Space ETF assets
Eric Balchunas, Bloomberg
Nasdaq at 875 trading days after the release of Netscape on 12/19/94: +144.55%.
Nasdaq at 875 trading days after the release of ChatGPT on 11/30/22: +144.77%. Past performance is no guarantee of future results! Source: Bespoke
Forward P/E Ratios...
Costco $COST: 45 Walmart $WMT: 36 Nvidia $NVDA: 17 Which one is the bubble? Source: Charlie Bilello
AI Race To Return On Investment
Only **Amazon** is expected to generate a positive return on its massive AI capex through 2030 — even under the most generous assumptions (zero costs). Microsoft: -9.2% Alphabet: -15.7% Meta: -28.8% Oracle: -35.6% The AI arms race is getting expensive. Source: FT BraVoCycles Newsletter
This market is all about tech. That goes for US as well as global markets.
Source: UBS, TME
Without AI, this market rally would look far less impressive.
$640 billion has been wiped out from Nvidia's market cap over the same period. Huawei's new chip architecture is now directly challenging the hardware scarcity narrative that supported Nvidia's $5 trillion valuation. Source: Bull Theory
SNOWFLAKE $SNOW STRIKES $6 BILLION DEAL WITH AMAZON $AMZN FOR AGENTIC COMPUTING CHIPS
$SNOW +27% IN AFTER-HOURS Q1 Adj EPS: $0.39 vs $0.32 est Q1 REV: $1.391B vs $1.324B est Source: Trend Spider
OpenAI and Anthropic are effectively telling the market they can't solve every problem with a generic AI coworker.
You don't pour billions into massive forward-deployed joint ventures if you think the next model release is going to take care of it. In the cloud supercycle, semis led and software followed (and you didn't need Qualcomm or ARM to tell you the value was migrating up the stack). In AI, the infra layer itself is telling us the application layer is a separate, massive opportunity they can't fully capture. Source: a16z @a16z
