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AI Or Crash: A "Show Me The Money" Attitude Starting To Emerge

AI can trade down too

The AI trade is under increasing scrutiny. The average stock involved in the infrastructure build-out of AI has returned 26% YTD, but stocks with enabled revenues fell by 19% between February and May. Goldman says that investors are increasingly concerned about the potential returns to the hyperscalers' AI investment spending. 

Source: Goldman

Similarities between the current melt-up & the late 1990s

Source: Yardeni

AI or crash....

Source: i3 Invest

Considerable uncertainty about the timeline

Valuation has started to contribute to NVDA return

Source: FactSet

"Slowing"

Source: Goldman

Also "slowing"

Source: FactSet

Sales revisions back then...

Source: Goldman

Required then and now

Source: Compustat

Prepared to wait 14 years...?

Source: Tidefall Capital

Cute anecdote on AI in healthcare

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