Photo Credit: Open Grid Scheduler Prelude There are two sides to the Tesla story. The first is the stock price, and the second is the underlying business. They seldom seem to reconcile. For a while, it seemed like Tesla’s stock price was in a bubble. To my best knowledge, both the fundamentals and realistic future… Read More Tesla: Learning from experience
Most market pundits take GDP and inflation statistics at face value. They shouldn’t. Likely, the economic scenario is more benign than anticipated. That leaves us looking for pockets of value in a market populated with overstretched valuations. Now that there seems to be a vaccine on the way, we should make some considerations about the… Read More Framing The Macro Scenario For The Post-COVID-19 World
Photo credit: Masaru Kamikura The title kind of says it all. Intel (INTC) has kept profitability when compared with AMD (AMD) and Nvidia (NVDA). For instance, Intel is still more profitable than Nvidia and AMD. During the last couple of years, AMD and Nvidia were able to more than double their margins. But Intel was… Read More Intel Has Kept Profitability At The Expense Of All The Rest
Photo credit: Diogo Torres Silvestre During the last couple of years, chipmakers have been star stocks. In the same period that the S&P 500 rose 57%, AMD put on an impressive 2,576% run, Nvidia rose close to 2,000%, while Intel rose 59%. (Source: Seeking Alpha) This chart tells us that Nvidia and AMD are growth… Read More Dissecting Intel, NVidia and AMD
Photo credit: Fritzchens Fritz The narrative Advanced Micro Devices (AMD) has been a star stock for the last couple of years. In the same period that the S&P 500 rose 56%, AMD put on an impressive 1251% run. Basically, AMD mixes a turnaround story with a growth narrative. (Source: Seeking Alpha) The company has been… Read More Is AMD a rational buy at the current price?
photo credit: BorsheimsJewelry These days, everyone is riding on the back of Berkshire’s (BRK.A) (BRK.B) recent Barrick (GOLD) position. Gold bulls see it as a victory indicating that grandpa Buffett, finally, subsided to the evidence that America is doomed, and he needs a hedge. Gold bears, on the other hand, are enthusiastic about the fact… Read More Dissecting Berkshire’s new position in Barrick
Summary The EU countries reached a deal for an economic recovery plan. The amount will likely be insufficient. However, the way it is structured opens interesting possibilities, and it might be a threat to the dollar. Photo credit: Christine und Hagen Graf The EU has just announced the deal for an economic recovery plan. The deal seems… Read More The First Hole In The U.S. Dollar
Summary The company missed the COVID-19 play, even though the work-at-home relies on data usage and storage, which suited Micron. Business practices seem to justify the outcome so far. But, one can make the case that this will change. Early indicators seem to suggest that we are at a turning point. If that materializes in… Read More Micron: Turning The Corner, Without No One Noticing It.
Photo credit: Eric Kilby I have written extensively about why I think that we’re in a bear market rally. Maybe I’m wrong, but it is a thesis worth exploring. At present, it seems like the Fed has full control over all events. The Fed has become ubiquitous, solving every problem with the printing press. It’s… Read More The case for a bear market
Credit to zigtrade Honestly, this one made my day: One hell of a year Aussies for the win! That feeling. Lucky bastards! And, finally, allways remember: