HOLD

First-mover advantage. Gross margins are out of sight at 75%. No one's caught up to it yet. At some point, companies will make their own chips and rely less on NVDA, but not right now. Big tech is spending $200B this year on capex to meet AI demand, and a lot of that is going to NVDA.

Arguably inexpensive. At some point growth will tail off, but he's not smart enough to know when that will happen, so it's in the "too hard" pile.

HOLD
$39 now, wants to get out around $50. Any hope?

He has 2 types of portfolios. One is best ideas, and the other one is more balanced with Canadian dividend payers that have good balance sheets and potential for growth. Canadian dividend aristocrat, raising dividend each year for over a decade.

M&A got ahead of itself. Capital allocation was lacking. Activism. Refinery closed. Not as good as ATD, so he'd recommend that one. Valuation is arguably very cheap, could be some short-term events, generates lots of cashflow, balance sheet now in great shape. Not great, but decent at a very attractive valuation.

BUY

A better choice than PKI.

BUY
Stock split on the horizon?

Doesn't know if they're going to split, and it's not important to him. Valuation expensive, but worth paying up for (see his upcoming podcast on Monday for why). Everything they do is to improve the business long term -- cares about employees, tries to add value for members, great balance sheet.

Best retail business in the world bar none. 10K Walmarts globally, but fewer than 900 Costco stores and they're all busy. Goal is to open 20-30 new stores a year for multi-decades. Business model is very certain. Doing everything right.

RISKY

Its poor performance has put him off investing in telcos. Lots of competition for internet, wireless, and mobile. Using a lot of free cashflow to buy back stock at much higher prices, so balance sheet not as good anymore. Interest rates have gone up, and lots of cashflow being used to service this cost.

He fell in love quickly, but speculative here. Arguably cheap valuation but, until you see a turn in the business, hard to say where the stock is going.

DON'T BUY

Total speculation. GME has no earnings, revenues are down and trades at 365x EBITDA.

COMMENT

The market will be volatile between now and earnings in a few weeks. Use that volatility, because the economy will stay strong. The Fed doesn't need to do anything.

PARTIAL SELL

Is taking profits to buy Apple. 

BUY ON WEAKNESS

Is a little worried because shares have run up and Monday they unveil new AI product(s). Apple is on the cusp of an AI theme. Will buy Apple on any weakness.

BUY

Just bought this for the first time. AI is driving a new refresh cycle in PCs. Also, we haven't upgraded PCs in 4-5 years. Dell just said their PC business was up 3% instead of the expected -2%. HPQ will see growth in the second half of this year, for the first time in 2 years. Also, AMD said last Sunday that their AI PC chips are 5x the speed of existing chips. Seagate leads this sector. Gross margins are poised to go higher. Margins could expand 1,000 basis points year over year. They have pricing power and volumes are rising. She might be early on it, but that's fine.

BUY ON WEAKNESS

Was upgraded today. Most calls remain sell. This is a turnaround story, but shares are cheap at 14x. They cut the dividend, now 2.8% but it remains higher than the industry average of 1.8%. They spun-off their healthcare business, so the company is simplifying. The current CEO as a good, massive track record from L3Harris and UTX. Will buy on any weakness.

BUY

It reports Wednesday and she expects their AI business to be strong and VMware will make a bigger contribution. Software will total 40% of total revenues, positive for gross margins.

COMMENT

Labour numbers were good today. We don't need to cut rates this year; the economy is strong.

BUY

Great CEO. Operational margins are growing at 40% year over year.

SELL ON STRENGTH

It's close to overbought. Earnings have supported the rise in megatech stocks lately, but this is due for a small pullback in coming weeks.