OT: Stock and Investment Thread

[RU05]

Would you guys educate me - the last couple years I've been reading about AI. I still can't figure out if companies will be able to monetize it or will regret running up debt? I get that AI is here to stay, but is it worth the cost at this point?

Are there still AI buys right now? The utilities that will power the data centers? NVDA?

A common narrative right now is it is inevitable that some companies will overspend. And that is the weight on ORCL, META and even NVDA to some extent.

Are those companies at that point yet? Maybe, maybe not. Market is trying to sort that out.

But other companies, like GOOGL are ripping, in part, because of AI.

Another part of this narrative is that "non AI" companies will soon reap the benefits of AI capabilities. Financials for instance(great performance this year), industrials as well(see CAT).

 

[RU05]

RUT has outperformed the S&P, but not the Nasdaq, over the last 6 months.

RUT outperforming them both over the last month.

 

[T2Kplus20]

Google just keeps winning. What they’ve done outside of their core business with Google Ventures, Waymo, Isomorphic Labs, Deep Mind, etc is fascinating.

Wow, I didn't know that or that Fidelity owns 10% of SpaceX! I assume this is mostly via their mutual funds? I own FBGRX and SpaceX is a small holding of the fund (1% or so).

 

[T2Kplus20]

A common narrative right now is it is inevitable that some companies will overspend. And that is the weight on ORCL, META and even NVDA to some extent.

Are those companies at that point yet? Maybe, maybe not. Market is trying to sort that out.

But other companies, like GOOGL are ripping, in part, because of AI.

Another part of this narrative is that "non AI" companies will soon reap the benefits of AI capabilities. Financials for instance(great performance this year), industrials as well(see CAT).

With GOOGL blowing up, you can clearly see the market is still desperately trying to find the future "winners" of the AI race.

And this goes for GEV today as well. In order for AI to work, we need more energy/electrical infrastructure. GEV, PWR, and Eaton are associated AI plays.

 

[RU05]

Silver still pumping

Bought SVM in July. Up 86%.

Also bought SBMCF around that time. OTC penny stock. It was a near double but then tanked. I'm currently up 36%. It's volatile, so big drops are to be expected. Hoping the next leg up is a big one.

 

[RU05]

.25% cut. Some dissenting for no cut. One dissenting for .50%.

Market goes green on the news.

The RUT up more then 1.6%. Again outperforming.

 

[T2Kplus20]

.25% cut. Some dissenting for no cut. One dissenting for .50%.

Market goes green on the news.

The RUT up more then 1.6%. Again outperforming.

Pretty much as expected. Sounds like 1 or 2 cuts for 2026 (pending the new chair) so that gets rates down to 3.25/3.5'ish. Neutral is around 3'ish, so we should be in good shape. Probably more important is the Fed starting to buy $40-50B in T-bills a month. That's some nice QE!

No surprise to see R2K leading the way.

 

[RU05]

Pretty much as expected. Sounds like 1 or 2 cuts for 2026 (pending the new chair) so that gets rates down to 3.25/3.5'ish. Neutral is around 3'ish, so we should be in good shape. Probably more important is the Fed starting to buy $40-50B in T-bills a month. That's some nice QE!

No surprise to see R2K leading the way.

Side note. SLB with a nice day and looks like it is breaking out.

how are those calls?

 

[T2Kplus20]

Side note. SLB with a nice day and looks like it is breaking out.

how are those calls?

Now +40% with my position (Jan 2027). Closing price is $5.97 and my CB is $4.26. Things change quickly with calls, even with leaps.

I really think this new "QE" is pumping the areas of the market you would expect it to benefit.