Is the AI Debt Tsunami Hitting the Yield Wall?

Is the AI Debt Tsunami Hitting the Yield Wall? The Iran war looks unsolvable, and the risk is higher oil prices for longer, bringing inflation concerns back into the picture. With the exception of Microsoft, the mega-tech companies are now free cash flow negative due to the still accelerating spend on AI infrastructure, and they […]
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Patience Pays Off

Patience Pays Off Tech heavyweights—AI chipmaker Cerebras Systems and aerospace giant SpaceX—saw their shares dip below their respective initial public offering (IPO) prices this week. While dipping below the IPO price is a psychological blow to early buyers, we, along with Wall Street analysts, remain bullish on the long-term potential of both companies. However, there […]
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Punching Above Their Weight

Punching Above Their Weight The first half of 2026 was marked by highly unusual circumstances. Stocks representing less than 1% of the S&P 500 market value were responsible for 24% of the 8.3% index return in the first half of 2026. The question now is whether these are the next new growth stocks or just […]
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We Hold These Truths…

(Please note that the spelling and punctuation reflects the original document.) In Congress, July 4, 1776 The unanimous Declaration of the thirteen united States of America, When in the Course of human events, it becomes necessary for one people to dissolve the political bands which have connected them with another, and to assume among the […]
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Leverage Cuts Both Ways

Leverage Cuts Both Ways The surge in US stocks has relied heavily on leverage, leaving the market at risk if artificial intelligence optimism fades. Recent S&P 500 growth stems from investors rushing into top-performing AI hardware companies. Speculators are using aggressive tactics like call options and leveraged ETFs to gain additional exposure. These speculative trading […]
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SpaceX: Patience is a Virtue

SpaceX: Patience is a Virtue Investing in SpaceX at its current market price presents a high-stakes trade-off between securing a piece of what could become a generational technology platform and paying an unprecedented valuation premium. Is this the deal of the century, or is it mass speculation? The company is certainly on the leading edge […]
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Could AI be Hitting a Wall?

Could AI Be Hitting a Wall? AI development and usage are growing with lightning speed, but the cost of producing AI is beginning to bump up against customers’ willingness to spend. AI leadership has migrated over the last few years as hyperscalers (Microsoft, Google, OpenAI, etc.) have released new AI models. In a nascent but […]
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