• IsleighIsleigh
      ·11-03 20:09

      Marvell and Lumentum Lost Billions After Announcing a $115B AI Deal. I Think the Market Is Angry About the Wrong Thing.

      Marvell just announced one of the biggest technology deals ever. $115 BILLION. The target? Lumentum. One of the hottest companies sitting at the intersection of: AI optical networking lasers data centres. The strategic story sounds almost perfect. And the market's response? SELL BOTH. Marvell plunged. Lumentum plunged even harder. That sounds like investors believe the deal is terrible. I think the truth is more interesting. Because on the SAME DAY this merger was announced, Lumentum reported: REVENUE +136.5% YoY and guided its next quarter dramatically higher. So I don't think the market is saying: “OPTICAL AI IS DEAD.” I think it is asking: “HOW MUCH IS TOO MUCH TO PAY FOR THE FUTURE?” And that makes this deal one of the most fascinating tests yet of the AI infrastructure boom. 🔥 FIRST,
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      Marvell and Lumentum Lost Billions After Announcing a $115B AI Deal. I Think the Market Is Angry About the Wrong Thing.
    • Arvinder sArvinder s
      ·11-03 17:03
      **Marvell–Lumentum $115B Deal: Buying an AI Opportunity or Taking on Too Much Risk?** Marvell's proposed $115 billion acquisition of Lumentum is a massive bet on the future of AI infrastructure and optical connectivity. However, the market reaction has been surprising, with both stocks falling sharply following the announcement. I think the long-term opportunity in AI optical technology is interesting, but investors may be concerned about the acquisition price, shareholder dilution and integration risks. My question is: Is this a temporary market overreaction creating a buying opportunity, or is Wall Street signalling that the deal is too expensive? **What would you do here? Buy the dip, hold, or stay on the sidelines?** #MRVL #LITE #AI #Stocks #Investing
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    • IsleighIsleigh
      ·11-03 20:09

      Marvell and Lumentum Lost Billions After Announcing a $115B AI Deal. I Think the Market Is Angry About the Wrong Thing.

      Marvell just announced one of the biggest technology deals ever. $115 BILLION. The target? Lumentum. One of the hottest companies sitting at the intersection of: AI optical networking lasers data centres. The strategic story sounds almost perfect. And the market's response? SELL BOTH. Marvell plunged. Lumentum plunged even harder. That sounds like investors believe the deal is terrible. I think the truth is more interesting. Because on the SAME DAY this merger was announced, Lumentum reported: REVENUE +136.5% YoY and guided its next quarter dramatically higher. So I don't think the market is saying: “OPTICAL AI IS DEAD.” I think it is asking: “HOW MUCH IS TOO MUCH TO PAY FOR THE FUTURE?” And that makes this deal one of the most fascinating tests yet of the AI infrastructure boom. 🔥 FIRST,
      1.61K3
      Report
      Marvell and Lumentum Lost Billions After Announcing a $115B AI Deal. I Think the Market Is Angry About the Wrong Thing.
    • Arvinder sArvinder s
      ·11-03 17:03
      **Marvell–Lumentum $115B Deal: Buying an AI Opportunity or Taking on Too Much Risk?** Marvell's proposed $115 billion acquisition of Lumentum is a massive bet on the future of AI infrastructure and optical connectivity. However, the market reaction has been surprising, with both stocks falling sharply following the announcement. I think the long-term opportunity in AI optical technology is interesting, but investors may be concerned about the acquisition price, shareholder dilution and integration risks. My question is: Is this a temporary market overreaction creating a buying opportunity, or is Wall Street signalling that the deal is too expensive? **What would you do here? Buy the dip, hold, or stay on the sidelines?** #MRVL #LITE #AI #Stocks #Investing
      22Comment
      Report