CIO at Odyssey Capital Advisors
Member since: Sep '21 · 261 Opinions
There's a lot riding on the print (earnings after the close) today. Shares are down 17% since the DeepSeek news. Now, we're hearing export controls. However, the hyperscalers have not changed their capex spending on AI ; DeepSeek had no real impact, including Microsoft and Meta and Amazon. We need to hear from NVDA $38 billion in revenue and guide $2-3 billion over and above, and hear about insatiable demand. He expects a strong print.
Breadth of the rally has expanded this year, but it has slowed. Trump's tariffs are a negotiating tool, but the market has seen 16% earnings growth vs. 12% expected, and a 77% beat rate in earnings. The market has digested last week's hotter than expected inflation numbers. The market is a mixed bag now, but he's overall more bullish.
It leads the Mag 7 this week. The quarter was fine. In response to tariffs, they are moving some supply chains to Indonesia and Indian, away from China. Chinese phones are taking market share, but we've gotten past this news. Apple services were +14% this quarter and beat the top and bottom with an 8% growth rate. He will ride it up.