AWS Rakes $142B, Yet 85% Remain On‑Prem
$AMZN: AWS annual recurring rev at $142B and yet 85% of enterprises are still on prem. Something to think about about.
Cloud Giants Surge, Fueling Semis, Power and Data Centers
$AMZN AWS Growth 28% $MSFT Azure Growth 40% $GOOGL Cloud Growth 63% Powerful tailwinds for: semis, power cos, data centers alive infra, grid. 2nd inning.
Meta Beats Expectations, Shows 30%+ Growth Across Board
$META: you would sell this at 17x? TR +33%, Ad rev +33%, OI +30%, OM 40.6% vs 35% expected and DAP +4%. Yes, Capx up but OpX flat.
Amazon's Q Beats Forecast, Growth Accelerates Across All Segments
$AMZN: good Q w beat/raise. TR +17% w N.A. retail +12%, intl +19%, AWS +28%, Ads +24%. OI beat and capex in line. Clearly the capex is working. Incredible growth for a company of this size/scale.
Starbucks Beats Forecasts, Shows Ste
$SBUX: “Back to SBUX” strategy working w a nice beat/raise against fairly high expectations. Total SSS +6.2% w US +7.1% - whisper was 6%. Intl & China also beat. OM at 9.4% vs. 8.2% y/y - showing gradual improvement. EPS...
VRT Acquires Firm to Boost Liquid Cooling Expertise
$VRT: makes another acquisition to further strengthen its liquid cooling system and engineering expertise. https://t.co/1DyyOBJIc8
S&P Earnings Surge 25% with Quarter Still Early
A lot going on this week but most importantly is that EPS growth is 25% with 27% of the $SPX having reported. So far really good in the face of many unknowns. Have a good weekend. Enjoy Lenny Kravitz -...
Mean Reversion Drives New Positions in IBM, SNPS
Agreed. There is always a mean reversion but for a reason. Added to $IBM $SNPS
US Data Center Buildout Needs 11 Years at 2025 Pace
$ETN: at 2025 construction rates it will take 11 years to build all of the data center projects in US pipeline.  “Even 2-3 years ago, our forecasted growth rates & power required to run DC was …too low. There’s as...
Strong Quarter Misses Expectations, AI Growth Debate Persists
$NOW: in show me mode which makes the May 4th analyst day a big one. Q was strong w RPO g +23.5%, sub revs +19%, OM 31.8% - but expectations were higher and guide underwhelmed. Debate will continue...
IBM's Software Rebound Drives 19% EPS Surge
$IBM: solid Q getting caught up in software meltdown. EPS growth +19.4%, TR +9.5% and SW +11% with a reaccel from RHT. Consulting in line, Infra up 15% with a nice tailwind from M/F Z. GM...
GEV's Orders Surge 71% with Margin Boost
$GEV: strong revenues/order momentum continues along with profitability w margins beating by 230 bps. Total orders of $18.3bn were +71% organic y/y - Power orders +10%, Wind orders +85% and Electrification orders +86%.
Boeing's Backlog Soars as Demand Outpaces Supply
$BA: Commercial Airplanes revs up 13% and Defense up 21%. Incredible backlog at $695B. Demand far outstrips supply.
Housing Sector Buzz: Multiple Acquisitions Signal Rising Value
Worth noting the activity picking up in housing sector: $QXO acquires $BLD, $TOL acquires assets from Buffington Homes of Arkansas (it's 16th acquisition since 1995 btw) and $HD adds Mingledorff last month. Some see value in this industry.
Industry's Structural Shift Stumps Even Proven Leaders
This tells you just how hard the structural shift is within this industry given Connolly's prior successes at Hillshire, $CPB, $PG. https://t.co/RNWeMNXWQ9
AVGO and MRVL Command 80% of Custom Chip Market
$GOOGL $MRVL - good news but not surprising as $AVGO and $MRVL have an 80% share of the custom chip mkt. https://t.co/rk3fJlTbtA
Late‑month Buys Pay Off as Markets Rally 5%
What a week - $SPX up 3.5%, $DJIA up 2.6% and $QQQ up 5%. Off the lows on 3/30 $SPX 11%, $DJIA up 8% and $QQQ up 15%. Good to have been buying in the past month as...
Meta CEO Revisits Coding to Grasp AI
$META: Interesting read how CEO has returned to coding to better understand AI. https://t.co/qavUkYoGyt via @businessinsider
AVGO Secures Longer AI Chip Deals with Meta, Google
$AVGO: another extension of the partnership on custom XPUs with $META follows last week's deal with $GOOGL. The incremental is the longer duration of both partnerships. Whatever $META $GOOGL spend on AI - both intend to spend alot...
Bank of America Beats Estimates, ROTCE Hits 16%
$BAC: strong results with beats in EPS/TR. NII +9%, NIM +8bps, IB +18%, WM +11%. Provisions for credit losses fell 9% and loans grew 9% -- consistent with H.8 data. ROTCE 16% - a nice 150...
Morgan Stanley Delivers Record Q1 Beats Across
$MS: Best in class 1Q with beats across the board. TR +16% y/y driven by Trading +26%, IB +35%, GWM +16%, NII +14%. Cap Mkts beat peers by 9%. ROTCE 27.1% - wow.
Exploring Emerging Electrification Opportunities From Personal Experience
This was a fun discussion on what I've been owning for the past few years but the important new electrification story opportunities https://t.co/r9i05c4jwy
Record‑high Loans Boost Outlook for Bank Earnings
Looking forward to strong bank eps this week. This will help: Federal Reserve H.8 report show both loans and deposits ended 1Q26 at record highs. In 1Q26 loans jumped 7.5% y/y - its fastest pace in 3 years....
Quantum Computing Sales Surge 68% MoM, 88% YoY
Quantum computing is the next big technology revolution solving hours/days/weeks problems into minutes. Quanta Computing - just posted March sales up 68% m/m and 88% y/y. Likely 2029 event but CTOs are starting spend now.
Major Averages Rise, Growth and Value Split Evenly
Nice day for the major averages today and interestingly was very evenly split between growth and value. $RLG +2.54% and $RLV +2.44%. Catch up in many sectors.
Anthropic Teams with Cyber Industry for Security Safety
Project Glasswing - big news that Anthropic partners with cyber/software industry on cyber security safety. https://t.co/rGKMOgcvTc
Private Credit Market Nears Size of High‑Yield Bonds
Learned alot from the annual shareholder letter from Jamie Dimon on tailwinds/headwinds to economy including perspective on Private Credit. PC Mkt is $1.8T, HY Bond Mket is $1.5T, Bank Syndicated Leverage Loan Mkt $1.7T. Total IG Bond Mkt...
Market Sentiment Swings Wildly; Consensus Overreacts Each Side
My homework this weekend - went from max optimism in Jan: tax refunds, tariff repeal, easy Lliberation Day comps & resilient consumer. To extreme pessimism in April: higher gas prices, war, global growth slowdown and higher inflation....
Markets Rise Amid Volatility; Seize Long-Term Opportunities
Despite the volatility this week: $SPX +3.4%, $DJIA +3% and $CCMP +4.5%. Solid econ data as well. Volatility is expected to continue until war ends but if you wait for certainty you will miss some great LT...
PWR Targets $10‑12B Free Cash Flow by 2030
$PWR analyst day: raising 2030 targets for revenue, EBITDA, EPS and ROIC. FCF is expected to go from $1.67B today to $10-$12B aggregate. #electrification #grid #infrastructure
VRT Expands Ohio Plant as AI Cooling Demand Surges 109%
$VRT announces expansion at Ohio facilities to boost US production of critical thermal management technologies for AI data centers. They wouldn't be doing this if demand wasn't off the charts. It is - backlog rose 109% y/y last...
S&P 500 Valuation Drops 17% as Earnings Surge 14%
Worth pointing out that the $SPX multiple has compressed 17% and now stands at 19x forward estimates. And at the same time earning are accelerating and are now expected to grow 14% y/y.
CEO's $10M Purchase Signals Confidence Amid Cyber Sell‑off
$PANW and cyber sell off is way overdone imo but just ask the CEO who just bought $10M worth personally along w the new $1B buy back from the company. https://t.co/5kqfGDUTID
Buy Quality Blue‑Chip Stocks on Sale Now
Always a pleasure talking with @SquawkCNBC and @BeckyQuick. Trying to think longer term to buy quality companies on sale. $NFLX $UNP $SNPS $DOV $ANFGF $MS
Broad Indices Fall, Small‑cap ETFs Defy the Trend
$SPX down 4% YTD, $CCMP down 6%, yet $RSP flat, $IWM up 2%. $RLV > $RLG by 11%. Alot going on under the surface in markets.
Selling at Market Lows Costs Massive Missed Gains
If you sold on Liberation Day – you missed 34% recovery in $SPX If you sold on Silicon Valley collapse spring 2023 – you missed 78% in $SPX If you sold on Covid in spring 2020 – you missed 198% recovery in...
Peter Lynch’s 29% Returns Show Fundamentals Trump Timing
Did some research today to find new and interesting information about great investors: Peter Lynch average return from 1977-1990 grew 29.2% beating out the great Warren Buffett at 20% - both incredible longevity. What strikes me about Lynch:...
Bank Loans Hit Record; Deposits Surge, Trading Revenues Soar
H.8 bank loans rose for the 18th week in 21 to a record high w C&I up for the 7th week in 8. Deposits up for 6 straight weeks for the 1st time since mid 2024 to a near...
Oversold Market Signals Upcoming Stock Rally
Challenging week with the unknowns but pretty oversold according to S&P Ocillator at -8. By the time we have the knowns I think stocks will be higher. $NOW $SNPS $NFLX $COF $DKS - a few gems on sale....
PANW Launches $1B Buy
$PANW: a new $1B buyback. From the old plan they bought $1B in 5 days in Feb. #Conviction.
Banks Show Earnings
10K @ banks: growth in NII and fees plus positive operating leverage w lower criticized assets, continued share buyback and potential V gains for some. Importantly loans to NDFIs are 17% and diversified by borrower+ tech sector is less than...
Bank of America Projects Strong 7% NII Growth
$BAC conference notes no change to solid fundamentals: 1Q expects NII 7% y/y growth, WM DD, IB up 10% with loan growth "out of the gate strong" led by commercial & above H.8 data.
Energy Surge Won’t Spike Inflation, Yields Stay Stable
From my friend at Stategas @donrissmiller: Energy prices have been extreme - but several factors are keeping inflation down - rent, car prices and Quits not leading to higher comp. = inflation remains at 2-3% with a 10...
Buy Quality Stocks Amid Uncertainty, Not Certainty
Great to be on @SquawkCNBC this morning - if you wait until absolute certainty you will miss some great stocks on sale. Find quality companies with strong balance sheets, great mkt share and good TAMs to add on the...
Mixed Data, US Growth, Buying Opportunities Amid Sentiment
Busy week with mixed data but still growth in the US (Atlanta Fed 2.1% - some weather, some not) and pretty negative sentiment which are long term opportunities. Did some buying this week. $NFLX $TGT $PANW Great...
VSNT Beats Forecast, Launches $1B Buyback at 21% Market Cap
$VSNT right out of the gate beats revs and EBITDA with a new $1B buyback - which is 21% of its market cap.
SPW Outpaces SPX as Rotation Fuels Broadening Theme
Interesting week $SPW > $SPX again - broadening theme. Picked up a little $SNPS in the software deluge. But rotation still the story as economic data continues to be good - claims, PMIs, retail EPS. Watch the turn in housing....
Nvidia's Explosive Q Growth Sparks Derivative Buying Interest
A great $NVDA Q with TR up 73%, DC growth up 75%, Compute up 58%, Networking growth up 72%. Only issue is it is well owned and sell side buys at 78%. Who is the incremental buyer? ...
JPM Beats NII Forecast, Anticipates Deposit Growth in 2026
$JPM just raised NII to $104.5B vs $102.9B expectation. Expenses in line. Expects retail deposit growth to resume in 2026 from underlying customer growth and a reduction in yield seeking behavior.
PANW Posts Explosive Growth, $30B M&A Pending
$PANW: TR +15%, Product Rev +22%, TTM Software Firewall +42%, RPO +22% and 110 new platformization deals w/conserve but DD guides. $30B worth of M&A hasn't even kicked in yet.