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NVDA +6.19% MU +6.51% DELL +10.79% SNDK +3.72% WDC +3.70% STX +4.71% Every single one of these companies directly supplies the hardware that runs AI, chips, memory, servers, and storage. Demand from data centers is outpacing supply across the board. Dell booked $24.4 billion in new AI server orders in a single quarter. Micron is sold out through 2026. SanDisk and Western Digital are one of the two biggest suppliers of NAND flash memory used in AI storage. Seagate supplies the hard drives filling new data center being built. The market is repricing every company in the AI hardware supply chain at the same time. Source: Bull Theory
Source: Bloomberg, Hedgeye
In other words, most of the rally has been backed by real earnings growth, not just higher valuations. The key question now is whether these profits will actually come through and whether they can keep rising. (HT Goldman Sachs) Source: HolgerZ, Bloomberg
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