg-height=\"1331\"/><span>Ian Simm</span></p><p>Nvidia’s share-price slump earlier this year resulted in a peak-to-trough decline in its market value of close to $1 trillion. Though much of that has since been recouped, Simm says he thinks the company’s current valuation of more than $3.2 trillion understates what it’s really worth.</p><p>Established in 1998, Impax has made a name for itself as a giant among asset managers focused on the transition to a more sustainable economy. Simm says that goal should be compatible with making money for his clients. But it’s been a tough sell of late.</p><p>Over the past couple of years, a spike in interest rates, an energy crisis and the ascent of the so-called Magnificent Seven of technology behemoths have turned green investing into a losing bet. Impax’s own share price is down almost 30% this year, while the S&P Global Clean Energy Index has lost more than 10%. The S&P 500, meanwhile, is up more than 20% in the same period.</p><p>Earlier this week, Impax reported results that showed gains in listed equities of £5.3 billion ($6.9 billion) for the fiscal year ended Sept. 30. Still, that was less than the £5.8 billion of net outflows that Impax suffered in the period.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/47d9ff61fa44f42ca04aa964a6520ca2\" tg-width=\"1200\" tg-height=\"675\"/></p><p>Simm says Impax is learning from the past few years and focusing more on Big Tech, as it looks for undervalued opportunities to generate bigger returns.</p><p style=\"text-align: start;\">“Frankly, we’ve underperformed for the last couple of years in our main strategies because we’ve been more growth-at-a-reasonable-price, staying away from the momentum and hype around mega-cap tech investing,” he said.</p><p style=\"text-align: start;\">As Nvidia’s share price was falling in June, Impax more than tripled its stake in the company to 4.9 million shares by the end of the month from 1.4 million shares at the end of the first quarter, according to data compiled by Bloomberg and confirmed by Impax.</p><p style=\"text-align: start;\">Simm says Impax still considers Nvidia to be undervalued when taking into account how the boom in artificial intelligence is expected to drive demand for its chips.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/e63409af9d4285f9000a4bc407dc8f16\" tg-width=\"1200\" tg-height=\"675\"/></p><p style=\"text-align: start;\">Simm says holding Nvidia, which like other technology giants needs to consume vast stores of energy to power its growth, also makes investing sense from a climate perspective. As demand for energy continues to increase, Nvidia and other companies that develop more efficient models will be better for the environment, he says.</p><p style=\"text-align: start;\">Nvidia’s Blackwell chips, which are beginning to roll out to customers this year, would need 3 gigawatts of power to develop OpenAI’s GPT-4 software, the company said at an event earlier this month. Ten years ago, that process would have required 5,500 gigawatts, the chipmaker said.</p><p style=\"text-align: start;\">“Nvidia’s ability to deliver energy savings makes it even more valuable,” Simm said.</p><p style=\"text-align: start;\">Impax holds Nvidia in five strategies and funds. That includes its Global Opportunities portfolio, which is limited to 40 stocks and consists of companies that have a diversified business model, operate in high-growth markets and are “out of favor for whatever reason,” Simm said. Microsoft Corp. is included because Impax thinks it’s undervalued “in the context of the secular trend toward more AI,” he said.</p><p style=\"text-align: start;\">In fact, “the whole industrial space” now looks undervalued, Simm said. That may change as a “soft landing in the US” looks increasingly likely, which is helping restore confidence, he said. The cost of capital is falling and consumer sentiment is stabilizing, so equity “is looking more attractive.”</p></body></html>","source":"lsy1584095487587","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Nvidia Is Still Undervalued, Says $50 Billion Manager Impax</title>\n<style 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}\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNvidia Is Still Undervalued, Says $50 Billion Manager Impax\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-10-10 08:00 GMT+8 <a href=https://www.bloomberg.com/news/articles/2024-10-09/nvidia-is-still-undervalued-says-50-billion-manager-impax?srnd=phx-latest><strong>Bloomberg</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Impax is best known as an investor in the green transitionSlump helped Impax buy into Nvidia after missing earlier rallyNvidia Corp. share-price slump earlier this year resulted in a peak-to-trough ...</p>\n\n<a href=\"https://www.bloomberg.com/news/articles/2024-10-09/nvidia-is-still-undervalued-says-50-billion-manager-impax?srnd=phx-latest\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"BK4567":"ESG概念","IE0004445239.USD":"JANUS HENDERSON US FORTY \"A2\" (USD) ACC","IE00BJJMRX11.SGD":"Janus Henderson Balanced A Acc SGD","BK4585":"ETF&股票定投概念","LU0053666078.USD":"摩根大通基金-美国股票A(离岸)美元","IE0034235295.USD":"PINEBRIDGE GLOBAL DYNAMIC ASSET ALLOCATION \"A\" (USD) ACC","IE00B19Z9505.USD":"美盛-美国大盘成长股A Acc","IE0004091025.USD":"BNY MELLON GLOBAL OPPORTUNITIES \"B\" (USD) ACC","IE00BMPRXQ63.HKD":"NEUBERGER BERMAN NEXT GENERATION CONNECTIVITY FUND \"A\" (HKDHDG) ACC","IE00BD6J9T35.USD":"NEUBERGER BERMAN NEXT GENERATION MOBILITY \"A\" (USD) ACC","IE00BHPRN162.USD":"BNY MELLON BLOCKCHAIN INNOVATION \"B\" (USD) ACC","BK4533":"AQR资本管理(全球第二大对冲基金)","IE00BZ199S13.USD":"BNY MELLON MOBILITY INNOVATION \"B\" (USD) ACC","IE00B1XK9C88.USD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A\" (USD) ACC","LU0061474960.USD":"天利环球焦点基金AU Acc","BK4527":"明星科技股","NVDA":"英伟达","IE00BN29S564.USD":"JANUS HENDERSON BALANCED \"A3\" (USD) INC","IE00BKDWB100.SGD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A5H\" (SGDHDG) ACC","HK0000306701.USD":"TAIKANG KAITAI CHINA NEW OPPORTUNITIES FUND \"A\" (USD) INC","IE00BMPRXN33.USD":"NEUBERGER BERMAN 5G CONNECTIVITY \"A\" (USD) ACC","BK4543":"AI","BK4579":"人工智能","BK4550":"红杉资本持仓","3NVD.UK":"LS 3X NVIDIA","IE0005OL40V9.USD":"JANUS HENDERSON BALANCED \"A6M\" (USD) INC","2NVD.UK":"2X NVIDIA ETP","BK4141":"半导体产品","IE00BDRTCR15.USD":"PINEBRIDGE GLOBAL DYNAMIC ASSET ALLOCATION \"ADC\" (USD) INC A","BK4588":"碎股","IE00B775H168.HKD":"JANUS HENDERSON BALANCED \"A5M\" (HKD) INC","IE0004445015.USD":"JANUS HENDERSON BALANCED \"A2\" (USD) ACC","IE00B5949003.HKD":"JANUS HENDERSON GLOBAL TECHNOLOGY AND INNOVATION \"A\" (HKD) ACC","BK4503":"景林资产持仓","LU0057025933.USD":"SUSTAINABLE GLOBAL THEMATIC PORTFOLIO \"AX\" (USD) ACC","BK4551":"寇图资本持仓","IE00BYXW3230.USD":"PINEBRIDGE GLOBAL DYNAMIC ASSET ALLOCATION \"AA\" (USD) ACC","IE00BK4W5M84.HKD":"HSBC GLOBAL FUNDS ICAV US EQUITY INDEX \"HC\" (HKD) ACC","LU0061474705.USD":"THREADNEEDLE (LUX) GLOBAL DYNAMIC REAL RETURN \"AU\" (USD) ACC","IE00B19Z8X17.USD":"FTGF CLEARBRIDGE US LARGE CAP GROWTH \"AG\" (USD) ACC","IE00B3M56506.USD":"NEUBERGER BERMAN EMERGING MARKETS EQUITY \"A\" (USD) ACC","BK4549":"软银资本持仓","IE00BFSS8Q28.SGD":"Janus Henderson Balanced A Inc SGD-H","IE0034235188.USD":"PINEBRIDGE GLOBAL FOCUS EQUITY \"A\" (USD) ACC","IE0034235303.USD":"PINEBRIDGE US RESEARCH ENHANCED CORE EQUITY \"A\" (USD) ACC","HK0000320223.HKD":"TAIKANG KAITAI CHINA NEW OPPORTUNITIES FUND \"A\" (HKD) ACC","IE0004086264.USD":"BNY MELLON GLOBAL OPPORTUNITIES \"A\" (USD) ACC","BK4554":"元宇宙及AR概念","HK0000320264.USD":"TAIKANG KAITAI CHINA NEW OPPORTUNITIES FUND \"A\" (USD) ACC"},"source_url":"https://www.bloomberg.com/news/articles/2024-10-09/nvidia-is-still-undervalued-says-50-billion-manager-impax?srnd=phx-latest","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"2474062082","content_text":"Impax is best known as an investor in the green transitionSlump helped Impax buy into Nvidia after missing earlier rallyNvidia Corp. share-price slump earlier this year resulted in a peak-to-trough decline in its market value of close to $1 trillion.As Nvidia Corp. found itself the target of a deep selloff earlier this year, Impax Asset Management was quietly seizing the moment to build a stake it had long regretted not owning.Ian Simm, chief executive officer and founder of the $50 billion London-based asset manager, says he and his team had been looking for an opportunity to correct what they had come to realize was a wrong call a few years ago, which meant missing out on Nvidia’s stunning 800% rally since the beginning of 2023.“We just underestimated the market potential of their product,” Simm said in an interview. Impax had been looking for a way in, but Nvidia “was expensive.” That is, “until it had a selloff.”Ian SimmNvidia’s share-price slump earlier this year resulted in a peak-to-trough decline in its market value of close to $1 trillion. Though much of that has since been recouped, Simm says he thinks the company’s current valuation of more than $3.2 trillion understates what it’s really worth.Established in 1998, Impax has made a name for itself as a giant among asset managers focused on the transition to a more sustainable economy. Simm says that goal should be compatible with making money for his clients. But it’s been a tough sell of late.Over the past couple of years, a spike in interest rates, an energy crisis and the ascent of the so-called Magnificent Seven of technology behemoths have turned green investing into a losing bet. Impax’s own share price is down almost 30% this year, while the S&P Global Clean Energy Index has lost more than 10%. The S&P 500, meanwhile, is up more than 20% in the same period.Earlier this week, Impax reported results that showed gains in listed equities of £5.3 billion ($6.9 billion) for the fiscal year ended Sept. 30. Still, that was less than the £5.8 billion of net outflows that Impax suffered in the period.Simm says Impax is learning from the past few years and focusing more on Big Tech, as it looks for undervalued opportunities to generate bigger returns.“Frankly, we’ve underperformed for the last couple of years in our main strategies because we’ve been more growth-at-a-reasonable-price, staying away from the momentum and hype around mega-cap tech investing,” he said.As Nvidia’s share price was falling in June, Impax more than tripled its stake in the company to 4.9 million shares by the end of the month from 1.4 million shares at the end of the first quarter, according to data compiled by Bloomberg and confirmed by Impax.Simm says Impax still considers Nvidia to be undervalued when taking into account how the boom in artificial intelligence is expected to drive demand for its chips.Simm says holding Nvidia, which like other technology giants needs to consume vast stores of energy to power its growth, also makes investing sense from a climate perspective. As demand for energy continues to increase, Nvidia and other companies that develop more efficient models will be better for the environment, he says.Nvidia’s Blackwell chips, which are beginning to roll out to customers this year, would need 3 gigawatts of power to develop OpenAI’s GPT-4 software, the company said at an event earlier this month. Ten years ago, that process would have required 5,500 gigawatts, the chipmaker said.“Nvidia’s ability to deliver energy savings makes it even more valuable,” Simm said.Impax holds Nvidia in five strategies and funds. That includes its Global Opportunities portfolio, which is limited to 40 stocks and consists of companies that have a diversified business model, operate in high-growth markets and are “out of favor for whatever reason,” Simm said. Microsoft Corp. is included because Impax thinks it’s undervalued “in the context of the secular trend toward more AI,” he said.In fact, “the whole industrial space” now looks undervalued, Simm said. That may change as a “soft landing in the US” looks increasingly likely, which is helping restore confidence, he said. The cost of capital is falling and consumer sentiment is stabilizing, so equity “is looking more attractive.”","news_type":1},"isVote":1,"tweetType":1,"viewCount":139,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":357210608128416,"gmtCreate":1728213031045,"gmtModify":1728218160717,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"Analysts can all go eat shit . I know what I want to buy , I don't need to listen to them . I buy only Nvidia . Full stop","listText":"Analysts can all go eat shit . I know what I want to buy , I don't need to listen to them . I buy only Nvidia . Full stop","text":"Analysts can all go eat shit . I know what I want to buy , I don't need to listen to them . I buy only Nvidia . Full stop","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":13,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/357210608128416","repostId":"2472939287","repostType":2,"repost":{"id":"2472939287","kind":"highlight","pubTimestamp":1728181800,"share":"https://ttm.financial/m/news/2472939287?lang=&edition=fundamental","pubTime":"2024-10-06 10:30","market":"us","language":"en","title":"Why Is Wall Street Much More Bullish About Nvidia Than Palantir?","url":"https://stock-news.laohu8.com/highlight/detail?id=2472939287","media":"Motley Fool","summary":"Palantir's hot right now. But Wall Street thinks Nvidia is still the better pick.","content":"<html><head></head><body><ul style=\"\"><li><p>Wall Street analysts view Nvidia much more favorably than Palantir based on their stock ratings and price targets.</p></li><li><p>They seem to prefer Nvidia's growth prospects and financial strength.</p></li><li><p>Analysts likely think Nvidia's valuation is also more attractive than Palantir's.</p></li></ul><p>What a year it's been for <strong>Palantir Technologies</strong>. Shares of the data analytics software company have soared 112%. Palantir was added to the <strong>S&P 500</strong> in September. The company has announced major deals and partnerships with big names including <strong>BP</strong>, <strong>Microsoft</strong>, and <strong>Wendy's</strong>.</p><p><strong>Nvidia</strong> has been an even bigger winner, with its stock skyrocketing 136% year to date. However, the giant chipmaker's shares are close to 14% below the peak set this summer. Investors have fretted about Nvidia's delayed launch of its new Blackwell GPU platform.</p><p>Despite these concerns, Wall Street is much more bullish about Nvidia than Palantir. That begs the question: Why?</p><h2 id=\"id_54078553\">What Wall Street thinks about Nvidia and Palantir</h2><p>Global financial markets data provider <strong>LSEG</strong> surveyed 60 analysts in September who cover Nvidia. Eighteen rated the stock as a "strong buy" (or equivalent rating). A whopping 37 analysts recommended Nvidia as a "buy." The remaining five analysts viewed the stock as a "hold."</p><p>The picture wasn't quite as rosy for Palantir. Of the 18 analysts surveyed by LSEG last month, only three recommended the stock as a "strong buy." Another three analysts rated Palantir as a "buy." Six analysts recommended holding the stock. Four rated the software stock as "underperform" while two others recommended selling Palantir's shares.</p><p>Wall Street's 12-month price targets for these two stocks further highlight the gap between them. The consensus price target for Nvidia reflects an upside potential of nearly 27%. The most optimistic analyst surveyed by LSEG thinks Nvidia's shares could soar another 73% over the next 12 months.</p><p>It's a much different story for Palantir. The average 12-month price target among the analysts surveyed by LSEG is roughly 25% <em>below</em> the current share price. The most optimistic analyst predicts Palantir could rise 37%.</p><h2 id=\"id_4106512475\">Why Nvidia enjoys much more support from analysts</h2><p>Wall Street likes Nvidia more than Palantir for several reasons. The most important factor is the different perceptions about the two companies' growth prospects. To be sure, analysts believe both Nvidia and Palantir can deliver strong growth. However, Nvidia dominates its market in a more powerful way than Palantir does.</p><p>Although Nvidia's Blackwell GPUs won't begin shipping as quickly as analysts would have preferred, they still expect Blackwell to be a huge commercial winner. I suspect some on Wall Street agree with Nvidia CEO Jensen Huang that Blackwell will be the most successful product in the company's history.</p><p>Analysts also see Nvidia as having a broader market opportunity. Organizations in pretty much every industry and of all sizes are scrambling to develop artificial intelligence (AI) capabilities, driving the demand for Nvidia's GPUs. Palantir arguably has a more limited opportunity, with more than half of its total revenue stemming from government contracts.</p><p>Nvidia's financial metrics are much stronger than Palantir's as well. In the second quarter of 2024, the company's revenue soared 122% year over year to $30 billion. By comparison, Palantir's Q2 revenue rose 27% year over year to $678 million.</p><p>Wall Street no doubt prefers Nvidia's valuation, too. The stock might seem expensive with a forward earnings multiple of 30.8. However, Nvidia's price-to-earnings-to-growth (PEG) ratio based on five-year growth projections is an attractive 0.93. Palantir's forward earnings multiple is a sky-high 87 with a PEG ratio of 1.88.</p><h2 id=\"id_285544397\">Is Wall Street right about Nvidia and Palantir?</h2><p>I'm not sure if Nvidia's shares will jump another 27% and Palantir's shares will fall 25% over the next 12 months as the average analysts' price targets project. My hunch is analysts aren't super-confident about those price targets, either.</p><p>However, I do agree with the Wall Street consensus that Nvidia is a better stock to buy right now than Palantir. If the demand for AI chips slows, Nvidia could be in trouble with its premium valuation. That doesn't seem likely at this point, though. With Blackwell on the way, I expect Nvidia will keep up its winning ways.</p></body></html>","source":"fool_stock","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Why Is Wall Street Much More Bullish About Nvidia Than Palantir?</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nWhy Is Wall Street Much More Bullish About Nvidia Than Palantir?\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-10-06 10:30 GMT+8 <a href=https://www.fool.com/investing/2024/10/04/why-wall-street-more-bullish-nvidia-palantir/><strong>Motley Fool</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Wall Street analysts view Nvidia much more favorably than Palantir based on their stock ratings and price targets.They seem to prefer Nvidia's growth prospects and financial strength.Analysts likely ...</p>\n\n<a href=\"https://www.fool.com/investing/2024/10/04/why-wall-street-more-bullish-nvidia-palantir/\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"IE00B4JS1V06.HKD":"JANUS HENDERSON BALANCED \"A2\" (HKD) ACC","BK4543":"AI","BK4527":"明星科技股","BK4588":"碎股","BK4579":"人工智能","IE0004086264.USD":"BNY MELLON GLOBAL OPPORTUNITIES \"A\" (USD) ACC","IE00BFSS7M15.SGD":"Janus Henderson Balanced A Acc SGD-H","IE00BWXC8680.SGD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A5\" (SGD) ACC","BK4503":"景林资产持仓","LU1861559042.SGD":"日兴方舟颠覆性创新基金B SGD","HK0000306685.HKD":"TAIKANG KAITAI CHINA NEW OPPORTUNITIES FUND \"A\" (HKD) INC","IE00BJJMRX11.SGD":"Janus Henderson Balanced A Acc SGD","IE0004091025.USD":"BNY MELLON GLOBAL OPPORTUNITIES \"B\" (USD) ACC","IE00BHPRN162.USD":"BNY MELLON BLOCKCHAIN INNOVATION \"B\" (USD) ACC","BK4547":"WSB热门概念","IE00BDCRKT87.USD":"PINEBRIDGE GLOBAL DYNAMIC ASSET ALLOCATION \"ADC\" (USD) INC","LU0056508442.USD":"贝莱德世界科技基金A2","NVDA":"英伟达","BK4581":"高盛持仓","LU0048584097.USD":"FIDELITY FUNDS GLOBAL THEMATIC OPPORTUNITIES \"A\" (USD) INC","IE00BZ199S13.USD":"BNY MELLON MOBILITY INNOVATION \"B\" (USD) ACC","BK4549":"软银资本持仓","IE00BJJMRY28.SGD":"Janus Henderson Balanced A Inc SGD","IE00BMPRXR70.SGD":"Neuberger Berman 5G Connectivity A Acc SGD-H","HK0000306701.USD":"TAIKANG KAITAI CHINA NEW OPPORTUNITIES FUND \"A\" (USD) INC","BK4548":"巴美列捷福持仓","BK4529":"IDC概念","IE00B5949003.HKD":"JANUS HENDERSON GLOBAL TECHNOLOGY AND INNOVATION \"A\" (HKD) ACC","IE0005OL40V9.USD":"JANUS HENDERSON BALANCED \"A6M\" (USD) INC","IE0004445015.USD":"JANUS HENDERSON BALANCED \"A2\" (USD) ACC","BK4023":"应用软件","BK4532":"文艺复兴科技持仓","PLTR":"Palantir Technologies Inc.","BK4592":"伊斯兰概念","IE00B19Z8X17.USD":"FTGF CLEARBRIDGE US LARGE CAP GROWTH \"AG\" (USD) ACC","IE00BMPRXN33.USD":"NEUBERGER BERMAN 5G CONNECTIVITY \"A\" (USD) ACC","IE00B3M56506.USD":"NEUBERGER BERMAN EMERGING MARKETS EQUITY \"A\" (USD) ACC","BK4585":"ETF&股票定投概念","BK4534":"瑞士信贷持仓","IE00BD6J9T35.USD":"NEUBERGER BERMAN NEXT GENERATION MOBILITY \"A\" (USD) ACC","IE00BMPRXQ63.HKD":"NEUBERGER BERMAN NEXT GENERATION CONNECTIVITY FUND \"A\" (HKDHDG) ACC","LU1861558580.USD":"日兴方舟颠覆性创新基金B","IE00BMG7P587.USD":"LEGG MASON CLEARBRIDGE GLOBAL INFRASTRUCTURE INCOM \"A\" (USD) INC","IE0034235188.USD":"PINEBRIDGE GLOBAL FOCUS EQUITY \"A\" (USD) ACC","BK4587":"ChatGPT概念","IE00B19Z8W00.USD":"FTGF CLEARBRIDGE US LARGE CAP GROWTH \"A\" INC"},"source_url":"https://www.fool.com/investing/2024/10/04/why-wall-street-more-bullish-nvidia-palantir/","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"2472939287","content_text":"Wall Street analysts view Nvidia much more favorably than Palantir based on their stock ratings and price targets.They seem to prefer Nvidia's growth prospects and financial strength.Analysts likely think Nvidia's valuation is also more attractive than Palantir's.What a year it's been for Palantir Technologies. Shares of the data analytics software company have soared 112%. Palantir was added to the S&P 500 in September. The company has announced major deals and partnerships with big names including BP, Microsoft, and Wendy's.Nvidia has been an even bigger winner, with its stock skyrocketing 136% year to date. However, the giant chipmaker's shares are close to 14% below the peak set this summer. Investors have fretted about Nvidia's delayed launch of its new Blackwell GPU platform.Despite these concerns, Wall Street is much more bullish about Nvidia than Palantir. That begs the question: Why?What Wall Street thinks about Nvidia and PalantirGlobal financial markets data provider LSEG surveyed 60 analysts in September who cover Nvidia. Eighteen rated the stock as a \"strong buy\" (or equivalent rating). A whopping 37 analysts recommended Nvidia as a \"buy.\" The remaining five analysts viewed the stock as a \"hold.\"The picture wasn't quite as rosy for Palantir. Of the 18 analysts surveyed by LSEG last month, only three recommended the stock as a \"strong buy.\" Another three analysts rated Palantir as a \"buy.\" Six analysts recommended holding the stock. Four rated the software stock as \"underperform\" while two others recommended selling Palantir's shares.Wall Street's 12-month price targets for these two stocks further highlight the gap between them. The consensus price target for Nvidia reflects an upside potential of nearly 27%. The most optimistic analyst surveyed by LSEG thinks Nvidia's shares could soar another 73% over the next 12 months.It's a much different story for Palantir. The average 12-month price target among the analysts surveyed by LSEG is roughly 25% below the current share price. The most optimistic analyst predicts Palantir could rise 37%.Why Nvidia enjoys much more support from analystsWall Street likes Nvidia more than Palantir for several reasons. The most important factor is the different perceptions about the two companies' growth prospects. To be sure, analysts believe both Nvidia and Palantir can deliver strong growth. However, Nvidia dominates its market in a more powerful way than Palantir does.Although Nvidia's Blackwell GPUs won't begin shipping as quickly as analysts would have preferred, they still expect Blackwell to be a huge commercial winner. I suspect some on Wall Street agree with Nvidia CEO Jensen Huang that Blackwell will be the most successful product in the company's history.Analysts also see Nvidia as having a broader market opportunity. Organizations in pretty much every industry and of all sizes are scrambling to develop artificial intelligence (AI) capabilities, driving the demand for Nvidia's GPUs. Palantir arguably has a more limited opportunity, with more than half of its total revenue stemming from government contracts.Nvidia's financial metrics are much stronger than Palantir's as well. In the second quarter of 2024, the company's revenue soared 122% year over year to $30 billion. By comparison, Palantir's Q2 revenue rose 27% year over year to $678 million.Wall Street no doubt prefers Nvidia's valuation, too. The stock might seem expensive with a forward earnings multiple of 30.8. However, Nvidia's price-to-earnings-to-growth (PEG) ratio based on five-year growth projections is an attractive 0.93. Palantir's forward earnings multiple is a sky-high 87 with a PEG ratio of 1.88.Is Wall Street right about Nvidia and Palantir?I'm not sure if Nvidia's shares will jump another 27% and Palantir's shares will fall 25% over the next 12 months as the average analysts' price targets project. My hunch is analysts aren't super-confident about those price targets, either.However, I do agree with the Wall Street consensus that Nvidia is a better stock to buy right now than Palantir. If the demand for AI chips slows, Nvidia could be in trouble with its premium valuation. That doesn't seem likely at this point, though. With Blackwell on the way, I expect Nvidia will keep up its winning ways.","news_type":1},"isVote":1,"tweetType":1,"viewCount":339,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":353484007502120,"gmtCreate":1727336694132,"gmtModify":1727343806325,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"All bullshit analysts. Last quarter report Micron already said revenue will be in several Billion , yet BNP Paribas downgrade and gave target price of 67, his brain in backside . That's why I always said you and buy and sell purely listen to analysts you will always lose money","listText":"All bullshit analysts. Last quarter report Micron already said revenue will be in several Billion , yet BNP Paribas downgrade and gave target price of 67, his brain in backside . That's why I always said you and buy and sell purely listen to analysts you will always lose money","text":"All bullshit analysts. Last quarter report Micron already said revenue will be in several Billion , yet BNP Paribas downgrade and gave target price of 67, his brain in backside . That's why I always said you and buy and sell purely listen to analysts you will always lose money","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/353484007502120","repostId":"2470246166","repostType":2,"repost":{"id":"2470246166","kind":"highlight","pubTimestamp":1727335959,"share":"https://ttm.financial/m/news/2470246166?lang=&edition=fundamental","pubTime":"2024-09-26 15:32","market":"hk","language":"en","title":"Micron Q4: HBM Growth Continues In 2025, Upgrade To Strong Buy","url":"https://stock-news.laohu8.com/highlight/detail?id=2470246166","media":"seekingalpha","summary":"Upgraded Micron Technology, Inc. to “StrongBuy” with a fair value of $160 per share, driven by rapid HBM3E growth and capacity expansion plans.The HBM market is expected to grow significantly, with Mi","content":"<html><head></head><body><ul style=\"\"><li><p>Upgraded Micron Technology, Inc. to “Strong Buy” with a fair value of $160 per share, driven by rapid HBM3E growth and capacity expansion plans.</p></li><li><p>The HBM market is expected to grow significantly, with Micron's HBM products projected to generate multiple billions in revenue by FY25.</p></li><li><p>Micron plans $8.1 billion in CAPEX for FY25, focusing on greenfield fab construction and HBM investments to meet rising demand.</p></li><li><p>Anticipate 50% revenue growth in FY25 and 30% in FY26, driven by AI and high-performance computing, despite high depreciation costs.</p></li></ul><p></p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/8f5a148e9c8048813f1d8ebb7b9ddeaa\" tg-width=\"750\" tg-height=\"422\"/></p><p>mesh cube/iStock via Getty Images</p><p></p><p>I reiterated my "Buy" rating for <strong>Micron Technology, Inc.</strong> (NASDAQ:MU) in my previous coverage in July 2024, highlighting their HBM3E's production ramp-up in Q3. Micron released its fiscal Q4 result on September 25th after the market close, with a better-than-expected outlook for Q1 FY25. I am encouraged by the rapid growth in Micron's High Bandwidth Memory (HBM) products and their plan for capacity expansion. I am upgrading Micron stock to a "Strong Buy" rating with a fair value of $160 per share.</p><h2 id=\"id_3410395876\">HBM Growth Continues in 2025</h2><p>Over the earnings call, Micron's management indicated that HBM consumed 1.5% of the industry's bits with a total addressable market (TAM) of $4 billion in 2023. However, in 2025, they anticipate the HBM will represent around 6% of total bits with the TAM expanding to $25 billion. As discussed in my previous coverage, Micron, <a href=\"https://laohu8.com/S/SSNGY\">Samsung Electronics Co., Ltd.</a> (OTCPK:SSNLF) and SK hynix Inc. (OTCPK:HXSCF), the three major HBM suppliers, have been expanding their manufacturing capacities for HBM products. As such, I anticipate the supply constraints will slightly improve in 2025.</p><p>With the technological advancement in GPUs, more HBMs are required in graphic cards. For instance, NVIDIA Corporation's (NVDA) H200 features a total of 141 GB of HBM3e memory across six HBM3e stacks. In contrast, the H100 only has 80 GB of HBM3 memory. To achieve higher performance computing, these GPUs rely on increased HBM memories to store temporary data. As such, the rapid growth of AI and high-performance computing is driving the demand for Micron's HBM products, and I anticipate this momentum will sustain into 2025.</p><p>During the earnings call, the management said it expects to ramp their HBM3E 12-high output in early 2025 and increase the 12-high mix in their shipments throughout 2025. It is encouraging to see their management confirm that HBM will generate multiple billions of dollars of revenue in FY25, indicating a strong confidence in the end market demands.</p><p>Due to the strong growth in Compute/Networking and storage businesses, Micron delivered 93.3% revenue growth during the quarter, finishing FY24 with a 61.6% year-over-year growth.</p><p></p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/3fdb83a07e4b03750549a22dad6917cf\" tg-width=\"640\" tg-height=\"306\"/></p><p>Micron Quarterly Earnings</p><p></p><h2 id=\"id_1990705561\">Capacity Expansion</h2><p>Another key takeaway from the quarter is their future plan for capacity expansions. The company plans to spend $8.1 billion in capital expenditure in FY25, with growth in both greenfield fab construction and HBM capex investments comprising the majority of CAPEX spending. The significant CAPEX spending underscores the strong demands for the DRAM and NAND market, driven by rapid data center and AI workloads.</p><p>Micron's competitors, including Samsung Electronics and SK Hynix, are also increasing capital spending for their HBM products, as discussed in my previous coverage. As such, I think Micron is making the necessary investments to meet the fast-growing demand for HBMs.</p><h2 id=\"id_4254752383\">Outlook and Valuation</h2><p>As shown in the table below, Micron is guiding for $8.7 billion plus or minus $200 million in revenue for Q1 FY25, beating the market expectations.</p><p></p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/56fa6000315f8df16339b08dfedd84e2\" tg-width=\"640\" tg-height=\"518\"/></p><p>Micron Investor Presentation</p><p></p><p>I am considering the following factors for their near-term growth:</p><ul style=\"\"><li><p>As Micron's manufacturing capacity has already been committed by their customers for FY25 and FY26, their business growth will be subject to their capacity. For FY25, I estimate the company can generate more than $37 billion in revenue, representing around 50% year-over-year growth.</p></li><li><p>As AI investments are primarily coming from hyperscalers and data center service providers currently, there is a considerable runway for future growth when AI enters the inference stage. Enterprises are expected to increase their investments gradually in edge AI computing, which will contribute to the growth of Micron, in my view. As such, I anticipate Micron's revenue will grow by 30% in FY26, reflecting the increasing investments from enterprise customers.</p></li><li><p>For the normalized growth from FY27 onwards, I continue to forecast Micron will grow by 8%, aligned with the industry growth.</p></li><li><p>I lowered my margin expansion assumptions in the current model, as Micron will invest heavily in their CAPEX in the near future, which will increase their depreciation costs. The high depreciation costs will pose challenges for their margin expansion. As such, I only model 10bps annual margin expansion, primarily driven by operating leverage.</p></li><li><p>I changed the WACC to 11.2% assuming: risk-free 3.8%; beta 1.34; equity risk premium 7%; cost of debt 5%; equity balance $44 billion; debt $13 billion; tax rate 10%.</p></li></ul><p>With these assumptions, the DCF can be summarized as follows:</p><p></p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/43cd89b24f248275e44fae6abfdc0279\" tg-width=\"640\" tg-height=\"260\"/></p><p>Micron DCF</p><p></p><p>Discounting all the free cash flow, the fair value is calculated to be $160 per share, according to the discounted cash flow ("DCF") model.</p><h2 id=\"id_3742124199\">Key Risks</h2><p>Thanks to the 2022 CHIPS and Science Act, Micron will receive $6.1 billion from the U.S. government for their capacity expansion in New York and Idaho. Including the government support, Micron has committed to investing $100 billion in New York over the next two decades. It is a long-term and substantial commitment for Micron. With the coming Presidential election, there may be some uncertainties regarding their capacity expansion and government support in the U.S.</p><p>During the earnings call, the management indicated that their investment in Idaho and New York will not contribute to bit supply in fiscal 2025 and 2026. As such, the investments will take several years before they begin to drive revenue growth for Micron.</p><h2 id=\"id_142723668\">Conclusion</h2><p>I favor Micron's technology advantages in the HBM market, with structural growth drivers from AI and high-performance computing workloads. The potential capacity expansion will boost Micron's business growth in the future. I am upgrading Micron stock to a "Strong Buy" rating with a fair value of $160 per share.</p></body></html>","source":"seekingalpha","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Micron Q4: HBM Growth Continues In 2025, Upgrade To Strong Buy</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nMicron Q4: HBM Growth Continues In 2025, Upgrade To Strong Buy\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-09-26 15:32 GMT+8 <a href=https://seekingalpha.com/article/4723323-micron-q4-hbm-growth-continues-in-2025-upgrade-to-strong-buy><strong>seekingalpha</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Upgraded Micron Technology, Inc. to “Strong Buy” with a fair value of $160 per share, driven by rapid HBM3E growth and capacity expansion plans.The HBM market is expected to grow significantly, with ...</p>\n\n<a href=\"https://seekingalpha.com/article/4723323-micron-q4-hbm-growth-continues-in-2025-upgrade-to-strong-buy\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"MU":"美光科技"},"source_url":"https://seekingalpha.com/article/4723323-micron-q4-hbm-growth-continues-in-2025-upgrade-to-strong-buy","is_english":true,"share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","article_id":"2470246166","content_text":"Upgraded Micron Technology, Inc. to “Strong Buy” with a fair value of $160 per share, driven by rapid HBM3E growth and capacity expansion plans.The HBM market is expected to grow significantly, with Micron's HBM products projected to generate multiple billions in revenue by FY25.Micron plans $8.1 billion in CAPEX for FY25, focusing on greenfield fab construction and HBM investments to meet rising demand.Anticipate 50% revenue growth in FY25 and 30% in FY26, driven by AI and high-performance computing, despite high depreciation costs.mesh cube/iStock via Getty ImagesI reiterated my \"Buy\" rating for Micron Technology, Inc. (NASDAQ:MU) in my previous coverage in July 2024, highlighting their HBM3E's production ramp-up in Q3. Micron released its fiscal Q4 result on September 25th after the market close, with a better-than-expected outlook for Q1 FY25. I am encouraged by the rapid growth in Micron's High Bandwidth Memory (HBM) products and their plan for capacity expansion. I am upgrading Micron stock to a \"Strong Buy\" rating with a fair value of $160 per share.HBM Growth Continues in 2025Over the earnings call, Micron's management indicated that HBM consumed 1.5% of the industry's bits with a total addressable market (TAM) of $4 billion in 2023. However, in 2025, they anticipate the HBM will represent around 6% of total bits with the TAM expanding to $25 billion. As discussed in my previous coverage, Micron, Samsung Electronics Co., Ltd. (OTCPK:SSNLF) and SK hynix Inc. (OTCPK:HXSCF), the three major HBM suppliers, have been expanding their manufacturing capacities for HBM products. As such, I anticipate the supply constraints will slightly improve in 2025.With the technological advancement in GPUs, more HBMs are required in graphic cards. For instance, NVIDIA Corporation's (NVDA) H200 features a total of 141 GB of HBM3e memory across six HBM3e stacks. In contrast, the H100 only has 80 GB of HBM3 memory. To achieve higher performance computing, these GPUs rely on increased HBM memories to store temporary data. As such, the rapid growth of AI and high-performance computing is driving the demand for Micron's HBM products, and I anticipate this momentum will sustain into 2025.During the earnings call, the management said it expects to ramp their HBM3E 12-high output in early 2025 and increase the 12-high mix in their shipments throughout 2025. It is encouraging to see their management confirm that HBM will generate multiple billions of dollars of revenue in FY25, indicating a strong confidence in the end market demands.Due to the strong growth in Compute/Networking and storage businesses, Micron delivered 93.3% revenue growth during the quarter, finishing FY24 with a 61.6% year-over-year growth.Micron Quarterly EarningsCapacity ExpansionAnother key takeaway from the quarter is their future plan for capacity expansions. The company plans to spend $8.1 billion in capital expenditure in FY25, with growth in both greenfield fab construction and HBM capex investments comprising the majority of CAPEX spending. The significant CAPEX spending underscores the strong demands for the DRAM and NAND market, driven by rapid data center and AI workloads.Micron's competitors, including Samsung Electronics and SK Hynix, are also increasing capital spending for their HBM products, as discussed in my previous coverage. As such, I think Micron is making the necessary investments to meet the fast-growing demand for HBMs.Outlook and ValuationAs shown in the table below, Micron is guiding for $8.7 billion plus or minus $200 million in revenue for Q1 FY25, beating the market expectations.Micron Investor PresentationI am considering the following factors for their near-term growth:As Micron's manufacturing capacity has already been committed by their customers for FY25 and FY26, their business growth will be subject to their capacity. For FY25, I estimate the company can generate more than $37 billion in revenue, representing around 50% year-over-year growth.As AI investments are primarily coming from hyperscalers and data center service providers currently, there is a considerable runway for future growth when AI enters the inference stage. Enterprises are expected to increase their investments gradually in edge AI computing, which will contribute to the growth of Micron, in my view. As such, I anticipate Micron's revenue will grow by 30% in FY26, reflecting the increasing investments from enterprise customers.For the normalized growth from FY27 onwards, I continue to forecast Micron will grow by 8%, aligned with the industry growth.I lowered my margin expansion assumptions in the current model, as Micron will invest heavily in their CAPEX in the near future, which will increase their depreciation costs. The high depreciation costs will pose challenges for their margin expansion. As such, I only model 10bps annual margin expansion, primarily driven by operating leverage.I changed the WACC to 11.2% assuming: risk-free 3.8%; beta 1.34; equity risk premium 7%; cost of debt 5%; equity balance $44 billion; debt $13 billion; tax rate 10%.With these assumptions, the DCF can be summarized as follows:Micron DCFDiscounting all the free cash flow, the fair value is calculated to be $160 per share, according to the discounted cash flow (\"DCF\") model.Key RisksThanks to the 2022 CHIPS and Science Act, Micron will receive $6.1 billion from the U.S. government for their capacity expansion in New York and Idaho. Including the government support, Micron has committed to investing $100 billion in New York over the next two decades. It is a long-term and substantial commitment for Micron. With the coming Presidential election, there may be some uncertainties regarding their capacity expansion and government support in the U.S.During the earnings call, the management indicated that their investment in Idaho and New York will not contribute to bit supply in fiscal 2025 and 2026. As such, the investments will take several years before they begin to drive revenue growth for Micron.ConclusionI favor Micron's technology advantages in the HBM market, with structural growth drivers from AI and high-performance computing workloads. The potential capacity expansion will boost Micron's business growth in the future. I am upgrading Micron stock to a \"Strong Buy\" rating with a fair value of $160 per share.","news_type":1},"isVote":1,"tweetType":1,"viewCount":526,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":352503567298648,"gmtCreate":1727100417507,"gmtModify":1727100421355,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"When Blackwell starts shipping everyone would say : I should have bought in Q3","listText":"When Blackwell starts shipping everyone would say : I should have bought in Q3","text":"When Blackwell starts shipping everyone would say : I should have bought in Q3","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":2,"commentSize":1,"repostSize":0,"link":"https://ttm.financial/post/352503567298648","repostId":"2469159203","repostType":2,"repost":{"id":"2469159203","kind":"highlight","weMediaInfo":{"introduction":"Dow Jones publishes the world’s most trusted business news and financial information in a variety of media.","home_visible":0,"media_name":"Dow Jones","id":"106","head_image":"https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99"},"pubTimestamp":1727100000,"share":"https://ttm.financial/m/news/2469159203?lang=&edition=fundamental","pubTime":"2024-09-23 22:00","market":"us","language":"en","title":"Nvidia Stock Is in a Slump. What Tesla Can Tell Us","url":"https://stock-news.laohu8.com/highlight/detail?id=2469159203","media":"Dow Jones","summary":"Nvidia stock has dropped over the past few months. Investors should hang on—tight.Nvidia stock has seen exponential gains in recent years.Shares have fallen to $116, a 14% decline from their record cl","content":"<html><head></head><body><p style=\"text-align: start;\">Nvidia stock has dropped over the past few months. Investors should hang on—tight.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/dda786b16f5399963a20d060f614c4ce\" alt=\"Nvidia stock has seen exponential gains in recent years.\" title=\"Nvidia stock has seen exponential gains in recent years.\" tg-width=\"954\" tg-height=\"631\"/><span>Nvidia stock has seen exponential gains in recent years.</span></p><p style=\"text-align: start;\">Shares have fallen to $116, a 14% decline from their record close around $135, hit in June. They were down 38% to $98 at their lowest levels during this summertime drop. Through it all, the stock—which was flat in early trading Monday, while the benchmark S&P 500 were up 0.2%—remains up just about tenfold over the past five years. </p><p>But investors should not rush for the exits: Research shows that a drop like this is normal, and even expected, for a stock like Nvidia, which has seen exponential growth in its share price.</p><p>A combination of related factors have driven shares of the artificial-intelligence leader lower. When Nvidia stock hit $135, investors took profits by selling. Emerging competition from chip makers such as Advanced Micro Devices threaten a small portion of Nvidia’s sales, making the smaller AMD maybe a more compelling buy at this point. And while AI chips are experiencing high and accelerating demand, everyone knows the growth for all chip makers will slow within the next few years. </p><p>That’s not the end of Nvidia’s storybook journey. It’s completely normal for rare stocks with explosive growth curves to experience large declines periodically. Historically, the average maximum drawdown for stocks that went up tenfold in a five-year period is 48%, according to Trivariate Research’s analysis of 84 stocks that have achieved this feat.</p><p>The worst selloff is also nothing to worry about. Of the 84 names that Trivariate identified, the largest pullback was 89% for GameStop over the course of just over three years. But that stock is an outlier; GameStop didn’t rise because of company fundamentals. In fact, its earnings have beenshrinkingand its tenfold return in early 2021 was driven bythe Reddit meme stock craze.</p><p style=\"text-align: start;\">Nvidia is nothing like GameStop. Analysts still expect the chip company to post double-digit annual earnings growth, in percent terms, over the next several years, according to FactSet. Nvidia stock now trades at a lower multiple of near-term earnings estimates, so continued earnings growth could take the shares higher from here.</p><p style=\"text-align: start;\">That outlook makes Nvidia more like Tesla, which went up by more than 10 times during the five years ended in May 2017. Electric-vehicle demand, like chip demand today, was exploding. Within that five-year stretch, Tesla stock’s worst drawdown was 50% over a year-and-a-half period that ended in February 2016. Since then, shares have rocketed another 20 times. Yes, EV competition has emerged, but overall industry growth has still benefited Tesla. </p><p style=\"text-align: start;\">Maybe Nvidia has a similar future. Just hold on for the long-term.</p></body></html>","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Nvidia Stock Is in a Slump. What Tesla Can Tell Us</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNvidia Stock Is in a Slump. What Tesla Can Tell Us\n</h2>\n\n<h4 class=\"meta\">\n\n\n<div class=\"head\" \">\n\n\n<div class=\"h-thumb\" style=\"background-image:url(https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99);background-size:cover;\"></div>\n\n<div class=\"h-content\">\n<p class=\"h-name\">Dow Jones </p>\n<p class=\"h-time\">2024-09-23 22:00</p>\n</div>\n\n</div>\n\n\n</h4>\n\n</header>\n<article>\n<html><head></head><body><p style=\"text-align: start;\">Nvidia stock has dropped over the past few months. Investors should hang on—tight.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/dda786b16f5399963a20d060f614c4ce\" alt=\"Nvidia stock has seen exponential gains in recent years.\" title=\"Nvidia stock has seen exponential gains in recent years.\" tg-width=\"954\" tg-height=\"631\"/><span>Nvidia stock has seen exponential gains in recent years.</span></p><p style=\"text-align: start;\">Shares have fallen to $116, a 14% decline from their record close around $135, hit in June. They were down 38% to $98 at their lowest levels during this summertime drop. Through it all, the stock—which was flat in early trading Monday, while the benchmark S&P 500 were up 0.2%—remains up just about tenfold over the past five years. </p><p>But investors should not rush for the exits: Research shows that a drop like this is normal, and even expected, for a stock like Nvidia, which has seen exponential growth in its share price.</p><p>A combination of related factors have driven shares of the artificial-intelligence leader lower. When Nvidia stock hit $135, investors took profits by selling. Emerging competition from chip makers such as Advanced Micro Devices threaten a small portion of Nvidia’s sales, making the smaller AMD maybe a more compelling buy at this point. And while AI chips are experiencing high and accelerating demand, everyone knows the growth for all chip makers will slow within the next few years. </p><p>That’s not the end of Nvidia’s storybook journey. It’s completely normal for rare stocks with explosive growth curves to experience large declines periodically. Historically, the average maximum drawdown for stocks that went up tenfold in a five-year period is 48%, according to Trivariate Research’s analysis of 84 stocks that have achieved this feat.</p><p>The worst selloff is also nothing to worry about. Of the 84 names that Trivariate identified, the largest pullback was 89% for GameStop over the course of just over three years. But that stock is an outlier; GameStop didn’t rise because of company fundamentals. In fact, its earnings have beenshrinkingand its tenfold return in early 2021 was driven bythe Reddit meme stock craze.</p><p style=\"text-align: start;\">Nvidia is nothing like GameStop. Analysts still expect the chip company to post double-digit annual earnings growth, in percent terms, over the next several years, according to FactSet. Nvidia stock now trades at a lower multiple of near-term earnings estimates, so continued earnings growth could take the shares higher from here.</p><p style=\"text-align: start;\">That outlook makes Nvidia more like Tesla, which went up by more than 10 times during the five years ended in May 2017. Electric-vehicle demand, like chip demand today, was exploding. Within that five-year stretch, Tesla stock’s worst drawdown was 50% over a year-and-a-half period that ended in February 2016. Since then, shares have rocketed another 20 times. Yes, EV competition has emerged, but overall industry growth has still benefited Tesla. </p><p style=\"text-align: start;\">Maybe Nvidia has a similar future. Just hold on for the long-term.</p></body></html>\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"LU1861215975.USD":"贝莱德新一代科技基金 A2","IE0034235188.USD":"PINEBRIDGE GLOBAL FOCUS EQUITY \"A\" (USD) ACC","LU1861220033.SGD":"Blackrock Next Generation Technology A2 SGD-H","HK0000320223.HKD":"TAIKANG KAITAI CHINA NEW OPPORTUNITIES FUND \"A\" (HKD) ACC","LU1852331112.SGD":"Blackrock World Technology Fund A2 SGD-H","LU0348723411.USD":"ALLIANZ GLOBAL HI-TECH GROWTH \"A\" (USD) INC","BK4527":"明星科技股","LU1629891620.HKD":"ALLIANZ INCOME AND GROWTH \"AMG2\" (H2-HKD) INC","LU1720051108.HKD":"ALLIANZ GLOBAL ARTIFICIAL INTELLIGENCE \"AT\" (HKD) ACC","IE00BFSS7M15.SGD":"Janus Henderson Balanced A Acc SGD-H","IE0034235295.USD":"PINEBRIDGE GLOBAL DYNAMIC ASSET ALLOCATION \"A\" (USD) ACC","SG9999015952.SGD":"LIONGLOBAL DISRUPTIVE INNOVATION \"I\" (SGD) ACC","IE0004445239.USD":"JANUS HENDERSON US FORTY \"A2\" (USD) ACC","HK0000320264.USD":"TAIKANG KAITAI CHINA NEW OPPORTUNITIES FUND \"A\" (USD) ACC","LU1861559042.SGD":"日兴方舟颠覆性创新基金B SGD","LU0823411888.USD":"法巴消费创新基金 Cap","LU2213496289.HKD":"ALLIANZ INCOME AND GROWTH \"AT\" (HKD) ACC","LU1551013342.USD":"Allianz Income and Growth Cl AMg2 DIS USD","LU0719512351.SGD":"JPMorgan Funds - US Technology A (acc) SGD","BK4099":"汽车制造商","IE00BMPRXR70.SGD":"Neuberger Berman 5G Connectivity A Acc SGD-H","IE00BSNM7G36.USD":"NEUBERGER BERMAN SYSTEMATIC GLOBAL SUSTAINABLE VALUE \"A\" (USD) ACC","IE00BKDWB100.SGD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A5H\" (SGDHDG) ACC","IE00BYXW3230.USD":"PINEBRIDGE GLOBAL DYNAMIC ASSET ALLOCATION \"AA\" (USD) ACC","LU1914381329.SGD":"Allianz Best Styles Global Equity Cl ET Acc H2-SGD","LU2249611893.SGD":"BNP PARIBAS ENERGY TRANSITION \"CRH\" (SGD) ACC","IE00BMPRXN33.USD":"NEUBERGER BERMAN 5G CONNECTIVITY \"A\" (USD) ACC","LU0820562030.AUD":"ALLIANZ INCOME AND GROWTH \"AMH2\" (AUDHDG) H2 INC","IE00BDRTCR15.USD":"PINEBRIDGE GLOBAL DYNAMIC ASSET ALLOCATION \"ADC\" (USD) INC A","IE00B775H168.HKD":"JANUS HENDERSON BALANCED \"A5M\" (HKD) INC","LU1548497426.USD":"安联环球人工智能AT Acc","IE0005OL40V9.USD":"JANUS HENDERSON BALANCED \"A6M\" (USD) INC","IE00BFSS8Q28.SGD":"Janus Henderson Balanced A Inc SGD-H","LU0823414478.USD":"法巴经典能源转换基金","LU0057025933.USD":"SUSTAINABLE GLOBAL THEMATIC PORTFOLIO \"AX\" (USD) ACC","BK4532":"文艺复兴科技持仓","BK4592":"伊斯兰概念","LU0061474705.USD":"THREADNEEDLE (LUX) GLOBAL DYNAMIC REAL RETURN \"AU\" (USD) ACC","NVDA":"英伟达","LU2023250330.USD":"ALLIANZ INCOME AND GROWTH \"AMG\" (USD) INC","IE00B1BXHZ80.USD":"Legg Mason ClearBridge - US Appreciation A Acc USD","BK4534":"瑞士信贷持仓","BK4567":"ESG概念","BK4533":"AQR资本管理(全球第二大对冲基金)"},"source_url":"https://dowjonesnews.com/newdjn/logon.aspx?AL=N","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"2469159203","content_text":"Nvidia stock has dropped over the past few months. Investors should hang on—tight.Nvidia stock has seen exponential gains in recent years.Shares have fallen to $116, a 14% decline from their record close around $135, hit in June. They were down 38% to $98 at their lowest levels during this summertime drop. Through it all, the stock—which was flat in early trading Monday, while the benchmark S&P 500 were up 0.2%—remains up just about tenfold over the past five years. But investors should not rush for the exits: Research shows that a drop like this is normal, and even expected, for a stock like Nvidia, which has seen exponential growth in its share price.A combination of related factors have driven shares of the artificial-intelligence leader lower. When Nvidia stock hit $135, investors took profits by selling. Emerging competition from chip makers such as Advanced Micro Devices threaten a small portion of Nvidia’s sales, making the smaller AMD maybe a more compelling buy at this point. And while AI chips are experiencing high and accelerating demand, everyone knows the growth for all chip makers will slow within the next few years. That’s not the end of Nvidia’s storybook journey. It’s completely normal for rare stocks with explosive growth curves to experience large declines periodically. Historically, the average maximum drawdown for stocks that went up tenfold in a five-year period is 48%, according to Trivariate Research’s analysis of 84 stocks that have achieved this feat.The worst selloff is also nothing to worry about. Of the 84 names that Trivariate identified, the largest pullback was 89% for GameStop over the course of just over three years. But that stock is an outlier; GameStop didn’t rise because of company fundamentals. In fact, its earnings have beenshrinkingand its tenfold return in early 2021 was driven bythe Reddit meme stock craze.Nvidia is nothing like GameStop. Analysts still expect the chip company to post double-digit annual earnings growth, in percent terms, over the next several years, according to FactSet. Nvidia stock now trades at a lower multiple of near-term earnings estimates, so continued earnings growth could take the shares higher from here.That outlook makes Nvidia more like Tesla, which went up by more than 10 times during the five years ended in May 2017. Electric-vehicle demand, like chip demand today, was exploding. Within that five-year stretch, Tesla stock’s worst drawdown was 50% over a year-and-a-half period that ended in February 2016. Since then, shares have rocketed another 20 times. Yes, EV competition has emerged, but overall industry growth has still benefited Tesla. Maybe Nvidia has a similar future. Just hold on for the long-term.","news_type":1},"isVote":1,"tweetType":1,"viewCount":108,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":351658722856992,"gmtCreate":1726896978300,"gmtModify":1726896982480,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"Scepticism will continue , rise of Semicon will also continue","listText":"Scepticism will continue , rise of Semicon will also continue","text":"Scepticism will continue , rise of Semicon will also continue","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":0,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/351658722856992","repostId":"2468640900","repostType":2,"repost":{"id":"2468640900","kind":"highlight","weMediaInfo":{"introduction":"Dow Jones publishes the world’s most trusted business news and financial information in a variety of media.","home_visible":0,"media_name":"Dow Jones","id":"106","head_image":"https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99"},"pubTimestamp":1726836536,"share":"https://ttm.financial/m/news/2468640900?lang=&edition=fundamental","pubTime":"2024-09-20 20:48","market":"hk","language":"en","title":"The Fed Spurred a Big Rally in Nvidia and Other Chip Stocks. Is It Sustainable?","url":"https://stock-news.laohu8.com/highlight/detail?id=2468640900","media":"Dow Jones","summary":"Fed commentary could give a further shot in the arm to AI names that have been market leaders, but the broader semiconductor sector still faces challenges and skepticism. The chip trade was back in full force Thursday, with the sector posting one of its best days of the year on the heels of the Federal Reserve's interest-rate announcement, which brought a larger initial cut than some were expecting.The Fed's decision to lower interest rates by 50 basis points \"was the missing piece in the puzzle that we believe many investors were waiting for to signal the green light is back on for the tech growth trade into year-end and 2025,\" Wedbush analyst Dan Ives wrote in a note to clients Thursday.\"The companies we visited exposed to AI made one thing clear - AI demand and spending is persistent, and in some cases accelerating,\" he wrote. Companies \"noted that demand for AI compute is outpacing availability.\"","content":"<html><head></head><body><ul style=\"\"><li><p>Fed commentary could give a further shot in the arm to AI names that have been market leaders, but the broader semiconductor sector still faces challenges and skepticism</p></li></ul><p>The chip trade was back in full force Thursday, with the sector posting one of its best days of the year on the heels of the Federal Reserve's interest-rate announcement, which brought a larger initial cut than some were expecting.</p><p>The Fed's decision to lower interest rates by 50 basis points "was the missing piece in the puzzle that we believe many investors were waiting for to signal the green light is back on for the tech growth trade into year-end and 2025," Wedbush analyst Dan Ives wrote in a note to clients Thursday.</p><p>Investors saw big moves in the PHLX Semiconductor Index, which itself posted its eighth-best day of the year Thursday, up 4.3%, even after paring gains late in the session. All components ended in positive territory, with shares of Nvidia Corp. <a href=\"https://laohu8.com/S/NVDA\">$(NVDA)$</a> rising nearly 4%, shares of Advanced Micro Devices Inc. <a href=\"https://laohu8.com/S/AMD\">$(AMD)$</a> gaining 5.7% and shares of Marvell Technology Inc. <a href=\"https://laohu8.com/S/MRVL\">$(MRVL)$</a> posting a 4.7% climb.</p><p>The interest-rate move is just one catalyst that could drive further growth for the technology sector, according to Ives. "The Fed and Powell kicked off its aggressive rate-cutting cycle this week, macro soft landing remains the path and tech spending on AI remains a generational spending cycle just starting to hit the shores of the tech sector," he wrote.</p><p>Mizuho desk-based analyst Jordan Klein agreed that the latest move and commentary from the Fed "created more confidence in a soft-landing scenario," which he said could be interpreted positively for cyclical sectors like semiconductors. It also set up a "risk-on backdrop and that helps semis a lot as they have been market leaders" for much of 2024.</p><p>But there are still business challenges for many portions of the chip sector that have been dealing with negative cyclical trends.</p><p>Klein took a measured view of some aspects of the Fed-fueled rally, noting that short covering may have played a role in the magnitude of Thursday's moves. Hedge funds are "generally skeptical and cautious" on most areas of the semiconductor sector outside of "compute"-focused names, he told MarketWatch.</p><p>Truist analyst William Stein also highlighted that chip-sector dichotomy in a Friday report that recapped recent meetings with semiconductor and AI players.</p><p>"The companies we visited exposed to AI made one thing clear - AI demand and spending is persistent, and in some cases accelerating," he wrote. Companies "noted that demand for AI compute is outpacing availability."</p><p>But those hoping for a rebound elsewhere in the semiconductor sector may be left wanting. "As strong as AI demand is, the long-awaited demand recovery in the diversified end market semis remains in limbo," Stein wrote. He met with executives at Microchip Technology Inc. <a href=\"https://laohu8.com/S/MCHP\">$(MCHP)$</a> and Diodes Inc. <a href=\"https://laohu8.com/S/DIOD\">$(DIOD)$</a>, who indicated "elevated inventory, a slow inventory burn through under-shipping end demand and foggy end-market visibility."</p></body></html>","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>The Fed Spurred a Big Rally in Nvidia and Other Chip Stocks. Is It Sustainable?</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nThe Fed Spurred a Big Rally in Nvidia and Other Chip Stocks. Is It Sustainable?\n</h2>\n\n<h4 class=\"meta\">\n\n\n<div class=\"head\" \">\n\n\n<div class=\"h-thumb\" style=\"background-image:url(https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99);background-size:cover;\"></div>\n\n<div class=\"h-content\">\n<p class=\"h-name\">Dow Jones </p>\n<p class=\"h-time\">2024-09-20 20:48</p>\n</div>\n\n</div>\n\n\n</h4>\n\n</header>\n<article>\n<html><head></head><body><ul style=\"\"><li><p>Fed commentary could give a further shot in the arm to AI names that have been market leaders, but the broader semiconductor sector still faces challenges and skepticism</p></li></ul><p>The chip trade was back in full force Thursday, with the sector posting one of its best days of the year on the heels of the Federal Reserve's interest-rate announcement, which brought a larger initial cut than some were expecting.</p><p>The Fed's decision to lower interest rates by 50 basis points "was the missing piece in the puzzle that we believe many investors were waiting for to signal the green light is back on for the tech growth trade into year-end and 2025," Wedbush analyst Dan Ives wrote in a note to clients Thursday.</p><p>Investors saw big moves in the PHLX Semiconductor Index, which itself posted its eighth-best day of the year Thursday, up 4.3%, even after paring gains late in the session. All components ended in positive territory, with shares of Nvidia Corp. <a href=\"https://laohu8.com/S/NVDA\">$(NVDA)$</a> rising nearly 4%, shares of Advanced Micro Devices Inc. <a href=\"https://laohu8.com/S/AMD\">$(AMD)$</a> gaining 5.7% and shares of Marvell Technology Inc. <a href=\"https://laohu8.com/S/MRVL\">$(MRVL)$</a> posting a 4.7% climb.</p><p>The interest-rate move is just one catalyst that could drive further growth for the technology sector, according to Ives. "The Fed and Powell kicked off its aggressive rate-cutting cycle this week, macro soft landing remains the path and tech spending on AI remains a generational spending cycle just starting to hit the shores of the tech sector," he wrote.</p><p>Mizuho desk-based analyst Jordan Klein agreed that the latest move and commentary from the Fed "created more confidence in a soft-landing scenario," which he said could be interpreted positively for cyclical sectors like semiconductors. It also set up a "risk-on backdrop and that helps semis a lot as they have been market leaders" for much of 2024.</p><p>But there are still business challenges for many portions of the chip sector that have been dealing with negative cyclical trends.</p><p>Klein took a measured view of some aspects of the Fed-fueled rally, noting that short covering may have played a role in the magnitude of Thursday's moves. Hedge funds are "generally skeptical and cautious" on most areas of the semiconductor sector outside of "compute"-focused names, he told MarketWatch.</p><p>Truist analyst William Stein also highlighted that chip-sector dichotomy in a Friday report that recapped recent meetings with semiconductor and AI players.</p><p>"The companies we visited exposed to AI made one thing clear - AI demand and spending is persistent, and in some cases accelerating," he wrote. Companies "noted that demand for AI compute is outpacing availability."</p><p>But those hoping for a rebound elsewhere in the semiconductor sector may be left wanting. "As strong as AI demand is, the long-awaited demand recovery in the diversified end market semis remains in limbo," Stein wrote. He met with executives at Microchip Technology Inc. <a href=\"https://laohu8.com/S/MCHP\">$(MCHP)$</a> and Diodes Inc. <a href=\"https://laohu8.com/S/DIOD\">$(DIOD)$</a>, who indicated "elevated inventory, a slow inventory burn through under-shipping end demand and foggy end-market visibility."</p></body></html>\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"IE00BDRTCR15.USD":"PINEBRIDGE GLOBAL DYNAMIC ASSET ALLOCATION \"ADC\" (USD) INC A","NVDA":"英伟达","IE0005OL40V9.USD":"JANUS HENDERSON BALANCED \"A6M\" (USD) INC","IE00BK4W5L77.USD":"HSBC GLOBAL FUNDS ICAV US EQUITY INDEX \"HC\" (USD) ACC","IE00B19Z9Z06.USD":"Legg Mason ClearBridge - US Aggressive Growth A Acc USD","IE00BK4W5M84.HKD":"HSBC GLOBAL FUNDS ICAV US EQUITY INDEX \"HC\" (HKD) ACC","LU0979878070.USD":"FULLERTON LUX FUNDS - ASIA ABSOLUTE ALPHA \"A\" (USD) ACC","IE00BMPRXQ63.HKD":"NEUBERGER BERMAN NEXT GENERATION CONNECTIVITY FUND \"A\" (HKDHDG) ACC","LU0823434583.USD":"BNP PARIBAS US GROWTH \"C\" (USD) ACC","BK4549":"软银资本持仓","LU2272731865.HKD":"ALLIANZ GLOBAL INTELLIGENT CITIES INCOME \"AM\" (HKD) INC","BK4548":"巴美列捷福持仓","LU0823434740.USD":"BNP PARIBAS US GROWTH \"C\" (USD) INC","LU1303367103.USD":"摩根大通多经理另类基金 A (acc)","LU0348723411.USD":"ALLIANZ GLOBAL HI-TECH GROWTH \"A\" (USD) INC","LU2098885051.SGD":"JPMorgan Funds - Multi-Manager Alternatives A (acc) SGD","BK4532":"文艺复兴科技持仓","IE00BLSP4452.SGD":"Legg Mason ClearBridge - Tactical Dividend Income A Mdis SGD-H Plus","BK4554":"元宇宙及AR概念","IE00BFSS7M15.SGD":"Janus Henderson Balanced A Acc SGD-H","LU1880398471.USD":"AMUNDI FUNDS GLOBAL EQUITY \"A2\" (USD) ACC","LU0417517546.SGD":"Allianz US Equity Cl AT Acc SGD","LU1988902786.USD":"FULLERTON LUX FUNDS GLOBAL ABSOLUTE ALPHA \"I\" (USD) ACC","BK4534":"瑞士信贷持仓","BK4533":"AQR资本管理(全球第二大对冲基金)","IE00BZ1G4Q59.USD":"LEGG MASON CLEARBRIDGE US EQUITY SUSTAINABILITY LEADER \"A\"(USD) INC (A)","IE00BN8TJ469.HKD":"FTGF CLEARBRIDGE TACTICAL DIVIDEND INCOME \"A\" (HKD) INC","LU0823421333.USD":"BNP PARIBAS DISRUPTIVE TECHNOLOGY \"C\" (USD) ACC","IE00BZ199S13.USD":"BNY MELLON MOBILITY INNOVATION \"B\" (USD) ACC","LU0823421416.USD":"BNP PARIBAS DISRUPTIVE TECHNOLOGY \"C\" (USD) INC","IE00BMPRXR70.SGD":"Neuberger Berman 5G Connectivity A Acc SGD-H","BK4543":"AI"},"source_url":"https://dowjonesnews.com/newdjn/logon.aspx?AL=N","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"2468640900","content_text":"Fed commentary could give a further shot in the arm to AI names that have been market leaders, but the broader semiconductor sector still faces challenges and skepticismThe chip trade was back in full force Thursday, with the sector posting one of its best days of the year on the heels of the Federal Reserve's interest-rate announcement, which brought a larger initial cut than some were expecting.The Fed's decision to lower interest rates by 50 basis points \"was the missing piece in the puzzle that we believe many investors were waiting for to signal the green light is back on for the tech growth trade into year-end and 2025,\" Wedbush analyst Dan Ives wrote in a note to clients Thursday.Investors saw big moves in the PHLX Semiconductor Index, which itself posted its eighth-best day of the year Thursday, up 4.3%, even after paring gains late in the session. All components ended in positive territory, with shares of Nvidia Corp. $(NVDA)$ rising nearly 4%, shares of Advanced Micro Devices Inc. $(AMD)$ gaining 5.7% and shares of Marvell Technology Inc. $(MRVL)$ posting a 4.7% climb.The interest-rate move is just one catalyst that could drive further growth for the technology sector, according to Ives. \"The Fed and Powell kicked off its aggressive rate-cutting cycle this week, macro soft landing remains the path and tech spending on AI remains a generational spending cycle just starting to hit the shores of the tech sector,\" he wrote.Mizuho desk-based analyst Jordan Klein agreed that the latest move and commentary from the Fed \"created more confidence in a soft-landing scenario,\" which he said could be interpreted positively for cyclical sectors like semiconductors. It also set up a \"risk-on backdrop and that helps semis a lot as they have been market leaders\" for much of 2024.But there are still business challenges for many portions of the chip sector that have been dealing with negative cyclical trends.Klein took a measured view of some aspects of the Fed-fueled rally, noting that short covering may have played a role in the magnitude of Thursday's moves. Hedge funds are \"generally skeptical and cautious\" on most areas of the semiconductor sector outside of \"compute\"-focused names, he told MarketWatch.Truist analyst William Stein also highlighted that chip-sector dichotomy in a Friday report that recapped recent meetings with semiconductor and AI players.\"The companies we visited exposed to AI made one thing clear - AI demand and spending is persistent, and in some cases accelerating,\" he wrote. Companies \"noted that demand for AI compute is outpacing availability.\"But those hoping for a rebound elsewhere in the semiconductor sector may be left wanting. \"As strong as AI demand is, the long-awaited demand recovery in the diversified end market semis remains in limbo,\" Stein wrote. He met with executives at Microchip Technology Inc. $(MCHP)$ and Diodes Inc. $(DIOD)$, who indicated \"elevated inventory, a slow inventory burn through under-shipping end demand and foggy end-market visibility.\"","news_type":1},"isVote":1,"tweetType":1,"viewCount":139,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":350393307783408,"gmtCreate":1726573250552,"gmtModify":1726573254234,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"I remember seeing such turnaround story when the price was 40+ , now 20+ again I see same story . Good luck to those to believe this and buy.","listText":"I remember seeing such turnaround story when the price was 40+ , now 20+ again I see same story . Good luck to those to believe this and buy.","text":"I remember seeing such turnaround story when the price was 40+ , now 20+ again I see same story . Good luck to those to believe this and buy.","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/350393307783408","repostId":"1116612357","repostType":2,"repost":{"id":"1116612357","kind":"news","weMediaInfo":{"introduction":"Dow Jones publishes the world’s most trusted business news and financial information in a variety of media.","home_visible":1,"media_name":"Dow Jones","id":"1012688067","head_image":"https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99"},"pubTimestamp":1726571442,"share":"https://ttm.financial/m/news/1116612357?lang=&edition=fundamental","pubTime":"2024-09-17 19:10","market":"us","language":"en","title":"Intel’s Turnaround Is Working. Buy the Dip","url":"https://stock-news.laohu8.com/highlight/detail?id=1116612357","media":"Dow Jones","summary":"Nvidia, with both its outsized market valuation and incredible share-price growth, has almost single-handedly lifted major stock indexes over the past two years. For good reason it’s the darling among","content":"<html><head></head><body><p>Nvidia, with both its outsized market valuation and incredible share-price growth, has almost single-handedly lifted major stock indexes over the past two years. For good reason it’s the darling among semiconductor stocks.</p><p>That has come alongside a remarkable change in fortune for Intel, which once held that coveted position among investors—it dominated the chip market just as Microsoft’s Windows dominated operating systems during the internet boom of the 1990s. Since then, the chip maker has mostly been an also-ran, but maybe it’s time for it to make a comeback.</p><p>CEO Pat Gelsinger has a turnaround plan that’s starting to kick in. On Monday, the company announced that it will run its manufacturing unit as an independent business. The goal is to assure the company’s clients that they will get equal priority to Intel’s design unit, and that their designs will be secure. The hope is that it makes Intel more competitive with rivals such as Taiwan Semiconductor and Samsung Electronics.</p><p>There was also an early vote of confidence—it inked new contracts with Amazon and grants from the Pentagon worth billions. Intel stock climbed a healthy 6% after the announcement.</p><p>To be sure, Intel shares have fallen 60% this year while Nvidia’s have almost tripled—it would be too much to expect Intel to get anywhere close to Nvidia’s recent returns. Nevertheless, it shows the potential of the market for semiconductors, which is still large and growing.</p><p>The news could also raise hopes for other technology stocks, in particular those of the Magnificent 7 that have driven markets higher since 2023. That group, which includes Microsoft, Amazon, Apple, Google-parent Alphabet, Facebook-parent Meta Platforms, Tesla, and Nvidia, has struggled since the middle of July.</p><p>If interest-rate cuts from the Federal Reserve raise risk appetite among investors, the Mag 7 and the tech sector more generally could ride again.</p></body></html>","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Intel’s Turnaround Is Working. Buy the Dip</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nIntel’s Turnaround Is Working. Buy the Dip\n</h2>\n\n<h4 class=\"meta\">\n\n\n<a class=\"head\" href=\"https://laohu8.com/wemedia/1012688067\">\n\n\n<div class=\"h-thumb\" style=\"background-image:url(https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99);background-size:cover;\"></div>\n\n<div class=\"h-content\">\n<p class=\"h-name\">Dow Jones </p>\n<p class=\"h-time\">2024-09-17 19:10</p>\n</div>\n\n</a>\n\n\n</h4>\n\n</header>\n<article>\n<html><head></head><body><p>Nvidia, with both its outsized market valuation and incredible share-price growth, has almost single-handedly lifted major stock indexes over the past two years. For good reason it’s the darling among semiconductor stocks.</p><p>That has come alongside a remarkable change in fortune for Intel, which once held that coveted position among investors—it dominated the chip market just as Microsoft’s Windows dominated operating systems during the internet boom of the 1990s. Since then, the chip maker has mostly been an also-ran, but maybe it’s time for it to make a comeback.</p><p>CEO Pat Gelsinger has a turnaround plan that’s starting to kick in. On Monday, the company announced that it will run its manufacturing unit as an independent business. The goal is to assure the company’s clients that they will get equal priority to Intel’s design unit, and that their designs will be secure. The hope is that it makes Intel more competitive with rivals such as Taiwan Semiconductor and Samsung Electronics.</p><p>There was also an early vote of confidence—it inked new contracts with Amazon and grants from the Pentagon worth billions. Intel stock climbed a healthy 6% after the announcement.</p><p>To be sure, Intel shares have fallen 60% this year while Nvidia’s have almost tripled—it would be too much to expect Intel to get anywhere close to Nvidia’s recent returns. Nevertheless, it shows the potential of the market for semiconductors, which is still large and growing.</p><p>The news could also raise hopes for other technology stocks, in particular those of the Magnificent 7 that have driven markets higher since 2023. That group, which includes Microsoft, Amazon, Apple, Google-parent Alphabet, Facebook-parent Meta Platforms, Tesla, and Nvidia, has struggled since the middle of July.</p><p>If interest-rate cuts from the Federal Reserve raise risk appetite among investors, the Mag 7 and the tech sector more generally could ride again.</p></body></html>\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"INTC":"英特尔"},"source_url":"","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"1116612357","content_text":"Nvidia, with both its outsized market valuation and incredible share-price growth, has almost single-handedly lifted major stock indexes over the past two years. For good reason it’s the darling among semiconductor stocks.That has come alongside a remarkable change in fortune for Intel, which once held that coveted position among investors—it dominated the chip market just as Microsoft’s Windows dominated operating systems during the internet boom of the 1990s. Since then, the chip maker has mostly been an also-ran, but maybe it’s time for it to make a comeback.CEO Pat Gelsinger has a turnaround plan that’s starting to kick in. On Monday, the company announced that it will run its manufacturing unit as an independent business. The goal is to assure the company’s clients that they will get equal priority to Intel’s design unit, and that their designs will be secure. The hope is that it makes Intel more competitive with rivals such as Taiwan Semiconductor and Samsung Electronics.There was also an early vote of confidence—it inked new contracts with Amazon and grants from the Pentagon worth billions. Intel stock climbed a healthy 6% after the announcement.To be sure, Intel shares have fallen 60% this year while Nvidia’s have almost tripled—it would be too much to expect Intel to get anywhere close to Nvidia’s recent returns. Nevertheless, it shows the potential of the market for semiconductors, which is still large and growing.The news could also raise hopes for other technology stocks, in particular those of the Magnificent 7 that have driven markets higher since 2023. That group, which includes Microsoft, Amazon, Apple, Google-parent Alphabet, Facebook-parent Meta Platforms, Tesla, and Nvidia, has struggled since the middle of July.If interest-rate cuts from the Federal Reserve raise risk appetite among investors, the Mag 7 and the tech sector more generally could ride again.","news_type":1},"isVote":1,"tweetType":1,"viewCount":91,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":349012351471760,"gmtCreate":1726238261389,"gmtModify":1726238265689,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"If you see the QR , last 6 quarters , every quarter revenue increased by 4 Billion . Latest quarter Q2 is 30, if linear growth Q3 would be 34 and Q4 will be 38, this is excluding Blackwell that Jensen said demand is incredible , let's say 5 billion from Balck well , total Q4 will be 43. Continue into next fiscal year assuming demand remains strong which I think it will unless Jensen lied saying demand is incredible . i think 200 Billion revenue is achievable ","listText":"If you see the QR , last 6 quarters , every quarter revenue increased by 4 Billion . Latest quarter Q2 is 30, if linear growth Q3 would be 34 and Q4 will be 38, this is excluding Blackwell that Jensen said demand is incredible , let's say 5 billion from Balck well , total Q4 will be 43. Continue into next fiscal year assuming demand remains strong which I think it will unless Jensen lied saying demand is incredible . i think 200 Billion revenue is achievable ","text":"If you see the QR , last 6 quarters , every quarter revenue increased by 4 Billion . Latest quarter Q2 is 30, if linear growth Q3 would be 34 and Q4 will be 38, this is excluding Blackwell that Jensen said demand is incredible , let's say 5 billion from Balck well , total Q4 will be 43. Continue into next fiscal year assuming demand remains strong which I think it will unless Jensen lied saying demand is incredible . i think 200 Billion revenue is achievable","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":0,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/349012351471760","repostId":"2466270404","repostType":2,"isVote":1,"tweetType":1,"viewCount":185,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":349010400575528,"gmtCreate":1726237871326,"gmtModify":1726238188608,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"Another rubbish article. When Blackwell is shipped out , you can write again . Next fiscalyear will be 200 Billion revenue and by then everyone will say should have bought last year","listText":"Another rubbish article. When Blackwell is shipped out , you can write again . Next fiscalyear will be 200 Billion revenue and by then everyone will say should have bought last year","text":"Another rubbish article. When Blackwell is shipped out , you can write again . Next fiscalyear will be 200 Billion revenue and by then everyone will say should have bought last year","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/349010400575528","repostId":"2466270404","repostType":2,"repost":{"id":"2466270404","kind":"highlight","pubTimestamp":1726229310,"share":"https://ttm.financial/m/news/2466270404?lang=&edition=fundamental","pubTime":"2024-09-13 20:08","market":"sg","language":"en","title":"Nvidia: The Price Is Too High","url":"https://stock-news.laohu8.com/highlight/detail?id=2466270404","media":"seekingalpha","summary":"The market has negatively reacted to Nvidia’s latest earnings report.Nvidia faces several risks that will likely undermine its efforts to grow its sales across the globe.We also believe that Nvidia is","content":"<html><head></head><body><ul style=\"\"><li><p>The market has negatively reacted to Nvidia’s latest earnings report.</p></li><li><p>Nvidia faces several risks that will likely undermine its efforts to grow its sales across the globe.</p></li><li><p>We also believe that Nvidia is overvalued, its upside is limited, and its stock is a SELL for us.</p></li></ul><h2 id=\"id_3486510891\">Nvidia Disappoints The Market</h2><p>Two weeks ago, Nvidia released its Q2’25 earnings report, which showed that the revenues during the quarter were $30.04 billion, up 122.4% Y/Y and above the consensus by $1.29 billion. Despite such results, the company’s shares initially declined after the results were revealed.</p><p>In part, the decline was caused by the expectations that Nvidia’s growth rate is about to normalize in the upcoming quarters, which means that the triple-digit growth rate is likely to be a thing of the past next year and beyond.</p><p>If we look closely at the performance of Nvidia’s stock, we’ll see that it started to gain momentum in May 2023. That is when the Q1’24 report was released, which showed that while the company’s revenues declined Y/Y, major growth was expected in the following quarter thanks to the increased demand for its first generative AI GPUs from the H100 series that started to gain traction back then. As the generative AI revolution began to gather steam, the sales for the company’s AI GPUs were accelerating, which made Nvidia trade at excessive multiples that are mostly far beyond the sector’s median multiples.</p><p>Ever since that report came in, the market’s perception was that the company needed to significantly beat the consensus estimates and meaningfully increase its guidance all the time for the shares to continue to trade at those high multiples. This has been the case in recent quarters so far. In Q3’24, Q4’24, and Q1’25, Nvidia beat the revenue consensus by a wide margin and announced a major guidance increase that was above the street expectations by a significant margin as well. Thanks to this, Nvidia’s shares rallied, and the company was able to become one of the most valuable businesses in the world in less than two years.</p><p>However, after the recent Q2’25 report came in, there’s a sign that the pace of growth appears to be slowing down, and it’s one of the main reasons why the stock has been declining recently. CNN reported that investors were likely disappointed that Nvidia didn’t beat the estimates by a wider margin. Another Seeking Alpha contributor Jonathan Weber also noted that while the revenue estimates were beaten by around 4%, it’s not as great when compared to a year ago when revenue estimates were beaten by around 20%. If we look at Nvidia’s earnings history, we’ll see that the revenue beat in absolute numbers has been shrinking during each consecutive quarter starting from Q2’24. Professor Aswath Damodaran noted that <em>there are clear signs of more slowing to come, as scaling will continue to push revenue growth down.</em></p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/1e0ecde52260da152c697a1556ad66bb\" tg-width=\"640\" tg-height=\"137\"/></p><p>Earnings History (Seeking Alpha)</p><p>In addition to that, the guidance also was relatively weak and contributed to the decline in share price as well. In Q3, Nvidia expects to generate $32.5 billion in revenues, which is less than a billion dollars from the consensus of $31.71 billion. This was one of the biggest disappointments of the recent earnings report, as the market expected a better guidance. Professor Aswath Damodaran also explained what to make from this guidance and what’s to come next, and we fully share his point of view:</p><blockquote><p>As a company that has played the expectations game well, it should come as no surprise that Nvidia provided guidance for future quarters in its second quarter report, and here too, there were reminders that comparisons would get more challenging in future quarters, as they predicted that revenue growth rates would come back to earth, and that margins would, at best, level off or perhaps even decline.</p></blockquote><h2 id=\"id_3089099913\">Additional Issues To Consider</h2><p>While the guidance has been rather disappointing, there’s also a possibility that it would be more challenging for Nvidia to meet it, and especially exceed it, as it faces some additional challenges right now. Last month, news came in that Nvidia’s upcoming Blackwell GPUs will be delayed, which resulted in a short-term selloff of the company’s shares. Nvidia in the recent conference call hinted that the potential delay was due to the technical change to improve the production yields of Blackwell and the production ramp-up is expected only in Q4. As such, there’s a possibility that the overall performance in Q3 could also disappoint investors when the next earnings report comes out in November.</p><p>There’s also a risk that the guidance in the next earnings report could also disappoint investors, since the company faces some external risks that are outside of its control. In the Q1 earnings call, the management admitted that their data center revenue in China is down significantly due to the American chip export restrictions that were implemented last year. In the recent Q2 earnings call, they repeated that their current sales in China are below the previous levels. Since the China-USA relations are not expected to significantly improve anytime soon and Beijing has recently retaliated by imposing its export restrictions as well, the macro risks will remain and will likely continue to undermine Nvidia’s efforts to grow revenues across the globe.</p><p>As a result of all of that, we believe that Nvidia is not a good investment right now and its shares have a decent chance of continuing to depreciate or trade sideways in the upcoming months.</p><h2 id=\"id_2000837632\">The Intrinsic Value of Nvidia</h2><p>Right now, we believe that Nvidia’s stock is also overvalued, especially since it trades at a forward P/E of 38x, while the sector’s median P/E is only 23x. Seeking Alpha’s Quant system also gives Nvidia a rating of D- for valuation. To figure out Nvidia’s intrinsic value and how big is its downside, we created our valuation model.</p><p>To create a model, we added some initial data that can be seen on the left side of the table below. The tax rate in our model is 21%. This is the current corporate tax rate in the United States. While Nvidia’s effective tax rate was lower in the last year, our model covers a period of the next five years where the tax rate might increase. This is why it makes sense to assume a higher rate in the model. We made this model at a time when Nvidia was trading at $116.91 per share, and the long-term debt and the cash reserves data was added from the latest earnings report. The perpetual growth rate is 3%, which is close to the historical inflation and GDP rate.</p><p>The discount rate in our model is 10.28%. The calculation for the discount rate is presented in the middle and right columns of the table, which can be seen below. First, we calculated the cost of debt and the after-tax cost of debt by using Nvidia’s TTM financial data. Then we calculated the cost of equity by using the risk-free rate of 3.86%, the beta of 1.68, and the inflation-adjusted market-return rate of 7.70%. In the end, we weighted Nvidia’s debt profile with its equity and figured out the discount rate.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/4525cc5cfd74d912557f2358499ce023\" tg-width=\"640\" tg-height=\"183\"/></p><p>Nvidia’s Valuation (Bears of Wall Street)</p><p>Once we filled in the entry data, we moved on to forecasting Nvidia’s growth in the upcoming years. The sales growth rate of 106% in the model is similar to the overall expectations for the current fiscal year. While the pace of growth is expected to subside going forward, the company still had strong growth at the beginning of this fiscal year, which is why in FY25 we’ll still see a triple-digit rate for sales. After that, a normalization of the growth rate is expected to happen and is reflected in our model. The EBIT as a percentage of sales is 62% in the model, which is close to the company’s historical performance in recent months. The tax rate is 21%, while the assumptions for the rest of the metrics closely match up with Nvidia’s historical performance.</p><p>Our forecast helped us figure out the present value of Nvidia’s FCF in the upcoming years. We were then able to calculate the cumulative value of Nvidia’s FCF, apply the discount and perpetual growth rates, and figure out the terminal value and the present value of Nvidia’s terminal value. We then added Nvidia’s present value of the terminal value to the cumulative present value of its FCF to calculate the company’s enterprise value, which in our case is $1.94 trillion.</p><p>Once the enterprise value was found, we then added Nvidia’s cash, subtracted the long-term debt from it, and arrived at an equity value of $1.97 trillion. After that, we divided Nvidia’s equity value by the number of its shares and arrived at the intrinsic value of $79.33 per share. This means that Nvidia’s stock is overvalued by around 32%. That’s why we believe that Nvidia is a SELL right now.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/c7c5c3fa734baa66f95a87eecfb553f6\" tg-width=\"640\" tg-height=\"228\"/></p><p>Nvidia’s Valuation (Bears of Wall Street)</p><p>It’s also important to note that at a market cap of nearly ~$2. 65 trillion, it’s hard to justify Nvidia’s current price, even after the recent decline caused by the latest earnings report. The whole generative AI market under one of the most optimistic assumptions is expected to be worth $1.3 trillion in 2032. In addition, the overall cloud market could be worth only as much as $1.8 trillion by 2029. Considering this, Nvidia’s current valuation today simply doesn’t make a lot of sense to us.</p><h2 id=\"id_815598079\">Risks To Our Bearish Thesis</h2><p>Despite all the negativity, several risks could undermine our bearish thesis. The most obvious is the potential greater ramp-up of sales in the second half of the year, which would make the market excited again about Nvidia’s growth prospects. The potential delay of Blackwell shipments could be offset by the potential increase of the company’s Hopper series GPUs, especially since their supply and availability have improved. This could ensure that Nvidia performs well in Q3, and makes investors once again excited about investing into its shares if the beat is significant.</p><p>We also know from the latest conference call that the demand for Blackwell is above supply. If no further delays are announced, then when the Q3 report comes out, Nvidia could also announce a far more optimistic guidance for Q4, which could help revive the stock’s momentum later this year.</p><h2 id=\"id_584510153\">Final Thoughts</h2><p>Nvidia’s biggest issue is that its stock is priced for perfection, and any earnings report that includes an earnings beat without an impressive margin and relatively disappointing guidance would likely prevent a further appreciation of shares. This has been the case with the latest earnings report and the subsequent reaction of the market to it.</p><p>The macro challenges are also not going anywhere away, and potential catalysts might not even materialize in the end if the company fails to grow its sales due to potential supply issues or delays. That is why Nvidia’s upside is not guaranteed and until the Q3 numbers come out, its shares could continue to experience weakness. This is why at the current price, Nvidia stock is a SELL for us.</p></body></html>","source":"seekingalpha","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Nvidia: The Price Is Too High</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNvidia: The Price Is Too High\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-09-13 20:08 GMT+8 <a href=https://seekingalpha.com/article/4720611-nvidia-the-price-is-too-high><strong>seekingalpha</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>The market has negatively reacted to Nvidia’s latest earnings report.Nvidia faces several risks that will likely undermine its efforts to grow its sales across the globe.We also believe that Nvidia is...</p>\n\n<a href=\"https://seekingalpha.com/article/4720611-nvidia-the-price-is-too-high\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"IE00B4JS1V06.HKD":"JANUS HENDERSON BALANCED \"A2\" (HKD) ACC","IE00BFSS7M15.SGD":"Janus Henderson Balanced A Acc SGD-H","BK4532":"文艺复兴科技持仓","BK4554":"元宇宙及AR概念","HK0000320264.USD":"TAIKANG KAITAI CHINA NEW OPPORTUNITIES FUND \"A\" (USD) ACC","BK4592":"伊斯兰概念","IE0034235295.USD":"PINEBRIDGE GLOBAL DYNAMIC ASSET ALLOCATION \"A\" (USD) ACC","NVDA":"英伟达","HK0000306685.HKD":"TAIKANG KAITAI CHINA NEW OPPORTUNITIES FUND \"A\" (HKD) INC","IE00B3M56506.USD":"NEUBERGER BERMAN EMERGING MARKETS EQUITY \"A\" (USD) ACC","IE0004091025.USD":"BNY MELLON GLOBAL OPPORTUNITIES \"B\" (USD) ACC","IE00BHPRN162.USD":"BNY MELLON BLOCKCHAIN INNOVATION \"B\" (USD) ACC","BK4585":"ETF&股票定投概念","BK4534":"瑞士信贷持仓","BK4548":"巴美列捷福持仓","GB00BDT5M118.USD":"天利环球扩展Alpha基金A Acc","BK4533":"AQR资本管理(全球第二大对冲基金)","LU0056508442.USD":"贝莱德世界科技基金A2","LU0048584097.USD":"FIDELITY FUNDS GLOBAL THEMATIC OPPORTUNITIES \"A\" (USD) INC","IE00B1XK9C88.USD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A\" (USD) ACC","IE00BZ199S13.USD":"BNY MELLON MOBILITY INNOVATION \"B\" (USD) ACC","IE0004445015.USD":"JANUS HENDERSON BALANCED \"A2\" (USD) ACC","IE00BJLML261.HKD":"HSBC GLOBAL EQUITY INDEX \"HCH\" (HKD) ACC","IE00BYXW3230.USD":"PINEBRIDGE GLOBAL DYNAMIC ASSET ALLOCATION \"AA\" (USD) ACC","HK0000306701.USD":"TAIKANG KAITAI CHINA NEW OPPORTUNITIES FUND \"A\" (USD) INC","IE00BMPRXN33.USD":"NEUBERGER BERMAN 5G CONNECTIVITY \"A\" (USD) ACC","BK4543":"AI","BK4587":"ChatGPT概念","IE00BJJMRY28.SGD":"Janus Henderson Balanced A Inc SGD","IE00B775H168.HKD":"JANUS HENDERSON BALANCED \"A5M\" (HKD) INC","BK4588":"碎股","IE00B5949003.HKD":"JANUS HENDERSON GLOBAL TECHNOLOGY AND INNOVATION \"A\" (HKD) ACC","BK4527":"明星科技股","BK4579":"人工智能","IE0005OL40V9.USD":"JANUS HENDERSON BALANCED \"A6M\" (USD) INC","IE00B19Z8W00.USD":"FTGF CLEARBRIDGE US LARGE CAP GROWTH \"A\" INC","IE00BWXC8680.SGD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A5\" (SGD) ACC","BK4503":"景林资产持仓","IE00BDCRKT87.USD":"PINEBRIDGE GLOBAL DYNAMIC ASSET ALLOCATION \"ADC\" (USD) INC","IE00B19Z8X17.USD":"FTGF CLEARBRIDGE US LARGE CAP GROWTH \"AG\" (USD) ACC","IE00BJJMRX11.SGD":"Janus Henderson Balanced A Acc SGD","IE00BD6J9T35.USD":"NEUBERGER BERMAN NEXT GENERATION MOBILITY \"A\" (USD) ACC","IE00BMPRXQ63.HKD":"NEUBERGER BERMAN NEXT GENERATION CONNECTIVITY FUND \"A\" (HKDHDG) ACC","BK4581":"高盛持仓","IE0034235188.USD":"PINEBRIDGE GLOBAL FOCUS EQUITY \"A\" (USD) ACC","BK4549":"软银资本持仓","HK0000320223.HKD":"TAIKANG KAITAI CHINA NEW OPPORTUNITIES FUND \"A\" (HKD) ACC"},"source_url":"https://seekingalpha.com/article/4720611-nvidia-the-price-is-too-high","is_english":true,"share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","article_id":"2466270404","content_text":"The market has negatively reacted to Nvidia’s latest earnings report.Nvidia faces several risks that will likely undermine its efforts to grow its sales across the globe.We also believe that Nvidia is overvalued, its upside is limited, and its stock is a SELL for us.Nvidia Disappoints The MarketTwo weeks ago, Nvidia released its Q2’25 earnings report, which showed that the revenues during the quarter were $30.04 billion, up 122.4% Y/Y and above the consensus by $1.29 billion. Despite such results, the company’s shares initially declined after the results were revealed.In part, the decline was caused by the expectations that Nvidia’s growth rate is about to normalize in the upcoming quarters, which means that the triple-digit growth rate is likely to be a thing of the past next year and beyond.If we look closely at the performance of Nvidia’s stock, we’ll see that it started to gain momentum in May 2023. That is when the Q1’24 report was released, which showed that while the company’s revenues declined Y/Y, major growth was expected in the following quarter thanks to the increased demand for its first generative AI GPUs from the H100 series that started to gain traction back then. As the generative AI revolution began to gather steam, the sales for the company’s AI GPUs were accelerating, which made Nvidia trade at excessive multiples that are mostly far beyond the sector’s median multiples.Ever since that report came in, the market’s perception was that the company needed to significantly beat the consensus estimates and meaningfully increase its guidance all the time for the shares to continue to trade at those high multiples. This has been the case in recent quarters so far. In Q3’24, Q4’24, and Q1’25, Nvidia beat the revenue consensus by a wide margin and announced a major guidance increase that was above the street expectations by a significant margin as well. Thanks to this, Nvidia’s shares rallied, and the company was able to become one of the most valuable businesses in the world in less than two years.However, after the recent Q2’25 report came in, there’s a sign that the pace of growth appears to be slowing down, and it’s one of the main reasons why the stock has been declining recently. CNN reported that investors were likely disappointed that Nvidia didn’t beat the estimates by a wider margin. Another Seeking Alpha contributor Jonathan Weber also noted that while the revenue estimates were beaten by around 4%, it’s not as great when compared to a year ago when revenue estimates were beaten by around 20%. If we look at Nvidia’s earnings history, we’ll see that the revenue beat in absolute numbers has been shrinking during each consecutive quarter starting from Q2’24. Professor Aswath Damodaran noted that there are clear signs of more slowing to come, as scaling will continue to push revenue growth down.Earnings History (Seeking Alpha)In addition to that, the guidance also was relatively weak and contributed to the decline in share price as well. In Q3, Nvidia expects to generate $32.5 billion in revenues, which is less than a billion dollars from the consensus of $31.71 billion. This was one of the biggest disappointments of the recent earnings report, as the market expected a better guidance. Professor Aswath Damodaran also explained what to make from this guidance and what’s to come next, and we fully share his point of view:As a company that has played the expectations game well, it should come as no surprise that Nvidia provided guidance for future quarters in its second quarter report, and here too, there were reminders that comparisons would get more challenging in future quarters, as they predicted that revenue growth rates would come back to earth, and that margins would, at best, level off or perhaps even decline.Additional Issues To ConsiderWhile the guidance has been rather disappointing, there’s also a possibility that it would be more challenging for Nvidia to meet it, and especially exceed it, as it faces some additional challenges right now. Last month, news came in that Nvidia’s upcoming Blackwell GPUs will be delayed, which resulted in a short-term selloff of the company’s shares. Nvidia in the recent conference call hinted that the potential delay was due to the technical change to improve the production yields of Blackwell and the production ramp-up is expected only in Q4. As such, there’s a possibility that the overall performance in Q3 could also disappoint investors when the next earnings report comes out in November.There’s also a risk that the guidance in the next earnings report could also disappoint investors, since the company faces some external risks that are outside of its control. In the Q1 earnings call, the management admitted that their data center revenue in China is down significantly due to the American chip export restrictions that were implemented last year. In the recent Q2 earnings call, they repeated that their current sales in China are below the previous levels. Since the China-USA relations are not expected to significantly improve anytime soon and Beijing has recently retaliated by imposing its export restrictions as well, the macro risks will remain and will likely continue to undermine Nvidia’s efforts to grow revenues across the globe.As a result of all of that, we believe that Nvidia is not a good investment right now and its shares have a decent chance of continuing to depreciate or trade sideways in the upcoming months.The Intrinsic Value of NvidiaRight now, we believe that Nvidia’s stock is also overvalued, especially since it trades at a forward P/E of 38x, while the sector’s median P/E is only 23x. Seeking Alpha’s Quant system also gives Nvidia a rating of D- for valuation. To figure out Nvidia’s intrinsic value and how big is its downside, we created our valuation model.To create a model, we added some initial data that can be seen on the left side of the table below. The tax rate in our model is 21%. This is the current corporate tax rate in the United States. While Nvidia’s effective tax rate was lower in the last year, our model covers a period of the next five years where the tax rate might increase. This is why it makes sense to assume a higher rate in the model. We made this model at a time when Nvidia was trading at $116.91 per share, and the long-term debt and the cash reserves data was added from the latest earnings report. The perpetual growth rate is 3%, which is close to the historical inflation and GDP rate.The discount rate in our model is 10.28%. The calculation for the discount rate is presented in the middle and right columns of the table, which can be seen below. First, we calculated the cost of debt and the after-tax cost of debt by using Nvidia’s TTM financial data. Then we calculated the cost of equity by using the risk-free rate of 3.86%, the beta of 1.68, and the inflation-adjusted market-return rate of 7.70%. In the end, we weighted Nvidia’s debt profile with its equity and figured out the discount rate.Nvidia’s Valuation (Bears of Wall Street)Once we filled in the entry data, we moved on to forecasting Nvidia’s growth in the upcoming years. The sales growth rate of 106% in the model is similar to the overall expectations for the current fiscal year. While the pace of growth is expected to subside going forward, the company still had strong growth at the beginning of this fiscal year, which is why in FY25 we’ll still see a triple-digit rate for sales. After that, a normalization of the growth rate is expected to happen and is reflected in our model. The EBIT as a percentage of sales is 62% in the model, which is close to the company’s historical performance in recent months. The tax rate is 21%, while the assumptions for the rest of the metrics closely match up with Nvidia’s historical performance.Our forecast helped us figure out the present value of Nvidia’s FCF in the upcoming years. We were then able to calculate the cumulative value of Nvidia’s FCF, apply the discount and perpetual growth rates, and figure out the terminal value and the present value of Nvidia’s terminal value. We then added Nvidia’s present value of the terminal value to the cumulative present value of its FCF to calculate the company’s enterprise value, which in our case is $1.94 trillion.Once the enterprise value was found, we then added Nvidia’s cash, subtracted the long-term debt from it, and arrived at an equity value of $1.97 trillion. After that, we divided Nvidia’s equity value by the number of its shares and arrived at the intrinsic value of $79.33 per share. This means that Nvidia’s stock is overvalued by around 32%. That’s why we believe that Nvidia is a SELL right now.Nvidia’s Valuation (Bears of Wall Street)It’s also important to note that at a market cap of nearly ~$2. 65 trillion, it’s hard to justify Nvidia’s current price, even after the recent decline caused by the latest earnings report. The whole generative AI market under one of the most optimistic assumptions is expected to be worth $1.3 trillion in 2032. In addition, the overall cloud market could be worth only as much as $1.8 trillion by 2029. Considering this, Nvidia’s current valuation today simply doesn’t make a lot of sense to us.Risks To Our Bearish ThesisDespite all the negativity, several risks could undermine our bearish thesis. The most obvious is the potential greater ramp-up of sales in the second half of the year, which would make the market excited again about Nvidia’s growth prospects. The potential delay of Blackwell shipments could be offset by the potential increase of the company’s Hopper series GPUs, especially since their supply and availability have improved. This could ensure that Nvidia performs well in Q3, and makes investors once again excited about investing into its shares if the beat is significant.We also know from the latest conference call that the demand for Blackwell is above supply. If no further delays are announced, then when the Q3 report comes out, Nvidia could also announce a far more optimistic guidance for Q4, which could help revive the stock’s momentum later this year.Final ThoughtsNvidia’s biggest issue is that its stock is priced for perfection, and any earnings report that includes an earnings beat without an impressive margin and relatively disappointing guidance would likely prevent a further appreciation of shares. This has been the case with the latest earnings report and the subsequent reaction of the market to it.The macro challenges are also not going anywhere away, and potential catalysts might not even materialize in the end if the company fails to grow its sales due to potential supply issues or delays. That is why Nvidia’s upside is not guaranteed and until the Q3 numbers come out, its shares could continue to experience weakness. This is why at the current price, Nvidia stock is a SELL for us.","news_type":1},"isVote":1,"tweetType":1,"viewCount":200,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":348821519855672,"gmtCreate":1726202154357,"gmtModify":1726202157808,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"Price will dive one day like SMCI","listText":"Price will dive one day like SMCI","text":"Price will dive one day like SMCI","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/348821519855672","repostId":"2466270901","repostType":2,"repost":{"id":"2466270901","kind":"highlight","pubTimestamp":1726194600,"share":"https://ttm.financial/m/news/2466270901?lang=&edition=fundamental","pubTime":"2024-09-13 10:30","market":"us","language":"en","title":"Palantir's 80x PE Is Pure Nosebleed?","url":"https://stock-news.laohu8.com/highlight/detail?id=2466270901","media":"Seeking Alpha","summary":"Palantir is up over 37% since my last coverage after it reported outstanding Q2 FY24 results, with revenue and earnings beating estimates.With strength in its US Commercial segment from unrelenting AI","content":"<html><head></head><body><ul style=\"\"><li><p>Palantir is up over 37% since my last coverage after it reported outstanding Q2 FY24 results, with revenue and earnings beating estimates.</p></li><li><p>With strength in its US Commercial segment from unrelenting AIP demand as it closes a record number of $5M and $10M deals, it is unlocking higher operating leverage.</p></li><li><p>However, with the recent addition to the S&P 500, I believe the stock has gotten way ahead of itself, when taking management’s FY24 guidance and consensus estimates thereafter.</p></li><li><p>With Palantir commanding the highest multiple in the SaaS complex, there is more downside than upside in the short term. Therefore, I am downgrading my rating to a “sell” with a price target of $27.</p></li></ul><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/ca0459f275b9aed733014624cae2dc80\" alt=\"Michael Vi\" title=\"Michael Vi\" tg-width=\"750\" tg-height=\"500\"/><span>Michael Vi</span></p><p><em>By Amrita Roy, Produced by Colorado Wealth Management Fund</em></p><h2 id=\"id_2263692645\">Introduction & investment thesis</h2><p>I last wrote about Palantir (NYSE:PLTR) in June, where I had initiated a “hold” rating due to valuation concerns. In August, the stock dropped to $21.23, down 15% from my price at publication. However, since then, it has climbed more than 60% to an all-time high price of $35.20.</p><p>While part of the reason for the stock’s outperformance is tied to its Q2 FY24 earnings, where revenue and earnings beat expectations with strength in the US Commercial segment from unrelenting AIP (Artificial Intelligence Platform) demand, along with management raising its FY24 guidance, I believe that the stock has gotten way ahead of itself when you take future consensus growth expectations into consideration. While one can argue that the company is positioned to beat those estimates in the future given its past operational track record and the robust demand it is seeing for AIP, the stock does not offer the necessary risk-reward at the moment, should that outcome not materialize.</p><p>Simultaneously, I also believe that one of the other reasons for the recent surge in the stock price is tied to its addition to the S&P 500 index, and while historically newly added companies to the index tend to outperform in the first three months, the boost is likely to fade. Plus, with Peter Thiel’s recent filing to sell up to $1B in Palantir shares, there is mounting evidence that we may be due for a sizable correction in the stock price.</p><p>I am not arguing against management’s execution or the company fundamentals. I admit that the acceleration in the company’s US Commercial segment since the launch of AIP a year ago, along with growing GAAP profitability, has been beyond impressive. However, as investors, we have to remind ourselves not to fall in love with the stocks we own, but to manage them with sufficient risk-reward in mind.</p><p>Given where Palantir is currently trading, I believe that there is more downside than upside in the short term. As a result, I will downgrade my rating from a “hold” to a “sell” with a price target of $27.</p><h2 id=\"id_1654745468\">Q2 Recap: US commercial is the hero of the growth story, while it smashes Rule of 40</h2><p>Palantir reported its Q2 FY24 earnings, where total revenue grew 27% YoY to $678M beating estimates. Out of the $678M in revenue, Government revenue accounted for roughly 55% of Total Revenue, growing 23% YoY. But the main hero of this growth story is its Commercial segment which is growing at a faster rate of 33% YoY and accounting for a growing share of Total Revenue when we compare it to the prior year.</p><p>Particularly, when it comes to the Commercial revenue segment, its US market saw a growth rate of 55% YoY to $159M. While it saw a slowdown in its growth pace on a sequential basis to 6%, its annual growth rate indicates a reacceleration in trend, boosting investor optimism. This was driven by persistent demand for their enterprise platform, AIP (Artificial Intelligence Platform), that makes artificial capabilities useful to large organizations, providing them with a structural advantage over their competitors.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/bc12939ff43e21aaaf68e757af0709dc\" alt=\"Q2 FY24 Earnings Slides: Growth of US Commercial Revenue segment\" title=\"Q2 FY24 Earnings Slides: Growth of US Commercial Revenue segment\" tg-width=\"640\" tg-height=\"359\"/><span>Q2 FY24 Earnings Slides: Growth of US Commercial Revenue segment</span></p><p>What is even more impressive is that over 4 years ago, Palantir had just 14 commercial customers in the US. With the launch of AIP over a year ago, its US commercial customer count stands at 295, growing 83% YoY, as it captures the enterprise AI opportunity as the management claims that they solve the “prototype to production” problem like no other company.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/a180af6f5bbb6a7b32004626c9c26b26\" alt=\"Q2 FY24 Earnings Slides: Growth rate of US Commercial Customers\" title=\"Q2 FY24 Earnings Slides: Growth rate of US Commercial Customers\" tg-width=\"640\" tg-height=\"358\"/><span>Q2 FY24 Earnings Slides: Growth rate of US Commercial Customers</span></p><p>In Q2, the company closed 96 Commercial deals with at least $1M of TCV (Total Contract Value), which grew 45% YoY and 10% QoQ. However, with a closer look at this data point, we can see that the company saw a sequential acceleration in its $5M and $10M deals, which grew 22% and 80% QoQ to 33 and 27 respectively. This is driven by a combination of a higher volume of existing customers signing expansion deals with deepening product-level relationships as well as new customer acquisition where they leverage their go-to-market motion of bootcamps and pilots to accelerate customer journey towards high-value production use cases, with TCV growing 152% YoY in the US Commercial segment.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/83fc968eed1acc926d222b1f26727655\" alt=\"Q2 FY24 Earnings Slides: Accelerating sales cycle from Prototype to Production\" title=\"Q2 FY24 Earnings Slides: Accelerating sales cycle from Prototype to Production\" tg-width=\"640\" tg-height=\"359\"/><span>Q2 FY24 Earnings Slides: Accelerating sales cycle from Prototype to Production</span></p><p>At the same time, Palantir and Microsoft (MSFT) also announced a significant advancement in their partnership in August, where Palantir will deploy their suite of products in Microsoft Azure Government and in the Azure Government Secret and Top Secret Clouds, enabling operators to safely and responsibly build AI-driven operational workloads across Defense and Intelligence verticals for the US government. This should further drive deeper adoption of AIP in the federal sector, thus boosting the top line.</p><p>Shifting gears to profitability, Palantir generated $254M in Adjusted Operating income, which grew 88% YoY with a margin expansion of 1200 basis points to 37%. Simultaneously, the company also achieved GAAP operating profitability for the sixth consecutive quarter with a GAAP operating margin of 16%, up 1400 basis points YoY. It is incredible that operating expenses just grew just 6% YoY for the magnitude of revenue growth. In other words, it saw its revenue growth accelerate while expanding margins at the same time, unlocking the “holy grail” in the world of SaaS with a Rule of 40 score from 57 in Q1 to 64 in Q2.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/6bd3ed1fb0f8452bb1cb39a5ea0160ec\" alt=\"Q2 FY24 Earnings Slides: Smashing the Rule of 40\" title=\"Q2 FY24 Earnings Slides: Smashing the Rule of 40\" tg-width=\"640\" tg-height=\"357\"/><span>Q2 FY24 Earnings Slides: Smashing the Rule of 40</span></p><p>I believe that this is made possible by its go-to-market strategy, which focuses on AIP Bootcamps and AIPCon that leverages the strength of its product to unlock potential client AI use cases instead of hoarding large numbers of salespeople. So far, with this strategy, it is seeing a steady increase in the number of clients along with existing clients expanding their usage of the platform, with the 12-month revenue from Top 20 customers growing 9% YoY to $57M/customer, thus enabling it to unlock operating leverage.</p><h2 id=\"id_3260434507\">Despite outperformance, here are 4 reasons to turn cautious on the stock.</h2><p>I admit, there is a lot to like about Palantir.</p><p>However, like I said earlier, while a company may be exceptional, as in this case, it is important not to fall hopelessly in love with the stock.</p><p>So, let’s take a look at a list of reasons why it is time to turn cautious on the stock and book some of your profits.</p><ol start=\"1\" style=\"\"><li><p><strong>International Revenue is a headwind:</strong> Although Palantir’s US Commercial Segment is booming, let’s not lose sight of the fact that over 35% of its revenue is generated outside of the US, which is growing at a much slower pace of 15% YoY growth rate. When it comes to its international commercial revenue, it saw a 1% sequential decline because of headwinds in Europe, and the management further pointed out that Q3 FY24 international commercial revenue will remain under pressure.</p></li><li><p><strong>Tougher comps ahead:</strong> I am not arguing against the fact that Palantir is doing an impressive job at closing a record number of deals within days or weeks of initial bootcamp given its strength in the enterprise AI landscape. However, if we take a look at the bigger picture, there may be a slowdown in enterprise AI spending, with Gartner throwing in caution, saying that nearly one of every three genAI projects will be scrapped by next year due to escalating costs or unclear business value. This may spell trouble for Palantir, especially if demand peaks and sales cycles start to lengthen amid tougher comps.</p></li><li><p><strong>Short-term glory from the S&P 500 addition is likely to fade:</strong> With Palantir added to the S&P 500, it is undoubtedly a validation moment for the company. However, since the announcement that the company has already jumped over 13%, and while historical data is usually in favor of newly added companies outperforming the index in the first three months as asset managers reallocate their portfolios, the boost tends to fade away.</p></li><li><p><strong>Plus,</strong> Peter Thiel has also filed to sell up to $1B worth of Palantir shares. This represents close to 1.2% of the stock’s current market cap and therefore may subject the stock to selling pressures.</p></li></ol><h2 id=\"id_1333704158\">This is the 5th and final reason (and the biggest of them all): Overextended valuation</h2><p>Palantir currently holds the #1 spot for the most richly valued software company based on its revenue multiple. It is trading at an eye-watering 21.2x NTM revenue, which is a big jump even from the #2 spot of Samsara (IOT) at 15.3x. The same is true even when you look at forward 12-month revenue multiples. Furthermore, this is taking place at a time when the overall SaaS industry has been under pressure over the last year, taking IGV (IGV) as a proxy, which has underperformed the Nasdaq 100.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/370f34a835a2b883670347ed4a6a9e63\" alt=\"Source: Altimeter Capital\" title=\"Source: Altimeter Capital\" tg-width=\"640\" tg-height=\"354\"/><span>Source: Altimeter Capital</span></p><p>While one may argue that Palantir deserves a higher premium given its superior fundamentals and business outcomes, its current valuation leaves it highly exposed to downturns to the stock price, especially when we look at revenue multiples relative to revenue growth rates across other companies in the SaaS industry such as <a href=\"https://laohu8.com/S/NOW\">ServiceNow</a> (NOW), <a href=\"https://laohu8.com/S/DDOG\">Datadog</a> (DDOG), CrowdStrike (CRWD), and Cloudflare (NET).</p><p>For FY24, the management has raised guidance for both revenue and earnings, where Palantir is now expected to grow its revenues 24% YoY to $2.746B with an Adjusted Operating income of approximately $970M with a margin of 35.3%. However, when we look ahead, we see that consensus estimates point to a revenue slowdown from its current levels in the low twenties range over the next two years.</p><p>Taking a slightly higher estimate than consensus at a 22% YoY growth rate over the next 2 years, given the company’s track record of beat and raise, it should generate a total revenue of close to $4B by FY26 as AIP adoption grows among existing and new customers alongside strength in its Government segment.</p><p>From a profitability standpoint, assuming that the company can continue to unlock margins by 100 basis points every year over the next 2 years through its efficient go-to-market strategy, it should generate close over $1.5B in Adjusted Operating income, which is equivalent to a present value of $1.3B when discounted at 8%.</p><p>Taking the S&P 500 as a proxy, where its companies grow their earnings on average by 8% over a 10-year period, with a price-to-earnings ratio of 15-18, Palantir should command a multiple of 2.5-2.75x, given the growth rate of its earnings during this period of time. This will translate to a PE ratio of 46, or a price target of $27, which represents a downside of close to 20% from its current levels.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/04fbca7bd7dc115b22b56896a0c57617\" alt=\"Author's Valuation Model\" title=\"Author's Valuation Model\" tg-width=\"640\" tg-height=\"250\"/><span>Author's Valuation Model</span></p><h2 id=\"id_2846607944\">My final verdict and conclusions</h2><p>While this is a higher price target than my previous one, I am changing my rating from “hold” to "sell." Once again, I am not arguing against the fundamentals, which I think are solid. But, given the stock’s recent spike in price, there are elevated expectations, exposing the stock to more downside than upside, with a possible price volatility of 20% in the short term. While long-term investors may want to initiate a position should that opportunity arise, existing investors may want to trim or sell their positions to book profits at these current levels to avoid the volatility punch ahead.</p></body></html>","source":"seekingalpha","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Palantir's 80x PE Is Pure Nosebleed?</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nPalantir's 80x PE Is Pure Nosebleed?\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-09-13 10:30 GMT+8 <a href=https://seekingalpha.com/article/4720671-palantir-80x-pe-pure-nosebleed><strong>Seeking Alpha</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Palantir is up over 37% since my last coverage after it reported outstanding Q2 FY24 results, with revenue and earnings beating estimates.With strength in its US Commercial segment from unrelenting ...</p>\n\n<a href=\"https://seekingalpha.com/article/4720671-palantir-80x-pe-pure-nosebleed\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"LU1917777945.USD":"安联专题基金Cl AT Acc","PLTR":"Palantir Technologies Inc.","IE00BJTD4V19.USD":"NEUBERGER BERMAN US LONG SHORT EQUITY \"A1\" (USD) ACC","LU1551013342.USD":"Allianz Income and Growth Cl AMg2 DIS USD","LU1720051017.SGD":"Allianz Global Artificial Intelligence AT Acc H2-SGD","LU1803068979.SGD":"FTIF - Franklin Technology A (acc) SGD-H1","LU1992135399.USD":"Allianz Global Intelligent Cities AT Acc USD","LU2023250504.SGD":"Allianz Thematica Cl AMg DIS H2-SGD","BK4587":"ChatGPT概念","LU0081259029.USD":"UBS (LUX) EQUITY FUND - TECH OPPORTUNITY \"P\" (USD) ACC","LU0109392836.USD":"富兰克林科技股A","IE00BFXG0V08.USD":"BNY MELLON GLOBAL LEADERS \"B\" (USD) ACC","IE00B775H168.HKD":"JANUS HENDERSON BALANCED \"A5M\" (HKD) INC","LU2063271972.USD":"富兰克林创新领域基金","BK4577":"网络游戏","LU2264538146.SGD":"Fullerton Lux Funds - Global Absolute Alpha A Acc SGD","LU0820561818.USD":"安联收益及增长平衡基金Cl AM DIS","BK4588":"碎股","BK4579":"人工智能","LU0011850046.USD":"贝莱德全球长线股票 A2 USD","IE00B19Z8X17.USD":"FTGF CLEARBRIDGE US LARGE CAP GROWTH \"AG\" (USD) ACC","LU0354030511.USD":"ALLSPRING U.S. LARGE CAP GROWTH \"I\" (USD) ACC","IE00BJLML261.HKD":"HSBC GLOBAL EQUITY INDEX \"HCH\" (HKD) ACC","IE00B5949003.HKD":"JANUS HENDERSON GLOBAL TECHNOLOGY AND INNOVATION \"A\" (HKD) ACC","LU0354030438.USD":"富国美国大盘成长基金Cl A Acc","IE00BZ9MQY76.HKD":"FTGF CLEARBRIDGE US AGGRESSIVE GROWTH \"A\" (HKD) ACC","BK4581":"高盛持仓","IE00BKVL7J92.USD":"Legg Mason ClearBridge - US Equity Sustainability Leaders A Acc USD","IE00BJTD4N35.SGD":"Neuberger Berman US Long Short Equity A1 Acc SGD-H","IE00BHPRN162.USD":"BNY MELLON BLOCKCHAIN INNOVATION \"B\" (USD) ACC"},"source_url":"https://seekingalpha.com/article/4720671-palantir-80x-pe-pure-nosebleed","is_english":true,"share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","article_id":"2466270901","content_text":"Palantir is up over 37% since my last coverage after it reported outstanding Q2 FY24 results, with revenue and earnings beating estimates.With strength in its US Commercial segment from unrelenting AIP demand as it closes a record number of $5M and $10M deals, it is unlocking higher operating leverage.However, with the recent addition to the S&P 500, I believe the stock has gotten way ahead of itself, when taking management’s FY24 guidance and consensus estimates thereafter.With Palantir commanding the highest multiple in the SaaS complex, there is more downside than upside in the short term. Therefore, I am downgrading my rating to a “sell” with a price target of $27.Michael ViBy Amrita Roy, Produced by Colorado Wealth Management FundIntroduction & investment thesisI last wrote about Palantir (NYSE:PLTR) in June, where I had initiated a “hold” rating due to valuation concerns. In August, the stock dropped to $21.23, down 15% from my price at publication. However, since then, it has climbed more than 60% to an all-time high price of $35.20.While part of the reason for the stock’s outperformance is tied to its Q2 FY24 earnings, where revenue and earnings beat expectations with strength in the US Commercial segment from unrelenting AIP (Artificial Intelligence Platform) demand, along with management raising its FY24 guidance, I believe that the stock has gotten way ahead of itself when you take future consensus growth expectations into consideration. While one can argue that the company is positioned to beat those estimates in the future given its past operational track record and the robust demand it is seeing for AIP, the stock does not offer the necessary risk-reward at the moment, should that outcome not materialize.Simultaneously, I also believe that one of the other reasons for the recent surge in the stock price is tied to its addition to the S&P 500 index, and while historically newly added companies to the index tend to outperform in the first three months, the boost is likely to fade. Plus, with Peter Thiel’s recent filing to sell up to $1B in Palantir shares, there is mounting evidence that we may be due for a sizable correction in the stock price.I am not arguing against management’s execution or the company fundamentals. I admit that the acceleration in the company’s US Commercial segment since the launch of AIP a year ago, along with growing GAAP profitability, has been beyond impressive. However, as investors, we have to remind ourselves not to fall in love with the stocks we own, but to manage them with sufficient risk-reward in mind.Given where Palantir is currently trading, I believe that there is more downside than upside in the short term. As a result, I will downgrade my rating from a “hold” to a “sell” with a price target of $27.Q2 Recap: US commercial is the hero of the growth story, while it smashes Rule of 40Palantir reported its Q2 FY24 earnings, where total revenue grew 27% YoY to $678M beating estimates. Out of the $678M in revenue, Government revenue accounted for roughly 55% of Total Revenue, growing 23% YoY. But the main hero of this growth story is its Commercial segment which is growing at a faster rate of 33% YoY and accounting for a growing share of Total Revenue when we compare it to the prior year.Particularly, when it comes to the Commercial revenue segment, its US market saw a growth rate of 55% YoY to $159M. While it saw a slowdown in its growth pace on a sequential basis to 6%, its annual growth rate indicates a reacceleration in trend, boosting investor optimism. This was driven by persistent demand for their enterprise platform, AIP (Artificial Intelligence Platform), that makes artificial capabilities useful to large organizations, providing them with a structural advantage over their competitors.Q2 FY24 Earnings Slides: Growth of US Commercial Revenue segmentWhat is even more impressive is that over 4 years ago, Palantir had just 14 commercial customers in the US. With the launch of AIP over a year ago, its US commercial customer count stands at 295, growing 83% YoY, as it captures the enterprise AI opportunity as the management claims that they solve the “prototype to production” problem like no other company.Q2 FY24 Earnings Slides: Growth rate of US Commercial CustomersIn Q2, the company closed 96 Commercial deals with at least $1M of TCV (Total Contract Value), which grew 45% YoY and 10% QoQ. However, with a closer look at this data point, we can see that the company saw a sequential acceleration in its $5M and $10M deals, which grew 22% and 80% QoQ to 33 and 27 respectively. This is driven by a combination of a higher volume of existing customers signing expansion deals with deepening product-level relationships as well as new customer acquisition where they leverage their go-to-market motion of bootcamps and pilots to accelerate customer journey towards high-value production use cases, with TCV growing 152% YoY in the US Commercial segment.Q2 FY24 Earnings Slides: Accelerating sales cycle from Prototype to ProductionAt the same time, Palantir and Microsoft (MSFT) also announced a significant advancement in their partnership in August, where Palantir will deploy their suite of products in Microsoft Azure Government and in the Azure Government Secret and Top Secret Clouds, enabling operators to safely and responsibly build AI-driven operational workloads across Defense and Intelligence verticals for the US government. This should further drive deeper adoption of AIP in the federal sector, thus boosting the top line.Shifting gears to profitability, Palantir generated $254M in Adjusted Operating income, which grew 88% YoY with a margin expansion of 1200 basis points to 37%. Simultaneously, the company also achieved GAAP operating profitability for the sixth consecutive quarter with a GAAP operating margin of 16%, up 1400 basis points YoY. It is incredible that operating expenses just grew just 6% YoY for the magnitude of revenue growth. In other words, it saw its revenue growth accelerate while expanding margins at the same time, unlocking the “holy grail” in the world of SaaS with a Rule of 40 score from 57 in Q1 to 64 in Q2.Q2 FY24 Earnings Slides: Smashing the Rule of 40I believe that this is made possible by its go-to-market strategy, which focuses on AIP Bootcamps and AIPCon that leverages the strength of its product to unlock potential client AI use cases instead of hoarding large numbers of salespeople. So far, with this strategy, it is seeing a steady increase in the number of clients along with existing clients expanding their usage of the platform, with the 12-month revenue from Top 20 customers growing 9% YoY to $57M/customer, thus enabling it to unlock operating leverage.Despite outperformance, here are 4 reasons to turn cautious on the stock.I admit, there is a lot to like about Palantir.However, like I said earlier, while a company may be exceptional, as in this case, it is important not to fall hopelessly in love with the stock.So, let’s take a look at a list of reasons why it is time to turn cautious on the stock and book some of your profits.International Revenue is a headwind: Although Palantir’s US Commercial Segment is booming, let’s not lose sight of the fact that over 35% of its revenue is generated outside of the US, which is growing at a much slower pace of 15% YoY growth rate. When it comes to its international commercial revenue, it saw a 1% sequential decline because of headwinds in Europe, and the management further pointed out that Q3 FY24 international commercial revenue will remain under pressure.Tougher comps ahead: I am not arguing against the fact that Palantir is doing an impressive job at closing a record number of deals within days or weeks of initial bootcamp given its strength in the enterprise AI landscape. However, if we take a look at the bigger picture, there may be a slowdown in enterprise AI spending, with Gartner throwing in caution, saying that nearly one of every three genAI projects will be scrapped by next year due to escalating costs or unclear business value. This may spell trouble for Palantir, especially if demand peaks and sales cycles start to lengthen amid tougher comps.Short-term glory from the S&P 500 addition is likely to fade: With Palantir added to the S&P 500, it is undoubtedly a validation moment for the company. However, since the announcement that the company has already jumped over 13%, and while historical data is usually in favor of newly added companies outperforming the index in the first three months as asset managers reallocate their portfolios, the boost tends to fade away.Plus, Peter Thiel has also filed to sell up to $1B worth of Palantir shares. This represents close to 1.2% of the stock’s current market cap and therefore may subject the stock to selling pressures.This is the 5th and final reason (and the biggest of them all): Overextended valuationPalantir currently holds the #1 spot for the most richly valued software company based on its revenue multiple. It is trading at an eye-watering 21.2x NTM revenue, which is a big jump even from the #2 spot of Samsara (IOT) at 15.3x. The same is true even when you look at forward 12-month revenue multiples. Furthermore, this is taking place at a time when the overall SaaS industry has been under pressure over the last year, taking IGV (IGV) as a proxy, which has underperformed the Nasdaq 100.Source: Altimeter CapitalWhile one may argue that Palantir deserves a higher premium given its superior fundamentals and business outcomes, its current valuation leaves it highly exposed to downturns to the stock price, especially when we look at revenue multiples relative to revenue growth rates across other companies in the SaaS industry such as ServiceNow (NOW), Datadog (DDOG), CrowdStrike (CRWD), and Cloudflare (NET).For FY24, the management has raised guidance for both revenue and earnings, where Palantir is now expected to grow its revenues 24% YoY to $2.746B with an Adjusted Operating income of approximately $970M with a margin of 35.3%. However, when we look ahead, we see that consensus estimates point to a revenue slowdown from its current levels in the low twenties range over the next two years.Taking a slightly higher estimate than consensus at a 22% YoY growth rate over the next 2 years, given the company’s track record of beat and raise, it should generate a total revenue of close to $4B by FY26 as AIP adoption grows among existing and new customers alongside strength in its Government segment.From a profitability standpoint, assuming that the company can continue to unlock margins by 100 basis points every year over the next 2 years through its efficient go-to-market strategy, it should generate close over $1.5B in Adjusted Operating income, which is equivalent to a present value of $1.3B when discounted at 8%.Taking the S&P 500 as a proxy, where its companies grow their earnings on average by 8% over a 10-year period, with a price-to-earnings ratio of 15-18, Palantir should command a multiple of 2.5-2.75x, given the growth rate of its earnings during this period of time. This will translate to a PE ratio of 46, or a price target of $27, which represents a downside of close to 20% from its current levels.Author's Valuation ModelMy final verdict and conclusionsWhile this is a higher price target than my previous one, I am changing my rating from “hold” to \"sell.\" Once again, I am not arguing against the fundamentals, which I think are solid. But, given the stock’s recent spike in price, there are elevated expectations, exposing the stock to more downside than upside, with a possible price volatility of 20% in the short term. While long-term investors may want to initiate a position should that opportunity arise, existing investors may want to trim or sell their positions to book profits at these current levels to avoid the volatility punch ahead.","news_type":1},"isVote":1,"tweetType":1,"viewCount":212,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0}],"hots":[{"id":365633565065384,"gmtCreate":1730266578566,"gmtModify":1730266642276,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"You are stupid to sell TSM if bullish about semicon . I believe the writer is also stupid","listText":"You are stupid to sell TSM if bullish about semicon . I believe the writer is also stupid","text":"You are stupid to sell TSM if bullish about semicon . I believe the writer is also stupid","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":7,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/365633565065384","repostId":"2479426721","repostType":2,"repost":{"id":"2479426721","kind":"highlight","pubTimestamp":1730261461,"share":"https://ttm.financial/m/news/2479426721?lang=&edition=fundamental","pubTime":"2024-10-30 12:11","market":"fut","language":"en","title":"Taiwan Semiconductor Has Run Too Hot In The AI Euphoria","url":"https://stock-news.laohu8.com/highlight/detail?id=2479426721","media":"seekingalpha","summary":"Taiwan Semiconductor is positioned very well to benefit from the continuing adaption of AI.Even when considering a growth rate of 25% p.a. in TSM's biggest segment, the company still seems expensive.I","content":"<html><head></head><body><ul style=\"\"><li><p>Taiwan Semiconductor is positioned very well to benefit from the continuing adaption of AI.</p></li><li><p>Even when considering a growth rate of 25% p.a. in TSM's biggest segment, the company still seems expensive.</p></li><li><p>I think that TSMC has currently run too hot due to AI "euphoria" and currently rate the company a Sell.</p></li></ul><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/e54bd15ad4782046f85eb49f9756287f\" tg-width=\"750\" tg-height=\"501\"/></p><p>BING-JHEN HONG</p><p>Taiwan Semiconductor's (NYSE:TSM; OTC:TSMWF) stock has performed phenomenally due to the current AI hype in the market, as the company is positioned to highly benefit from the continuing adaption of AI.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/a21da3fec0f6ae502daa168e7aa3d757\" tg-width=\"635\" tg-height=\"424\"/></p><p>Data by YCharts</p><p>In this article, we will look at the different business segments that TSM is currently supplying, to assume a suitable growth rate for each customer segment and eventually evaluate the company using a Discounted Cash Flow Analysis and the three scenarios Bear-, Base- and Bull-Case.</p><h2 id=\"id_294089955\">Growth Prospects</h2><h2 id=\"id_1613610112\"></h2><p>Every business area that TSMC serves has different semiconductor requirements:</p><ol start=\"1\" style=\"\"><li><p><strong>High-Performance Computing (HPC)</strong>: For the production of cutting-edge chips that power data centers, supercomputers, AI applications, and gaming platforms, TSMC's HPC sector is essential. High computing power, energy efficiency, and sophisticated node technologies (such as 5nm and 3nm) are necessary for these processors. Several cloud service providers, AMD (AMD), and NVIDIA (NVDA) are among the major clients. More here.</p></li><li><p><strong>Smartphone</strong>: One of TSMC's biggest markets is smartphones, where it manufactures chipsets for mobile devices made by firms like Apple and Qualcomm. Because of TSMC's experience with cutting-edge nodes like 5nm, smartphone processors can operate at fast speeds while using little power, which is essential for mobile devices.</p></li><li><p><strong>Internet of Things (IOT)</strong>: For Internet of Things applications where low-power consumption is essential, TSMC produces energy-efficient processors. This market comprises wearables, sensors, and smart home appliances that must be durable and connected. IoT chips frequently have nodes like 22nm, 28nm, and specialist processes.</p></li><li><p><strong>Automotive</strong>: The automotive division of TSMC is primarily focused on semiconductors for in-car entertainment systems, electric vehicle (EV) power management, and advanced driver-assistance systems (ADAS). Chips for automotive applications need to be strong, durable, and highly reliable. With specialized technologies like 16nm and 28nm, TSMC satisfies these expectations. It is also growing to suit the car industry's increased safety and automation needs.</p></li><li><p><strong>Digital Consumer Electronics (DCE)</strong>: For digital consumer goods where cost and performance balance are crucial, such as TVs, game consoles, and smart appliances, TSMC supplies chips. For high-volume consumer markets, this category frequently employs established technological nodes like 28nm to 65nm, striking a balance between price and capabilities.</p></li></ol><p>By focusing on these areas, TSMC can meet the various demands of the semiconductor industry while also making R&D investments to expand its capabilities for high-demand applications.</p><p>Their revenue was distributed in their latest earnings like follows:</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/2f83b80ceaa3be0cc298a03a653b8326\" tg-width=\"640\" tg-height=\"282\"/></p><p>TSMC revenue by platform (investor.tsmc.com)</p><p>We will now assume growth rates for each of the segments.</p><h3 id=\"id_3306342760\">High-Performance Computing (HPC)</h3><p>Like mentioned above, this segment supplies chips for data centers, supercomputers and AI applications. The data center is expected to growth between 9.6% and 11.4% p.a. in the next several years. The AI market, on the other hand, is expected by experts to grow at rates between 20.4% and 36% p.a., with this in mind and assuming that most of this segment will grow like the AI market, a aggressive growth rate of 25% p.a. seems reasonable to assume.</p><h3 id=\"id_3194715189\">Smartphone</h3><p>The smartphone market is expected to achieve growth rates of 3.5% to 7.3% p.a. until 2029. The average of these assumptions is a CAGR of 5.4% p.a.</p><h3 id=\"id_364476125\">Internet of Things</h3><p>For the IoT segment, experts are assuming a growth rates between 11.4% and 24.3% p.a., meaning the average of 17% p.a. seems suitable for our following analysis.</p><h3 id=\"id_404837735\">Automotive</h3><p>The automotive semiconductor market has projected growth rates between 8.1% and 11.1% p.a. With this in mind, a growth rate of 9.6% seems like a good assumption for this segment.</p><h3 id=\"id_3569149873\">Digital Consumer Electronics (DCE)</h3><p>For the DCE segment, experts assume growth rates between 2.9% and 13.2% p.a., giving us an average of 8% p.a.</p><p>With weighing the different business segments according to the revenue share of the latest quarter, we get an anticipated revenue CAGR of 16.7% p.a. for the whole business of TSMC.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/8eb03fdcb7b0e2fcf5510213df6ac8a2\" tg-width=\"640\" tg-height=\"314\"/></p><p>TSMC's Growth Prospects (own assumptions)</p><p>With this we can now anticipate different growth rates for the Bear-, Base- and Bull-Case scenario.</p><p>Bear: 13.4% p.a. / -20%</p><p>Base: 16.7% p.a.</p><p>Bull: 22% p.a. / +30%</p><h2 id=\"id_2089741151\">Discounted Cash Flow Analysis</h2><ul style=\"\"><li><p><strong>EBIT Margin: </strong>Here I took the metrics of the last four years and averaged them out, to get a EBIT margin of 43.8%.</p></li><li><p><strong>Free Cash Flow: </strong>I once again took the EBIT to FCF metrics of the last few years to then average them out and use a EBIT to FCF conversion rate of 44% in the analysis.</p></li><li><p><strong>WACC: </strong>Here I used 9%, which is right around TSM's current WACC.</p></li><li><p><strong>Perpetuity Growth Rate: </strong>For the perpetuity growth rate, I used a conservative 3.5%.</p></li></ul><h3 id=\"id_2117684651\">Bear-Case</h3><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/745c475136059bc98911b7b1359a5bb9\" tg-width=\"640\" tg-height=\"184\"/></p><p>TSM Discounted Cash Flow Analysis Bear-Case I (own assumptions)</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/60e5aee283a53ea2ac8e637262953124\" tg-width=\"640\" tg-height=\"558\"/></p><p>TSM Discounted Cash Flow Analysis Bear-Case II (own assumptions)</p><p>Within our Bear-Case we get a fair value share price of $122, indicating that the company might be overvalued by 40%. This however, factors in growth rates lower than the markets that are supplied by TSM.</p><h3 id=\"id_1256523408\">Base-Case</h3><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/fd80c376823366880abc1ab58c71fcb6\" tg-width=\"640\" tg-height=\"184\"/></p><p>TSM Discounted Cash Flow Analysis Base-Case I (own assumptions)</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/d47a334b722880c1de8e5e9c6a49c566\" tg-width=\"640\" tg-height=\"558\"/></p><p>TSM Discounted Cash Flow Analysis Base-Case II (own assumptions)</p><p>For the Base-Case, we get a fair value share price estimate of $148, indicating that the company could be overvalued by 27%. For reference the 5y revenue CAGR of TSM is at 20.5% and the 10y CAGR is right around 14.5%. Meaning that our assumptions are also right in the middle of historical growth rates.</p><h3 id=\"id_3385398777\">Bull-Case</h3><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/dd6db610188a041c11783746ac9b320e\" tg-width=\"640\" tg-height=\"184\"/></p><p>TSM Discounted Cash Flow Analysis Bull-Case I (own assumptions)</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/d27334e1f63c2c2b2097c3b4eac0e8b7\" tg-width=\"640\" tg-height=\"538\"/></p><p>TSM Discounted Cash Flow Analysis Bull-Case II (own assumptions)</p><p>For our Bull-Case, we get a fair value estimate of $201, which translates into a potential overvaluation of 1%. This is, however, calculated with growth rates 30% higher than the underlying market rates of TSM's customers.</p><h2 id=\"id_2954487397\">Conclusion</h2><p>Within our analysis, we get the following mis-valuation:</p><p>Bear: $122 / 40% overvaluation</p><p>Base: $148 / 27% overvaluation</p><p>Bull: $201 / 1% overvaluation</p><p>Despite being the industry leader, TSM's FCF conversion rate is pretty low, mostly as a result of its significant capital expenditures (CAPEX) and continuous technological advancements. In order to create the newest process nodes (such as 3nm, 2nm, and beyond), TSM must continuously invest billions on state-of-the-art manufacturing capabilities and research. Although this investment puts short-term pressure on the current free cash flow conversion, it puts TSM in a position to maintain its advantage and increase its market share as demand for cutting-edge semiconductors rises across important sectors. The current FCF conversion, however, in my opinion, currently doesn't match with the dominant market position of TSM, resulting in lower valuations in our DCF analysis.</p><p>Given that investors see TSM as a vital supplier to the data processing and artificial intelligence sectors, the market's confidence over AI-driven development has greatly increased the company's stock price. This development, paired with the CAPEX intensive research and development in the semiconductor industry, lead to an overvaluation of TSM, when looking at the generated Free Cash Flow. The valuation appears to be very concerning when considering that even anticipated growth rates 30% higher than the expected rates of TSM's target markets for the next eight years still mean no undervaluation.</p><p>As a result, even though TSM has a very bright future and ideal market position, I think that TSMC has currently run too hot due to AI "euphoria", which is why I currently rate the company a <strong>Sell</strong>. I am nevertheless waiting for a better opportunity to re-enter this very high-quality stock.</p><h2 id=\"id_3204126093\">What’s Your Perspective? Let’s Discuss!</h2><p>Thank you for reading my analysis! I'd love to hear your ideas and points of view - whether you agree, disagree, or have your own take on the stock. Let's start a discussion in the comments! I welcome any helpful arguments and ideas that can help us better comprehend this topic. Thanks!</p><p>Editor's Note: This article discusses one or more securities that do not trade on a major U.S. exchange. Please be aware of the risks associated with these stocks.</p></body></html>","source":"seekingalpha","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Taiwan Semiconductor Has Run Too Hot In The AI Euphoria</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nTaiwan Semiconductor Has Run Too Hot In The AI Euphoria\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-10-30 12:11 GMT+8 <a href=https://seekingalpha.com/article/4730289-taiwan-semiconductor-stock-ai-euphoria-valuation-concerning-sell><strong>seekingalpha</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Taiwan Semiconductor is positioned very well to benefit from the continuing adaption of AI.Even when considering a growth rate of 25% p.a. in TSM's biggest segment, the company still seems expensive.I...</p>\n\n<a href=\"https://seekingalpha.com/article/4730289-taiwan-semiconductor-stock-ai-euphoria-valuation-concerning-sell\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"LU2249611893.SGD":"BNP PARIBAS ENERGY TRANSITION \"CRH\" (SGD) ACC","LU1989764748.USD":"东方汇理环球颠覆性机遇A2 Acc","LU1868837565.USD":"CT (LUX) I GLOBAL EMERGING MARKET EQUITIES \"1\" (USD) ACC","LU0572939691.SGD":"Janus Henderson Horizon Asian Dividend Income A2 SGD","IE00BFXG0V08.USD":"BNY MELLON GLOBAL LEADERS \"B\" (USD) ACC","LU2125154935.USD":"ALLSPRING (LUX) WF GLOBAL EQUITY ENHANCED INCOME \"I\" (USD) INC","LU1267930813.SGD":"FRANKLIN TEMPLETON SHARIAH GLOBAL EQUITY \"AS\" (SGD) ACC","LU0109392836.USD":"富兰克林科技股A","LU0384037296.USD":"ALLIANZ ASIAN MULTI INCOME PLUS \"AT\" (USD) ACC","LU0488056044.USD":"Allianz Asian Multi Income Plus Cl AM DIS USD","LU1282649810.SGD":"Allianz Asian Multi Income Plus Cl AMg DIS H2-SGD","LU1282649067.USD":"ALLIANZ ASIAN MULTI INCOME PLUS \"AMG\" (USD) INC A","LU2294711713.HKD":"BNP PARIBAS ENERGY TRANSITION \"C\" (HKD) ACC","BK4526":"热门中概股","LU0143863198.USD":"CT (LUX) I GLOBAL EMERGING MARKET EQUITIES\"AU\" (USD) ACC","LU1989764664.SGD":"CPR Invest - 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High computing power, energy efficiency, and sophisticated node technologies (such as 5nm and 3nm) are necessary for these processors. Several cloud service providers, AMD (AMD), and NVIDIA (NVDA) are among the major clients. More here.Smartphone: One of TSMC's biggest markets is smartphones, where it manufactures chipsets for mobile devices made by firms like Apple and Qualcomm. Because of TSMC's experience with cutting-edge nodes like 5nm, smartphone processors can operate at fast speeds while using little power, which is essential for mobile devices.Internet of Things (IOT): For Internet of Things applications where low-power consumption is essential, TSMC produces energy-efficient processors. This market comprises wearables, sensors, and smart home appliances that must be durable and connected. IoT chips frequently have nodes like 22nm, 28nm, and specialist processes.Automotive: The automotive division of TSMC is primarily focused on semiconductors for in-car entertainment systems, electric vehicle (EV) power management, and advanced driver-assistance systems (ADAS). Chips for automotive applications need to be strong, durable, and highly reliable. With specialized technologies like 16nm and 28nm, TSMC satisfies these expectations. It is also growing to suit the car industry's increased safety and automation needs.Digital Consumer Electronics (DCE): For digital consumer goods where cost and performance balance are crucial, such as TVs, game consoles, and smart appliances, TSMC supplies chips. For high-volume consumer markets, this category frequently employs established technological nodes like 28nm to 65nm, striking a balance between price and capabilities.By focusing on these areas, TSMC can meet the various demands of the semiconductor industry while also making R&D investments to expand its capabilities for high-demand applications.Their revenue was distributed in their latest earnings like follows:TSMC revenue by platform (investor.tsmc.com)We will now assume growth rates for each of the segments.High-Performance Computing (HPC)Like mentioned above, this segment supplies chips for data centers, supercomputers and AI applications. The data center is expected to growth between 9.6% and 11.4% p.a. in the next several years. The AI market, on the other hand, is expected by experts to grow at rates between 20.4% and 36% p.a., with this in mind and assuming that most of this segment will grow like the AI market, a aggressive growth rate of 25% p.a. seems reasonable to assume.SmartphoneThe smartphone market is expected to achieve growth rates of 3.5% to 7.3% p.a. until 2029. The average of these assumptions is a CAGR of 5.4% p.a.Internet of ThingsFor the IoT segment, experts are assuming a growth rates between 11.4% and 24.3% p.a., meaning the average of 17% p.a. seems suitable for our following analysis.AutomotiveThe automotive semiconductor market has projected growth rates between 8.1% and 11.1% p.a. With this in mind, a growth rate of 9.6% seems like a good assumption for this segment.Digital Consumer Electronics (DCE)For the DCE segment, experts assume growth rates between 2.9% and 13.2% p.a., giving us an average of 8% p.a.With weighing the different business segments according to the revenue share of the latest quarter, we get an anticipated revenue CAGR of 16.7% p.a. for the whole business of TSMC.TSMC's Growth Prospects (own assumptions)With this we can now anticipate different growth rates for the Bear-, Base- and Bull-Case scenario.Bear: 13.4% p.a. / -20%Base: 16.7% p.a.Bull: 22% p.a. / +30%Discounted Cash Flow AnalysisEBIT Margin: Here I took the metrics of the last four years and averaged them out, to get a EBIT margin of 43.8%.Free Cash Flow: I once again took the EBIT to FCF metrics of the last few years to then average them out and use a EBIT to FCF conversion rate of 44% in the analysis.WACC: Here I used 9%, which is right around TSM's current WACC.Perpetuity Growth Rate: For the perpetuity growth rate, I used a conservative 3.5%.Bear-CaseTSM Discounted Cash Flow Analysis Bear-Case I (own assumptions)TSM Discounted Cash Flow Analysis Bear-Case II (own assumptions)Within our Bear-Case we get a fair value share price of $122, indicating that the company might be overvalued by 40%. This however, factors in growth rates lower than the markets that are supplied by TSM.Base-CaseTSM Discounted Cash Flow Analysis Base-Case I (own assumptions)TSM Discounted Cash Flow Analysis Base-Case II (own assumptions)For the Base-Case, we get a fair value share price estimate of $148, indicating that the company could be overvalued by 27%. For reference the 5y revenue CAGR of TSM is at 20.5% and the 10y CAGR is right around 14.5%. Meaning that our assumptions are also right in the middle of historical growth rates.Bull-CaseTSM Discounted Cash Flow Analysis Bull-Case I (own assumptions)TSM Discounted Cash Flow Analysis Bull-Case II (own assumptions)For our Bull-Case, we get a fair value estimate of $201, which translates into a potential overvaluation of 1%. This is, however, calculated with growth rates 30% higher than the underlying market rates of TSM's customers.ConclusionWithin our analysis, we get the following mis-valuation:Bear: $122 / 40% overvaluationBase: $148 / 27% overvaluationBull: $201 / 1% overvaluationDespite being the industry leader, TSM's FCF conversion rate is pretty low, mostly as a result of its significant capital expenditures (CAPEX) and continuous technological advancements. In order to create the newest process nodes (such as 3nm, 2nm, and beyond), TSM must continuously invest billions on state-of-the-art manufacturing capabilities and research. Although this investment puts short-term pressure on the current free cash flow conversion, it puts TSM in a position to maintain its advantage and increase its market share as demand for cutting-edge semiconductors rises across important sectors. The current FCF conversion, however, in my opinion, currently doesn't match with the dominant market position of TSM, resulting in lower valuations in our DCF analysis.Given that investors see TSM as a vital supplier to the data processing and artificial intelligence sectors, the market's confidence over AI-driven development has greatly increased the company's stock price. This development, paired with the CAPEX intensive research and development in the semiconductor industry, lead to an overvaluation of TSM, when looking at the generated Free Cash Flow. The valuation appears to be very concerning when considering that even anticipated growth rates 30% higher than the expected rates of TSM's target markets for the next eight years still mean no undervaluation.As a result, even though TSM has a very bright future and ideal market position, I think that TSMC has currently run too hot due to AI \"euphoria\", which is why I currently rate the company a Sell. I am nevertheless waiting for a better opportunity to re-enter this very high-quality stock.What’s Your Perspective? Let’s Discuss!Thank you for reading my analysis! I'd love to hear your ideas and points of view - whether you agree, disagree, or have your own take on the stock. Let's start a discussion in the comments! I welcome any helpful arguments and ideas that can help us better comprehend this topic. Thanks!Editor's Note: This article discusses one or more securities that do not trade on a major U.S. exchange. Please be aware of the risks associated with these stocks.","news_type":1},"isVote":1,"tweetType":1,"viewCount":72,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":333373247242496,"gmtCreate":1722434968731,"gmtModify":1722434973822,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"Surge 11% not because of Morgan Stanley . It is because AMD reported good result yesterday and everyone is buying Nvidia now","listText":"Surge 11% not because of Morgan Stanley . It is because AMD reported good result yesterday and everyone is buying Nvidia now","text":"Surge 11% not because of Morgan Stanley . It is because AMD reported good result yesterday and everyone is buying Nvidia now","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":10,"commentSize":1,"repostSize":1,"link":"https://ttm.financial/post/333373247242496","repostId":"1196438594","repostType":2,"repost":{"id":"1196438594","kind":"news","weMediaInfo":{"introduction":"Providing stock market headlines, business news, financials and earnings ","home_visible":1,"media_name":"Tiger Newspress","id":"1079075236","head_image":"https://static.tigerbbs.com/8274c5b9d4c2852bfb1c4d6ce16c68ba"},"pubTimestamp":1722434700,"share":"https://ttm.financial/m/news/1196438594?lang=&edition=fundamental","pubTime":"2024-07-31 22:05","market":"us","language":"en","title":"Nvidia Stock Surges 11% After AMD Results and Morgan Stanley Names It a Top Pick","url":"https://stock-news.laohu8.com/highlight/detail?id=1196438594","media":"Tiger Newspress","summary":"Morgan Stanley said the July sell-off in Nvidia has gone too far and it’s time for investors to buy the dip. The firm moved the stock back to “top pick” status in the chip space.“The selloff presents a good entry point as we continue to hear strong data points short term and long term, with overblown competitive concerns,” wrote analyst Joseph Moore.Nvidia shares are off 16% this month and 26% from their all-time high as investors rotated out of some of the big artificial intelligence tech winne","content":"<html><head></head><body><p>Nvidia shares surged 11% Wednesday after peer AMD reported better-than-expected second-quarter earnings and revenue and said revenue this quarter would top expectations. </p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/afc910df13d25c47a75223149d130565\" title=\"\" tg-width=\"874\" tg-height=\"626\"/></p><p>Morgan Stanley said the July sell-off in Nvidia has gone too far and it’s time for investors to buy the dip. The firm moved the stock back to “top pick” status in the chip space.</p><p style=\"text-align: start;\">“The selloff presents a good entry point as we continue to hear strong data points short term and long term, with overblown competitive concerns,” wrote analyst Joseph Moore.</p><p style=\"text-align: start;\">Nvidia shares are off 16% this month and 26% from their all-time high as investors rotated out of some of the big artificial intelligence tech winners and embraced laggards of the bull market — such as small caps. Moore also listed a large list of concerns hitting Nvidia lately including competition, possible export controls and valuation.</p><p style=\"text-align: start;\">Those worries are likely to “fade with time,” he wrote in the Wednesday note.</p><p>Morgan Stanley rates Nvidia as overweight and has a $144 price target, which represents a 38% rally from Tuesday’s close.</p></body></html>","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Nvidia Stock Surges 11% After AMD Results and Morgan Stanley Names It a Top Pick</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNvidia Stock Surges 11% After AMD Results and Morgan Stanley Names It a Top Pick\n</h2>\n\n<h4 class=\"meta\">\n\n\n<a class=\"head\" href=\"https://laohu8.com/wemedia/1079075236\">\n\n\n<div class=\"h-thumb\" style=\"background-image:url(https://static.tigerbbs.com/8274c5b9d4c2852bfb1c4d6ce16c68ba);background-size:cover;\"></div>\n\n<div class=\"h-content\">\n<p class=\"h-name\">Tiger Newspress </p>\n<p class=\"h-time\">2024-07-31 22:05</p>\n</div>\n\n</a>\n\n\n</h4>\n\n</header>\n<article>\n<html><head></head><body><p>Nvidia shares surged 11% Wednesday after peer AMD reported better-than-expected second-quarter earnings and revenue and said revenue this quarter would top expectations. </p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/afc910df13d25c47a75223149d130565\" title=\"\" tg-width=\"874\" tg-height=\"626\"/></p><p>Morgan Stanley said the July sell-off in Nvidia has gone too far and it’s time for investors to buy the dip. The firm moved the stock back to “top pick” status in the chip space.</p><p style=\"text-align: start;\">“The selloff presents a good entry point as we continue to hear strong data points short term and long term, with overblown competitive concerns,” wrote analyst Joseph Moore.</p><p style=\"text-align: start;\">Nvidia shares are off 16% this month and 26% from their all-time high as investors rotated out of some of the big artificial intelligence tech winners and embraced laggards of the bull market — such as small caps. Moore also listed a large list of concerns hitting Nvidia lately including competition, possible export controls and valuation.</p><p style=\"text-align: start;\">Those worries are likely to “fade with time,” he wrote in the Wednesday note.</p><p>Morgan Stanley rates Nvidia as overweight and has a $144 price target, which represents a 38% rally from Tuesday’s close.</p></body></html>\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"NVDA":"英伟达"},"source_url":"","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"1196438594","content_text":"Nvidia shares surged 11% Wednesday after peer AMD reported better-than-expected second-quarter earnings and revenue and said revenue this quarter would top expectations. Morgan Stanley said the July sell-off in Nvidia has gone too far and it’s time for investors to buy the dip. The firm moved the stock back to “top pick” status in the chip space.“The selloff presents a good entry point as we continue to hear strong data points short term and long term, with overblown competitive concerns,” wrote analyst Joseph Moore.Nvidia shares are off 16% this month and 26% from their all-time high as investors rotated out of some of the big artificial intelligence tech winners and embraced laggards of the bull market — such as small caps. Moore also listed a large list of concerns hitting Nvidia lately including competition, possible export controls and valuation.Those worries are likely to “fade with time,” he wrote in the Wednesday note.Morgan Stanley rates Nvidia as overweight and has a $144 price target, which represents a 38% rally from Tuesday’s close.","news_type":1},"isVote":1,"tweetType":1,"viewCount":470,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":357210608128416,"gmtCreate":1728213031045,"gmtModify":1728218160717,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"Analysts can all go eat shit . I know what I want to buy , I don't need to listen to them . I buy only Nvidia . Full stop","listText":"Analysts can all go eat shit . I know what I want to buy , I don't need to listen to them . I buy only Nvidia . Full stop","text":"Analysts can all go eat shit . I know what I want to buy , I don't need to listen to them . I buy only Nvidia . Full stop","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":13,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/357210608128416","repostId":"2472939287","repostType":2,"repost":{"id":"2472939287","kind":"highlight","pubTimestamp":1728181800,"share":"https://ttm.financial/m/news/2472939287?lang=&edition=fundamental","pubTime":"2024-10-06 10:30","market":"us","language":"en","title":"Why Is Wall Street Much More Bullish About Nvidia Than Palantir?","url":"https://stock-news.laohu8.com/highlight/detail?id=2472939287","media":"Motley Fool","summary":"Palantir's hot right now. But Wall Street thinks Nvidia is still the better pick.","content":"<html><head></head><body><ul style=\"\"><li><p>Wall Street analysts view Nvidia much more favorably than Palantir based on their stock ratings and price targets.</p></li><li><p>They seem to prefer Nvidia's growth prospects and financial strength.</p></li><li><p>Analysts likely think Nvidia's valuation is also more attractive than Palantir's.</p></li></ul><p>What a year it's been for <strong>Palantir Technologies</strong>. Shares of the data analytics software company have soared 112%. Palantir was added to the <strong>S&P 500</strong> in September. The company has announced major deals and partnerships with big names including <strong>BP</strong>, <strong>Microsoft</strong>, and <strong>Wendy's</strong>.</p><p><strong>Nvidia</strong> has been an even bigger winner, with its stock skyrocketing 136% year to date. However, the giant chipmaker's shares are close to 14% below the peak set this summer. Investors have fretted about Nvidia's delayed launch of its new Blackwell GPU platform.</p><p>Despite these concerns, Wall Street is much more bullish about Nvidia than Palantir. That begs the question: Why?</p><h2 id=\"id_54078553\">What Wall Street thinks about Nvidia and Palantir</h2><p>Global financial markets data provider <strong>LSEG</strong> surveyed 60 analysts in September who cover Nvidia. Eighteen rated the stock as a "strong buy" (or equivalent rating). A whopping 37 analysts recommended Nvidia as a "buy." The remaining five analysts viewed the stock as a "hold."</p><p>The picture wasn't quite as rosy for Palantir. Of the 18 analysts surveyed by LSEG last month, only three recommended the stock as a "strong buy." Another three analysts rated Palantir as a "buy." Six analysts recommended holding the stock. Four rated the software stock as "underperform" while two others recommended selling Palantir's shares.</p><p>Wall Street's 12-month price targets for these two stocks further highlight the gap between them. The consensus price target for Nvidia reflects an upside potential of nearly 27%. The most optimistic analyst surveyed by LSEG thinks Nvidia's shares could soar another 73% over the next 12 months.</p><p>It's a much different story for Palantir. The average 12-month price target among the analysts surveyed by LSEG is roughly 25% <em>below</em> the current share price. The most optimistic analyst predicts Palantir could rise 37%.</p><h2 id=\"id_4106512475\">Why Nvidia enjoys much more support from analysts</h2><p>Wall Street likes Nvidia more than Palantir for several reasons. The most important factor is the different perceptions about the two companies' growth prospects. To be sure, analysts believe both Nvidia and Palantir can deliver strong growth. However, Nvidia dominates its market in a more powerful way than Palantir does.</p><p>Although Nvidia's Blackwell GPUs won't begin shipping as quickly as analysts would have preferred, they still expect Blackwell to be a huge commercial winner. I suspect some on Wall Street agree with Nvidia CEO Jensen Huang that Blackwell will be the most successful product in the company's history.</p><p>Analysts also see Nvidia as having a broader market opportunity. Organizations in pretty much every industry and of all sizes are scrambling to develop artificial intelligence (AI) capabilities, driving the demand for Nvidia's GPUs. Palantir arguably has a more limited opportunity, with more than half of its total revenue stemming from government contracts.</p><p>Nvidia's financial metrics are much stronger than Palantir's as well. In the second quarter of 2024, the company's revenue soared 122% year over year to $30 billion. By comparison, Palantir's Q2 revenue rose 27% year over year to $678 million.</p><p>Wall Street no doubt prefers Nvidia's valuation, too. The stock might seem expensive with a forward earnings multiple of 30.8. However, Nvidia's price-to-earnings-to-growth (PEG) ratio based on five-year growth projections is an attractive 0.93. Palantir's forward earnings multiple is a sky-high 87 with a PEG ratio of 1.88.</p><h2 id=\"id_285544397\">Is Wall Street right about Nvidia and Palantir?</h2><p>I'm not sure if Nvidia's shares will jump another 27% and Palantir's shares will fall 25% over the next 12 months as the average analysts' price targets project. My hunch is analysts aren't super-confident about those price targets, either.</p><p>However, I do agree with the Wall Street consensus that Nvidia is a better stock to buy right now than Palantir. If the demand for AI chips slows, Nvidia could be in trouble with its premium valuation. That doesn't seem likely at this point, though. With Blackwell on the way, I expect Nvidia will keep up its winning ways.</p></body></html>","source":"fool_stock","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Why Is Wall Street Much More Bullish About Nvidia Than Palantir?</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nWhy Is Wall Street Much More Bullish About Nvidia Than Palantir?\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-10-06 10:30 GMT+8 <a href=https://www.fool.com/investing/2024/10/04/why-wall-street-more-bullish-nvidia-palantir/><strong>Motley Fool</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Wall Street analysts view Nvidia much more favorably than Palantir based on their stock ratings and price targets.They seem to prefer Nvidia's growth prospects and financial strength.Analysts likely ...</p>\n\n<a href=\"https://www.fool.com/investing/2024/10/04/why-wall-street-more-bullish-nvidia-palantir/\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"IE00B4JS1V06.HKD":"JANUS HENDERSON BALANCED \"A2\" (HKD) ACC","BK4543":"AI","BK4527":"明星科技股","BK4588":"碎股","BK4579":"人工智能","IE0004086264.USD":"BNY MELLON GLOBAL OPPORTUNITIES \"A\" (USD) ACC","IE00BFSS7M15.SGD":"Janus Henderson Balanced A Acc SGD-H","IE00BWXC8680.SGD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A5\" (SGD) ACC","BK4503":"景林资产持仓","LU1861559042.SGD":"日兴方舟颠覆性创新基金B SGD","HK0000306685.HKD":"TAIKANG KAITAI CHINA NEW OPPORTUNITIES FUND \"A\" (HKD) INC","IE00BJJMRX11.SGD":"Janus Henderson Balanced A Acc SGD","IE0004091025.USD":"BNY MELLON GLOBAL OPPORTUNITIES \"B\" (USD) ACC","IE00BHPRN162.USD":"BNY MELLON BLOCKCHAIN INNOVATION \"B\" (USD) ACC","BK4547":"WSB热门概念","IE00BDCRKT87.USD":"PINEBRIDGE GLOBAL DYNAMIC ASSET ALLOCATION \"ADC\" (USD) INC","LU0056508442.USD":"贝莱德世界科技基金A2","NVDA":"英伟达","BK4581":"高盛持仓","LU0048584097.USD":"FIDELITY FUNDS GLOBAL THEMATIC OPPORTUNITIES \"A\" (USD) INC","IE00BZ199S13.USD":"BNY MELLON MOBILITY INNOVATION \"B\" (USD) ACC","BK4549":"软银资本持仓","IE00BJJMRY28.SGD":"Janus Henderson Balanced A Inc SGD","IE00BMPRXR70.SGD":"Neuberger Berman 5G Connectivity A Acc SGD-H","HK0000306701.USD":"TAIKANG KAITAI CHINA NEW OPPORTUNITIES FUND \"A\" (USD) INC","BK4548":"巴美列捷福持仓","BK4529":"IDC概念","IE00B5949003.HKD":"JANUS HENDERSON GLOBAL TECHNOLOGY AND INNOVATION \"A\" (HKD) ACC","IE0005OL40V9.USD":"JANUS HENDERSON BALANCED \"A6M\" (USD) INC","IE0004445015.USD":"JANUS HENDERSON BALANCED \"A2\" (USD) ACC","BK4023":"应用软件","BK4532":"文艺复兴科技持仓","PLTR":"Palantir Technologies Inc.","BK4592":"伊斯兰概念","IE00B19Z8X17.USD":"FTGF CLEARBRIDGE US LARGE CAP GROWTH \"AG\" (USD) ACC","IE00BMPRXN33.USD":"NEUBERGER BERMAN 5G CONNECTIVITY \"A\" (USD) ACC","IE00B3M56506.USD":"NEUBERGER BERMAN EMERGING MARKETS EQUITY \"A\" (USD) ACC","BK4585":"ETF&股票定投概念","BK4534":"瑞士信贷持仓","IE00BD6J9T35.USD":"NEUBERGER BERMAN NEXT GENERATION MOBILITY \"A\" (USD) ACC","IE00BMPRXQ63.HKD":"NEUBERGER BERMAN NEXT GENERATION CONNECTIVITY FUND \"A\" (HKDHDG) ACC","LU1861558580.USD":"日兴方舟颠覆性创新基金B","IE00BMG7P587.USD":"LEGG MASON CLEARBRIDGE GLOBAL INFRASTRUCTURE INCOM \"A\" (USD) INC","IE0034235188.USD":"PINEBRIDGE GLOBAL FOCUS EQUITY \"A\" (USD) ACC","BK4587":"ChatGPT概念","IE00B19Z8W00.USD":"FTGF CLEARBRIDGE US LARGE CAP GROWTH \"A\" INC"},"source_url":"https://www.fool.com/investing/2024/10/04/why-wall-street-more-bullish-nvidia-palantir/","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"2472939287","content_text":"Wall Street analysts view Nvidia much more favorably than Palantir based on their stock ratings and price targets.They seem to prefer Nvidia's growth prospects and financial strength.Analysts likely think Nvidia's valuation is also more attractive than Palantir's.What a year it's been for Palantir Technologies. Shares of the data analytics software company have soared 112%. Palantir was added to the S&P 500 in September. The company has announced major deals and partnerships with big names including BP, Microsoft, and Wendy's.Nvidia has been an even bigger winner, with its stock skyrocketing 136% year to date. However, the giant chipmaker's shares are close to 14% below the peak set this summer. Investors have fretted about Nvidia's delayed launch of its new Blackwell GPU platform.Despite these concerns, Wall Street is much more bullish about Nvidia than Palantir. That begs the question: Why?What Wall Street thinks about Nvidia and PalantirGlobal financial markets data provider LSEG surveyed 60 analysts in September who cover Nvidia. Eighteen rated the stock as a \"strong buy\" (or equivalent rating). A whopping 37 analysts recommended Nvidia as a \"buy.\" The remaining five analysts viewed the stock as a \"hold.\"The picture wasn't quite as rosy for Palantir. Of the 18 analysts surveyed by LSEG last month, only three recommended the stock as a \"strong buy.\" Another three analysts rated Palantir as a \"buy.\" Six analysts recommended holding the stock. Four rated the software stock as \"underperform\" while two others recommended selling Palantir's shares.Wall Street's 12-month price targets for these two stocks further highlight the gap between them. The consensus price target for Nvidia reflects an upside potential of nearly 27%. The most optimistic analyst surveyed by LSEG thinks Nvidia's shares could soar another 73% over the next 12 months.It's a much different story for Palantir. The average 12-month price target among the analysts surveyed by LSEG is roughly 25% below the current share price. The most optimistic analyst predicts Palantir could rise 37%.Why Nvidia enjoys much more support from analystsWall Street likes Nvidia more than Palantir for several reasons. The most important factor is the different perceptions about the two companies' growth prospects. To be sure, analysts believe both Nvidia and Palantir can deliver strong growth. However, Nvidia dominates its market in a more powerful way than Palantir does.Although Nvidia's Blackwell GPUs won't begin shipping as quickly as analysts would have preferred, they still expect Blackwell to be a huge commercial winner. I suspect some on Wall Street agree with Nvidia CEO Jensen Huang that Blackwell will be the most successful product in the company's history.Analysts also see Nvidia as having a broader market opportunity. Organizations in pretty much every industry and of all sizes are scrambling to develop artificial intelligence (AI) capabilities, driving the demand for Nvidia's GPUs. Palantir arguably has a more limited opportunity, with more than half of its total revenue stemming from government contracts.Nvidia's financial metrics are much stronger than Palantir's as well. In the second quarter of 2024, the company's revenue soared 122% year over year to $30 billion. By comparison, Palantir's Q2 revenue rose 27% year over year to $678 million.Wall Street no doubt prefers Nvidia's valuation, too. The stock might seem expensive with a forward earnings multiple of 30.8. However, Nvidia's price-to-earnings-to-growth (PEG) ratio based on five-year growth projections is an attractive 0.93. Palantir's forward earnings multiple is a sky-high 87 with a PEG ratio of 1.88.Is Wall Street right about Nvidia and Palantir?I'm not sure if Nvidia's shares will jump another 27% and Palantir's shares will fall 25% over the next 12 months as the average analysts' price targets project. My hunch is analysts aren't super-confident about those price targets, either.However, I do agree with the Wall Street consensus that Nvidia is a better stock to buy right now than Palantir. If the demand for AI chips slows, Nvidia could be in trouble with its premium valuation. That doesn't seem likely at this point, though. With Blackwell on the way, I expect Nvidia will keep up its winning ways.","news_type":1},"isVote":1,"tweetType":1,"viewCount":339,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":377908085366928,"gmtCreate":1733292241335,"gmtModify":1733292907482,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"He has lost his underwear shorting SMCI , writing article to try recovering what he has lost","listText":"He has lost his underwear shorting SMCI , writing article to try recovering what he has lost","text":"He has lost his underwear shorting SMCI , writing article to try recovering what he has lost","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":6,"commentSize":1,"repostSize":0,"link":"https://ttm.financial/post/377908085366928","repostId":"1199304506","repostType":4,"repost":{"id":"1199304506","kind":"news","pubTimestamp":1733283900,"share":"https://ttm.financial/m/news/1199304506?lang=&edition=fundamental","pubTime":"2024-12-04 11:45","market":"us","language":"en","title":"Super Micro Computer: You're Gambling If You Buy This, Not Investing","url":"https://stock-news.laohu8.com/highlight/detail?id=1199304506","media":"Seeking Alpha","summary":"SummarySMCI's recent auditor resignation, and ongoing DoJ investigation make it a highly risky investment despite a recent short-term price surge.SMCI's past issues include NASDAQ delisting, SEC fines","content":"<html><head></head><body><h2 id=\"id_2210350387\">Summary</h2><ul style=\"\"><li><p>SMCI's recent auditor resignation, and ongoing DoJ investigation make it a highly risky investment despite a recent short-term price surge.</p></li><li><p>SMCI's past issues include NASDAQ delisting, SEC fines, which all raise serious concerns about its financial integrity.</p></li><li><p>The appointment of BDO as the new auditor offers some hope but doesn't eliminate the significant risks and unresolved issues identified by Ernst & Young.</p></li><li><p>Investing in SMCI now is more akin to gambling than smart investing due to the high level of unknowns and potential for severe negative outcomes.</p></li></ul><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/d0dd59825e09cdca1d96afc5c7f9a0d1\" alt=\"SlavkoSereda/iStock via Getty Images\" title=\"SlavkoSereda/iStock via Getty Images\" tg-width=\"750\" tg-height=\"500\"/><span>SlavkoSereda/iStock via Getty Images</span></p><h2 id=\"id_2160079058\">Introduction</h2><p>I mostly like to talk about buying opportunities here on Seeking Alpha, but I've noted that a lot of people have been buying Super Micro Computer (NASDAQ:SMCI) recently, post the news that they appointed BDO as auditor.</p><p>Despite this appointment having some potential good news and a sign of hope, there's way too many unknowns and risk factors that, as investors on the outside, we just don't know the answers to. Of course, when we invest, there's always some unknowns and risks to take, but for me here, there's just way too many unknowns, which makes it a very illogical investment.</p><h2 id=\"id_1452235947\">Background</h2><p>SMCI has been on a crazy ride throughout 2024, rising from $28 back in January all the way up to $115 in March, which equates to a 307% increase in 3 months.</p><p>It then dropped down to $18 by November 15th, erasing 85% of the total market cap. This drop came after Ernst & Young (SMCI's auditor) resigned on October 24th. Ernst & Young cited reasons including:</p><ul style=\"\"><li><p>Lack of trust in management</p></li><li><p>Weak internal controls</p></li><li><p>Lack of board independence</p></li></ul><p>When an auditor resigns from auditing a client the size of SMCI it's never a good sign. Auditors spend hours fighting to win over the biggest clients which allows them to rake in the huge audit fees, but when they deem the risk of being associated with a listed client to be far more negative than the huge audit fees they would receive, there's likely something out of the ordinary going on.</p><h2 id=\"id_146560957\">Here's why SMCI is not worth investing into.</h2><p>If this auditor resignation was a one-off issue, then I'd be inclined to give SMCI the benefit of doubt (though I'd still remain extremely cautious), but unfortunately this negativity around SMCI is not a one-off at all.</p><p>The past 6 years has seen:</p><ul style=\"\"><li><p>NASDAQ delisting</p></li><li><p>$17.5 million fine to SEC</p></li><li><p>Hindenburg Research (one of the most famous short sellers)</p></li><li><p>Department of Justice probe</p></li></ul><p>I'm going to go over each one of these to explain exactly what's happened and my take on them all.</p><h3 id=\"id_2241418678\">NASDAQ delisting - 2018</h3><p>SMCI was temporarily delisted from the NASDAQ stock exchange in August 2018 due to failure to comply with NASDAQ timelines of financial reports. Companies get delisted for many reasons, however the 3 main reasons are:</p><ol start=\"1\" style=\"\"><li><p>Voluntary delisting.</p></li><li><p>Falling below a certain market cap or $1.00 stock price.</p></li><li><p>Accounting issues/missed deadlines.</p></li></ol><p>Reason 3 is exactly why SMCI got delisted, and it tends to be the least common and perhaps most serious due to the internal inefficiencies. NASDAQ generally does have fairly long "grace periods" meaning SMCI failed to comply with the extended NASDAQ deadlines, something which has not happened to a company of SMCI's size in a long time.</p><h3 id=\"id_37544222\">Fine</h3><p>In 2020, SMCI paid a $17.5 million fine to the SEC for accounting violations in which they neither admitted nor denied the SEC findings. The violations were due to incorrect revenue recognition, understating expenses, and other accounting violations over a period of 3 years.</p><p>Arguably a one-off instance like this would not cause too much panic, but the continuous nature of this raises skepticism.</p><h3 id=\"id_1199563137\">Department of Justice</h3><p>On top of all this negativity, SMCI has an ongoing DoJ (Department of Justice) probe which is looking into accounting violations. DoJ probes are a big deal and are likely to have an overarching effect on the SMCI stock price even if all of all the other unknowns start to become more clear.</p><p>As I mentioned before with the Hindenburg research, we have to take their report with a pinch of salt since they are a short-seller after all. However, an investigation by the DoJ is much more serious and anything that comes up in that investigation will materially affect SMCI's future.</p><h3 id=\"id_494708400\">BDO Appointment</h3><p>The positive news after all of this is that SMCI managed to appoint BDO (the 5th largest accounting firm) after all of the above incidents, which has to be a win because it gives them hope to at least restore investor confidence, and prepare some financial statements. That's all the good news I can say about this though.</p><p>The bad news is that BDO isn't a big 4 company that SMCI would have appointed. BDO also has had poor results over recent years in terms of audit quality. To put it simply, SMCI would not have wanted to appoint an auditor outside of the Big 4. It's a shame that this is the way it is, but for a company in the S&P 500, Big 4 auditors are by far the most common. Unless there's a good reason not to appoint a Big 4 auditor, S&P 500 companies simply look a bit more questionable if they don't have a Big 4 company auditing them.</p><p>The other important thing to note is that even though SMCI has appointed a BDO, initial screening or conversations with EY (previous auditor) have not occurred. This was all disclosed in the 8-K but obviously wasn't part of the headlines. Simply what is happening is that BDO are the only company to at least consider looking at the SMCI books in the hope that everything is ok, and therefore they potentially have one of the biggest clients on the books.</p><p>In my opinion, realistically, the issues that EY found won't have been resolved and BDO will also likely find these issues, meaning they'll not sign off.</p><p>Let me take this even further. A first year audit takes a long time. It includes getting a very solid understanding of the company, the internal controls, previous period's numbers etc., etc. In my opinion, the entire process likely cannot happen before February 2025, which is when NASDAQ has granted a filing extension until.</p><p>If the BDO does manage to get all this work done, and assuming there's no issues found (unlikely in my opinion), there is still a chance of secondary reviews by regulators.</p><h2 id=\"id_4231930187\">So is SMCI a buy, sell, or hold?</h2><p>SMCI has performed well the last 3 weeks post appointment of auditor, BDO, plus a short squeeze. Whilst the share price shows some potential signs of recovery, I hope this article made it clear exactly how much risk there still is.</p><p>SMCI still has to get BDO to audit their financials by February without any findings, a potential secondary review, and also get through the DoJ investigation to essentially survive. If any of these come back with material findings, I think there's a very good chance that SMCI gets delisted, which will, of course, have material consequences for all investors.</p><p>Of course, I may be wrong here, and I may be overly worried about the legitimacy of the financials, but when there's hundreds and if not thousands of other stocks without any risk of these issues, I don't see why it's worth risking an investment into SMCI.</p><p>My overall take is that I'd give it a 50:50 chance as to whether SMCI recovers and, in my opinion, investing in them is much more gambling, rather than data driven, educated, smart investing.</p></body></html>","source":"lsy1728464409321","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Super Micro Computer: You're Gambling If You Buy This, Not Investing</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nSuper Micro Computer: You're Gambling If You Buy This, Not Investing\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-12-04 11:45 GMT+8 <a href=https://seekingalpha.com/article/4741870-super-micro-computer-smci-gambling-if-you-buy-not-investing><strong>Seeking Alpha</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>SummarySMCI's recent auditor resignation, and ongoing DoJ investigation make it a highly risky investment despite a recent short-term price surge.SMCI's past issues include NASDAQ delisting, SEC fines...</p>\n\n<a href=\"https://seekingalpha.com/article/4741870-super-micro-computer-smci-gambling-if-you-buy-not-investing\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"SMCI":"超微电脑"},"source_url":"https://seekingalpha.com/article/4741870-super-micro-computer-smci-gambling-if-you-buy-not-investing","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"1199304506","content_text":"SummarySMCI's recent auditor resignation, and ongoing DoJ investigation make it a highly risky investment despite a recent short-term price surge.SMCI's past issues include NASDAQ delisting, SEC fines, which all raise serious concerns about its financial integrity.The appointment of BDO as the new auditor offers some hope but doesn't eliminate the significant risks and unresolved issues identified by Ernst & Young.Investing in SMCI now is more akin to gambling than smart investing due to the high level of unknowns and potential for severe negative outcomes.SlavkoSereda/iStock via Getty ImagesIntroductionI mostly like to talk about buying opportunities here on Seeking Alpha, but I've noted that a lot of people have been buying Super Micro Computer (NASDAQ:SMCI) recently, post the news that they appointed BDO as auditor.Despite this appointment having some potential good news and a sign of hope, there's way too many unknowns and risk factors that, as investors on the outside, we just don't know the answers to. Of course, when we invest, there's always some unknowns and risks to take, but for me here, there's just way too many unknowns, which makes it a very illogical investment.BackgroundSMCI has been on a crazy ride throughout 2024, rising from $28 back in January all the way up to $115 in March, which equates to a 307% increase in 3 months.It then dropped down to $18 by November 15th, erasing 85% of the total market cap. This drop came after Ernst & Young (SMCI's auditor) resigned on October 24th. Ernst & Young cited reasons including:Lack of trust in managementWeak internal controlsLack of board independenceWhen an auditor resigns from auditing a client the size of SMCI it's never a good sign. Auditors spend hours fighting to win over the biggest clients which allows them to rake in the huge audit fees, but when they deem the risk of being associated with a listed client to be far more negative than the huge audit fees they would receive, there's likely something out of the ordinary going on.Here's why SMCI is not worth investing into.If this auditor resignation was a one-off issue, then I'd be inclined to give SMCI the benefit of doubt (though I'd still remain extremely cautious), but unfortunately this negativity around SMCI is not a one-off at all.The past 6 years has seen:NASDAQ delisting$17.5 million fine to SECHindenburg Research (one of the most famous short sellers)Department of Justice probeI'm going to go over each one of these to explain exactly what's happened and my take on them all.NASDAQ delisting - 2018SMCI was temporarily delisted from the NASDAQ stock exchange in August 2018 due to failure to comply with NASDAQ timelines of financial reports. Companies get delisted for many reasons, however the 3 main reasons are:Voluntary delisting.Falling below a certain market cap or $1.00 stock price.Accounting issues/missed deadlines.Reason 3 is exactly why SMCI got delisted, and it tends to be the least common and perhaps most serious due to the internal inefficiencies. NASDAQ generally does have fairly long \"grace periods\" meaning SMCI failed to comply with the extended NASDAQ deadlines, something which has not happened to a company of SMCI's size in a long time.FineIn 2020, SMCI paid a $17.5 million fine to the SEC for accounting violations in which they neither admitted nor denied the SEC findings. The violations were due to incorrect revenue recognition, understating expenses, and other accounting violations over a period of 3 years.Arguably a one-off instance like this would not cause too much panic, but the continuous nature of this raises skepticism.Department of JusticeOn top of all this negativity, SMCI has an ongoing DoJ (Department of Justice) probe which is looking into accounting violations. DoJ probes are a big deal and are likely to have an overarching effect on the SMCI stock price even if all of all the other unknowns start to become more clear.As I mentioned before with the Hindenburg research, we have to take their report with a pinch of salt since they are a short-seller after all. However, an investigation by the DoJ is much more serious and anything that comes up in that investigation will materially affect SMCI's future.BDO AppointmentThe positive news after all of this is that SMCI managed to appoint BDO (the 5th largest accounting firm) after all of the above incidents, which has to be a win because it gives them hope to at least restore investor confidence, and prepare some financial statements. That's all the good news I can say about this though.The bad news is that BDO isn't a big 4 company that SMCI would have appointed. BDO also has had poor results over recent years in terms of audit quality. To put it simply, SMCI would not have wanted to appoint an auditor outside of the Big 4. It's a shame that this is the way it is, but for a company in the S&P 500, Big 4 auditors are by far the most common. Unless there's a good reason not to appoint a Big 4 auditor, S&P 500 companies simply look a bit more questionable if they don't have a Big 4 company auditing them.The other important thing to note is that even though SMCI has appointed a BDO, initial screening or conversations with EY (previous auditor) have not occurred. This was all disclosed in the 8-K but obviously wasn't part of the headlines. Simply what is happening is that BDO are the only company to at least consider looking at the SMCI books in the hope that everything is ok, and therefore they potentially have one of the biggest clients on the books.In my opinion, realistically, the issues that EY found won't have been resolved and BDO will also likely find these issues, meaning they'll not sign off.Let me take this even further. A first year audit takes a long time. It includes getting a very solid understanding of the company, the internal controls, previous period's numbers etc., etc. In my opinion, the entire process likely cannot happen before February 2025, which is when NASDAQ has granted a filing extension until.If the BDO does manage to get all this work done, and assuming there's no issues found (unlikely in my opinion), there is still a chance of secondary reviews by regulators.So is SMCI a buy, sell, or hold?SMCI has performed well the last 3 weeks post appointment of auditor, BDO, plus a short squeeze. Whilst the share price shows some potential signs of recovery, I hope this article made it clear exactly how much risk there still is.SMCI still has to get BDO to audit their financials by February without any findings, a potential secondary review, and also get through the DoJ investigation to essentially survive. If any of these come back with material findings, I think there's a very good chance that SMCI gets delisted, which will, of course, have material consequences for all investors.Of course, I may be wrong here, and I may be overly worried about the legitimacy of the financials, but when there's hundreds and if not thousands of other stocks without any risk of these issues, I don't see why it's worth risking an investment into SMCI.My overall take is that I'd give it a 50:50 chance as to whether SMCI recovers and, in my opinion, investing in them is much more gambling, rather than data driven, educated, smart investing.","news_type":1},"isVote":1,"tweetType":1,"viewCount":381,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":309390670422088,"gmtCreate":1716564512705,"gmtModify":1716564920240,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"She sold Nvidia right before price rocket","listText":"She sold Nvidia right before price rocket","text":"She sold Nvidia right before price rocket","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":6,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/309390670422088","repostId":"2437082356","repostType":2,"repost":{"id":"2437082356","kind":"highlight","weMediaInfo":{"introduction":"Dow Jones publishes the world’s most trusted business news and financial information in a variety of media.","home_visible":0,"media_name":"Dow Jones","id":"106","head_image":"https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99"},"pubTimestamp":1716549974,"share":"https://ttm.financial/m/news/2437082356?lang=&edition=fundamental","pubTime":"2024-05-24 19:26","market":"sg","language":"en","title":"Cathie Wood Sees a Great Depression-Like Search for Safety in the Stock Market","url":"https://stock-news.laohu8.com/highlight/detail?id=2437082356","media":"Dow Jones","summary":"Something funny happened in the market on Thursday: The most eagerly awaited report of the entire earnings season, Nvidia's, more than delivered, and while the chipmaker's investors benefited, the res","content":"<html><head></head><body><p>Something funny happened in the market on Thursday: The most eagerly awaited report of the entire earnings season, Nvidia's, more than delivered, and while the chipmaker's investors benefited, the rest of the market slumped. The blame fell on rising interest rates after better-than-expected economic data.</p><p>Cathie Wood, the chief executive and chief investment officer of ARK Invest, gave a broader perspective: "In our view, the search for cash and safety in the equity markets today is as intense as that during the Great Depression in the early 1930s," she said on the social media service X on Thursday night. "When fear dissipated, the market broadened out and rewarded risk-taking once again."</p><p>Before going further, the elephant in the room when mentioning Wood and Nvidia <a href=\"https://laohu8.com/S/NVDA\">$(NVDA)$</a> in the same story is that she infamously exited the stock at precisely the wrong time, selling most of her stake prior to Nvidia's meteoric ascent on the back of artificial intelligence demand.</p><p>Her flagship fund, the <a href=\"https://laohu8.com/S/ARKK\">ARK Innovation ETF</a> ARKK, has dropped 17% this year, weighed down not by just Tesla <a href=\"https://laohu8.com/S/TSLA\">$(TSLA)$</a>- more on the automaker later - but also by other top holdings that have struggled including Roku <a href=\"https://laohu8.com/S/ROKU\">$(ROKU)$</a>, <a href=\"https://laohu8.com/S/SQ\">Block</a> (SQ) and <a href=\"https://laohu8.com/S/PATH\">UiPath</a> (PATH), in a year Nvidia has soared 110%.</p><p>Wood's argument is that market concentration is the evidence of the search for cash and safety.</p><p>One piece of evidence of this concentration is that the weight of Nasdaq 100 companies in the S&P 500 is now at 45%.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/0d4c291a15bbceabe5b30366625a75cd\" tg-width=\"700\" tg-height=\"731\"/></p><p>"The Nasdaq used to be a very fertile place for companies in the mid-to-large range," she said in a recent presentation. "They were the innovators, they were the disruptors. We feel the Nasdaq 100 does very little of that right now."</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/31f7e3036123592618e01704901724ef\" tg-width=\"700\" tg-height=\"449\"/></p><p>She also points to an analysis done by Goldman Sachs earlier in the year, showing that the market cap of the largest stock relative to the 75th percentile ranked one is the highest since 1932.</p><p>Her main point, along with a pessimistic reading of the U.S. economy, is that once interest rates start coming down, market gains will broaden out.</p><p>"Last year the market did seem to start moving ... in that direction, so that was the beginning we think of this move, but if we're right this [Goldman market concentration] chart would suggest the move has miles to go," she said.</p></body></html>","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Cathie Wood Sees a Great Depression-Like Search for Safety in the Stock Market</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nCathie Wood Sees a Great Depression-Like Search for Safety in the Stock Market\n</h2>\n\n<h4 class=\"meta\">\n\n\n<div class=\"head\" \">\n\n\n<div class=\"h-thumb\" style=\"background-image:url(https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99);background-size:cover;\"></div>\n\n<div class=\"h-content\">\n<p class=\"h-name\">Dow Jones </p>\n<p class=\"h-time\">2024-05-24 19:26</p>\n</div>\n\n</div>\n\n\n</h4>\n\n</header>\n<article>\n<html><head></head><body><p>Something funny happened in the market on Thursday: The most eagerly awaited report of the entire earnings season, Nvidia's, more than delivered, and while the chipmaker's investors benefited, the rest of the market slumped. The blame fell on rising interest rates after better-than-expected economic data.</p><p>Cathie Wood, the chief executive and chief investment officer of ARK Invest, gave a broader perspective: "In our view, the search for cash and safety in the equity markets today is as intense as that during the Great Depression in the early 1930s," she said on the social media service X on Thursday night. "When fear dissipated, the market broadened out and rewarded risk-taking once again."</p><p>Before going further, the elephant in the room when mentioning Wood and Nvidia <a href=\"https://laohu8.com/S/NVDA\">$(NVDA)$</a> in the same story is that she infamously exited the stock at precisely the wrong time, selling most of her stake prior to Nvidia's meteoric ascent on the back of artificial intelligence demand.</p><p>Her flagship fund, the <a href=\"https://laohu8.com/S/ARKK\">ARK Innovation ETF</a> ARKK, has dropped 17% this year, weighed down not by just Tesla <a href=\"https://laohu8.com/S/TSLA\">$(TSLA)$</a>- more on the automaker later - but also by other top holdings that have struggled including Roku <a href=\"https://laohu8.com/S/ROKU\">$(ROKU)$</a>, <a href=\"https://laohu8.com/S/SQ\">Block</a> (SQ) and <a href=\"https://laohu8.com/S/PATH\">UiPath</a> (PATH), in a year Nvidia has soared 110%.</p><p>Wood's argument is that market concentration is the evidence of the search for cash and safety.</p><p>One piece of evidence of this concentration is that the weight of Nasdaq 100 companies in the S&P 500 is now at 45%.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/0d4c291a15bbceabe5b30366625a75cd\" tg-width=\"700\" tg-height=\"731\"/></p><p>"The Nasdaq used to be a very fertile place for companies in the mid-to-large range," she said in a recent presentation. "They were the innovators, they were the disruptors. We feel the Nasdaq 100 does very little of that right now."</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/31f7e3036123592618e01704901724ef\" tg-width=\"700\" tg-height=\"449\"/></p><p>She also points to an analysis done by Goldman Sachs earlier in the year, showing that the market cap of the largest stock relative to the 75th percentile ranked one is the highest since 1932.</p><p>Her main point, along with a pessimistic reading of the U.S. economy, is that once interest rates start coming down, market gains will broaden out.</p><p>"Last year the market did seem to start moving ... in that direction, so that was the beginning we think of this move, but if we're right this [Goldman market concentration] chart would suggest the move has miles to go," she said.</p></body></html>\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"LU1989763005.USD":"东方汇理教育基金A2 Acc","NVDA":"英伟达","BK4108":"电影和娱乐","LU0109391861.USD":"富兰克林美国机遇基金A Acc","LU1429558221.USD":"Natixis Loomis Sayles US Growth Equity RA USD","BK4534":"瑞士信贷持仓","BK4567":"ESG概念","LU0823411888.USD":"法巴消费创新基金 Cap","LU1435385759.SGD":"Natixis Loomis Sayles US Growth Equity RA SGD-H","BK4533":"AQR资本管理(全球第二大对冲基金)","LU1551013342.USD":"Allianz Income and Growth Cl AMg2 DIS USD","BK4555":"新能源车","BK4227":"交易和支付处理服务","IE00BMPRXR70.SGD":"Neuberger Berman 5G Connectivity A Acc SGD-H","LU2249611893.SGD":"BNP PARIBAS ENERGY TRANSITION \"CRH\" (SGD) ACC","BK4543":"AI",".DJI":"道琼斯","LU1804176565.USD":"EASTSPRING INV GLOBAL GROWTH EQUITY \"A\" (USD) ACC","BK4550":"红杉资本持仓",".IXIC":"NASDAQ Composite","BK4554":"元宇宙及AR概念","IE00B7SZLL34.SGD":"Legg Mason ClearBridge - Value A Acc SGD-H",".SPX":"S&P 500 Index","BK4544":"ARK ETF合集","LU0823414478.USD":"法巴经典能源转换基金","BK4094":"服装零售","LU0061474705.USD":"THREADNEEDLE (LUX) GLOBAL DYNAMIC REAL RETURN \"AU\" (USD) ACC","LU0348723411.USD":"ALLIANZ GLOBAL HI-TECH GROWTH \"A\" (USD) INC","BK4547":"WSB热门概念","BK4097":"系统软件","IE00B1BXHZ80.USD":"Legg Mason ClearBridge - US Appreciation A Acc USD","BK4504":"桥水持仓","LU1852331112.SGD":"Blackrock World Technology Fund A2 SGD-H","LU1691799644.USD":"Amundi Funds Polen Capital Global Growth A2 (C) USD","LU0289960550.SGD":"AB FCP I - GLOBAL EQUITY BLEND PORTFOLIO 'A' (SGD) ACC","LU0276348264.USD":"THREADNEEDLE (LUX) GLOBAL DYNAMIC REAL RETURN\"AUP\" (USD) INC","LU0061475181.USD":"THREADNEEDLE (LUX) AMERICAN \"AU\" (USD) ACC","BK4549":"软银资本持仓","BK4511":"特斯拉概念","IE00BFSS8Q28.SGD":"Janus Henderson Balanced A Inc SGD-H","BK4099":"汽车制造商","BK4548":"巴美列捷福持仓","LU0256863811.USD":"ALLIANZ US EQUITY \"A\" INC","BK4539":"次新股","ARKK":"ARK Innovation ETF","BK4106":"数据处理与外包服务","BK4532":"文艺复兴科技持仓"},"source_url":"https://dowjonesnews.com/newdjn/logon.aspx?AL=N","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"2437082356","content_text":"Something funny happened in the market on Thursday: The most eagerly awaited report of the entire earnings season, Nvidia's, more than delivered, and while the chipmaker's investors benefited, the rest of the market slumped. The blame fell on rising interest rates after better-than-expected economic data.Cathie Wood, the chief executive and chief investment officer of ARK Invest, gave a broader perspective: \"In our view, the search for cash and safety in the equity markets today is as intense as that during the Great Depression in the early 1930s,\" she said on the social media service X on Thursday night. \"When fear dissipated, the market broadened out and rewarded risk-taking once again.\"Before going further, the elephant in the room when mentioning Wood and Nvidia $(NVDA)$ in the same story is that she infamously exited the stock at precisely the wrong time, selling most of her stake prior to Nvidia's meteoric ascent on the back of artificial intelligence demand.Her flagship fund, the ARK Innovation ETF ARKK, has dropped 17% this year, weighed down not by just Tesla $(TSLA)$- more on the automaker later - but also by other top holdings that have struggled including Roku $(ROKU)$, Block (SQ) and UiPath (PATH), in a year Nvidia has soared 110%.Wood's argument is that market concentration is the evidence of the search for cash and safety.One piece of evidence of this concentration is that the weight of Nasdaq 100 companies in the S&P 500 is now at 45%.\"The Nasdaq used to be a very fertile place for companies in the mid-to-large range,\" she said in a recent presentation. \"They were the innovators, they were the disruptors. We feel the Nasdaq 100 does very little of that right now.\"She also points to an analysis done by Goldman Sachs earlier in the year, showing that the market cap of the largest stock relative to the 75th percentile ranked one is the highest since 1932.Her main point, along with a pessimistic reading of the U.S. economy, is that once interest rates start coming down, market gains will broaden out.\"Last year the market did seem to start moving ... in that direction, so that was the beginning we think of this move, but if we're right this [Goldman market concentration] chart would suggest the move has miles to go,\" she said.","news_type":1},"isVote":1,"tweetType":1,"viewCount":97,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":330711007666208,"gmtCreate":1721745776437,"gmtModify":1721745780244,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"Crash to how much ? And which day it will crash ? Tell me and I will sell before that date","listText":"Crash to how much ? And which day it will crash ? Tell me and I will sell before that date","text":"Crash to how much ? And which day it will crash ? Tell me and I will sell before that date","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":5,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/330711007666208","repostId":"2453076978","repostType":2,"isVote":1,"tweetType":1,"viewCount":235,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":321420201947144,"gmtCreate":1719501960850,"gmtModify":1719501964702,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"It was a good QR, analysts have unrealistic expectation. It is a buy now to harvest 6-12 months from now","listText":"It was a good QR, analysts have unrealistic expectation. It is a buy now to harvest 6-12 months from now","text":"It was a good QR, analysts have unrealistic expectation. It is a buy now to harvest 6-12 months from now","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":5,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/321420201947144","repostId":"1122760151","repostType":2,"isVote":1,"tweetType":1,"viewCount":353,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":377330251894912,"gmtCreate":1733150068739,"gmtModify":1733150072982,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"Time to fly again....","listText":"Time to fly again....","text":"Time to fly again....","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":4,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/377330251894912","repostId":"2488748126","repostType":2,"repost":{"id":"2488748126","kind":"live","pubTimestamp":1733148669,"share":"https://ttm.financial/m/news/2488748126?lang=&edition=fundamental","pubTime":"2024-12-02 22:11","market":"us","language":"en","title":"Super Micro to Name New CFO, Says No Evidence of Misconduct","url":"https://stock-news.laohu8.com/highlight/detail?id=2488748126","media":"Bloomberg","summary":"Super Micro Computer Inc. said an external review of its business by a special committee of its boar","content":"<html><head></head><body><p>Super Micro Computer Inc. said an external review of its business by a special committee of its board and external counsel found no evidence of wrongdoing and that the company will appoint new top financial leadership.</p><p>Super Micro shares surges 16% Premarket.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/4529c3ac787a5cd0f639ac27ac3fe60f\" title=\"\" tg-width=\"792\" tg-height=\"831\"/></p><p>The company is looking for a new chief financial officer, chief compliance officer, and general counsel, it said in a statement Monday. Kenneth Cheung, formerly vice president of finance, will be the company’s new chief accounting officer.</p><p style=\"text-align: start;\">Its been a tumultuous year for Super Micro. The maker of high-powered servers missed an August deadline to file its annual financial report and its auditor, Ernst & Young LLP, resigned in October, citing concerns about the company’s governance and transparency. Super Micro is also facing a US Department of Justice probe following a damaging report from short seller Hindenburg Research.</p><p style=\"text-align: start;\">The review was completed by a special committee of its board alongside more than 50 attorneys from law firm Cooley LLP and a team from forensic accounting firm Secretariat Advisors, Super Micro said in the statement.</p></body></html>","source":"lsy1584095487587","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Super Micro to Name New CFO, Says No Evidence of Misconduct</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nSuper Micro to Name New CFO, Says No Evidence of Misconduct\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-12-02 22:11 GMT+8 <a href=https://www.bloomberg.com/news/articles/2024-12-02/super-micro-special-committee-finds-no-evidence-of-misconduct><strong>Bloomberg</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Super Micro Computer Inc. said an external review of its business by a special committee of its board and external counsel found no evidence of wrongdoing and that the company will appoint new top ...</p>\n\n<a href=\"https://www.bloomberg.com/news/articles/2024-12-02/super-micro-special-committee-finds-no-evidence-of-misconduct\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"BK4585":"ETF&股票定投概念","LU1861215975.USD":"贝莱德新一代科技基金 A2","BK4588":"碎股","LU0053671581.USD":"摩根大通美国小盘成长股 A(dist)","LU1861220033.SGD":"Blackrock Next Generation Technology A2 SGD-H","SMCI":"超微电脑","BK4170":"电脑硬件、储存设备及电脑周边"},"source_url":"https://www.bloomberg.com/news/articles/2024-12-02/super-micro-special-committee-finds-no-evidence-of-misconduct","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"2488748126","content_text":"Super Micro Computer Inc. said an external review of its business by a special committee of its board and external counsel found no evidence of wrongdoing and that the company will appoint new top financial leadership.Super Micro shares surges 16% Premarket.The company is looking for a new chief financial officer, chief compliance officer, and general counsel, it said in a statement Monday. Kenneth Cheung, formerly vice president of finance, will be the company’s new chief accounting officer.Its been a tumultuous year for Super Micro. The maker of high-powered servers missed an August deadline to file its annual financial report and its auditor, Ernst & Young LLP, resigned in October, citing concerns about the company’s governance and transparency. Super Micro is also facing a US Department of Justice probe following a damaging report from short seller Hindenburg Research.The review was completed by a special committee of its board alongside more than 50 attorneys from law firm Cooley LLP and a team from forensic accounting firm Secretariat Advisors, Super Micro said in the statement.","news_type":1},"isVote":1,"tweetType":1,"viewCount":27,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":376496861188152,"gmtCreate":1732960931788,"gmtModify":1732960935866,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"You double , I triple ","listText":"You double , I triple ","text":"You double , I triple","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":4,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/376496861188152","repostId":"1154285819","repostType":2,"isVote":1,"tweetType":1,"viewCount":45,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":352503567298648,"gmtCreate":1727100417507,"gmtModify":1727100421355,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"When Blackwell starts shipping everyone would say : I should have bought in Q3","listText":"When Blackwell starts shipping everyone would say : I should have bought in Q3","text":"When Blackwell starts shipping everyone would say : I should have bought in Q3","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":2,"commentSize":1,"repostSize":0,"link":"https://ttm.financial/post/352503567298648","repostId":"2469159203","repostType":2,"repost":{"id":"2469159203","kind":"highlight","weMediaInfo":{"introduction":"Dow Jones publishes the world’s most trusted business news and financial information in a variety of media.","home_visible":0,"media_name":"Dow Jones","id":"106","head_image":"https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99"},"pubTimestamp":1727100000,"share":"https://ttm.financial/m/news/2469159203?lang=&edition=fundamental","pubTime":"2024-09-23 22:00","market":"us","language":"en","title":"Nvidia Stock Is in a Slump. What Tesla Can Tell Us","url":"https://stock-news.laohu8.com/highlight/detail?id=2469159203","media":"Dow Jones","summary":"Nvidia stock has dropped over the past few months. Investors should hang on—tight.Nvidia stock has seen exponential gains in recent years.Shares have fallen to $116, a 14% decline from their record cl","content":"<html><head></head><body><p style=\"text-align: start;\">Nvidia stock has dropped over the past few months. Investors should hang on—tight.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/dda786b16f5399963a20d060f614c4ce\" alt=\"Nvidia stock has seen exponential gains in recent years.\" title=\"Nvidia stock has seen exponential gains in recent years.\" tg-width=\"954\" tg-height=\"631\"/><span>Nvidia stock has seen exponential gains in recent years.</span></p><p style=\"text-align: start;\">Shares have fallen to $116, a 14% decline from their record close around $135, hit in June. They were down 38% to $98 at their lowest levels during this summertime drop. Through it all, the stock—which was flat in early trading Monday, while the benchmark S&P 500 were up 0.2%—remains up just about tenfold over the past five years. </p><p>But investors should not rush for the exits: Research shows that a drop like this is normal, and even expected, for a stock like Nvidia, which has seen exponential growth in its share price.</p><p>A combination of related factors have driven shares of the artificial-intelligence leader lower. When Nvidia stock hit $135, investors took profits by selling. Emerging competition from chip makers such as Advanced Micro Devices threaten a small portion of Nvidia’s sales, making the smaller AMD maybe a more compelling buy at this point. And while AI chips are experiencing high and accelerating demand, everyone knows the growth for all chip makers will slow within the next few years. </p><p>That’s not the end of Nvidia’s storybook journey. It’s completely normal for rare stocks with explosive growth curves to experience large declines periodically. Historically, the average maximum drawdown for stocks that went up tenfold in a five-year period is 48%, according to Trivariate Research’s analysis of 84 stocks that have achieved this feat.</p><p>The worst selloff is also nothing to worry about. Of the 84 names that Trivariate identified, the largest pullback was 89% for GameStop over the course of just over three years. But that stock is an outlier; GameStop didn’t rise because of company fundamentals. In fact, its earnings have beenshrinkingand its tenfold return in early 2021 was driven bythe Reddit meme stock craze.</p><p style=\"text-align: start;\">Nvidia is nothing like GameStop. Analysts still expect the chip company to post double-digit annual earnings growth, in percent terms, over the next several years, according to FactSet. Nvidia stock now trades at a lower multiple of near-term earnings estimates, so continued earnings growth could take the shares higher from here.</p><p style=\"text-align: start;\">That outlook makes Nvidia more like Tesla, which went up by more than 10 times during the five years ended in May 2017. Electric-vehicle demand, like chip demand today, was exploding. Within that five-year stretch, Tesla stock’s worst drawdown was 50% over a year-and-a-half period that ended in February 2016. Since then, shares have rocketed another 20 times. Yes, EV competition has emerged, but overall industry growth has still benefited Tesla. </p><p style=\"text-align: start;\">Maybe Nvidia has a similar future. Just hold on for the long-term.</p></body></html>","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Nvidia Stock Is in a Slump. What Tesla Can Tell Us</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNvidia Stock Is in a Slump. What Tesla Can Tell Us\n</h2>\n\n<h4 class=\"meta\">\n\n\n<div class=\"head\" \">\n\n\n<div class=\"h-thumb\" style=\"background-image:url(https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99);background-size:cover;\"></div>\n\n<div class=\"h-content\">\n<p class=\"h-name\">Dow Jones </p>\n<p class=\"h-time\">2024-09-23 22:00</p>\n</div>\n\n</div>\n\n\n</h4>\n\n</header>\n<article>\n<html><head></head><body><p style=\"text-align: start;\">Nvidia stock has dropped over the past few months. Investors should hang on—tight.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/dda786b16f5399963a20d060f614c4ce\" alt=\"Nvidia stock has seen exponential gains in recent years.\" title=\"Nvidia stock has seen exponential gains in recent years.\" tg-width=\"954\" tg-height=\"631\"/><span>Nvidia stock has seen exponential gains in recent years.</span></p><p style=\"text-align: start;\">Shares have fallen to $116, a 14% decline from their record close around $135, hit in June. They were down 38% to $98 at their lowest levels during this summertime drop. Through it all, the stock—which was flat in early trading Monday, while the benchmark S&P 500 were up 0.2%—remains up just about tenfold over the past five years. </p><p>But investors should not rush for the exits: Research shows that a drop like this is normal, and even expected, for a stock like Nvidia, which has seen exponential growth in its share price.</p><p>A combination of related factors have driven shares of the artificial-intelligence leader lower. When Nvidia stock hit $135, investors took profits by selling. Emerging competition from chip makers such as Advanced Micro Devices threaten a small portion of Nvidia’s sales, making the smaller AMD maybe a more compelling buy at this point. And while AI chips are experiencing high and accelerating demand, everyone knows the growth for all chip makers will slow within the next few years. </p><p>That’s not the end of Nvidia’s storybook journey. It’s completely normal for rare stocks with explosive growth curves to experience large declines periodically. Historically, the average maximum drawdown for stocks that went up tenfold in a five-year period is 48%, according to Trivariate Research’s analysis of 84 stocks that have achieved this feat.</p><p>The worst selloff is also nothing to worry about. Of the 84 names that Trivariate identified, the largest pullback was 89% for GameStop over the course of just over three years. But that stock is an outlier; GameStop didn’t rise because of company fundamentals. In fact, its earnings have beenshrinkingand its tenfold return in early 2021 was driven bythe Reddit meme stock craze.</p><p style=\"text-align: start;\">Nvidia is nothing like GameStop. Analysts still expect the chip company to post double-digit annual earnings growth, in percent terms, over the next several years, according to FactSet. Nvidia stock now trades at a lower multiple of near-term earnings estimates, so continued earnings growth could take the shares higher from here.</p><p style=\"text-align: start;\">That outlook makes Nvidia more like Tesla, which went up by more than 10 times during the five years ended in May 2017. Electric-vehicle demand, like chip demand today, was exploding. Within that five-year stretch, Tesla stock’s worst drawdown was 50% over a year-and-a-half period that ended in February 2016. Since then, shares have rocketed another 20 times. Yes, EV competition has emerged, but overall industry growth has still benefited Tesla. </p><p style=\"text-align: start;\">Maybe Nvidia has a similar future. Just hold on for the long-term.</p></body></html>\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"LU1861215975.USD":"贝莱德新一代科技基金 A2","IE0034235188.USD":"PINEBRIDGE GLOBAL FOCUS EQUITY \"A\" (USD) ACC","LU1861220033.SGD":"Blackrock Next Generation Technology A2 SGD-H","HK0000320223.HKD":"TAIKANG KAITAI CHINA NEW OPPORTUNITIES FUND \"A\" (HKD) ACC","LU1852331112.SGD":"Blackrock World Technology Fund A2 SGD-H","LU0348723411.USD":"ALLIANZ GLOBAL HI-TECH GROWTH \"A\" (USD) INC","BK4527":"明星科技股","LU1629891620.HKD":"ALLIANZ INCOME AND GROWTH \"AMG2\" (H2-HKD) INC","LU1720051108.HKD":"ALLIANZ GLOBAL ARTIFICIAL INTELLIGENCE \"AT\" (HKD) ACC","IE00BFSS7M15.SGD":"Janus Henderson Balanced A Acc SGD-H","IE0034235295.USD":"PINEBRIDGE GLOBAL DYNAMIC ASSET ALLOCATION \"A\" (USD) ACC","SG9999015952.SGD":"LIONGLOBAL DISRUPTIVE INNOVATION \"I\" (SGD) ACC","IE0004445239.USD":"JANUS HENDERSON US FORTY \"A2\" (USD) ACC","HK0000320264.USD":"TAIKANG KAITAI CHINA NEW OPPORTUNITIES FUND \"A\" (USD) ACC","LU1861559042.SGD":"日兴方舟颠覆性创新基金B SGD","LU0823411888.USD":"法巴消费创新基金 Cap","LU2213496289.HKD":"ALLIANZ INCOME AND GROWTH \"AT\" (HKD) ACC","LU1551013342.USD":"Allianz Income and Growth Cl AMg2 DIS USD","LU0719512351.SGD":"JPMorgan Funds - US Technology A (acc) SGD","BK4099":"汽车制造商","IE00BMPRXR70.SGD":"Neuberger Berman 5G Connectivity A Acc SGD-H","IE00BSNM7G36.USD":"NEUBERGER BERMAN SYSTEMATIC GLOBAL SUSTAINABLE VALUE \"A\" (USD) ACC","IE00BKDWB100.SGD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A5H\" (SGDHDG) ACC","IE00BYXW3230.USD":"PINEBRIDGE GLOBAL DYNAMIC ASSET ALLOCATION \"AA\" (USD) ACC","LU1914381329.SGD":"Allianz Best Styles Global Equity Cl ET Acc H2-SGD","LU2249611893.SGD":"BNP PARIBAS ENERGY TRANSITION \"CRH\" (SGD) ACC","IE00BMPRXN33.USD":"NEUBERGER BERMAN 5G CONNECTIVITY \"A\" (USD) ACC","LU0820562030.AUD":"ALLIANZ INCOME AND GROWTH \"AMH2\" (AUDHDG) H2 INC","IE00BDRTCR15.USD":"PINEBRIDGE GLOBAL DYNAMIC ASSET ALLOCATION \"ADC\" (USD) INC A","IE00B775H168.HKD":"JANUS HENDERSON BALANCED \"A5M\" (HKD) INC","LU1548497426.USD":"安联环球人工智能AT Acc","IE0005OL40V9.USD":"JANUS HENDERSON BALANCED \"A6M\" (USD) INC","IE00BFSS8Q28.SGD":"Janus Henderson Balanced A Inc SGD-H","LU0823414478.USD":"法巴经典能源转换基金","LU0057025933.USD":"SUSTAINABLE GLOBAL THEMATIC PORTFOLIO \"AX\" (USD) ACC","BK4532":"文艺复兴科技持仓","BK4592":"伊斯兰概念","LU0061474705.USD":"THREADNEEDLE (LUX) GLOBAL DYNAMIC REAL RETURN \"AU\" (USD) ACC","NVDA":"英伟达","LU2023250330.USD":"ALLIANZ INCOME AND GROWTH \"AMG\" (USD) INC","IE00B1BXHZ80.USD":"Legg Mason ClearBridge - US Appreciation A Acc USD","BK4534":"瑞士信贷持仓","BK4567":"ESG概念","BK4533":"AQR资本管理(全球第二大对冲基金)"},"source_url":"https://dowjonesnews.com/newdjn/logon.aspx?AL=N","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"2469159203","content_text":"Nvidia stock has dropped over the past few months. Investors should hang on—tight.Nvidia stock has seen exponential gains in recent years.Shares have fallen to $116, a 14% decline from their record close around $135, hit in June. They were down 38% to $98 at their lowest levels during this summertime drop. Through it all, the stock—which was flat in early trading Monday, while the benchmark S&P 500 were up 0.2%—remains up just about tenfold over the past five years. But investors should not rush for the exits: Research shows that a drop like this is normal, and even expected, for a stock like Nvidia, which has seen exponential growth in its share price.A combination of related factors have driven shares of the artificial-intelligence leader lower. When Nvidia stock hit $135, investors took profits by selling. Emerging competition from chip makers such as Advanced Micro Devices threaten a small portion of Nvidia’s sales, making the smaller AMD maybe a more compelling buy at this point. And while AI chips are experiencing high and accelerating demand, everyone knows the growth for all chip makers will slow within the next few years. That’s not the end of Nvidia’s storybook journey. It’s completely normal for rare stocks with explosive growth curves to experience large declines periodically. Historically, the average maximum drawdown for stocks that went up tenfold in a five-year period is 48%, according to Trivariate Research’s analysis of 84 stocks that have achieved this feat.The worst selloff is also nothing to worry about. Of the 84 names that Trivariate identified, the largest pullback was 89% for GameStop over the course of just over three years. But that stock is an outlier; GameStop didn’t rise because of company fundamentals. In fact, its earnings have beenshrinkingand its tenfold return in early 2021 was driven bythe Reddit meme stock craze.Nvidia is nothing like GameStop. Analysts still expect the chip company to post double-digit annual earnings growth, in percent terms, over the next several years, according to FactSet. Nvidia stock now trades at a lower multiple of near-term earnings estimates, so continued earnings growth could take the shares higher from here.That outlook makes Nvidia more like Tesla, which went up by more than 10 times during the five years ended in May 2017. Electric-vehicle demand, like chip demand today, was exploding. Within that five-year stretch, Tesla stock’s worst drawdown was 50% over a year-and-a-half period that ended in February 2016. Since then, shares have rocketed another 20 times. Yes, EV competition has emerged, but overall industry growth has still benefited Tesla. Maybe Nvidia has a similar future. Just hold on for the long-term.","news_type":1},"isVote":1,"tweetType":1,"viewCount":108,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":346585977221312,"gmtCreate":1725645045657,"gmtModify":1725645049688,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"Whatever your fair value is irrelevant. Marketsentiment is bad , all selling . You can boost, good luck","listText":"Whatever your fair value is irrelevant. Marketsentiment is bad , all selling . You can boost, good luck","text":"Whatever your fair value is irrelevant. Marketsentiment is bad , all selling . You can boost, good luck","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":4,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/346585977221312","repostId":"2465616544","repostType":2,"repost":{"id":"2465616544","kind":"highlight","pubTimestamp":1725636965,"share":"https://ttm.financial/m/news/2465616544?lang=&edition=fundamental","pubTime":"2024-09-06 23:36","market":"hk","language":"en","title":"Google: Boosting My Stake In This Big Tech Bargain Now","url":"https://stock-news.laohu8.com/highlight/detail?id=2465616544","media":"seekingalpha","summary":"Since my previous buy rating, shares of Google have slumped due to regulatory concerns.The tech giant's revenue and diluted EPS surged higher in Q2.Google's net cash and marketable securities balance ","content":"<html><head></head><body><ul style=\"\"><li><p>Since my previous buy rating, shares of Google have slumped due to regulatory concerns.</p></li><li><p>The tech giant's revenue and diluted EPS surged higher in Q2.</p></li><li><p>Google's net cash and marketable securities balance is nearly $100 billion.</p></li><li><p>Shares are trading at a 25% discount to my fair value estimate.</p></li><li><p>Google could be set up to deliver 60% cumulative total returns through 2026.</p></li></ul><p></p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/83986253810705267bbca929658b8dce\" tg-width=\"750\" tg-height=\"500\"/></p><p>A shot of Google's headquarters in Mountain View, California.</p><p>JHVEPhoto</p><p></p><p>In the investing universe, there are hundreds of stocks that I consider to be worthwhile for further research/possibly owning. At any time, this means that there are dozens of grossly overvalued stocks, dozens more fairly valued stocks, and dozens more priced at bargains.</p><p>Occasionally, I'll cover a stock in the former category and provide my fair value to give an idea of where I'd be buying. Since my focus as an analyst is to generate alpha, though, I tend to focus on those that fit into the latter two categories more often.</p><p>Google (NASDAQ:GOOGL)(GOOG) is one stock that I would argue qualifies for the bargain designation. When I last covered Google with a buy rating in June, I liked the consistency of its double beats. The prospects of continued improvements in YouTube Shorts monetization and continued momentum in Google Cloud were additional pluses. On the dividend front, Google's starting payout ratio was low enough to give it a lengthy runway for future payout growth. Finally, the valuation was appealing enough to justify a buy rating.</p><p>Today, I'm upgrading Google to a strong buy rating. The company once again exceeded analysts' expectations, posting a double beat. Cloud crossed two major milestones in the second quarter and has more room for growth. Google's net cash position is monstrous. Lastly, the sell-off has made the value proposition too good to pass up.</p><h3 id=\"id_2750429010\">Google Is Operationally Thriving</h3><p></p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/d627f1febba55235baa6cae7f010020a\" tg-width=\"640\" tg-height=\"357\"/></p><p>Google Q2 2024 Earnings Press Release</p><p></p><p>When Google released its second-quarter results on July 31st, it didn't disappoint. The company's total revenue climbed 13.6% higher year-over-year to $84.7 billion in the quarter. This was thanks to a 6% growth rate in paid clicks and a 7% improvement in cost-per-click. That revenue figure exceeded the Seeking Alpha analyst consensus for the quarter by $445 million.</p><p>Growth in every aspect of the business besides the Google Network (a 5.2% decline to $7.4 billion from reduced AdMob revenue) was to credit for this topline growth.</p><p>The bulk of the growth was driven by Google Search. Google Search's revenue rose by 13.8% over the year-ago period to $48.5 billion during the second quarter. This was the result of advertiser spending growth, ad formats and delivery improvements, and mobile user adoption driving increased search queries.</p><p>YouTube ads revenue increased by 13% year-over-year to $8.7 billion in the second quarter. Increased advertising spending drove the growth of its direct-response advertising products.</p><p>Google subscriptions revenue rose by 14.4% over the year-ago period to $9.3 billion for the second quarter. Paid subscriber growth of services like YouTube TV and YouTube Music fueled this topline growth.</p><p>Lastly, Google Cloud's revenue surged 28.8% year-over-year to $10.3 billion during the second quarter. Continued adoption of the Google Cloud Platform and Google Workspace offerings pushed quarterly revenue past $10 billion for the first time. Additionally, operating profit passed $1 billion for the first time per CEO Sundar Pichai's opening remarks during the Q2 2024 Earnings Call.</p><p>Google's diluted EPS soared 31.3% over the year-ago period to $1.89 in the second quarter. This came in at $0.04 ahead of Seeking Alpha's analyst consensus for the period. As a result of disciplined cost management, the company's total costs only increased by 8.6% year-over-year to $57.3 billion during the quarter.</p><p>This helped Google's net profit margin expand by over 220 basis points to 27.9% in the second quarter. That is how diluted EPS growth outpaced revenue growth for the quarter.</p><p>For 2024, the FAST Graphs analyst consensus for diluted EPS is in line with recent growth. The figure of $7.65 would represent a 31.9% growth rate over the 2023 base of $5.80.</p><p>In the years ahead, the growth outlook remains firmly in the double-digits. For 2025, diluted EPS is expected to rise by 13.1% to $8.65. In 2026, another 15.5% growth in diluted EPS to $9.99 is currently being projected.</p><p>Chief Business Officer Philipp Schindler noted in his opening remarks that YouTube Shorts monetization improved again in the second quarter. Since this was just launched in the fourth quarter of last year, it's reasonable to expect that improvements will continue in the quarters ahead. That can help to drive growth for Google beyond this year.</p><p>Another factor that bodes well for the company is continued Cloud growth. As I outlined in my prior article, the majority of Gen AI startups and Gen AI unicorns are Google Cloud customers. So, startups <em>and</em> established businesses alike are turning to Google Cloud. This should only continue in the quarters ahead and be a growth tailwind for Google.</p><p></p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/ed2415c685cb2de54b5947e0ce83861a\" tg-width=\"640\" tg-height=\"610\"/></p><p>Google Q2 2024 Earnings Press Release</p><p></p><p>Turning my attention to Google's balance sheet, the company's financial health is immaculate. As of June 30, it carried a net cash and cash equivalents and marketable securities balance of $97.7 billion. This sizable net cash position coupled with Google's immense free cash flow is the basis for the AA+ credit rating from S&P on a stable outlook (unless otherwise sourced or hyperlinked, all details in this subhead were according to Google's Q2 2024 Earnings Press Release and Google's Q2 2024 10-Q Filing).</p><h3 id=\"id_4193056817\">Fair Value Is Approaching $210 A Share</h3><p></p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/a326b40e696df3bd1a1d7064a3a1d1fd\" tg-width=\"640\" tg-height=\"326\"/></p><p>FAST Graphs, FactSet</p><p></p><p>Less favorable market sentiment toward Google has led shares 15% lower since my previous article. By comparison, the S&P 500 index (SP500) was flat.</p><p>This correction has pushed Google's current-year P/E ratio to just 20.5. That's considerably less than the 10-year average P/E ratio of 25 per FAST Graphs.</p><p>Such a valuation would lead one to believe that Google's fundamentals have materially weakened. This doesn't appear to be the case, however. The company's annual forward diluted EPS growth outlook of 16.2% is about the same as the 10-year average of 18.5%.</p><p>For my money, this supports the case that a reasonable fair value multiple remains around 25.</p><p>The calendar year 2024 is going to be 69% behind us in just a few days. This means that the vast majority (69%) of my diluted EPS input is being influenced by 2025 FAST Graphs analyst estimates. The remaining 31% is impacted by the 2024 FAST Graphs analyst consensus. That produces a forward 12-month diluted EPS input of $8.34.</p><p>Keep in mind from my prior articles that Google usually beats the analyst consensus, so this could even be slightly conservative.</p><p>Applying a valuation multiple of 25 to this diluted EPS input, I get a fair value of $209 a share. Compared to the current $156 share price, this equates to a 25% discount to fair value. If Google reverts to fair value and matches the growth consensus, it could post 60% cumulative total returns by the end of 2026.</p><h3 id=\"id_4294895434\">Outsized Dividend Growth Is On The Way</h3><p></p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/d2698508ba9183125dc6c982e370a32a\" tg-width=\"640\" tg-height=\"164\"/></p><p>The Dividend Kings' Zen Research Terminal</p><p></p><p>Google's 0.5% dividend yield is so modest that many people may write it off altogether. Since everybody has different investing timeframes and objectives, that's fine. For me, though, Google is one of the most obvious buys on the market right now for my compounding-oriented investing goals.</p><p>If the double-digit annual diluted EPS growth itself wasn't convincing enough, the company has another trick up its sleeve: A very low starting payout ratio. Applying a full year of its current dividend to 2024 (the dividend began to be paid in Q2), Google's payout ratio would be just under 11%.</p><p>For context, that's a fraction of the 60% EPS payout ratio that rating agencies like to see from the industry per The Dividend Kings' Zen Research Terminal.</p><p>Even with Google nearly doubling capex in the six months ended 2024 to make AI investments (versus 2023), it generated $30.3 billion in free cash flow. Had the same dividend been paid in Q1, this would have been a free cash flow payout ratio of approximately 16%.</p><p>These are payout ratios that could easily allow for the company to remain aggressive with capex, share buybacks ($31.4 billion in H1 2024), and dividend raises. That's why I continue to think that 15% to 20% annual dividend growth will be the norm for the foreseeable future.</p><p>Google hasn't made any dividend boosts official yet. My best guess as to when this will happen is late next April. This would represent the fifth quarterly dividend announced by Google. As is customary, high-quality dividend growth stocks tend to announce a dividend hike after the same dividend amount for four consecutive announcements.</p><h3 id=\"id_3663853496\">Risks To Consider</h3><p>Google is a world-class business, but there are risk factors that could present threats to the long-term investment thesis.</p><p>Last month, Google lost its antitrust lawsuit to the U.S. Department of Justice over search. At issue is the $26 billion annually that the company paid to Apple, Samsung, and the like for the default search engine to be Google on smartphones.</p><p>The government is arguing that these payments stymied competition by limiting competitors from building up their search engines enough to be competitive. Google maintains that it's the best search engine and that default search engine placement is merely the result of its superiority in the marketplace.</p><p>The company plans to appeal this decision. It will be worth watching the outcome of this case. But with Google's valuation currently trading two standard deviations below its 10-year average, I firmly believe even a worst-case outcome is already priced into the stock.</p><p>Another risk to the company that I previously noted was the majority voting power of its founding duo, Larry Page and Sergey Brin. An investment in Google ultimately remains a bet that the vision of these two and Sundar Pichai's leadership will lead the company into an equally bright future. If that doesn't happen, Google's fundamentals could be adversely impacted.</p><h3 id=\"id_1788039325\">Summary: A No-Brainer Priority For My Portfolio</h3><p>After boosting my position in Google by 15% earlier today, the company now accounts for 2.5% of my portfolio. Behind Broadcom's (AVGO) 4.3% weight, it is my portfolio's second-biggest holding.</p><p>This is still underweight versus the 3.7% weighting in the S&P 500. But I'm planning to boost this position further in the weeks and months ahead. The company's growth prospects remain admirable. Google's balance sheet is immensely impressive. The cherry on top is that shares are priced at a bargain valuation. That's why I'm upgrading Google to a strong buy for now.</p></body></html>","source":"seekingalpha","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Google: Boosting My Stake In This Big Tech Bargain Now</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nGoogle: Boosting My Stake In This Big Tech Bargain Now\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-09-06 23:36 GMT+8 <a href=https://seekingalpha.com/article/4719203-google-boosting-my-stake-in-this-big-tech-bargain-now><strong>seekingalpha</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Since my previous buy rating, shares of Google have slumped due to regulatory concerns.The tech giant's revenue and diluted EPS surged higher in Q2.Google's net cash and marketable securities balance ...</p>\n\n<a href=\"https://seekingalpha.com/article/4719203-google-boosting-my-stake-in-this-big-tech-bargain-now\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"LU0068578508.USD":"First Eagle Amundi International Cl AU-C USD","BK4534":"瑞士信贷持仓","BK4576":"AR","IE00BJTD4V19.USD":"NEUBERGER BERMAN US LONG SHORT EQUITY \"A1\" (USD) ACC","BK4533":"AQR资本管理(全球第二大对冲基金)","LU0889565833.HKD":"FRANKLIN TECHNOLOGY \"A\" (HKD) ACC","LU0130517989.USD":"HARRIS ASSOCIATES US VALUE EQUITY \"R\" INC","BK4553":"喜马拉雅资本持仓","IE00B1XK9C88.USD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A\" (USD) ACC","IE0009356076.USD":"JANUS HENDERSON GLOBAL TECHNOLOGY AND INNOVATION \"A2\" (USD) ACC","LU0868494708.USD":"UBS (LUX) EQUITY SICAV - US TOTAL YIELD SUSTAINABLE \"P\" (USD) INC","IE00BN29S564.USD":"JANUS HENDERSON BALANCED \"A3\" (USD) INC","IE00BJLML261.HKD":"HSBC GLOBAL EQUITY INDEX \"HCH\" (HKD) ACC","IE00BKDWB100.SGD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A5H\" (SGDHDG) ACC","GOOGL":"谷歌A","BK4077":"互动媒体与服务","IE00B19Z9P08.USD":"LEGG MASON CLEARBRIDGE US AGGRESSIVE GROWTH \"A\" (USD) INC","BK4538":"云计算","LU0130518102.USD":"HARRIS ASSOCIATES GLOBAL EQUITY \"R\" INC","IE00BYQQ9H92.USD":"BNY MELLON GLOBAL LEADERS \"A\" (USD) ACC","GOOG":"谷歌","LU0820561909.HKD":"ALLIANZ INCOME AND GROWTH \"AM\" (HKD) INC","BK4550":"红杉资本持仓","IE00BKPKM429.USD":"NEUBERGER BERMAN GLOBAL SUSTAINABLE EQUITY \"A\" (USD) ACC","IE00B5949003.HKD":"JANUS HENDERSON GLOBAL TECHNOLOGY AND INNOVATION \"A\" (HKD) ACC","BK4551":"寇图资本持仓","LU0006306889.USD":"SCHRODER ISF US LARGE CAP \"A\" (USD) INC AV","LU0215105999.USD":"SCHRODER ISF GLOBAL EQUITY \"A\" ACC","LU0868494617.USD":"UBS (LUX) EQUITY SICAV - US TOTAL YIELD SUSTAINABLE \"P\" (USD) ACC","BK4512":"苹果概念","LU0225283273.USD":"SCHRODER ISF GLOBAL EQUITY ALPHA \"A\" (USD) ACC","LU0203347892.USD":"SCHRODER ISF QEP GLOBAL ACTIVE VALLUE \"A\" (USD) INC AV","LU0061475181.USD":"THREADNEEDLE (LUX) AMERICAN \"AU\" (USD) ACC","BK4548":"巴美列捷福持仓","BK4514":"搜索引擎","IE0034235303.USD":"PINEBRIDGE US RESEARCH ENHANCED CORE EQUITY \"A\" (USD) ACC","LU0127658192.USD":"EASTSPRING INVESTMENTS GLOBAL TECHNOLOGY \"A\" (USD) ACC","LU0256863811.USD":"ALLIANZ US EQUITY \"A\" INC","LU0203345920.USD":"SCHRODER ISF QEP GLB ACT. VL \"A\" (USD) ACC","IE00B5TLWC47.USD":"BNY MELLON LONG-TERM GLOBAL EQUITY \"B\" (USD) ACC","LU0211328371.USD":"TEMPLETON GLOBAL EQUITY INCOME \"A\" (MDIS) (USD) INC","LU0348723411.USD":"ALLIANZ GLOBAL HI-TECH GROWTH \"A\" (USD) INC","BK4532":"文艺复兴科技持仓","LU0433182093.SGD":"First Eagle Amundi International AS-C SGD","BK4554":"元宇宙及AR概念","BK4515":"5G概念","LU0943347566.SGD":"安联收益及增长平衡基金AM H2-SGD","LU0128525929.USD":"TEMPLETON GLOBAL \"A\" (USD) ACC"},"source_url":"https://seekingalpha.com/article/4719203-google-boosting-my-stake-in-this-big-tech-bargain-now","is_english":true,"share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","article_id":"2465616544","content_text":"Since my previous buy rating, shares of Google have slumped due to regulatory concerns.The tech giant's revenue and diluted EPS surged higher in Q2.Google's net cash and marketable securities balance is nearly $100 billion.Shares are trading at a 25% discount to my fair value estimate.Google could be set up to deliver 60% cumulative total returns through 2026.A shot of Google's headquarters in Mountain View, California.JHVEPhotoIn the investing universe, there are hundreds of stocks that I consider to be worthwhile for further research/possibly owning. At any time, this means that there are dozens of grossly overvalued stocks, dozens more fairly valued stocks, and dozens more priced at bargains.Occasionally, I'll cover a stock in the former category and provide my fair value to give an idea of where I'd be buying. Since my focus as an analyst is to generate alpha, though, I tend to focus on those that fit into the latter two categories more often.Google (NASDAQ:GOOGL)(GOOG) is one stock that I would argue qualifies for the bargain designation. When I last covered Google with a buy rating in June, I liked the consistency of its double beats. The prospects of continued improvements in YouTube Shorts monetization and continued momentum in Google Cloud were additional pluses. On the dividend front, Google's starting payout ratio was low enough to give it a lengthy runway for future payout growth. Finally, the valuation was appealing enough to justify a buy rating.Today, I'm upgrading Google to a strong buy rating. The company once again exceeded analysts' expectations, posting a double beat. Cloud crossed two major milestones in the second quarter and has more room for growth. Google's net cash position is monstrous. Lastly, the sell-off has made the value proposition too good to pass up.Google Is Operationally ThrivingGoogle Q2 2024 Earnings Press ReleaseWhen Google released its second-quarter results on July 31st, it didn't disappoint. The company's total revenue climbed 13.6% higher year-over-year to $84.7 billion in the quarter. This was thanks to a 6% growth rate in paid clicks and a 7% improvement in cost-per-click. That revenue figure exceeded the Seeking Alpha analyst consensus for the quarter by $445 million.Growth in every aspect of the business besides the Google Network (a 5.2% decline to $7.4 billion from reduced AdMob revenue) was to credit for this topline growth.The bulk of the growth was driven by Google Search. Google Search's revenue rose by 13.8% over the year-ago period to $48.5 billion during the second quarter. This was the result of advertiser spending growth, ad formats and delivery improvements, and mobile user adoption driving increased search queries.YouTube ads revenue increased by 13% year-over-year to $8.7 billion in the second quarter. Increased advertising spending drove the growth of its direct-response advertising products.Google subscriptions revenue rose by 14.4% over the year-ago period to $9.3 billion for the second quarter. Paid subscriber growth of services like YouTube TV and YouTube Music fueled this topline growth.Lastly, Google Cloud's revenue surged 28.8% year-over-year to $10.3 billion during the second quarter. Continued adoption of the Google Cloud Platform and Google Workspace offerings pushed quarterly revenue past $10 billion for the first time. Additionally, operating profit passed $1 billion for the first time per CEO Sundar Pichai's opening remarks during the Q2 2024 Earnings Call.Google's diluted EPS soared 31.3% over the year-ago period to $1.89 in the second quarter. This came in at $0.04 ahead of Seeking Alpha's analyst consensus for the period. As a result of disciplined cost management, the company's total costs only increased by 8.6% year-over-year to $57.3 billion during the quarter.This helped Google's net profit margin expand by over 220 basis points to 27.9% in the second quarter. That is how diluted EPS growth outpaced revenue growth for the quarter.For 2024, the FAST Graphs analyst consensus for diluted EPS is in line with recent growth. The figure of $7.65 would represent a 31.9% growth rate over the 2023 base of $5.80.In the years ahead, the growth outlook remains firmly in the double-digits. For 2025, diluted EPS is expected to rise by 13.1% to $8.65. In 2026, another 15.5% growth in diluted EPS to $9.99 is currently being projected.Chief Business Officer Philipp Schindler noted in his opening remarks that YouTube Shorts monetization improved again in the second quarter. Since this was just launched in the fourth quarter of last year, it's reasonable to expect that improvements will continue in the quarters ahead. That can help to drive growth for Google beyond this year.Another factor that bodes well for the company is continued Cloud growth. As I outlined in my prior article, the majority of Gen AI startups and Gen AI unicorns are Google Cloud customers. So, startups and established businesses alike are turning to Google Cloud. This should only continue in the quarters ahead and be a growth tailwind for Google.Google Q2 2024 Earnings Press ReleaseTurning my attention to Google's balance sheet, the company's financial health is immaculate. As of June 30, it carried a net cash and cash equivalents and marketable securities balance of $97.7 billion. This sizable net cash position coupled with Google's immense free cash flow is the basis for the AA+ credit rating from S&P on a stable outlook (unless otherwise sourced or hyperlinked, all details in this subhead were according to Google's Q2 2024 Earnings Press Release and Google's Q2 2024 10-Q Filing).Fair Value Is Approaching $210 A ShareFAST Graphs, FactSetLess favorable market sentiment toward Google has led shares 15% lower since my previous article. By comparison, the S&P 500 index (SP500) was flat.This correction has pushed Google's current-year P/E ratio to just 20.5. That's considerably less than the 10-year average P/E ratio of 25 per FAST Graphs.Such a valuation would lead one to believe that Google's fundamentals have materially weakened. This doesn't appear to be the case, however. The company's annual forward diluted EPS growth outlook of 16.2% is about the same as the 10-year average of 18.5%.For my money, this supports the case that a reasonable fair value multiple remains around 25.The calendar year 2024 is going to be 69% behind us in just a few days. This means that the vast majority (69%) of my diluted EPS input is being influenced by 2025 FAST Graphs analyst estimates. The remaining 31% is impacted by the 2024 FAST Graphs analyst consensus. That produces a forward 12-month diluted EPS input of $8.34.Keep in mind from my prior articles that Google usually beats the analyst consensus, so this could even be slightly conservative.Applying a valuation multiple of 25 to this diluted EPS input, I get a fair value of $209 a share. Compared to the current $156 share price, this equates to a 25% discount to fair value. If Google reverts to fair value and matches the growth consensus, it could post 60% cumulative total returns by the end of 2026.Outsized Dividend Growth Is On The WayThe Dividend Kings' Zen Research TerminalGoogle's 0.5% dividend yield is so modest that many people may write it off altogether. Since everybody has different investing timeframes and objectives, that's fine. For me, though, Google is one of the most obvious buys on the market right now for my compounding-oriented investing goals.If the double-digit annual diluted EPS growth itself wasn't convincing enough, the company has another trick up its sleeve: A very low starting payout ratio. Applying a full year of its current dividend to 2024 (the dividend began to be paid in Q2), Google's payout ratio would be just under 11%.For context, that's a fraction of the 60% EPS payout ratio that rating agencies like to see from the industry per The Dividend Kings' Zen Research Terminal.Even with Google nearly doubling capex in the six months ended 2024 to make AI investments (versus 2023), it generated $30.3 billion in free cash flow. Had the same dividend been paid in Q1, this would have been a free cash flow payout ratio of approximately 16%.These are payout ratios that could easily allow for the company to remain aggressive with capex, share buybacks ($31.4 billion in H1 2024), and dividend raises. That's why I continue to think that 15% to 20% annual dividend growth will be the norm for the foreseeable future.Google hasn't made any dividend boosts official yet. My best guess as to when this will happen is late next April. This would represent the fifth quarterly dividend announced by Google. As is customary, high-quality dividend growth stocks tend to announce a dividend hike after the same dividend amount for four consecutive announcements.Risks To ConsiderGoogle is a world-class business, but there are risk factors that could present threats to the long-term investment thesis.Last month, Google lost its antitrust lawsuit to the U.S. Department of Justice over search. At issue is the $26 billion annually that the company paid to Apple, Samsung, and the like for the default search engine to be Google on smartphones.The government is arguing that these payments stymied competition by limiting competitors from building up their search engines enough to be competitive. Google maintains that it's the best search engine and that default search engine placement is merely the result of its superiority in the marketplace.The company plans to appeal this decision. It will be worth watching the outcome of this case. But with Google's valuation currently trading two standard deviations below its 10-year average, I firmly believe even a worst-case outcome is already priced into the stock.Another risk to the company that I previously noted was the majority voting power of its founding duo, Larry Page and Sergey Brin. An investment in Google ultimately remains a bet that the vision of these two and Sundar Pichai's leadership will lead the company into an equally bright future. If that doesn't happen, Google's fundamentals could be adversely impacted.Summary: A No-Brainer Priority For My PortfolioAfter boosting my position in Google by 15% earlier today, the company now accounts for 2.5% of my portfolio. Behind Broadcom's (AVGO) 4.3% weight, it is my portfolio's second-biggest holding.This is still underweight versus the 3.7% weighting in the S&P 500. But I'm planning to boost this position further in the weeks and months ahead. The company's growth prospects remain admirable. Google's balance sheet is immensely impressive. The cherry on top is that shares are priced at a bargain valuation. That's why I'm upgrading Google to a strong buy for now.","news_type":1},"isVote":1,"tweetType":1,"viewCount":59,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":320072234557456,"gmtCreate":1719129682113,"gmtModify":1719129688068,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"Tesla will go bust","listText":"Tesla will go bust","text":"Tesla will go bust","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":4,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/320072234557456","repostId":"2445911746","repostType":2,"repost":{"id":"2445911746","kind":"highlight","pubTimestamp":1719108000,"share":"https://ttm.financial/m/news/2445911746?lang=&edition=fundamental","pubTime":"2024-06-23 10:00","market":"us","language":"en","title":"Tesla Stock: 2 Catalysts That Indicate a Turnaround","url":"https://stock-news.laohu8.com/highlight/detail?id=2445911746","media":"Yahoo Finance","summary":"Tesla (NASDAQ:TSLA) stock has performed poorly over the past 12 months due to several factors, ranging from strong competition in the EV space to CEO Elon Musk’s distractions from the company, all exa","content":"<html><head></head><body><p>Tesla stock has performed poorly over the past 12 months due to several factors, ranging from strong competition in the EV space to CEO Elon Musk’s distractions from the company, all exacerbated by valuation concerns. However, I believe two short-term catalysts could indicate that Tesla has hit bottom, so I am bullish on the company’s turnaround prospects today.</p><p>In this article, I will detail these catalysts and explain why they may justify the company’s current premium valuation.</p><h2 id=\"id_623618156\">The Robotaxi Potential</h2><p>During Tesla’s shareholder meeting, Elon Musk elaborated on its Robotaxi plans, providing significant insights for Tesla stock investors. Musk explained Tesla’s business model for the Robotaxi service, comparing it to a blend of Airbnb and Uber. This model consists of two main components:</p><ol start=\"1\" style=\"\"><li><p>Tesla will own and operate a fleet of cars. When a user reserves a ride in one of these vehicles, the payment goes directly to Tesla.</p></li><li><p>Additionally, a significant number of robotaxis will be owned by private individuals. These privately-owned vehicles will also be available for reservation, and the payments for these rides will go to the vehicle owners. This setup allows for flexibility, as owners might offer rides for free to family members or friends.</p></li></ol><p>This dual-ownership model aims to maximize the availability and utilization of Robotaxis, leveraging both Tesla’s fleet and privately owned vehicles to meet demand.</p><p>One of the primary challenges Tesla faces is overcoming regulatory hurdles to get its self-driving cars on the roads globally. There are already a few states in the U.S. with autonomous vehicle laws and driverless cars operating in cities like San Francisco and Las Vegas. These existing autonomous cars are paving the way for broader regulatory approval in the U.S., which Tesla believes will facilitate its entry into these markets.</p><p>Elon Musk has noted that it is beneficial for Tesla that other autonomous car companies are cutting through the regulatory jungle. These companies’ operations and data collection in challenging areas help Tesla by providing insights and easing the path for its vehicles. Interestingly, unlike in other areas where Tesla prefers to lead, Tesla is comfortable not being the first mover in this scenario. Tesla remains confident that its technology will be superior once fully operational.</p><p>On August 8, Tesla will unveil its Robotaxi service. According to Wedbush’s Dan Ives, a long-term Tesla bull, this day will mark a historical event as the company reveals its broader strategy. Ives believes that the market will witness the execution of this strategy alongside the launch of a sub-$30,000 vehicle. He suggests that the bottom for Tesla is in and argues that betting against Elon Musk is the wrong call, considering Tesla’s extensive installed base and deep involvement in AI.</p><p>From my perspective, valuing Tesla solely as an electric vehicle manufacturer doesn’t fully capture its worth, especially given its valuation, which far surpasses that of traditional car companies. The prospect of the Robotaxi service is unprecedented. This disruptive technology, though intangible, stands out as a compelling reason for investors to find Tesla’s premium valuation of 74x forward price-to-earnings (P/E) ratio appealing.</p><h2 id=\"id_2311261959\">Tesla’s Leader Is Re-Engaged</h2><p>In recent years, concerns have arisen about Elon Musk’s ability to focus on Tesla, given his involvement in multiple ventures such as SpaceX, Neuralink, and others. Critics argue that Tesla requires a dedicated leader, and Musk’s divided attention could potentially harm the company’s success.</p><p>However, Elon Musk is deeply intertwined with Tesla, embodying its vision and driving innovation. Despite his busy schedule, recent developments indicate a renewed focus on Tesla. This “old school” Musk appears revitalized, especially in light of recent votes of confidence from shareholders.</p><p>During the recent Tesla shareholder meeting, shareholders re-approved CEO Elon Musk’s $56 billion compensation plan, highlighting their strong support for Musk’s leadership at the company. However, the vote still requires formal legal approval, and its certainty remains uncertain, potentially leading to months of litigation. Earlier this year, the compensation plan encountered challenges in Delaware, where it was described as “deeply flawed.”</p><p>The uncertainty surrounding the approval of this plan had a notable impact on Tesla’s stock, reflecting concerns about the company’s leadership. Now, with a clearer indication that Musk will continue to lead Tesla with increased focus and energy, Morgan Stanley analyst Adam Jonas believes, and I concur, that there is potential for the company to unify strategies across Elon Musk’s ventures, including xAI and the social media platform X.</p><h2 id=\"id_999189294\">Is TSLA Stock a Buy, According to Analysts?</h2><p>The consensus on Wall Street regarding TSLA reveals analysts are sitting on the fence with a Hold rating. Out of 33 analysts, 10 are Bullish, nine are bearish, and 14 are neutral. The average Tesla stock price target is $176.96, indicating a potential downside of 3.3%.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/c5b8a70892bbdaeb78bd415a582ed93d\" title=\"\" tg-width=\"1024\" tg-height=\"348\"/></p><h2 id=\"id_2149103204\">The Bottom Line</h2><p>Although bearish momentum still prevails over TSLA due to its potentially stretched valuation based on ambitious future projections, I believe that the unveiling of the Robotaxi execution plans could justify TSLA’s valuation. Additionally, resolving concerns over Elon Musk’s leadership may mark a transition from bearish to bullish momentum for the world’s largest EV company.</p></body></html>","source":"yahoofinance","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Tesla Stock: 2 Catalysts That Indicate a Turnaround</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nTesla Stock: 2 Catalysts That Indicate a Turnaround\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-06-23 10:00 GMT+8 <a href=https://finance.yahoo.com/news/tesla-stock-nasdaq-tsla-2-070629550.html><strong>Yahoo Finance</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Tesla stock has performed poorly over the past 12 months due to several factors, ranging from strong competition in the EV space to CEO Elon Musk’s distractions from the company, all exacerbated by ...</p>\n\n<a href=\"https://finance.yahoo.com/news/tesla-stock-nasdaq-tsla-2-070629550.html\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"LU0234570918.USD":"高盛全球核心股票组合Acc Close","LU1429558221.USD":"Natixis Loomis Sayles US Growth Equity RA USD","BK4534":"瑞士信贷持仓","BK4585":"ETF&股票定投概念","LU0823411888.USD":"法巴消费创新基金 Cap","LU1435385759.SGD":"Natixis Loomis Sayles US Growth Equity RA SGD-H","LU0053666078.USD":"摩根大通基金-美国股票A(离岸)美元","BK4533":"AQR资本管理(全球第二大对冲基金)","BK4555":"新能源车","LU0082616367.USD":"摩根大通美国科技A(dist)","LU0056508442.USD":"贝莱德世界科技基金A2","LU0719512351.SGD":"JPMorgan Funds - US Technology A (acc) SGD","LU2210150020.SGD":"Natixis Thematics Subscription Economy R/A SGD","IE00BSNM7G36.USD":"NEUBERGER BERMAN SYSTEMATIC GLOBAL SUSTAINABLE VALUE \"A\" (USD) ACC","LU0234572021.USD":"高盛美国核心股票组合Acc","LU2210149790.SGD":"Natixis Thematics Subscription Economy R/A SGD-H","LU0820562030.AUD":"ALLIANZ INCOME AND GROWTH \"AMH2\" (AUDHDG) H2 INC","BK4550":"红杉资本持仓","LU2063271972.USD":"富兰克林创新领域基金","BK4551":"寇图资本持仓","IE00BWXC8680.SGD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A5\" (SGD) ACC","LU0823414478.USD":"法巴经典能源转换基金","LU0466842654.USD":"HSBC ISLAMIC GLOBAL EQUITY INDEX \"A\" (USD) ACC","LU2326559502.SGD":"Natixis Loomis Sayles US Growth Equity P/A SGD-H","TSLA":"特斯拉","LU1852331112.SGD":"Blackrock World Technology Fund A2 SGD-H","LU1861215975.USD":"贝莱德新一代科技基金 A2","LU0198837287.USD":"UBS (LUX) EQUITY SICAV - USA GROWTH \"P\" (USD) ACC","BK4511":"特斯拉概念","LU1548497426.USD":"安联环球人工智能AT Acc","LU0316494557.USD":"FRANKLIN GLOBAL FUNDAMENTAL STRATEGIES \"A\" ACC","BK4099":"汽车制造商","LU1861220033.SGD":"Blackrock Next Generation Technology A2 SGD-H","BK4112":"金融交易所和数据","LU0820561818.USD":"安联收益及增长平衡基金Cl AM DIS","BK4548":"巴美列捷福持仓","LU2602419157.SGD":"HSBC ISLAMIC GLOBAL EQUITY INDEX \"AC\" (SGD) ACC","LU0348723411.USD":"ALLIANZ GLOBAL HI-TECH GROWTH \"A\" (USD) INC","LU1720051108.HKD":"ALLIANZ GLOBAL ARTIFICIAL INTELLIGENCE \"AT\" (HKD) ACC"},"source_url":"https://finance.yahoo.com/news/tesla-stock-nasdaq-tsla-2-070629550.html","is_english":true,"share_image_url":"https://static.laohu8.com/5f26f4a48f9cb3e29be4d71d3ba8c038","article_id":"2445911746","content_text":"Tesla stock has performed poorly over the past 12 months due to several factors, ranging from strong competition in the EV space to CEO Elon Musk’s distractions from the company, all exacerbated by valuation concerns. However, I believe two short-term catalysts could indicate that Tesla has hit bottom, so I am bullish on the company’s turnaround prospects today.In this article, I will detail these catalysts and explain why they may justify the company’s current premium valuation.The Robotaxi PotentialDuring Tesla’s shareholder meeting, Elon Musk elaborated on its Robotaxi plans, providing significant insights for Tesla stock investors. Musk explained Tesla’s business model for the Robotaxi service, comparing it to a blend of Airbnb and Uber. This model consists of two main components:Tesla will own and operate a fleet of cars. When a user reserves a ride in one of these vehicles, the payment goes directly to Tesla.Additionally, a significant number of robotaxis will be owned by private individuals. These privately-owned vehicles will also be available for reservation, and the payments for these rides will go to the vehicle owners. This setup allows for flexibility, as owners might offer rides for free to family members or friends.This dual-ownership model aims to maximize the availability and utilization of Robotaxis, leveraging both Tesla’s fleet and privately owned vehicles to meet demand.One of the primary challenges Tesla faces is overcoming regulatory hurdles to get its self-driving cars on the roads globally. There are already a few states in the U.S. with autonomous vehicle laws and driverless cars operating in cities like San Francisco and Las Vegas. These existing autonomous cars are paving the way for broader regulatory approval in the U.S., which Tesla believes will facilitate its entry into these markets.Elon Musk has noted that it is beneficial for Tesla that other autonomous car companies are cutting through the regulatory jungle. These companies’ operations and data collection in challenging areas help Tesla by providing insights and easing the path for its vehicles. Interestingly, unlike in other areas where Tesla prefers to lead, Tesla is comfortable not being the first mover in this scenario. Tesla remains confident that its technology will be superior once fully operational.On August 8, Tesla will unveil its Robotaxi service. According to Wedbush’s Dan Ives, a long-term Tesla bull, this day will mark a historical event as the company reveals its broader strategy. Ives believes that the market will witness the execution of this strategy alongside the launch of a sub-$30,000 vehicle. He suggests that the bottom for Tesla is in and argues that betting against Elon Musk is the wrong call, considering Tesla’s extensive installed base and deep involvement in AI.From my perspective, valuing Tesla solely as an electric vehicle manufacturer doesn’t fully capture its worth, especially given its valuation, which far surpasses that of traditional car companies. The prospect of the Robotaxi service is unprecedented. This disruptive technology, though intangible, stands out as a compelling reason for investors to find Tesla’s premium valuation of 74x forward price-to-earnings (P/E) ratio appealing.Tesla’s Leader Is Re-EngagedIn recent years, concerns have arisen about Elon Musk’s ability to focus on Tesla, given his involvement in multiple ventures such as SpaceX, Neuralink, and others. Critics argue that Tesla requires a dedicated leader, and Musk’s divided attention could potentially harm the company’s success.However, Elon Musk is deeply intertwined with Tesla, embodying its vision and driving innovation. Despite his busy schedule, recent developments indicate a renewed focus on Tesla. This “old school” Musk appears revitalized, especially in light of recent votes of confidence from shareholders.During the recent Tesla shareholder meeting, shareholders re-approved CEO Elon Musk’s $56 billion compensation plan, highlighting their strong support for Musk’s leadership at the company. However, the vote still requires formal legal approval, and its certainty remains uncertain, potentially leading to months of litigation. Earlier this year, the compensation plan encountered challenges in Delaware, where it was described as “deeply flawed.”The uncertainty surrounding the approval of this plan had a notable impact on Tesla’s stock, reflecting concerns about the company’s leadership. Now, with a clearer indication that Musk will continue to lead Tesla with increased focus and energy, Morgan Stanley analyst Adam Jonas believes, and I concur, that there is potential for the company to unify strategies across Elon Musk’s ventures, including xAI and the social media platform X.Is TSLA Stock a Buy, According to Analysts?The consensus on Wall Street regarding TSLA reveals analysts are sitting on the fence with a Hold rating. Out of 33 analysts, 10 are Bullish, nine are bearish, and 14 are neutral. The average Tesla stock price target is $176.96, indicating a potential downside of 3.3%.The Bottom LineAlthough bearish momentum still prevails over TSLA due to its potentially stretched valuation based on ambitious future projections, I believe that the unveiling of the Robotaxi execution plans could justify TSLA’s valuation. Additionally, resolving concerns over Elon Musk’s leadership may mark a transition from bearish to bullish momentum for the world’s largest EV company.","news_type":1},"isVote":1,"tweetType":1,"viewCount":262,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":377538521997400,"gmtCreate":1733211641273,"gmtModify":1733211644873,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"He will ask President to fire the Judge","listText":"He will ask President to fire the Judge","text":"He will ask President to fire the Judge","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":1,"repostSize":0,"link":"https://ttm.financial/post/377538521997400","repostId":"2488693392","repostType":2,"repost":{"id":"2488693392","kind":"highlight","weMediaInfo":{"introduction":"Reuters.com brings you the latest news from around the world, covering breaking news in markets, business, politics, entertainment and technology","home_visible":1,"media_name":"Reuters","id":"1032215980","head_image":"https://community-static.tradeup.com/news/4567337cbdf294b657b1fa87c5488b48"},"pubTimestamp":1733211000,"share":"https://ttm.financial/m/news/2488693392?lang=&edition=fundamental","pubTime":"2024-12-03 15:30","market":"us","language":"en","title":"What Is Next for Musk After Judge Rules Against Him in Tesla Pay Case?","url":"https://stock-news.laohu8.com/highlight/detail?id=2488693392","media":"Reuters","summary":"WILMINGTON, Delaware, Dec 2 - Tesla cannot give Elon Musk a $56 billion compensation package despite a vote in support of the CEO's pay deal by the company's shareholders, a Delaware judge ruled on Monday.Below is a look at what could come next for Tesla and its billionaire founder, who is still seeking a huge payday from the company:WHAT DOES MUSK WANT?Tesla could offer Musk the same 304 million stock options with the same $23.34 exercise price used in the 2018 plan. If shareholders wanted to ","content":"<html><head></head><body><p>WILMINGTON, Delaware, Dec 2 (Reuters) - Tesla cannot give Elon Musk a $56 billion compensation package despite a vote in support of the CEO's pay deal by the company's shareholders, a Delaware judge ruled on Monday.</p><p>Below is a look at what could come next for Tesla and its billionaire founder, who is still seeking a huge payday from the company:</p><h2 id=\"id_4015928809\" style=\"text-align: start;\">WHAT DOES MUSK WANT?</h2><p>Musk told a special committee of the Tesla board soon after a judge voided his compensation in January that he wanted a similar-sized replacement package, according to a securities filing.</p><p>In addition, earlier this year he said on his social media platform X that he wanted a larger stake in Tesla or he might develop some products outside the company. Musk's other companies include rocket venture SpaceX and Neuralink, which develops brain implants.</p><h2 id=\"id_2065050315\" style=\"text-align: start;\">TESLA COULD APPEAL THE RULING</h2><p>Musk and Tesla's board could appeal and try to reverse the ruling at the Delaware Supreme Court, a process that typically takes around a year.</p><p>The case, which involved the largest-ever pay deal at a U.S. public company, raises issues that have rarely been addressed by Delaware judges, adding uncertainty to an appeal.</p><p>For example, the trial court judge, Chancellor Kathaleen McCormick, found that Musk controlled the compensation negotiations, even though he owned only about 22% of Tesla's stock.</p><p>In addition, Tesla has acknowledged that the June vote by shareholders to ratify Musk's pay was a "novel" legal tactic and has said it was unclear how it would be treated under Delaware law.</p><h2 id=\"id_741800313\" style=\"text-align: start;\">TESLA COULD DEVISE A NEW PLAN</h2><p>Tesla's board could craft a new pay package, although that could be very expensive.</p><p>The original plan, agreed to by Musk and the company in 2018, awarded him stock options if the company hit very aggressive performance and financial targets. The stock options allowed Musk to buy Tesla stock priced at the 2018 level. The company exceeded the targets, and Tesla's stock has risen 10-fold since then, making the options incredibly valuable.</p><p>Tesla booked a cost of $2.6 billion when the 2018 plan went into effect. The company has said that a replacement plan for the same cost today would likely have to be less than 10% of the size of the 2018 plan.</p><h2 id=\"id_3385019166\" style=\"text-align: start;\">COULD TESLA JUST RESTORE THE OLD PLAN?</h2><p>Tesla could offer Musk the same 304 million stock options with the same $23.34 exercise price used in the 2018 plan. If shareholders wanted to challenge that, they would have to sue in Texas, where the company reincorporated this year, rather than the Court of Chancery in Delaware.</p><p>But the company cannot escape accounting and tax implications.</p><p>Tesla said putting the old plan back in place would require the company to take a $25 billion charge, according to securities filings.</p><p>In addition, because the stock options would be incredibly valuable from the moment they are issued, they would be treated unfavorably for tax purposes as income. Musk could be taxed at the highest rate and pay a 20% penalty, meaning authorities could tax his new plan at 57%, according to an analysis by Schuyler Moore of Greenberg Glusker Fields Claman & Machtinger.</p><h2 id=\"id_1057819079\" style=\"text-align: start;\">MUSK COULD TRY TO SETTLE THE LAWSUIT</h2><p>Musk could try to settle the lawsuit, which was brought by a Tesla shareholder, and accept a smaller portion of his pay package. However, that would contradict his track record of taking cases to trial rather than striking deals, even in the face of huge potential liability. It is unclear how McCormick would view a settlement at this stage in the litigation.</p></body></html>","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>What Is Next for Musk After Judge Rules Against Him in Tesla Pay Case?</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nWhat Is Next for Musk After Judge Rules Against Him in Tesla Pay Case?\n</h2>\n\n<h4 class=\"meta\">\n\n\n<a class=\"head\" href=\"https://laohu8.com/wemedia/1032215980\">\n\n\n<div class=\"h-thumb\" style=\"background-image:url(https://community-static.tradeup.com/news/4567337cbdf294b657b1fa87c5488b48);background-size:cover;\"></div>\n\n<div class=\"h-content\">\n<p class=\"h-name\">Reuters </p>\n<p class=\"h-time\">2024-12-03 15:30</p>\n</div>\n\n</a>\n\n\n</h4>\n\n</header>\n<article>\n<html><head></head><body><p>WILMINGTON, Delaware, Dec 2 (Reuters) - Tesla cannot give Elon Musk a $56 billion compensation package despite a vote in support of the CEO's pay deal by the company's shareholders, a Delaware judge ruled on Monday.</p><p>Below is a look at what could come next for Tesla and its billionaire founder, who is still seeking a huge payday from the company:</p><h2 id=\"id_4015928809\" style=\"text-align: start;\">WHAT DOES MUSK WANT?</h2><p>Musk told a special committee of the Tesla board soon after a judge voided his compensation in January that he wanted a similar-sized replacement package, according to a securities filing.</p><p>In addition, earlier this year he said on his social media platform X that he wanted a larger stake in Tesla or he might develop some products outside the company. Musk's other companies include rocket venture SpaceX and Neuralink, which develops brain implants.</p><h2 id=\"id_2065050315\" style=\"text-align: start;\">TESLA COULD APPEAL THE RULING</h2><p>Musk and Tesla's board could appeal and try to reverse the ruling at the Delaware Supreme Court, a process that typically takes around a year.</p><p>The case, which involved the largest-ever pay deal at a U.S. public company, raises issues that have rarely been addressed by Delaware judges, adding uncertainty to an appeal.</p><p>For example, the trial court judge, Chancellor Kathaleen McCormick, found that Musk controlled the compensation negotiations, even though he owned only about 22% of Tesla's stock.</p><p>In addition, Tesla has acknowledged that the June vote by shareholders to ratify Musk's pay was a "novel" legal tactic and has said it was unclear how it would be treated under Delaware law.</p><h2 id=\"id_741800313\" style=\"text-align: start;\">TESLA COULD DEVISE A NEW PLAN</h2><p>Tesla's board could craft a new pay package, although that could be very expensive.</p><p>The original plan, agreed to by Musk and the company in 2018, awarded him stock options if the company hit very aggressive performance and financial targets. The stock options allowed Musk to buy Tesla stock priced at the 2018 level. The company exceeded the targets, and Tesla's stock has risen 10-fold since then, making the options incredibly valuable.</p><p>Tesla booked a cost of $2.6 billion when the 2018 plan went into effect. The company has said that a replacement plan for the same cost today would likely have to be less than 10% of the size of the 2018 plan.</p><h2 id=\"id_3385019166\" style=\"text-align: start;\">COULD TESLA JUST RESTORE THE OLD PLAN?</h2><p>Tesla could offer Musk the same 304 million stock options with the same $23.34 exercise price used in the 2018 plan. If shareholders wanted to challenge that, they would have to sue in Texas, where the company reincorporated this year, rather than the Court of Chancery in Delaware.</p><p>But the company cannot escape accounting and tax implications.</p><p>Tesla said putting the old plan back in place would require the company to take a $25 billion charge, according to securities filings.</p><p>In addition, because the stock options would be incredibly valuable from the moment they are issued, they would be treated unfavorably for tax purposes as income. Musk could be taxed at the highest rate and pay a 20% penalty, meaning authorities could tax his new plan at 57%, according to an analysis by Schuyler Moore of Greenberg Glusker Fields Claman & Machtinger.</p><h2 id=\"id_1057819079\" style=\"text-align: start;\">MUSK COULD TRY TO SETTLE THE LAWSUIT</h2><p>Musk could try to settle the lawsuit, which was brought by a Tesla shareholder, and accept a smaller portion of his pay package. However, that would contradict his track record of taking cases to trial rather than striking deals, even in the face of huge potential liability. It is unclear how McCormick would view a settlement at this stage in the litigation.</p></body></html>\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"LU2602419157.SGD":"HSBC ISLAMIC GLOBAL EQUITY INDEX \"AC\" (SGD) ACC","BK4548":"巴美列捷福持仓","LU1551013425.SGD":"Allianz Income and Growth Cl AMg2 DIS H2-SGD","BK4598":"佩洛西持仓","LU2756315318.SGD":"ALLIANZ INCOME AND GROWTH \"AMG\" (SGDHDG) INC A","LU1629891620.HKD":"ALLIANZ INCOME AND GROWTH \"AMG2\" (H2-HKD) INC","LU0348723411.USD":"ALLIANZ GLOBAL HI-TECH GROWTH \"A\" (USD) INC","LU1861220033.SGD":"Blackrock Next Generation Technology A2 SGD-H","LU1720051108.HKD":"ALLIANZ GLOBAL ARTIFICIAL INTELLIGENCE \"AT\" (HKD) ACC","BK4592":"伊斯兰概念","LU2326559502.SGD":"Natixis Loomis Sayles US Growth Equity P/A SGD-H","LU1429558221.USD":"Natixis Loomis Sayles US Growth Equity RA USD","BK4534":"瑞士信贷持仓","LU0823411888.USD":"法巴消费创新基金 Cap","LU2213496289.HKD":"ALLIANZ INCOME AND GROWTH \"AT\" (HKD) ACC","LU0056508442.USD":"贝莱德世界科技基金A2","BK4533":"AQR资本管理(全球第二大对冲基金)","IE00B1XK9C88.USD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A\" (USD) ACC","LU0719512351.SGD":"JPMorgan Funds - US Technology A (acc) SGD","LU0234572021.USD":"高盛美国核心股票组合Acc","IE00BJLML261.HKD":"HSBC GLOBAL EQUITY INDEX \"HCH\" (HKD) ACC","LU2249611893.SGD":"BNP PARIBAS ENERGY TRANSITION \"CRH\" (SGD) ACC","LU0820561909.HKD":"ALLIANZ INCOME AND GROWTH \"AM\" (HKD) INC","LU0820562030.AUD":"ALLIANZ INCOME AND GROWTH \"AMH2\" (AUDHDG) H2 INC","LU2756315664.SGD":"ALLIANZ INCOME AND GROWTH \"AMI\" (SGDHDG) INC","LU2063271972.USD":"富兰克林创新领域基金","BK4588":"碎股","LU0082616367.USD":"摩根大通美国科技A(dist)","BK4550":"红杉资本持仓","LU0820561818.USD":"安联收益及增长平衡基金Cl AM DIS","LU0823414478.USD":"法巴经典能源转换基金","IE00BWXC8680.SGD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A5\" (SGD) ACC","SG9999015986.USD":"LIONGLOBAL DISRUPTIVE INNOVATION \"I\" (USD) ACC","LU1145028129.USD":"ALLIANZ INCOME AND GROWTH \"AQ\" (USD) INC","LU0466842654.USD":"HSBC ISLAMIC GLOBAL EQUITY INDEX \"A\" (USD) ACC","BK4574":"无人驾驶","LU0097036916.USD":"贝莱德美国增长A2 USD","SG9999015978.USD":"利安颠覆性创新基金A","LU2023250330.USD":"ALLIANZ INCOME AND GROWTH \"AMG\" (USD) INC","BK4551":"寇图资本持仓","LU0053666078.USD":"摩根大通基金-美国股票A(离岸)美元","LU0689472784.USD":"安联收益及增长基金Cl AM AT Acc","LU2087621335.USD":"ALLSPRING GLOBAL FACTOR ENHANCED EQUITY \"A\" (USD) ACC","LU0198837287.USD":"UBS (LUX) EQUITY SICAV - USA GROWTH \"P\" (USD) ACC","LU0316494557.USD":"FRANKLIN GLOBAL FUNDAMENTAL STRATEGIES \"A\" ACC","LU1861215975.USD":"贝莱德新一代科技基金 A2","LU1548497426.USD":"安联环球人工智能AT Acc","TSLA":"特斯拉","BK4099":"汽车制造商","BK4511":"特斯拉概念"},"source_url":"https://api.refinitiv.com/data/news/v1/stories/urn:newsml:reuters.com:20241203:nL1N3KL0VL:1","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"2488693392","content_text":"WILMINGTON, Delaware, Dec 2 (Reuters) - Tesla cannot give Elon Musk a $56 billion compensation package despite a vote in support of the CEO's pay deal by the company's shareholders, a Delaware judge ruled on Monday.Below is a look at what could come next for Tesla and its billionaire founder, who is still seeking a huge payday from the company:WHAT DOES MUSK WANT?Musk told a special committee of the Tesla board soon after a judge voided his compensation in January that he wanted a similar-sized replacement package, according to a securities filing.In addition, earlier this year he said on his social media platform X that he wanted a larger stake in Tesla or he might develop some products outside the company. Musk's other companies include rocket venture SpaceX and Neuralink, which develops brain implants.TESLA COULD APPEAL THE RULINGMusk and Tesla's board could appeal and try to reverse the ruling at the Delaware Supreme Court, a process that typically takes around a year.The case, which involved the largest-ever pay deal at a U.S. public company, raises issues that have rarely been addressed by Delaware judges, adding uncertainty to an appeal.For example, the trial court judge, Chancellor Kathaleen McCormick, found that Musk controlled the compensation negotiations, even though he owned only about 22% of Tesla's stock.In addition, Tesla has acknowledged that the June vote by shareholders to ratify Musk's pay was a \"novel\" legal tactic and has said it was unclear how it would be treated under Delaware law.TESLA COULD DEVISE A NEW PLANTesla's board could craft a new pay package, although that could be very expensive.The original plan, agreed to by Musk and the company in 2018, awarded him stock options if the company hit very aggressive performance and financial targets. The stock options allowed Musk to buy Tesla stock priced at the 2018 level. The company exceeded the targets, and Tesla's stock has risen 10-fold since then, making the options incredibly valuable.Tesla booked a cost of $2.6 billion when the 2018 plan went into effect. The company has said that a replacement plan for the same cost today would likely have to be less than 10% of the size of the 2018 plan.COULD TESLA JUST RESTORE THE OLD PLAN?Tesla could offer Musk the same 304 million stock options with the same $23.34 exercise price used in the 2018 plan. If shareholders wanted to challenge that, they would have to sue in Texas, where the company reincorporated this year, rather than the Court of Chancery in Delaware.But the company cannot escape accounting and tax implications.Tesla said putting the old plan back in place would require the company to take a $25 billion charge, according to securities filings.In addition, because the stock options would be incredibly valuable from the moment they are issued, they would be treated unfavorably for tax purposes as income. Musk could be taxed at the highest rate and pay a 20% penalty, meaning authorities could tax his new plan at 57%, according to an analysis by Schuyler Moore of Greenberg Glusker Fields Claman & Machtinger.MUSK COULD TRY TO SETTLE THE LAWSUITMusk could try to settle the lawsuit, which was brought by a Tesla shareholder, and accept a smaller portion of his pay package. However, that would contradict his track record of taking cases to trial rather than striking deals, even in the face of huge potential liability. It is unclear how McCormick would view a settlement at this stage in the litigation.","news_type":1},"isVote":1,"tweetType":1,"viewCount":184,"authorTweetTopStatus":1,"verified":2,"comments":[{"author":{"id":"3554184728100240","authorId":"3554184728100240","name":"T90","avatar":"https://static.tigerbbs.com/64a844af127318de6f06837e04004a86","crmLevel":7,"crmLevelSwitch":0,"idStr":"3554184728100240","authorIdStr":"3554184728100240"},"content":"Tesla will appeal further... and will succeed in the end...","text":"Tesla will appeal further... and will succeed in the end...","html":"Tesla will appeal further... and will succeed in the end..."}],"imageCount":0,"langContent":"EN","totalScore":0},{"id":367492072869968,"gmtCreate":1730735366162,"gmtModify":1730735369739,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"Wow","listText":"Wow","text":"Wow","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":2,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/367492072869968","repostId":"2480586315","repostType":2,"repost":{"id":"2480586315","kind":"highlight","pubTimestamp":1730723417,"share":"https://ttm.financial/m/news/2480586315?lang=&edition=fundamental","pubTime":"2024-11-04 20:30","market":"fut","language":"en","title":"1 Monster Stock That Turned $10,000 Into Almost $5.6 Million in 20 Years","url":"https://stock-news.laohu8.com/highlight/detail?id=2480586315","media":"Motley Fool","summary":"It's hard to find many better-performing stocks than this one.","content":"<html><head></head><body><ul style=\"\"><li><p>This company has found huge success disrupting the traditional cable TV industry.</p></li><li><p>The business is generating billions in free cash flow each year.</p></li><li><p>Shares aren’t cheap, and investors should expect more muted gains going forward.</p></li></ul><p>In the past two decades, the <strong>S&P 500</strong> has generated a total return of 661%. That annualized gain of about 10.7% means that a $10,000 cash outlay would be worth $76,110 right now. This is a result that any investor would be pleased with.</p><p>But there's one monster stock that turned a $10,000 initial investment 20 years ago into nearly $5.6 million today. Here's what investors need to know about this dominant industry-leading enterprise.</p><h2 id=\"id_400600341\">Looking at the past</h2><p>Without a doubt, <strong>Netflix</strong> (NFLX 0.01%) is one of the best-performing stocks in the past two decades. It's crazy to think that in 20 years, a single stock could turn early investors into multimillionaires. Investors would certainly struggle to find many businesses that have outperformed this one in recent memory.</p><p>The company first launched its streaming service in the U.S. in 2007. The management team was convinced that the internet was going to fundamentally change how consumers watched video entertainment. Netflix achieved huge success early on because it was cheaper and more convenient than traditional cable TV packages. Furthermore, it had very limited direct competition for many years, as it was a disruptive and innovative pioneer.</p><p>This resulted in tremendous growth. Between 2010 and 2020, revenue surged over 1,000%, and the subscriber base expanded tenfold. Netflix's notable success spurred an acceleration of the cord-cutting trend, as competing offerings from other media companies entered the market and gave consumers even greater choice.</p><p>According to eMarketer, less than 50% of households in the U.S. still have their cable subscription today. But that penetration rate continues declining with each passing year, partly to the benefit of a business like Netflix.</p><h2 id=\"id_165151068\">Current situation</h2><p>Netflix is no longer the scrappy upstart it was two decades ago. This company has now become a global media powerhouse with a presence in more than 190 countries. As of Sept. 30, it counts a whopping 283 million customers, a figure that continues increasing each quarter. And the business is now bringing in almost $40 billion in annual run-rate revenue.</p><p>One of the most obvious changes to Netflix's operations, and perhaps something the critics never thought would happen, is that the business is extremely profitable today. The leadership team expects to report a stellar 27% operating margin this year. What's more, free cash flow (FCF) is projected to total $6 billion to $6.5 billion this year.</p><p>The growth story isn't over, though. Netflix is finding new ways to attract members and grow its sales base. It has successfully cracked down on password-sharing accounts. And it even introduced a cheaper ad-based subscription tier, something management previously said they'd never do. This option saw its membership base grow 35% quarter over quarter.</p><p>Netflix is also leaning into new content opportunities. It started offering video games on the platform in November 2021. And it recently signed deals to show <em>WWE Raw</em> in 2025 and Christmas Day NFL games later this year.</p><h2 id=\"id_2111668935\">Is it time to buy?</h2><p>There's not a lot to dislike when taking an objective view of Netflix's fundamentals. The company is posting healthy growth, even at its current scale. And its profitability, particularly from a FCF perspective, is impressive.</p><p>But the shares look to be richly valued. They trade at a price-to-earnings (P/E) ratio of 42.7 right now. That's much higher than what the stock sold for in the middle of 2022. And it clearly shows how much optimism the market prices in.</p><p>This has been a fantastic stock to have owned in the past 10 or 20 years. However, investors shouldn't expect those monster gains to repeat themselves going forward.</p></body></html>","source":"fool_stock","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>1 Monster Stock That Turned $10,000 Into Almost $5.6 Million in 20 Years</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\n1 Monster Stock That Turned $10,000 Into Almost $5.6 Million in 20 Years\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-11-04 20:30 GMT+8 <a href=https://www.fool.com/investing/2024/11/03/monster-stock-turned-10000-into-56-million/><strong>Motley Fool</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>This company has found huge success disrupting the traditional cable TV industry.The business is generating billions in free cash flow each year.Shares aren’t cheap, and investors should expect more ...</p>\n\n<a href=\"https://www.fool.com/investing/2024/11/03/monster-stock-turned-10000-into-56-million/\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"IE00B19Z9505.USD":"美盛-美国大盘成长股A Acc","LU1429558221.USD":"Natixis Loomis Sayles US Growth Equity RA USD","BK4532":"文艺复兴科技持仓","LU1988902786.USD":"FULLERTON LUX FUNDS GLOBAL ABSOLUTE ALPHA \"I\" (USD) ACC","LU0942090050.USD":"UBS (LUX) EQUITY SICAV - US TOTAL YIELD SUSTAINABLE \"P\" (USD) INC","LU1435385759.SGD":"Natixis Loomis Sayles US Growth Equity RA SGD-H","BK4585":"ETF&股票定投概念","LU0082616367.USD":"摩根大通美国科技A(dist)","BK4108":"电影和娱乐","BK4507":"流媒体概念","BK4534":"瑞士信贷持仓","LU0719512351.SGD":"JPMorgan Funds - US Technology A (acc) SGD","LU0868494708.USD":"UBS (LUX) EQUITY SICAV - US TOTAL YIELD SUSTAINABLE \"P\" (USD) INC","LU1823568750.SGD":"Fidelity Global Technology A-ACC SGD","LU1989764664.SGD":"CPR Invest - Global Disruptive Opportunities A2 Acc SGD-H","BK4587":"ChatGPT概念","BK4566":"资本集团","BK4211":"区域性银行","SG9999004303.SGD":"Nikko AM Shenton Global Opportunities SGD","BK4524":"宅经济概念","LU2237957902.USD":"NIKKO AM GLOBAL EQUITY \"F\" (USD) ACC","IE00BKPKM429.USD":"NEUBERGER BERMAN GLOBAL SUSTAINABLE EQUITY \"A\" (USD) ACC","BK4527":"明星科技股","LU2264538146.SGD":"Fullerton Lux Funds - Global Absolute Alpha A Acc SGD","LU2237957811.SGD":"NIKKO AM GLOBAL EQUITY \"F\" (SGD) ACC","BK4588":"碎股","LU0006306889.USD":"SCHRODER ISF US LARGE CAP \"A\" (USD) INC AV","NFLX":"奈飞","IE00BQXX3D17.EUR":"GUINNESS GLOBAL INNOVATORS \"C\" (EUR) ACC","LU2326559502.SGD":"Natixis Loomis Sayles US Growth Equity P/A SGD-H","LU0106261372.USD":"SCHRODER ISF US LARGE CAP \"A\" ACC","BK4551":"寇图资本持仓","LU1814569148.SGD":"WELLINGTON GLOBAL QUALITY GROWTH \"D\" (SGDHDG) ACC","IE00BQXX3C00.GBP":"GUINNESS GLOBAL INNOVATORS \"C\" (GBP) ACC","IE00B19Z8X17.USD":"FTGF CLEARBRIDGE US LARGE CAP GROWTH \"AG\" (USD) ACC","LU0225283273.USD":"SCHRODER ISF GLOBAL EQUITY ALPHA \"A\" (USD) ACC","LU0868494617.USD":"UBS (LUX) EQUITY SICAV - US TOTAL YIELD SUSTAINABLE \"P\" (USD) ACC","LU1046421795.USD":"富达环球科技A-ACC","LU1720051017.SGD":"Allianz Global Artificial Intelligence AT Acc H2-SGD","IE00BQXX3F31.USD":"GUINNESS GLOBAL INNOVATORS \"C\" (USD) ACC","LU1064131342.USD":"Fullerton Lux Funds - Global Absolute Alpha A Acc USD","SGXZ23171101.USD":"NIKKO AM SHENTON GLOBAL OPPORTUNITIES (USD) ACC","LU1548497426.USD":"安联环球人工智能AT Acc","IE00B19Z8W00.USD":"FTGF CLEARBRIDGE US LARGE CAP GROWTH \"A\" INC","BK4548":"巴美列捷福持仓","LU0882574139.USD":"富达环球消费行业基金A ACC","LU1035775433.USD":"AB SICAV I - AMERICAN GROWTH PORTFOLIO \"AD\" (USD) INC","LU1720051108.HKD":"ALLIANZ GLOBAL ARTIFICIAL INTELLIGENCE \"AT\" (HKD) ACC","LU2357305700.SGD":"Allianz Global Artificial Intelligence ET H2-SGD"},"source_url":"https://www.fool.com/investing/2024/11/03/monster-stock-turned-10000-into-56-million/","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"2480586315","content_text":"This company has found huge success disrupting the traditional cable TV industry.The business is generating billions in free cash flow each year.Shares aren’t cheap, and investors should expect more muted gains going forward.In the past two decades, the S&P 500 has generated a total return of 661%. That annualized gain of about 10.7% means that a $10,000 cash outlay would be worth $76,110 right now. This is a result that any investor would be pleased with.But there's one monster stock that turned a $10,000 initial investment 20 years ago into nearly $5.6 million today. Here's what investors need to know about this dominant industry-leading enterprise.Looking at the pastWithout a doubt, Netflix (NFLX 0.01%) is one of the best-performing stocks in the past two decades. It's crazy to think that in 20 years, a single stock could turn early investors into multimillionaires. Investors would certainly struggle to find many businesses that have outperformed this one in recent memory.The company first launched its streaming service in the U.S. in 2007. The management team was convinced that the internet was going to fundamentally change how consumers watched video entertainment. Netflix achieved huge success early on because it was cheaper and more convenient than traditional cable TV packages. Furthermore, it had very limited direct competition for many years, as it was a disruptive and innovative pioneer.This resulted in tremendous growth. Between 2010 and 2020, revenue surged over 1,000%, and the subscriber base expanded tenfold. Netflix's notable success spurred an acceleration of the cord-cutting trend, as competing offerings from other media companies entered the market and gave consumers even greater choice.According to eMarketer, less than 50% of households in the U.S. still have their cable subscription today. But that penetration rate continues declining with each passing year, partly to the benefit of a business like Netflix.Current situationNetflix is no longer the scrappy upstart it was two decades ago. This company has now become a global media powerhouse with a presence in more than 190 countries. As of Sept. 30, it counts a whopping 283 million customers, a figure that continues increasing each quarter. And the business is now bringing in almost $40 billion in annual run-rate revenue.One of the most obvious changes to Netflix's operations, and perhaps something the critics never thought would happen, is that the business is extremely profitable today. The leadership team expects to report a stellar 27% operating margin this year. What's more, free cash flow (FCF) is projected to total $6 billion to $6.5 billion this year.The growth story isn't over, though. Netflix is finding new ways to attract members and grow its sales base. It has successfully cracked down on password-sharing accounts. And it even introduced a cheaper ad-based subscription tier, something management previously said they'd never do. This option saw its membership base grow 35% quarter over quarter.Netflix is also leaning into new content opportunities. It started offering video games on the platform in November 2021. And it recently signed deals to show WWE Raw in 2025 and Christmas Day NFL games later this year.Is it time to buy?There's not a lot to dislike when taking an objective view of Netflix's fundamentals. The company is posting healthy growth, even at its current scale. And its profitability, particularly from a FCF perspective, is impressive.But the shares look to be richly valued. They trade at a price-to-earnings (P/E) ratio of 42.7 right now. That's much higher than what the stock sold for in the middle of 2022. And it clearly shows how much optimism the market prices in.This has been a fantastic stock to have owned in the past 10 or 20 years. However, investors shouldn't expect those monster gains to repeat themselves going forward.","news_type":1},"isVote":1,"tweetType":1,"viewCount":188,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":358506692878512,"gmtCreate":1728534286971,"gmtModify":1728534290879,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"When one didn't buy, will say expensive . Once bought , will say cheap and all the nice words to promote ","listText":"When one didn't buy, will say expensive . Once bought , will say cheap and all the nice words to promote ","text":"When one didn't buy, will say expensive . Once bought , will say cheap and all the nice words to promote","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":2,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/358506692878512","repostId":"2474062082","repostType":2,"repost":{"id":"2474062082","kind":"highlight","pubTimestamp":1728518400,"share":"https://ttm.financial/m/news/2474062082?lang=&edition=fundamental","pubTime":"2024-10-10 08:00","market":"us","language":"en","title":"Nvidia Is Still Undervalued, Says $50 Billion Manager Impax","url":"https://stock-news.laohu8.com/highlight/detail?id=2474062082","media":"Bloomberg","summary":"Impax is best known as an investor in the green transitionSlump helped Impax buy into Nvidia after missing earlier rallyNvidia Corp. share-price slump earlier this year resulted in a peak-to-trough de","content":"<html><head></head><body><ul style=\"\"><li><p>Impax is best known as an investor in the green transition</p></li><li><p>Slump helped Impax buy into Nvidia after missing earlier rally</p></li></ul><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/b6d6420f61bafe958cdc355f6c52f1d9\" alt=\"Nvidia Corp. share-price slump earlier this year resulted in a peak-to-trough decline in its market value of close to $1 trillion.\" title=\"Nvidia Corp. share-price slump earlier this year resulted in a peak-to-trough decline in its market value of close to $1 trillion.\" tg-width=\"2000\" tg-height=\"1334\"/><span>Nvidia Corp. share-price slump earlier this year resulted in a peak-to-trough decline in its market value of close to $1 trillion.</span></p><p style=\"text-align: start;\">As Nvidia Corp. found itself the target of a deep selloff earlier this year, Impax Asset Management was quietly seizing the moment to build a stake it had long regretted not owning.</p><p style=\"text-align: start;\">Ian Simm, chief executive officer and founder of the $50 billion London-based asset manager, says he and his team had been looking for an opportunity to correct what they had come to realize was a wrong call a few years ago, which meant missing out on Nvidia’s stunning 800% rally since the beginning of 2023.</p><p style=\"text-align: start;\">“We just underestimated the market potential of their product,” Simm said in an interview. Impax had been looking for a way in, but Nvidia “was expensive.” That is, “until it had a selloff.”</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/97ee59f46aa0ddbad37109df8339cc8d\" alt=\"Ian Simm\" title=\"Ian Simm\" tg-width=\"1997\" tg-height=\"1331\"/><span>Ian Simm</span></p><p>Nvidia’s share-price slump earlier this year resulted in a peak-to-trough decline in its market value of close to $1 trillion. Though much of that has since been recouped, Simm says he thinks the company’s current valuation of more than $3.2 trillion understates what it’s really worth.</p><p>Established in 1998, Impax has made a name for itself as a giant among asset managers focused on the transition to a more sustainable economy. Simm says that goal should be compatible with making money for his clients. But it’s been a tough sell of late.</p><p>Over the past couple of years, a spike in interest rates, an energy crisis and the ascent of the so-called Magnificent Seven of technology behemoths have turned green investing into a losing bet. Impax’s own share price is down almost 30% this year, while the S&P Global Clean Energy Index has lost more than 10%. The S&P 500, meanwhile, is up more than 20% in the same period.</p><p>Earlier this week, Impax reported results that showed gains in listed equities of £5.3 billion ($6.9 billion) for the fiscal year ended Sept. 30. Still, that was less than the £5.8 billion of net outflows that Impax suffered in the period.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/47d9ff61fa44f42ca04aa964a6520ca2\" tg-width=\"1200\" tg-height=\"675\"/></p><p>Simm says Impax is learning from the past few years and focusing more on Big Tech, as it looks for undervalued opportunities to generate bigger returns.</p><p style=\"text-align: start;\">“Frankly, we’ve underperformed for the last couple of years in our main strategies because we’ve been more growth-at-a-reasonable-price, staying away from the momentum and hype around mega-cap tech investing,” he said.</p><p style=\"text-align: start;\">As Nvidia’s share price was falling in June, Impax more than tripled its stake in the company to 4.9 million shares by the end of the month from 1.4 million shares at the end of the first quarter, according to data compiled by Bloomberg and confirmed by Impax.</p><p style=\"text-align: start;\">Simm says Impax still considers Nvidia to be undervalued when taking into account how the boom in artificial intelligence is expected to drive demand for its chips.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/e63409af9d4285f9000a4bc407dc8f16\" tg-width=\"1200\" tg-height=\"675\"/></p><p style=\"text-align: start;\">Simm says holding Nvidia, which like other technology giants needs to consume vast stores of energy to power its growth, also makes investing sense from a climate perspective. As demand for energy continues to increase, Nvidia and other companies that develop more efficient models will be better for the environment, he says.</p><p style=\"text-align: start;\">Nvidia’s Blackwell chips, which are beginning to roll out to customers this year, would need 3 gigawatts of power to develop OpenAI’s GPT-4 software, the company said at an event earlier this month. Ten years ago, that process would have required 5,500 gigawatts, the chipmaker said.</p><p style=\"text-align: start;\">“Nvidia’s ability to deliver energy savings makes it even more valuable,” Simm said.</p><p style=\"text-align: start;\">Impax holds Nvidia in five strategies and funds. That includes its Global Opportunities portfolio, which is limited to 40 stocks and consists of companies that have a diversified business model, operate in high-growth markets and are “out of favor for whatever reason,” Simm said. Microsoft Corp. is included because Impax thinks it’s undervalued “in the context of the secular trend toward more AI,” he said.</p><p style=\"text-align: start;\">In fact, “the whole industrial space” now looks undervalued, Simm said. That may change as a “soft landing in the US” looks increasingly likely, which is helping restore confidence, he said. The cost of capital is falling and consumer sentiment is stabilizing, so equity “is looking more attractive.”</p></body></html>","source":"lsy1584095487587","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Nvidia Is Still Undervalued, Says $50 Billion Manager Impax</title>\n<style 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margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNvidia Is Still Undervalued, Says $50 Billion Manager Impax\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-10-10 08:00 GMT+8 <a href=https://www.bloomberg.com/news/articles/2024-10-09/nvidia-is-still-undervalued-says-50-billion-manager-impax?srnd=phx-latest><strong>Bloomberg</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Impax is best known as an investor in the green transitionSlump helped Impax buy into Nvidia after missing earlier rallyNvidia Corp. share-price slump earlier this year resulted in a peak-to-trough ...</p>\n\n<a href=\"https://www.bloomberg.com/news/articles/2024-10-09/nvidia-is-still-undervalued-says-50-billion-manager-impax?srnd=phx-latest\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"BK4567":"ESG概念","IE0004445239.USD":"JANUS HENDERSON US FORTY \"A2\" (USD) ACC","IE00BJJMRX11.SGD":"Janus Henderson Balanced A Acc SGD","BK4585":"ETF&股票定投概念","LU0053666078.USD":"摩根大通基金-美国股票A(离岸)美元","IE0034235295.USD":"PINEBRIDGE GLOBAL DYNAMIC ASSET ALLOCATION \"A\" (USD) ACC","IE00B19Z9505.USD":"美盛-美国大盘成长股A Acc","IE0004091025.USD":"BNY MELLON GLOBAL OPPORTUNITIES \"B\" (USD) ACC","IE00BMPRXQ63.HKD":"NEUBERGER BERMAN NEXT GENERATION CONNECTIVITY FUND \"A\" (HKDHDG) ACC","IE00BD6J9T35.USD":"NEUBERGER BERMAN NEXT GENERATION MOBILITY \"A\" (USD) ACC","IE00BHPRN162.USD":"BNY MELLON BLOCKCHAIN INNOVATION \"B\" (USD) ACC","BK4533":"AQR资本管理(全球第二大对冲基金)","IE00BZ199S13.USD":"BNY MELLON MOBILITY INNOVATION \"B\" (USD) ACC","IE00B1XK9C88.USD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A\" (USD) ACC","LU0061474960.USD":"天利环球焦点基金AU Acc","BK4527":"明星科技股","NVDA":"英伟达","IE00BN29S564.USD":"JANUS HENDERSON BALANCED \"A3\" (USD) INC","IE00BKDWB100.SGD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A5H\" (SGDHDG) ACC","HK0000306701.USD":"TAIKANG KAITAI CHINA NEW OPPORTUNITIES FUND \"A\" (USD) INC","IE00BMPRXN33.USD":"NEUBERGER BERMAN 5G CONNECTIVITY \"A\" (USD) ACC","BK4543":"AI","BK4579":"人工智能","BK4550":"红杉资本持仓","3NVD.UK":"LS 3X NVIDIA","IE0005OL40V9.USD":"JANUS HENDERSON BALANCED \"A6M\" (USD) INC","2NVD.UK":"2X NVIDIA ETP","BK4141":"半导体产品","IE00BDRTCR15.USD":"PINEBRIDGE GLOBAL DYNAMIC ASSET ALLOCATION \"ADC\" (USD) INC A","BK4588":"碎股","IE00B775H168.HKD":"JANUS HENDERSON BALANCED \"A5M\" (HKD) INC","IE0004445015.USD":"JANUS HENDERSON BALANCED \"A2\" (USD) ACC","IE00B5949003.HKD":"JANUS HENDERSON GLOBAL TECHNOLOGY AND INNOVATION \"A\" (HKD) ACC","BK4503":"景林资产持仓","LU0057025933.USD":"SUSTAINABLE GLOBAL THEMATIC PORTFOLIO \"AX\" (USD) ACC","BK4551":"寇图资本持仓","IE00BYXW3230.USD":"PINEBRIDGE GLOBAL DYNAMIC ASSET ALLOCATION \"AA\" (USD) ACC","IE00BK4W5M84.HKD":"HSBC GLOBAL FUNDS ICAV US EQUITY INDEX \"HC\" (HKD) ACC","LU0061474705.USD":"THREADNEEDLE (LUX) GLOBAL DYNAMIC REAL RETURN \"AU\" (USD) ACC","IE00B19Z8X17.USD":"FTGF CLEARBRIDGE US LARGE CAP GROWTH \"AG\" (USD) ACC","IE00B3M56506.USD":"NEUBERGER BERMAN EMERGING MARKETS EQUITY \"A\" (USD) ACC","BK4549":"软银资本持仓","IE00BFSS8Q28.SGD":"Janus Henderson Balanced A Inc SGD-H","IE0034235188.USD":"PINEBRIDGE GLOBAL FOCUS EQUITY \"A\" (USD) ACC","IE0034235303.USD":"PINEBRIDGE US RESEARCH ENHANCED CORE EQUITY \"A\" (USD) ACC","HK0000320223.HKD":"TAIKANG KAITAI CHINA NEW OPPORTUNITIES FUND \"A\" (HKD) ACC","IE0004086264.USD":"BNY MELLON GLOBAL OPPORTUNITIES \"A\" (USD) ACC","BK4554":"元宇宙及AR概念","HK0000320264.USD":"TAIKANG KAITAI CHINA NEW OPPORTUNITIES FUND \"A\" (USD) ACC"},"source_url":"https://www.bloomberg.com/news/articles/2024-10-09/nvidia-is-still-undervalued-says-50-billion-manager-impax?srnd=phx-latest","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"2474062082","content_text":"Impax is best known as an investor in the green transitionSlump helped Impax buy into Nvidia after missing earlier rallyNvidia Corp. share-price slump earlier this year resulted in a peak-to-trough decline in its market value of close to $1 trillion.As Nvidia Corp. found itself the target of a deep selloff earlier this year, Impax Asset Management was quietly seizing the moment to build a stake it had long regretted not owning.Ian Simm, chief executive officer and founder of the $50 billion London-based asset manager, says he and his team had been looking for an opportunity to correct what they had come to realize was a wrong call a few years ago, which meant missing out on Nvidia’s stunning 800% rally since the beginning of 2023.“We just underestimated the market potential of their product,” Simm said in an interview. Impax had been looking for a way in, but Nvidia “was expensive.” That is, “until it had a selloff.”Ian SimmNvidia’s share-price slump earlier this year resulted in a peak-to-trough decline in its market value of close to $1 trillion. Though much of that has since been recouped, Simm says he thinks the company’s current valuation of more than $3.2 trillion understates what it’s really worth.Established in 1998, Impax has made a name for itself as a giant among asset managers focused on the transition to a more sustainable economy. Simm says that goal should be compatible with making money for his clients. But it’s been a tough sell of late.Over the past couple of years, a spike in interest rates, an energy crisis and the ascent of the so-called Magnificent Seven of technology behemoths have turned green investing into a losing bet. Impax’s own share price is down almost 30% this year, while the S&P Global Clean Energy Index has lost more than 10%. The S&P 500, meanwhile, is up more than 20% in the same period.Earlier this week, Impax reported results that showed gains in listed equities of £5.3 billion ($6.9 billion) for the fiscal year ended Sept. 30. Still, that was less than the £5.8 billion of net outflows that Impax suffered in the period.Simm says Impax is learning from the past few years and focusing more on Big Tech, as it looks for undervalued opportunities to generate bigger returns.“Frankly, we’ve underperformed for the last couple of years in our main strategies because we’ve been more growth-at-a-reasonable-price, staying away from the momentum and hype around mega-cap tech investing,” he said.As Nvidia’s share price was falling in June, Impax more than tripled its stake in the company to 4.9 million shares by the end of the month from 1.4 million shares at the end of the first quarter, according to data compiled by Bloomberg and confirmed by Impax.Simm says Impax still considers Nvidia to be undervalued when taking into account how the boom in artificial intelligence is expected to drive demand for its chips.Simm says holding Nvidia, which like other technology giants needs to consume vast stores of energy to power its growth, also makes investing sense from a climate perspective. As demand for energy continues to increase, Nvidia and other companies that develop more efficient models will be better for the environment, he says.Nvidia’s Blackwell chips, which are beginning to roll out to customers this year, would need 3 gigawatts of power to develop OpenAI’s GPT-4 software, the company said at an event earlier this month. Ten years ago, that process would have required 5,500 gigawatts, the chipmaker said.“Nvidia’s ability to deliver energy savings makes it even more valuable,” Simm said.Impax holds Nvidia in five strategies and funds. That includes its Global Opportunities portfolio, which is limited to 40 stocks and consists of companies that have a diversified business model, operate in high-growth markets and are “out of favor for whatever reason,” Simm said. Microsoft Corp. is included because Impax thinks it’s undervalued “in the context of the secular trend toward more AI,” he said.In fact, “the whole industrial space” now looks undervalued, Simm said. That may change as a “soft landing in the US” looks increasingly likely, which is helping restore confidence, he said. The cost of capital is falling and consumer sentiment is stabilizing, so equity “is looking more attractive.”","news_type":1},"isVote":1,"tweetType":1,"viewCount":139,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":347843176866048,"gmtCreate":1725946289398,"gmtModify":1725946292788,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"If you think Nvidia is overvalued , this is even more overvalued","listText":"If you think Nvidia is overvalued , this is even more overvalued","text":"If you think Nvidia is overvalued , this is even more overvalued","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":2,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/347843176866048","repostId":"1107106093","repostType":2,"repost":{"id":"1107106093","kind":"news","pubTimestamp":1725939515,"share":"https://ttm.financial/m/news/1107106093?lang=&edition=fundamental","pubTime":"2024-09-10 11:38","market":"us","language":"en","title":"Palantir Stock Surges and Heads to the S&P 500 -- Time to Buy the AI Stock?","url":"https://stock-news.laohu8.com/highlight/detail?id=1107106093","media":"Motley Fool","summary":"Palantir has been on a huge winning streak. Should you buy the stock before it's added to the S&P 500?","content":"<h2 id=\"id_901305754\" style=\"text-align: start;\">KEY POINTS</h2><ul style=\"\"><li><p>Palantir stock is set to be added to the S&P 500 index on Sept. 23.</p></li><li><p>Being added to the S&P 500 means that index-tracking ETFs will be buying shares of Palantir.</p></li><li><p>The software specialist's business is looking very strong right now.</p></li></ul><p>Palantir stock is making big gains again. The company's share surged 14.1% on Monday.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/acf8c65a0afea9f2b1564c15aa4f1279\" tg-width=\"1212\" tg-height=\"834\"></p><p>Palantir is climbing in conjunction with news that the company's stock is going to be added to the <strong>S&P 500</strong> index. Companies in the index have to meet criteria for profitability, valuation, trading volume, and other factors -- and being added to the S&P 500 generally reflects that a business has been performing well and seeing its value increase.</p><p style=\"text-align: start;\">There's another big benefit to being added to a major index. Exchange traded funds (ETFs) that track the index will buy up shares of companies being added in order to reflect the composition change. In turn, this tends to create bullish momentum for the companies' stocks. With Palantir set to become part of the S&P 500 before the market opens on Sept. 23, the data analytics and artificial intelligence (AI) stock is already benefiting from this dynamic.</p><h2 id=\"id_2558096608\" style=\"text-align: start;\">Is Palantir stock a buy right now?</h2><p style=\"text-align: start;\">Palantir's business has been firing on all cylinders lately. Revenue grew 27% year over year in the second quarter, non-GAAP (adjusted) earnings per share rose 80% compared to the prior-year period, and the business posted an adjusted free-cash-flow margin of 21%. Strong momentum looks poised to continue in the near term.</p><p style=\"text-align: start;\">While Palantir got its start providing national-security analytics and other software services to government customers, the company has been rapidly growing its business in the private sector -- and its Artificial Intelligence Platform (AIP) software suite has been playing a big role in the momentum. Last quarter, sales to commercial customers increased 33% year over year and accounted for 45% of overall revenue. The technology specialist's fastest-growing business segment will soon be its largest, and this suggests that its sales growth has the potential to climb above already impressive levels.</p><p style=\"text-align: start;\">Even better, Palantir's business has hardly been slumping when it comes to the public sector. Sales to government customers increased 23% year over year in Q2 and were up 11% on a sequential quarterly basis. With geopolitical uncertainty seemingly on the rise, the company could continue to see strong demand in the segment.</p><p style=\"text-align: start;\">Palantir's growth engine has never looked stronger, and the stock looks like a worthwhile portfolio addition for risk-tolerant investors seeking long-term AI plays. Of course, investors have to keep their personal risk tolerance in mind. Valued at roughly 95 times this year's expected earnings, Palantir trades at a heavily growth-dependent valuation and could face outsized pressures if volatility hits the broader market.</p>","source":"fool_stock","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Palantir Stock Surges and Heads to the S&P 500 -- Time to Buy the AI Stock?</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nPalantir Stock Surges and Heads to the S&P 500 -- Time to Buy the AI Stock?\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-09-10 11:38 GMT+8 <a href=https://www.fool.com/investing/2024/09/09/palantir-is-soaring-today-and-heading-to-sp-500/><strong>Motley Fool</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>KEY POINTSPalantir stock is set to be added to the S&P 500 index on Sept. 23.Being added to the S&P 500 means that index-tracking ETFs will be buying shares of Palantir.The software specialist's ...</p>\n\n<a href=\"https://www.fool.com/investing/2024/09/09/palantir-is-soaring-today-and-heading-to-sp-500/\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"PLTR":"Palantir Technologies Inc."},"source_url":"https://www.fool.com/investing/2024/09/09/palantir-is-soaring-today-and-heading-to-sp-500/","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"1107106093","content_text":"KEY POINTSPalantir stock is set to be added to the S&P 500 index on Sept. 23.Being added to the S&P 500 means that index-tracking ETFs will be buying shares of Palantir.The software specialist's business is looking very strong right now.Palantir stock is making big gains again. The company's share surged 14.1% on Monday.Palantir is climbing in conjunction with news that the company's stock is going to be added to the S&P 500 index. Companies in the index have to meet criteria for profitability, valuation, trading volume, and other factors -- and being added to the S&P 500 generally reflects that a business has been performing well and seeing its value increase.There's another big benefit to being added to a major index. Exchange traded funds (ETFs) that track the index will buy up shares of companies being added in order to reflect the composition change. In turn, this tends to create bullish momentum for the companies' stocks. With Palantir set to become part of the S&P 500 before the market opens on Sept. 23, the data analytics and artificial intelligence (AI) stock is already benefiting from this dynamic.Is Palantir stock a buy right now?Palantir's business has been firing on all cylinders lately. Revenue grew 27% year over year in the second quarter, non-GAAP (adjusted) earnings per share rose 80% compared to the prior-year period, and the business posted an adjusted free-cash-flow margin of 21%. Strong momentum looks poised to continue in the near term.While Palantir got its start providing national-security analytics and other software services to government customers, the company has been rapidly growing its business in the private sector -- and its Artificial Intelligence Platform (AIP) software suite has been playing a big role in the momentum. Last quarter, sales to commercial customers increased 33% year over year and accounted for 45% of overall revenue. The technology specialist's fastest-growing business segment will soon be its largest, and this suggests that its sales growth has the potential to climb above already impressive levels.Even better, Palantir's business has hardly been slumping when it comes to the public sector. Sales to government customers increased 23% year over year in Q2 and were up 11% on a sequential quarterly basis. With geopolitical uncertainty seemingly on the rise, the company could continue to see strong demand in the segment.Palantir's growth engine has never looked stronger, and the stock looks like a worthwhile portfolio addition for risk-tolerant investors seeking long-term AI plays. Of course, investors have to keep their personal risk tolerance in mind. Valued at roughly 95 times this year's expected earnings, Palantir trades at a heavily growth-dependent valuation and could face outsized pressures if volatility hits the broader market.","news_type":1},"isVote":1,"tweetType":1,"viewCount":58,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":325701241295120,"gmtCreate":1720541094921,"gmtModify":1720541109379,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"Of course it would not last forever. Another 2-3 years would be enough for all shareholders to make good money","listText":"Of course it would not last forever. Another 2-3 years would be enough for all shareholders to make good money","text":"Of course it would not last forever. Another 2-3 years would be enough for all shareholders to make good money","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":2,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/325701241295120","repostId":"2449477578","repostType":2,"repost":{"id":"2449477578","kind":"highlight","weMediaInfo":{"introduction":"Dow Jones publishes the world’s most trusted business news and financial information in a variety of media.","home_visible":0,"media_name":"Dow Jones","id":"106","head_image":"https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99"},"pubTimestamp":1720491278,"share":"https://ttm.financial/m/news/2449477578?lang=&edition=fundamental","pubTime":"2024-07-09 10:14","market":"hk","language":"en","title":"Nvidia's Stock Is Soaring Largely Thanks to Microsoft, Alphabet and Tech's Other AI Giants. That Won't Last","url":"https://stock-news.laohu8.com/highlight/detail?id=2449477578","media":"Dow Jones","summary":"Companies are spending big to develop their own AI chips so they don't have to keep paying Nvidia. Within a few years, AI chips will sell at a small fraction of Nvidia's 'only game in town' price.Artificial intelligence and seven stocks have been driving the U.S. market's performance for a while. I agree with the market - these companies are magnificent. I'd want my kids to work for any of them.But there's a magnificent difference between a magnificent company and a magnificent stock - the difference lies in magnificent valuation. The price you pay for the shares of a company, even the magnificent ones, matters. Of course, I could have written these same words about Nvidia when its shares were much lower. I'll always look dumb questioning apostasy until I'm not. I'm used to it.Then the conversation shifted to the stock market and, of course, Nvidia. He asked me what I thought about it.Let me explain, using Alphabet as an example: Nvidia is currently selling some of its AI microproce","content":"<html><head></head><body><p>Companies are spending big to develop their own AI chips so they don't have to keep paying Nvidia</p><p>Within a few years, AI chips will sell at a small fraction of Nvidia's 'only game in town' price.</p><p>Artificial intelligence and seven (supposedly magnificent) stocks have been driving the U.S. market's performance for a while. I agree with the market - these companies are magnificent. I'd want my kids to work for any of them.</p><p>But there's a magnificent difference between a magnificent company and a magnificent stock - the difference lies in magnificent valuation. The price you pay for the shares of a company, even the magnificent ones, matters. Of course, I could have written these same words about Nvidia <a href=\"https://laohu8.com/S/NVDA\">$(NVDA)$</a> when its shares were much lower. I'll always look dumb questioning apostasy until I'm not. I'm used to it.</p><p>I'm fairly certain what I'm about to say will age well, though not in a linear way. Let me tell you a story.</p><p>I was talking to a friend. He told me a tree had fallen on his almost-new car. His car was totaled, and he got a check from insurance. He still had the memory of buying a car during the pandemic, how difficult it was and how expensive cars were. He said, to his shock, when he went to buy a replacement, he found car dealers fighting for his business. He got a car at a huge discount to the sticker price, because the market is oversupplied with cars. Predictably, high prices a few years ago led to higher supply today, and thus lower prices.</p><p>Then the conversation (as you would expect) shifted to the stock market and, of course, Nvidia. He asked me what I thought about it.</p><p>I told him that the market is now flooded with cars, despite them being difficult to get a few years ago. And the same is happening with GPU chips.</p><p>A few years ago, some people thought high prices would persist in the car market indefinitely. Though I imagine most people thought that at some point it would end in lower prices. Here's all you need to know: The laws of economics work the same way with microchips.</p><p>Today, Alphabet <a href=\"https://laohu8.com/S/GOOGL\">$(GOOGL)$</a>, Apple <a href=\"https://laohu8.com/S/AAPL\">$(AAPL)$</a>, <a href=\"https://laohu8.com/S/META\">Meta Platforms</a>, Tesla <a href=\"https://laohu8.com/S/TSLA\">$(TSLA)$</a> and Amazon <a href=\"https://laohu8.com/S/AMZN\">$(AMZN)$</a>, for example, are buying a very large number of chips from Nvidia, as it is the only game in town. Nvidia's skyrocketing profitability is at their expense. Actually, it's a capital expenditure - only a portion of their spending that shows up in Nvidia's revenue shows up in Alphabet's earnings (income statement expenses), for example.</p><p>As competing products hit the market, Nvidia's sales will falter, and so will its margins and earnings.</p><p>Let me explain, using Alphabet as an example: Nvidia is currently selling some of its AI microprocessors for $40,000 a pop. Microprocessors are capital expenditures, thus they are depreciated over five years or so. Per accounting rules, only $8,000 of the $40,000 Alphabet pays to Nvidia shows up in Alphabet's income statement in the form of depreciation, while the full $40,000 shows up in Nvidia's revenues. That's why these companies' free cash flow often is much lower than their income.</p><p>These tech giants aren't pleased to be paying Nvidia for their needs. So, in addition to Intel <a href=\"https://laohu8.com/S/INTC\">$(INTC)$</a> and AMD <a href=\"https://laohu8.com/S/AMD\">$(AMD)$</a>, these companies are spending big to develop their own AI chips. Moreover, dozens of other companies we haven't heard of are working on AI chips.</p><p>Fast-forward a few years, and AI chips will sell at a small fraction of Nvidia's "only game in town" price. The cure for high prices is high prices. This is what I love about capitalism.</p><p>The argument I hear about Nvidia stock is that it's not insanely expensive, as it is trading at somewhere around 30-40 times future earnings. True. Though it's a high valuation for a $3 trillion company, it's not "insane."</p><p>But, and this is a huge but, the "E" in this P/E calculation is a bit misleading and provides a false sense of security. As competing products hit the market, Nvidia's sales will falter, and so will its margins and earnings.</p></body></html>","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Nvidia's Stock Is Soaring Largely Thanks to Microsoft, Alphabet and Tech's Other AI Giants. That Won't Last</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nNvidia's Stock Is Soaring Largely Thanks to Microsoft, Alphabet and Tech's Other AI Giants. That Won't Last\n</h2>\n\n<h4 class=\"meta\">\n\n\n<div class=\"head\" \">\n\n\n<div class=\"h-thumb\" style=\"background-image:url(https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99);background-size:cover;\"></div>\n\n<div class=\"h-content\">\n<p class=\"h-name\">Dow Jones </p>\n<p class=\"h-time\">2024-07-09 10:14</p>\n</div>\n\n</div>\n\n\n</h4>\n\n</header>\n<article>\n<html><head></head><body><p>Companies are spending big to develop their own AI chips so they don't have to keep paying Nvidia</p><p>Within a few years, AI chips will sell at a small fraction of Nvidia's 'only game in town' price.</p><p>Artificial intelligence and seven (supposedly magnificent) stocks have been driving the U.S. market's performance for a while. I agree with the market - these companies are magnificent. I'd want my kids to work for any of them.</p><p>But there's a magnificent difference between a magnificent company and a magnificent stock - the difference lies in magnificent valuation. The price you pay for the shares of a company, even the magnificent ones, matters. Of course, I could have written these same words about Nvidia <a href=\"https://laohu8.com/S/NVDA\">$(NVDA)$</a> when its shares were much lower. I'll always look dumb questioning apostasy until I'm not. I'm used to it.</p><p>I'm fairly certain what I'm about to say will age well, though not in a linear way. Let me tell you a story.</p><p>I was talking to a friend. He told me a tree had fallen on his almost-new car. His car was totaled, and he got a check from insurance. He still had the memory of buying a car during the pandemic, how difficult it was and how expensive cars were. He said, to his shock, when he went to buy a replacement, he found car dealers fighting for his business. He got a car at a huge discount to the sticker price, because the market is oversupplied with cars. Predictably, high prices a few years ago led to higher supply today, and thus lower prices.</p><p>Then the conversation (as you would expect) shifted to the stock market and, of course, Nvidia. He asked me what I thought about it.</p><p>I told him that the market is now flooded with cars, despite them being difficult to get a few years ago. And the same is happening with GPU chips.</p><p>A few years ago, some people thought high prices would persist in the car market indefinitely. Though I imagine most people thought that at some point it would end in lower prices. Here's all you need to know: The laws of economics work the same way with microchips.</p><p>Today, Alphabet <a href=\"https://laohu8.com/S/GOOGL\">$(GOOGL)$</a>, Apple <a href=\"https://laohu8.com/S/AAPL\">$(AAPL)$</a>, <a href=\"https://laohu8.com/S/META\">Meta Platforms</a>, Tesla <a href=\"https://laohu8.com/S/TSLA\">$(TSLA)$</a> and Amazon <a href=\"https://laohu8.com/S/AMZN\">$(AMZN)$</a>, for example, are buying a very large number of chips from Nvidia, as it is the only game in town. Nvidia's skyrocketing profitability is at their expense. Actually, it's a capital expenditure - only a portion of their spending that shows up in Nvidia's revenue shows up in Alphabet's earnings (income statement expenses), for example.</p><p>As competing products hit the market, Nvidia's sales will falter, and so will its margins and earnings.</p><p>Let me explain, using Alphabet as an example: Nvidia is currently selling some of its AI microprocessors for $40,000 a pop. Microprocessors are capital expenditures, thus they are depreciated over five years or so. Per accounting rules, only $8,000 of the $40,000 Alphabet pays to Nvidia shows up in Alphabet's income statement in the form of depreciation, while the full $40,000 shows up in Nvidia's revenues. That's why these companies' free cash flow often is much lower than their income.</p><p>These tech giants aren't pleased to be paying Nvidia for their needs. So, in addition to Intel <a href=\"https://laohu8.com/S/INTC\">$(INTC)$</a> and AMD <a href=\"https://laohu8.com/S/AMD\">$(AMD)$</a>, these companies are spending big to develop their own AI chips. Moreover, dozens of other companies we haven't heard of are working on AI chips.</p><p>Fast-forward a few years, and AI chips will sell at a small fraction of Nvidia's "only game in town" price. The cure for high prices is high prices. This is what I love about capitalism.</p><p>The argument I hear about Nvidia stock is that it's not insanely expensive, as it is trading at somewhere around 30-40 times future earnings. True. Though it's a high valuation for a $3 trillion company, it's not "insane."</p><p>But, and this is a huge but, the "E" in this P/E calculation is a bit misleading and provides a false sense of security. As competing products hit the market, Nvidia's sales will falter, and so will its margins and earnings.</p></body></html>\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"LU0056508442.USD":"贝莱德世界科技基金A2","BK4553":"喜马拉雅资本持仓","BK4567":"ESG概念","IE00BMPRXN33.USD":"NEUBERGER BERMAN 5G CONNECTIVITY \"A\" (USD) ACC","LU0109392836.USD":"富兰克林科技股A","LU0820562030.AUD":"ALLIANZ INCOME AND GROWTH \"AMH2\" (AUDHDG) H2 INC","BK4555":"新能源车","LU0128525689.USD":"TEMPLETON GLOBAL BALANCED \"A\"(USD) ACC","LU0965509010.AUD":"AB LOW VOLATILITY EQUITY PORTFOLIO \"AD\" (AUDHDG) INC","BK4566":"资本集团","SG9999015945.SGD":"LionGlobal Disruptive Innovation Fund A SGD","LU1242518931.SGD":"Fullerton Lux Funds - Asia Absolute Alpha A Acc SGD","IE00BWXC8680.SGD":"PINEBRIDGE US LARGE CAP RESEARCH ENHANCED \"A5\" (SGD) ACC","NVDA":"英伟达","BK4559":"巴菲特持仓","BK4515":"5G概念","LU0070302665.USD":"FRANKLIN MUTUAL U.S. VALUE \"A\" (USD) ACC","LU2326559502.SGD":"Natixis Loomis Sayles US Growth Equity P/A SGD-H","LU0158827948.USD":"ALLIANZ GLOBAL SUSTAINABILITY \"A\" (USD) INC","BK4550":"红杉资本持仓","IE00BD6J9T35.USD":"NEUBERGER BERMAN NEXT GENERATION MOBILITY \"A\" (USD) ACC","LU0198837287.USD":"UBS (LUX) EQUITY SICAV - USA GROWTH \"P\" (USD) ACC","LU0444971666.USD":"天利全球科技基金","LU1861215975.USD":"贝莱德新一代科技基金 A2","LU1064131342.USD":"Fullerton Lux Funds - Global Absolute Alpha A Acc USD","LU0276348264.USD":"THREADNEEDLE (LUX) GLOBAL DYNAMIC REAL RETURN\"AUP\" (USD) INC","LU1861220033.SGD":"Blackrock Next Generation Technology A2 SGD-H","LU2602419157.SGD":"HSBC ISLAMIC GLOBAL EQUITY INDEX \"AC\" (SGD) ACC","BK4512":"苹果概念","LU0965509101.SGD":"AB LOW VOLATILITY EQUITY PORTFOLIO \"A\" (SGDHDG) ACC","LU0289941410.SGD":"AB FCP I Dynamic Diversified AX SGD","LU1303367103.USD":"摩根大通多经理另类基金 A (acc)","LU0289739343.SGD":"SUSTAINABLE GLOBAL THEMATIC PORTFOLIO \"A\" (SGD) ACC","BK4511":"特斯拉概念","LU2098885051.SGD":"JPMorgan Funds - Multi-Manager Alternatives A (acc) SGD","BK4514":"搜索引擎","LU2458330243.SGD":"FRANKLIN SHARIAH TECHNOLOGY \"A-H1\" (SGDHDG) ACC","LU0170899867.USD":"EASTSPRING INVESTMENTS WORLD VALUE EQUITY \"A\" (USD) ACC","IE00B19Z3581.USD":"Legg Mason ClearBridge - Value A Acc USD","LU0417517546.SGD":"Allianz US Equity Cl AT Acc SGD","BK4554":"元宇宙及AR概念"},"source_url":"https://dowjonesnews.com/newdjn/logon.aspx?AL=N","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"2449477578","content_text":"Companies are spending big to develop their own AI chips so they don't have to keep paying NvidiaWithin a few years, AI chips will sell at a small fraction of Nvidia's 'only game in town' price.Artificial intelligence and seven (supposedly magnificent) stocks have been driving the U.S. market's performance for a while. I agree with the market - these companies are magnificent. I'd want my kids to work for any of them.But there's a magnificent difference between a magnificent company and a magnificent stock - the difference lies in magnificent valuation. The price you pay for the shares of a company, even the magnificent ones, matters. Of course, I could have written these same words about Nvidia $(NVDA)$ when its shares were much lower. I'll always look dumb questioning apostasy until I'm not. I'm used to it.I'm fairly certain what I'm about to say will age well, though not in a linear way. Let me tell you a story.I was talking to a friend. He told me a tree had fallen on his almost-new car. His car was totaled, and he got a check from insurance. He still had the memory of buying a car during the pandemic, how difficult it was and how expensive cars were. He said, to his shock, when he went to buy a replacement, he found car dealers fighting for his business. He got a car at a huge discount to the sticker price, because the market is oversupplied with cars. Predictably, high prices a few years ago led to higher supply today, and thus lower prices.Then the conversation (as you would expect) shifted to the stock market and, of course, Nvidia. He asked me what I thought about it.I told him that the market is now flooded with cars, despite them being difficult to get a few years ago. And the same is happening with GPU chips.A few years ago, some people thought high prices would persist in the car market indefinitely. Though I imagine most people thought that at some point it would end in lower prices. Here's all you need to know: The laws of economics work the same way with microchips.Today, Alphabet $(GOOGL)$, Apple $(AAPL)$, Meta Platforms, Tesla $(TSLA)$ and Amazon $(AMZN)$, for example, are buying a very large number of chips from Nvidia, as it is the only game in town. Nvidia's skyrocketing profitability is at their expense. Actually, it's a capital expenditure - only a portion of their spending that shows up in Nvidia's revenue shows up in Alphabet's earnings (income statement expenses), for example.As competing products hit the market, Nvidia's sales will falter, and so will its margins and earnings.Let me explain, using Alphabet as an example: Nvidia is currently selling some of its AI microprocessors for $40,000 a pop. Microprocessors are capital expenditures, thus they are depreciated over five years or so. Per accounting rules, only $8,000 of the $40,000 Alphabet pays to Nvidia shows up in Alphabet's income statement in the form of depreciation, while the full $40,000 shows up in Nvidia's revenues. That's why these companies' free cash flow often is much lower than their income.These tech giants aren't pleased to be paying Nvidia for their needs. So, in addition to Intel $(INTC)$ and AMD $(AMD)$, these companies are spending big to develop their own AI chips. Moreover, dozens of other companies we haven't heard of are working on AI chips.Fast-forward a few years, and AI chips will sell at a small fraction of Nvidia's \"only game in town\" price. The cure for high prices is high prices. This is what I love about capitalism.The argument I hear about Nvidia stock is that it's not insanely expensive, as it is trading at somewhere around 30-40 times future earnings. True. Though it's a high valuation for a $3 trillion company, it's not \"insane.\"But, and this is a huge but, the \"E\" in this P/E calculation is a bit misleading and provides a false sense of security. As competing products hit the market, Nvidia's sales will falter, and so will its margins and earnings.","news_type":1},"isVote":1,"tweetType":1,"viewCount":196,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":370950969823600,"gmtCreate":1731603359102,"gmtModify":1731603364373,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"That's the spirit [Strong] Fa Da Cai [Eye] ","listText":"That's the spirit [Strong] Fa Da Cai [Eye] ","text":"That's the spirit [Strong] Fa Da Cai [Eye]","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/370950969823600","repostId":"1165124291","repostType":2,"repost":{"id":"1165124291","kind":"news","pubTimestamp":1731599503,"share":"https://ttm.financial/m/news/1165124291?lang=&edition=fundamental","pubTime":"2024-11-14 23:51","market":"us","language":"en","title":"Super Micro Computer: I Am Greedy While Others Are Fearful","url":"https://stock-news.laohu8.com/highlight/detail?id=1165124291","media":"Seeking Alpha","summary":"SummarySuper Micro Computer is significantly undervalued due to highly likely exaggerated fears of accounting manipulations and the reported DOJ investigation, presenting a strong buying opportunity.D","content":"<html><head></head><body><h2 id=\"id_1975904538\">Summary</h2><ul style=\"\"><li><p>Super Micro Computer is significantly undervalued due to highly likely exaggerated fears of accounting manipulations and the reported DOJ investigation, presenting a strong buying opportunity.</p></li><li><p>Despite reputational challenges, SMCI's partnerships with NVIDIA and AMD affirm its credibility and operational integrity, bolstering confidence in its financial reports.</p></li><li><p>Preliminary FQ1 2025 results show robust revenue growth and improved margins, driven by strong AI GPU platform demand, indicating solid business fundamentals.</p></li><li><p>Valuation analysis suggests a fair share price of $90, highlighting substantial upside potential from current levels, making SMCI a compelling opportunity.</p></li></ul><p></p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/e678235f3d3a4c30f6900e649543eed9\" alt=\"Supermicro headquarters in San Jose, California, USA\" title=\"Supermicro headquarters in San Jose, California, USA\" tg-width=\"750\" tg-height=\"500\"/><span>Supermicro headquarters in San Jose, California, USA</span></p><h2 id=\"id_392237773\">Introduction</h2><p>Super Micro Computer (NASDAQ:SMCI) is still dropping, and is five times cheaper than its March 2024 peak. The company is still generating exponential revenue growth and increasing EPS. However, the stock price suggests that concerns about SMCI's accounting inaccuracy overshadow robust business expansion.</p><p>I am not happy that the stock plunged by 63% since my August bullish call, as I have skin in the game. I have been buying aggressively since the stock started tanking in late August, meaning that I have a substantial SMCI position. I also worry about the recent auditor resignation and there is a lot of uncertainty in the FY2024 10-K report release timing. Yet, the stock is so cheap that it provides an excellent opportunity to double down. The preliminary earnings for the latest quarter were released a week ago. It is very hard to imagine that the management would risk presenting an unfair view of SMCI's financial performance, given the panic around the stock and the reported DOJ investigation.</p><p>The deeply low 14-day RSI reading shows how very spooked the market is over SMCI. This makes me greedy. I tend to believe that allegations of accounting manipulations are exaggerated. Therefore, I still consider SMCI a 'Strong Buy'.</p><h2 id=\"id_3077953962\">Fundamental analysis</h2><p>SMCI has recently encountered several significant reputational challenges. This began with a late-August opinions from some analysts that questioned the trustworthiness of SMCI's financial statements and the management's integrity. The company then failed to file its 10-K report on time, and there are reports of a DOJ investigation regarding allegations around accounting manipulations. As a result of all these adverse events, the stock price decreased by more than 60% since late August.</p><p>The company has recently released its FQ1 2025 preliminary results and FQ2 2025 guidance, with robust revenue and EPS growth. I tend to trust in the accuracy of this release, despite the aforementioned allegations. There are two big reasons for such confidence.</p><p>The first is that it is hard to imagine that a company under public pressure and scrutiny would manipulate its financials. Second, no major semiconductor companies have separated from SMCI and continue to call SMCI their partner. It has been rumored that Nvidia is taking orders away from SMCI, but I tend to go with what the companies say on their website.</p><p>On October 15, Nvidia announced a new partnership with SMCI. The expanded collaboration highlights the integration of Nvidia's BlueField data processing unit ('DPU') into SMCI's storage solutions. This factor highlights Nvidia's confidence in SMCI's trustworthiness. Furthermore, a presentation endorsing SMCI is still available on AMD's official website. I might be missing something, but Nvidia and AMD appear to be companies with flawless reputations. Thus, it is highly unlikely that Jensen Huang or Lisa Su would risk their reputations by supporting collaboration with a company with questionable integrity or operational practices. There is also a separate page on Intel's website dedicated to endorse SMCI's offerings.</p><p></p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/e915ca85bac0b07cb94d9f717e09bebb\" alt=\"SA\" title=\"SA\" tg-width=\"617\" tg-height=\"311\"/><span>SA</span></p><p></p><p>Therefore, I consider the preliminary earnings announcement as trustworthy. According to preliminary results, revenue for FQ1 ranged from $5.9 billion to $6 billion, representing an 181% year-over-year increase. The growth was primarily driven by strong demand for AI GPU platforms. SMCI's non-GAAP gross margin has improved quarter-over-quarter from 11.3% to 13.3%. The profitability expansion was powered by favorable shifts in the product and customer mix.</p><p>The FQ2 guidance also looks robust, with the projected range from $5.5 billion to $6.1 billion. The $5.8 billion midpoint level is 58% higher compared to the same quarter of FY2024. The guidance fell short of Wall Street expectations, but this looks explainable, as the management cites low Blackwell GPU availability due to high demand. So, the problem looks temporary.</p><p>Secular trends are still strong as cloud giants look unwilling to cool down their data center spending spree. Amazon plans to invest another billion+ in Italian data centers and has recently bought 350 acres for data center in Becker. Google's plans to invest much more in data centers over the long term are apparent after the company announced that it is buying nuclear reactors to meet the energy demand of its current and future data centers. Microsoft also recognizes the potential for data center expansion and is already incorporating sustainable solutions to minimize its environmental footprint. Thus, the industry is thriving and evolving rapidly, providing a strong tailwind for SMCI.</p><p></p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/c88485771692e0f540617907c77cd416\" alt=\"\" title=\"\" tg-width=\"635\" tg-height=\"424\"/></p><p></p><p>The stock is significantly oversold, with its 14-day RSI indicator at a historically low level of 27. While the market seems extremely fearful about SMCI, I prefer to set emotions aside. The world's largest semiconductor companies, which undoubtedly value their reputations, continue to work closely with SMCI, suggesting that the allegations are likely overestimated. Furthermore, the company is already under significant public pressure and scrutiny, making accounting manipulations around the latest preliminary quarterly earnings release extremely unlikely.</p><h2 id=\"id_1000083254\">Valuation analysis</h2><p>As I mentioned, the stock is now significantly cheaper than it was in late August, and such a plunge is explained by fears of the market regarding accounting manipulation allegations. However, since I outlined why I believe that these fears are highly likely exaggerated, I plan to rely on long-term consensus revenue projections to build my DCF model. The zero FCF margin for the base year reflects the company's aggressive CapEx spending to address soaring demand. For the years after FY2025, I reiterate the same trajectory of the metric expanding by 200 basis points yearly. To balance out an aggressive FCF margin assumption, I use a very conservative 2% constant growth rate to calculate terminal value ('TV'). I use an 8% WACC to discount future cash flows.</p><p></p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/ad7a5df190b39226ec84be40cfeb92e3\" alt=\"Calculated by the author\" title=\"Calculated by the author\" tg-width=\"640\" tg-height=\"296\"/><span>Calculated by the author</span></p><p></p><p>The first simulation indicates a fair share price of approximately $90, which is almost four times higher compared to the current share price. Thus, fears around the stock made it extremely cheap.</p><p>The fair value estimation approaches the current share price only if unrealistically pessimistic assumptions are incorporated. The fair share price is around $23 when I apply a 1% constant growth rate and a very low 3% revenue CAGR for the next five years, with the FCF margin expanding by only 100 basis points annually.</p><p></p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/eac69b7345c3cdf59226b894d21ac6c7\" alt=\"Calculated by the author\" title=\"Calculated by the author\" tg-width=\"640\" tg-height=\"294\"/><span>Calculated by the author</span></p><p></p><p>With that said, I believe SMCI is very attractively valued. My target price is $90 per share, which is close to mid-summer 2024 levels, making such upside potential realistic.</p><h2 id=\"id_1906077690\">Mitigating factors</h2><p>Official communication is crucial in emergency cases threatening the image of a business, such as those experienced by SMCI over the last few months. In my opinion, the management could have handled the situation in a smoother way. As a result, it seems that the stock crash would not have been as bad. There is still no indication of when the company’s FY2024 10-K report will be published, which creates room for possible new bad-looking headlines. This might just set off another bearish market wave if the communication approach between the management and investors remains the same.</p><p>Additionally, the past precedent of delisting in 2019 due to accounting issues remains a concern. According to the official information from SMCI, the management is still unable to share the expected date of the 10-K filing, which increases risks of failing to comply with Nasdaq listing rules. However, I believe that the company's efforts to engage a new auditor will mitigate the risk. The completion of the Special Committee's investigation, which found no evidence of fraud or misconduct, is a positive step towards resolving this adverse situation.</p><h2 id=\"id_3728447271\">Conclusion</h2><p>As an investor, I prefer to set emotions aside and focus on the facts. A company that has faces intense public scrutiny is almost certainly not going to play along with its accounting books. This factor makes the recent preliminary FQ1 2025 earnings release is a reliable informational tool. I am also extremely skeptical that Nvidia, AMD, or Intel would continue supporting SMCI as a crucial technological partner if there was really something wrong with it.</p></body></html>","source":"seekingalpha_fund","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Super Micro Computer: I Am Greedy While Others Are Fearful</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; 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}\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nSuper Micro Computer: I Am Greedy While Others Are Fearful\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-11-14 23:51 GMT+8 <a href=https://seekingalpha.com/article/4736805-super-micro-computer-stock-substantial-upside-potential-compelling-opportunity><strong>Seeking Alpha</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>SummarySuper Micro Computer is significantly undervalued due to highly likely exaggerated fears of accounting manipulations and the reported DOJ investigation, presenting a strong buying opportunity....</p>\n\n<a href=\"https://seekingalpha.com/article/4736805-super-micro-computer-stock-substantial-upside-potential-compelling-opportunity\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"SMCI":"超微电脑"},"source_url":"https://seekingalpha.com/article/4736805-super-micro-computer-stock-substantial-upside-potential-compelling-opportunity","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"1165124291","content_text":"SummarySuper Micro Computer is significantly undervalued due to highly likely exaggerated fears of accounting manipulations and the reported DOJ investigation, presenting a strong buying opportunity.Despite reputational challenges, SMCI's partnerships with NVIDIA and AMD affirm its credibility and operational integrity, bolstering confidence in its financial reports.Preliminary FQ1 2025 results show robust revenue growth and improved margins, driven by strong AI GPU platform demand, indicating solid business fundamentals.Valuation analysis suggests a fair share price of $90, highlighting substantial upside potential from current levels, making SMCI a compelling opportunity.Supermicro headquarters in San Jose, California, USAIntroductionSuper Micro Computer (NASDAQ:SMCI) is still dropping, and is five times cheaper than its March 2024 peak. The company is still generating exponential revenue growth and increasing EPS. However, the stock price suggests that concerns about SMCI's accounting inaccuracy overshadow robust business expansion.I am not happy that the stock plunged by 63% since my August bullish call, as I have skin in the game. I have been buying aggressively since the stock started tanking in late August, meaning that I have a substantial SMCI position. I also worry about the recent auditor resignation and there is a lot of uncertainty in the FY2024 10-K report release timing. Yet, the stock is so cheap that it provides an excellent opportunity to double down. The preliminary earnings for the latest quarter were released a week ago. It is very hard to imagine that the management would risk presenting an unfair view of SMCI's financial performance, given the panic around the stock and the reported DOJ investigation.The deeply low 14-day RSI reading shows how very spooked the market is over SMCI. This makes me greedy. I tend to believe that allegations of accounting manipulations are exaggerated. Therefore, I still consider SMCI a 'Strong Buy'.Fundamental analysisSMCI has recently encountered several significant reputational challenges. This began with a late-August opinions from some analysts that questioned the trustworthiness of SMCI's financial statements and the management's integrity. The company then failed to file its 10-K report on time, and there are reports of a DOJ investigation regarding allegations around accounting manipulations. As a result of all these adverse events, the stock price decreased by more than 60% since late August.The company has recently released its FQ1 2025 preliminary results and FQ2 2025 guidance, with robust revenue and EPS growth. I tend to trust in the accuracy of this release, despite the aforementioned allegations. There are two big reasons for such confidence.The first is that it is hard to imagine that a company under public pressure and scrutiny would manipulate its financials. Second, no major semiconductor companies have separated from SMCI and continue to call SMCI their partner. It has been rumored that Nvidia is taking orders away from SMCI, but I tend to go with what the companies say on their website.On October 15, Nvidia announced a new partnership with SMCI. The expanded collaboration highlights the integration of Nvidia's BlueField data processing unit ('DPU') into SMCI's storage solutions. This factor highlights Nvidia's confidence in SMCI's trustworthiness. Furthermore, a presentation endorsing SMCI is still available on AMD's official website. I might be missing something, but Nvidia and AMD appear to be companies with flawless reputations. Thus, it is highly unlikely that Jensen Huang or Lisa Su would risk their reputations by supporting collaboration with a company with questionable integrity or operational practices. There is also a separate page on Intel's website dedicated to endorse SMCI's offerings.SATherefore, I consider the preliminary earnings announcement as trustworthy. According to preliminary results, revenue for FQ1 ranged from $5.9 billion to $6 billion, representing an 181% year-over-year increase. The growth was primarily driven by strong demand for AI GPU platforms. SMCI's non-GAAP gross margin has improved quarter-over-quarter from 11.3% to 13.3%. The profitability expansion was powered by favorable shifts in the product and customer mix.The FQ2 guidance also looks robust, with the projected range from $5.5 billion to $6.1 billion. The $5.8 billion midpoint level is 58% higher compared to the same quarter of FY2024. The guidance fell short of Wall Street expectations, but this looks explainable, as the management cites low Blackwell GPU availability due to high demand. So, the problem looks temporary.Secular trends are still strong as cloud giants look unwilling to cool down their data center spending spree. Amazon plans to invest another billion+ in Italian data centers and has recently bought 350 acres for data center in Becker. Google's plans to invest much more in data centers over the long term are apparent after the company announced that it is buying nuclear reactors to meet the energy demand of its current and future data centers. Microsoft also recognizes the potential for data center expansion and is already incorporating sustainable solutions to minimize its environmental footprint. Thus, the industry is thriving and evolving rapidly, providing a strong tailwind for SMCI.The stock is significantly oversold, with its 14-day RSI indicator at a historically low level of 27. While the market seems extremely fearful about SMCI, I prefer to set emotions aside. The world's largest semiconductor companies, which undoubtedly value their reputations, continue to work closely with SMCI, suggesting that the allegations are likely overestimated. Furthermore, the company is already under significant public pressure and scrutiny, making accounting manipulations around the latest preliminary quarterly earnings release extremely unlikely.Valuation analysisAs I mentioned, the stock is now significantly cheaper than it was in late August, and such a plunge is explained by fears of the market regarding accounting manipulation allegations. However, since I outlined why I believe that these fears are highly likely exaggerated, I plan to rely on long-term consensus revenue projections to build my DCF model. The zero FCF margin for the base year reflects the company's aggressive CapEx spending to address soaring demand. For the years after FY2025, I reiterate the same trajectory of the metric expanding by 200 basis points yearly. To balance out an aggressive FCF margin assumption, I use a very conservative 2% constant growth rate to calculate terminal value ('TV'). I use an 8% WACC to discount future cash flows.Calculated by the authorThe first simulation indicates a fair share price of approximately $90, which is almost four times higher compared to the current share price. Thus, fears around the stock made it extremely cheap.The fair value estimation approaches the current share price only if unrealistically pessimistic assumptions are incorporated. The fair share price is around $23 when I apply a 1% constant growth rate and a very low 3% revenue CAGR for the next five years, with the FCF margin expanding by only 100 basis points annually.Calculated by the authorWith that said, I believe SMCI is very attractively valued. My target price is $90 per share, which is close to mid-summer 2024 levels, making such upside potential realistic.Mitigating factorsOfficial communication is crucial in emergency cases threatening the image of a business, such as those experienced by SMCI over the last few months. In my opinion, the management could have handled the situation in a smoother way. As a result, it seems that the stock crash would not have been as bad. There is still no indication of when the company’s FY2024 10-K report will be published, which creates room for possible new bad-looking headlines. This might just set off another bearish market wave if the communication approach between the management and investors remains the same.Additionally, the past precedent of delisting in 2019 due to accounting issues remains a concern. According to the official information from SMCI, the management is still unable to share the expected date of the 10-K filing, which increases risks of failing to comply with Nasdaq listing rules. However, I believe that the company's efforts to engage a new auditor will mitigate the risk. The completion of the Special Committee's investigation, which found no evidence of fraud or misconduct, is a positive step towards resolving this adverse situation.ConclusionAs an investor, I prefer to set emotions aside and focus on the facts. A company that has faces intense public scrutiny is almost certainly not going to play along with its accounting books. This factor makes the recent preliminary FQ1 2025 earnings release is a reliable informational tool. I am also extremely skeptical that Nvidia, AMD, or Intel would continue supporting SMCI as a crucial technological partner if there was really something wrong with it.","news_type":1},"isVote":1,"tweetType":1,"viewCount":125,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0},{"id":362635616243864,"gmtCreate":1729575960771,"gmtModify":1729575964570,"author":{"id":"4171803256903022","authorId":"4171803256903022","name":"WealthBuilder","avatar":"https://community-static.tradeup.com/news/c38f4668f8134a2f2f17efffb35d19b4","crmLevel":5,"crmLevelSwitch":0,"followedFlag":false,"idStr":"4171803256903022","authorIdStr":"4171803256903022"},"themes":[],"htmlText":"No such thing as forever , it will keep flying and reach a point that it will come down. Semicon is cyclical ","listText":"No such thing as forever , it will keep flying and reach a point that it will come down. Semicon is cyclical ","text":"No such thing as forever , it will keep flying and reach a point that it will come down. Semicon is cyclical","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/362635616243864","repostId":"2477990068","repostType":2,"repost":{"id":"2477990068","kind":"highlight","pubTimestamp":1729567615,"share":"https://ttm.financial/m/news/2477990068?lang=&edition=fundamental","pubTime":"2024-10-22 11:26","market":"us","language":"en","title":"Taiwan Semiconductor: Buy And Hold This Stock Forever","url":"https://stock-news.laohu8.com/highlight/detail?id=2477990068","media":"seekingalpha","summary":"SummaryTaiwan Semiconductor Manufacturing Company Limited's stock has risen considerably over the past 12 months.The company's strong moat, operational excellence, and robust growth have fueled invest","content":"<html><head></head><body><h2 id=\"id_2807934737\">Summary</h2><ul style=\"\"><li><p>Taiwan Semiconductor Manufacturing Company Limited's stock has risen considerably over the past 12 months.</p></li><li><p>The company's strong moat, operational excellence, and robust growth have fueled investor optimism.</p></li><li><p>TSMC is one of my stocks to own forever.</p></li></ul><p><strong>Taiwan Semiconductor Manufacturing Company Limited </strong>aka<strong> TSMC</strong> (NYSE:TSM) reported earnings last week to great fanfare, as the stock added a 5+% rally on top of a share price that has already more than doubled over the last 12 months. Even after this run-up, TSM remains one of my favorite picks for the simple reason that it has all the hallmarks of a business to own forever: it has a wide moat, is positioned in an essential and growing sector, and has demonstrated unparalleled operational excellence. Buy TSM and don't let go.</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/45dfa7f35f6fb5652725f3d870b86336\" alt=\"Data by YCharts\" title=\"Data by YCharts\" tg-width=\"635\" tg-height=\"424\"/><span>Data by YCharts</span></p><p>With AI demand continuing to surge and stock valuations soaring, expectations were fairly high for TSMC's Q3 results: as the world's pre-eminent chip manufacturer, servicing almost all the leading semiconductor design companies, TSMC is a bellwether for the health of the tech sector and the economy at large. Even so, the company was able to surpass those lofty expectations and further fuel investor optimism over its ability to maintain its dominant market position. Let's recap the most recent earnings results.</p><p>TSMC reported quarterly revenue of $23.5 billion, up 39% YoY and 12% QoQ, EPS of $1.94, up 54% YoY and 31% QoQ, and gross margin of 57.8%, up 350 bps YoY and 450 bps QoQ. As far as core metrics go, not many companies are achieving this level of growth on a revenue base this high with a margin this lucrative. Contract manufacturing in most industries is a low-margin race to the bottom. However, TSMC is so far ahead of the competition, which is really just Samsung Electronics Co., Ltd. (OTCPK:SSNLF) and Intel Corporation (INTC), that it has been able to consistently achieve an outsized net profit margin, including a record-high 42.8% for Q3 2024.</p><p>On the balance sheet side, the company is in great shape as cash & equivalents have ballooned to nearly $60 billion, up 44% YoY, compared to just $28 billion in long-term debt, which is actually slightly down from Q3 2023. And while TSMC's business is highly capital intensive, the cash flows look pristine as well with $5.7 billion in free cash flow, adding to the stockpile and easily covering the $2.8 billion quarterly dividend payment.</p><p>Guidance was equally upbeat with revenue expected between $26.1 billion and $26.9 billion, up 35% YoY and 13% QoQ at the midpoint, and margins expected to be flat or see a slight increase.</p><p>When it comes to TSMC, you can usually get a finger on the pulse of management's expectations by following capital expenditures, which the company ramps up and down based on the demand profile for the coming quarters. In that vein, TSMC boosted CapEx guidance for FY2024 to be slightly above its original $30 billion estimate and projected, without specifying a number, that FY2025 CapEx will likely be higher still.</p><p>For those following the semiconductor space, this steady march higher in spending should perhaps come as no surprise. NVIDIA Corporation (NVDA) is in the midst of launching its next-generation Blackwell AI chips, the demand for which CEO Jensen Huang characterized as “insane.” Apple Inc. (AAPL) is placing massive orders for capacity on TSMC's most cutting-edge node (N3) for its iPhones and Mac laptops. Advanced Micro Devices, Inc. (AMD) is using TSMC for its various CPU and AI accelerator offerings. QUALCOMM Incorporated (QCOM) has booked capacity for its Snapdragon mobile chips, and even Intel contracted out its Arrow Lake processors to TSMC after ditching volume production on its 20A process node.</p><p>This who's who of semiconductor design behemoths demonstrates just how far ahead TSMC is compared to the competition: the world's largest companies fight over its capacity for their most advanced SoCs and pay top dollar for it. And while TSMC has demonstrated operational excellence, Intel and Samsung have faltered recently. After being the undisputed king of the foundry for decades, Intel flubbed its 10nm process (re-branded Intel 7), eliminating what was viewed as an insurmountable moat. For an article that chronicles this downfall contemporaneously, you can read my piece about Intel's 10nm debacle from 2019 here.</p><p>Intel has shown progress recently with a more aggressive approach to node development timelines, which, I think, has resulted in what could very well be a competitive node in 2025, dubbed 20A. However, TSMC has now established a technological lead, an operational lead, and a customer lead that won't be easily disrupted.</p><p>As for Samsung, though it remains a leader in memory chip manufacturing, logic chips have been a tougher nut to crack. After previously boasting Qualcomm as one of its major customers, Samsung was unable to sufficiently scale its 3nm process to Qualcomm's satisfaction, prompting the latter to move all major orders to TSMC. It was further reported last week that Samsung had delayed taking shipment of EUV lithography machines, which are used in the manufacturing of advanced chips, from Dutch company ASML Holding N.V. (ASML). These were originally intended for Samsung's upcoming fab in Texas, which has also seen some on-site staff from the company sent back to South Korea.</p><p>At this point, Intel and Samsung are fighting over whatever scraps are left on the table as TSMC continues to massively expand manufacturing capacity to capture as much of the market as possible. And once that market share is captured and customers are locked in, it's difficult to pry them away. Due to this significant lead, the ever-expanding demand for semiconductor manufacturing, and the operational excellence the company continues to demonstrate, I'm having a hard time thinking of a company that is more set for long-term success than TSMC.</p><p>Whether it's generative AI, smartphones, servers, or whatever the next five or ten secular trends appear to entail, TSMC is positioned to profit from whatever comes down the pipe. Yes, there is the risk that competitors will catch up and margins will fall off slightly. Or, that an economic recession will cripple end-user demand and cause major capacity utilization issues. AI could end up being massively scaled back due to a lack of applications. However, there will always be someone willing to pay a hefty sum for a contract manufacturer that can deliver on the bleeding edge, on time, and within specifications.</p><p>With how much cash TSMC is pulling in, I expect to see a steady increase in the dividend over the foreseeable future:</p><p class=\"t-img-caption\"><img src=\"https://community-static.tradeup.com/news/632e926e32146bfceded9145c1f0dab8\" alt=\"Data by YCharts\" title=\"Data by YCharts\" tg-width=\"635\" tg-height=\"491\"/><span>Data by YCharts</span></p><p>It has already begun creeping up, but with the payout ratio falling and cash piling up on the balance sheet, I expect the company to begin returning capital to shareholders at a higher rate. In fact, one of my main criticisms would be management's current reluctance to spend cash, so I'll be keeping a watchful eye on that in the coming quarters and years.</p><p>While the valuation might be considered rich at a forward P/E of around 28, the high revenue base paired with robust growth and best-in-class margins makes the stock attractive. Beyond just next year's earnings, TSMC's market position is perhaps one of the best of any company in the market today and I intend to hold my shares for a very long time, if not forever.</p><h2 id=\"id_2443855904\">Investor Takeaway</h2><p>TSMC is the undisputed leader in a sector that will be critical for corporate and national security interests for decades to come. The company is generating record revenue, earnings, margins, and cash flow on the back of secular trends like AI and will continue to benefit whatever the next trend may be. Operational excellence and unparalleled execution have made and will continue to make TSMC the go-to foundry of choice for the world's top tech companies.</p><p>While the stock may waffle or drop in the coming years, whether due to a dip in AI demand or the specter of an economic recession or the arrival of an actual economic recession, I will use that as an opportunity to add to my position. I'm rating TSM a Strong Buy, and it's a stock I intend to own forever.</p></body></html>","source":"seekingalpha","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Taiwan Semiconductor: Buy And Hold This Stock Forever</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nTaiwan Semiconductor: Buy And Hold This Stock Forever\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-10-22 11:26 GMT+8 <a href=https://seekingalpha.com/article/4728056-taiwan-semiconductor-buy-and-hold-this-stock-forever><strong>seekingalpha</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>SummaryTaiwan Semiconductor Manufacturing Company Limited's stock has risen considerably over the past 12 months.The company's strong moat, operational excellence, and robust growth have fueled ...</p>\n\n<a href=\"https://seekingalpha.com/article/4728056-taiwan-semiconductor-buy-and-hold-this-stock-forever\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{"TSM":"台积电"},"source_url":"https://seekingalpha.com/article/4728056-taiwan-semiconductor-buy-and-hold-this-stock-forever","is_english":true,"share_image_url":"https://static.laohu8.com/5a36db9d73b4222bc376d24ccc48c8a4","article_id":"2477990068","content_text":"SummaryTaiwan Semiconductor Manufacturing Company Limited's stock has risen considerably over the past 12 months.The company's strong moat, operational excellence, and robust growth have fueled investor optimism.TSMC is one of my stocks to own forever.Taiwan Semiconductor Manufacturing Company Limited aka TSMC (NYSE:TSM) reported earnings last week to great fanfare, as the stock added a 5+% rally on top of a share price that has already more than doubled over the last 12 months. Even after this run-up, TSM remains one of my favorite picks for the simple reason that it has all the hallmarks of a business to own forever: it has a wide moat, is positioned in an essential and growing sector, and has demonstrated unparalleled operational excellence. Buy TSM and don't let go.Data by YChartsWith AI demand continuing to surge and stock valuations soaring, expectations were fairly high for TSMC's Q3 results: as the world's pre-eminent chip manufacturer, servicing almost all the leading semiconductor design companies, TSMC is a bellwether for the health of the tech sector and the economy at large. Even so, the company was able to surpass those lofty expectations and further fuel investor optimism over its ability to maintain its dominant market position. Let's recap the most recent earnings results.TSMC reported quarterly revenue of $23.5 billion, up 39% YoY and 12% QoQ, EPS of $1.94, up 54% YoY and 31% QoQ, and gross margin of 57.8%, up 350 bps YoY and 450 bps QoQ. As far as core metrics go, not many companies are achieving this level of growth on a revenue base this high with a margin this lucrative. Contract manufacturing in most industries is a low-margin race to the bottom. However, TSMC is so far ahead of the competition, which is really just Samsung Electronics Co., Ltd. (OTCPK:SSNLF) and Intel Corporation (INTC), that it has been able to consistently achieve an outsized net profit margin, including a record-high 42.8% for Q3 2024.On the balance sheet side, the company is in great shape as cash & equivalents have ballooned to nearly $60 billion, up 44% YoY, compared to just $28 billion in long-term debt, which is actually slightly down from Q3 2023. And while TSMC's business is highly capital intensive, the cash flows look pristine as well with $5.7 billion in free cash flow, adding to the stockpile and easily covering the $2.8 billion quarterly dividend payment.Guidance was equally upbeat with revenue expected between $26.1 billion and $26.9 billion, up 35% YoY and 13% QoQ at the midpoint, and margins expected to be flat or see a slight increase.When it comes to TSMC, you can usually get a finger on the pulse of management's expectations by following capital expenditures, which the company ramps up and down based on the demand profile for the coming quarters. In that vein, TSMC boosted CapEx guidance for FY2024 to be slightly above its original $30 billion estimate and projected, without specifying a number, that FY2025 CapEx will likely be higher still.For those following the semiconductor space, this steady march higher in spending should perhaps come as no surprise. NVIDIA Corporation (NVDA) is in the midst of launching its next-generation Blackwell AI chips, the demand for which CEO Jensen Huang characterized as “insane.” Apple Inc. (AAPL) is placing massive orders for capacity on TSMC's most cutting-edge node (N3) for its iPhones and Mac laptops. Advanced Micro Devices, Inc. (AMD) is using TSMC for its various CPU and AI accelerator offerings. QUALCOMM Incorporated (QCOM) has booked capacity for its Snapdragon mobile chips, and even Intel contracted out its Arrow Lake processors to TSMC after ditching volume production on its 20A process node.This who's who of semiconductor design behemoths demonstrates just how far ahead TSMC is compared to the competition: the world's largest companies fight over its capacity for their most advanced SoCs and pay top dollar for it. And while TSMC has demonstrated operational excellence, Intel and Samsung have faltered recently. After being the undisputed king of the foundry for decades, Intel flubbed its 10nm process (re-branded Intel 7), eliminating what was viewed as an insurmountable moat. For an article that chronicles this downfall contemporaneously, you can read my piece about Intel's 10nm debacle from 2019 here.Intel has shown progress recently with a more aggressive approach to node development timelines, which, I think, has resulted in what could very well be a competitive node in 2025, dubbed 20A. However, TSMC has now established a technological lead, an operational lead, and a customer lead that won't be easily disrupted.As for Samsung, though it remains a leader in memory chip manufacturing, logic chips have been a tougher nut to crack. After previously boasting Qualcomm as one of its major customers, Samsung was unable to sufficiently scale its 3nm process to Qualcomm's satisfaction, prompting the latter to move all major orders to TSMC. It was further reported last week that Samsung had delayed taking shipment of EUV lithography machines, which are used in the manufacturing of advanced chips, from Dutch company ASML Holding N.V. (ASML). These were originally intended for Samsung's upcoming fab in Texas, which has also seen some on-site staff from the company sent back to South Korea.At this point, Intel and Samsung are fighting over whatever scraps are left on the table as TSMC continues to massively expand manufacturing capacity to capture as much of the market as possible. And once that market share is captured and customers are locked in, it's difficult to pry them away. Due to this significant lead, the ever-expanding demand for semiconductor manufacturing, and the operational excellence the company continues to demonstrate, I'm having a hard time thinking of a company that is more set for long-term success than TSMC.Whether it's generative AI, smartphones, servers, or whatever the next five or ten secular trends appear to entail, TSMC is positioned to profit from whatever comes down the pipe. Yes, there is the risk that competitors will catch up and margins will fall off slightly. Or, that an economic recession will cripple end-user demand and cause major capacity utilization issues. AI could end up being massively scaled back due to a lack of applications. However, there will always be someone willing to pay a hefty sum for a contract manufacturer that can deliver on the bleeding edge, on time, and within specifications.With how much cash TSMC is pulling in, I expect to see a steady increase in the dividend over the foreseeable future:Data by YChartsIt has already begun creeping up, but with the payout ratio falling and cash piling up on the balance sheet, I expect the company to begin returning capital to shareholders at a higher rate. In fact, one of my main criticisms would be management's current reluctance to spend cash, so I'll be keeping a watchful eye on that in the coming quarters and years.While the valuation might be considered rich at a forward P/E of around 28, the high revenue base paired with robust growth and best-in-class margins makes the stock attractive. Beyond just next year's earnings, TSMC's market position is perhaps one of the best of any company in the market today and I intend to hold my shares for a very long time, if not forever.Investor TakeawayTSMC is the undisputed leader in a sector that will be critical for corporate and national security interests for decades to come. The company is generating record revenue, earnings, margins, and cash flow on the back of secular trends like AI and will continue to benefit whatever the next trend may be. Operational excellence and unparalleled execution have made and will continue to make TSMC the go-to foundry of choice for the world's top tech companies.While the stock may waffle or drop in the coming years, whether due to a dip in AI demand or the specter of an economic recession or the arrival of an actual economic recession, I will use that as an opportunity to add to my position. I'm rating TSM a Strong Buy, and it's a stock I intend to own forever.","news_type":1},"isVote":1,"tweetType":1,"viewCount":254,"authorTweetTopStatus":1,"verified":2,"comments":[],"imageCount":0,"langContent":"EN","totalScore":0}],"lives":[]}