Clark Square Capital
Excellent letter from Dave Waters at Alluvial Capital, as always.
https://t.co/DyCvKWtbs9
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Excellent letter from Dave Waters at Alluvial Capital, as always.
https://t.co/DyCvKWtbs9
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Offshore
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Brandon Beylo
Gradually, then all of a sudden.
The Copper Deficit is here.
#copper
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Gradually, then all of a sudden.
The Copper Deficit is here.
#copper
So it begins... #copper https://t.co/1ZFTEIjVT1 tweet
Offshore
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Antonio Linares
$AMD is poised to challenge $NVDA's stronghold in the AI sector for two key reasons:
1. Traditionally, $NVDA has maintained a competitive edge through CUDA, a platform that ensures smooth interactions between developers and $NVDA GPUs.
Yet, the dynamic has shifted with the rise of Pytorch as the leading framework for deep learning (AI), now seamlessly integrating with $AMD GPUs right out of the box.
$AMD has now recently opened up ROCm (its CUDA equivalent) to the open source community.
This integration marks the beginning of the erosion of $NVDA's software stronghold, leveling the competitive landscape.
2. In contrast to $NVDA’s uniform chip design, $AMD employs a chiplet-based architecture.
This progressive strategy has already overturned $INTC's market dominance by offering high-performance chips at reduced costs.
The chiplet design has a unique benefit: if one component fails, it doesn’t compromise the entire chip.
As a result, chiplet architectures typically achieve much higher yields than their monolithic counterparts.
However, adopting chiplet technology implies a shift toward thinner margins, which could negatively affect $NVDA's financial health.
This represents a classic instance of the Innovator’s Dilemma – the hesitance of entrenched firms to self-disrupt.
$NVDA has technically already pivoted to chiplets with the launch of the Blackwell architecture, but there are some important considerations.
A thorough analysis of Blackwell's architecture indicates that the chip fundamentally comprises two large chips that are interconnected.
Previously, $NVDA architectures followed a similar pattern.
However, Blackwell marks a new development where for the first time, its two chips function cohesively at both the software and network levels.
Essentially, Blackwell consists of two chiplets, signaling a cautious initial move towards a chiplet-based architecture.
Each of these chiplets, however, are already at the boundaries of the maximum reticle size.
As a result, $NVDA is nearing the physical limitations that make the production of monolithic chips increasingly difficult as we progress to smaller process nodes.
To increase computational capabilities, $NVDA now faces the challenge of either dramatically escalating the complexity within each of the two existing dies or adding more monolithic chips to the Blackwell architecture.
Should $NVDA not completely shift towards $AMD's strategy, there are two potential long-term outcomes:
1. $NVDA maintains its lead by essentially linking more monolithic chips, each at the reticle size limit, akin to a pseudo-chiplet strategy, with $AMD remaining a peripheral contender.
2. This approach may not prove scalable compared to $AMD’s dedicated chiplet architecture, potentially allowing $AMD to capture significant market share at the high end of the spectrum.
What's clear at this stage, however, is that $AMD has a structural advantage to bring AI compute engines with a differentiated price to performance ratio to the market.
Time will tell whether $AMD can prosper on the software side, which is essential for its hardware endeavors to bear fruit. But $AMD is taking the right steps to get there.
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$AMD is poised to challenge $NVDA's stronghold in the AI sector for two key reasons:
1. Traditionally, $NVDA has maintained a competitive edge through CUDA, a platform that ensures smooth interactions between developers and $NVDA GPUs.
Yet, the dynamic has shifted with the rise of Pytorch as the leading framework for deep learning (AI), now seamlessly integrating with $AMD GPUs right out of the box.
$AMD has now recently opened up ROCm (its CUDA equivalent) to the open source community.
This integration marks the beginning of the erosion of $NVDA's software stronghold, leveling the competitive landscape.
2. In contrast to $NVDA’s uniform chip design, $AMD employs a chiplet-based architecture.
This progressive strategy has already overturned $INTC's market dominance by offering high-performance chips at reduced costs.
The chiplet design has a unique benefit: if one component fails, it doesn’t compromise the entire chip.
As a result, chiplet architectures typically achieve much higher yields than their monolithic counterparts.
However, adopting chiplet technology implies a shift toward thinner margins, which could negatively affect $NVDA's financial health.
This represents a classic instance of the Innovator’s Dilemma – the hesitance of entrenched firms to self-disrupt.
$NVDA has technically already pivoted to chiplets with the launch of the Blackwell architecture, but there are some important considerations.
A thorough analysis of Blackwell's architecture indicates that the chip fundamentally comprises two large chips that are interconnected.
Previously, $NVDA architectures followed a similar pattern.
However, Blackwell marks a new development where for the first time, its two chips function cohesively at both the software and network levels.
Essentially, Blackwell consists of two chiplets, signaling a cautious initial move towards a chiplet-based architecture.
Each of these chiplets, however, are already at the boundaries of the maximum reticle size.
As a result, $NVDA is nearing the physical limitations that make the production of monolithic chips increasingly difficult as we progress to smaller process nodes.
To increase computational capabilities, $NVDA now faces the challenge of either dramatically escalating the complexity within each of the two existing dies or adding more monolithic chips to the Blackwell architecture.
Should $NVDA not completely shift towards $AMD's strategy, there are two potential long-term outcomes:
1. $NVDA maintains its lead by essentially linking more monolithic chips, each at the reticle size limit, akin to a pseudo-chiplet strategy, with $AMD remaining a peripheral contender.
2. This approach may not prove scalable compared to $AMD’s dedicated chiplet architecture, potentially allowing $AMD to capture significant market share at the high end of the spectrum.
What's clear at this stage, however, is that $AMD has a structural advantage to bring AI compute engines with a differentiated price to performance ratio to the market.
Time will tell whether $AMD can prosper on the software side, which is essential for its hardware endeavors to bear fruit. But $AMD is taking the right steps to get there.
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Q-Cap
This is terrible advice.
Stocks are very risky. That’s their nature.
You’re literally buying a share in the bottom capital structure.
Picking stocks is even more risky.
Come on man.
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This is terrible advice.
Stocks are very risky. That’s their nature.
You’re literally buying a share in the bottom capital structure.
Picking stocks is even more risky.
Come on man.
Stocks are not risky.
They only become risky when your holding period isn't long enough. tweet
X (formerly Twitter)
Brian Feroldi (@BrianFeroldi) on X
Stocks are not risky.
They only become risky when your holding period isn't long enough.
They only become risky when your holding period isn't long enough.
Offshore
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Q-Cap
Operating margin :5.5%
Adjusted EBITDA margin: 15.9%
Congrats to Elon on hiring a great accounting firm. https://t.co/aGpoECpmLB
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Operating margin :5.5%
Adjusted EBITDA margin: 15.9%
Congrats to Elon on hiring a great accounting firm. https://t.co/aGpoECpmLB
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The Long Investor
RT @TheLongInvest: $TSLA here is your game plan.
$TSLA either holds at $144 on the 0.78 Fib (and saves the sector)
or
its dropping down below $100 and you get an opportunity to buy $TSLA when it is undervalued with a margin of safety. https://t.co/deEBIPP03e
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RT @TheLongInvest: $TSLA here is your game plan.
$TSLA either holds at $144 on the 0.78 Fib (and saves the sector)
or
its dropping down below $100 and you get an opportunity to buy $TSLA when it is undervalued with a margin of safety. https://t.co/deEBIPP03e
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Offshore
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Brandon Beylo
China dominates Rare Earth Element (REE) production.
Which wouldn't be a problem if they also didn't control:
• 87% of REE processing
• 91% of REE refining
• 94% of permanent magnet production
• 45% of EV production
• 23% of windmill production https://t.co/PNFKoM96ZW
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China dominates Rare Earth Element (REE) production.
Which wouldn't be a problem if they also didn't control:
• 87% of REE processing
• 91% of REE refining
• 94% of permanent magnet production
• 45% of EV production
• 23% of windmill production https://t.co/PNFKoM96ZW
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Clark Square Capital
RT @ClarkSquareCap: Just got my tickets. Who else is going to Omaha this year? https://t.co/k9XycubI7d
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RT @ClarkSquareCap: Just got my tickets. Who else is going to Omaha this year? https://t.co/k9XycubI7d
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Offshore
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Antonio Linares
$SPOT today echoes $AMZN in 2001, embodying a "goodwill compounding machine" that stands poised to reshape the landscape for creators and fans akin to how $AMZN has revolutionized the experiences of consumers, merchants, and developers.
The driving forces behind their triumphs are two shared core values:
1. Building consumer trust: $SPOT has consistently fostered user loyalty by offering superb value, much like Amazon's commitment to customer satisfaction.
2. Pursuing relentless innovation: $SPOT is continually broadening its horizons with ventures into new audio markets, such as podcasts, audiobooks, and educational content, mirroring Amazon's expansion beyond book sales.
$SPOT's command over the podcasting sector, outstripping giants like $AAPL and $AMZN, underscores its knack for seizing nascent opportunities.
This demonstrates $SPOT's adeptness at exploring and exploiting new growth paths, enhancing its strategic execution.
Echoing $AMZN's early disruptive stance, $SPOT is overturning traditional market norms.
With a booming ad inventory fueled by the unregulated expanse of new audio domains, $SPOT is ideally placed to forge direct links between creators and consumers, paving the way for novel revenue avenues.
Despite facing stiff competition from $AAPL and $AMZN, $SPOT's leadership in the audio domain is unrivaled, with a staggering 615 million monthly active users.
This underlines $SPOT's singular focus on audio, unmatched within the industry.
Looking ahead, $SPOT's financial outlook is set to transform as it delves deeper into new audio categories and refines its margins.
Through its continuous drive for improvement and innovation, $SPOT could well establish an "AWS equivalent" in the audio sector.
While the realization of this vision remains uncertain, the potential rewards are substantial.
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$SPOT today echoes $AMZN in 2001, embodying a "goodwill compounding machine" that stands poised to reshape the landscape for creators and fans akin to how $AMZN has revolutionized the experiences of consumers, merchants, and developers.
The driving forces behind their triumphs are two shared core values:
1. Building consumer trust: $SPOT has consistently fostered user loyalty by offering superb value, much like Amazon's commitment to customer satisfaction.
2. Pursuing relentless innovation: $SPOT is continually broadening its horizons with ventures into new audio markets, such as podcasts, audiobooks, and educational content, mirroring Amazon's expansion beyond book sales.
$SPOT's command over the podcasting sector, outstripping giants like $AAPL and $AMZN, underscores its knack for seizing nascent opportunities.
This demonstrates $SPOT's adeptness at exploring and exploiting new growth paths, enhancing its strategic execution.
Echoing $AMZN's early disruptive stance, $SPOT is overturning traditional market norms.
With a booming ad inventory fueled by the unregulated expanse of new audio domains, $SPOT is ideally placed to forge direct links between creators and consumers, paving the way for novel revenue avenues.
Despite facing stiff competition from $AAPL and $AMZN, $SPOT's leadership in the audio domain is unrivaled, with a staggering 615 million monthly active users.
This underlines $SPOT's singular focus on audio, unmatched within the industry.
Looking ahead, $SPOT's financial outlook is set to transform as it delves deeper into new audio categories and refines its margins.
Through its continuous drive for improvement and innovation, $SPOT could well establish an "AWS equivalent" in the audio sector.
While the realization of this vision remains uncertain, the potential rewards are substantial.
tweet