Daily Alpha · YouTube
· Premarket Alpha · by Buzzberg Research
Netflix faces 'peak bearishness' despite strong fundamentals
Rich Greenfield argues that the market's extreme bearishness on Netflix is overdone, ignoring 12% revenue growth, margin expansion, and a rapidly scaling advertising business. He views the current sell-off as a buying opportunity, though he acknowledges the stock is now a 'show-me' story.
Google Gemini 3.5 Pro delay due to coding performance and organizational complexity
Alphabet shares fell nearly 4% following reports that the Gemini 3.5 Pro model is months behind schedule. The delay is attributed to disappointing coding capabilities after training data changes and organizational friction caused by fragmented teams across Google's product ecosystem.
Momentum factor unwind
The momentum factor is experiencing its worst selloff in 27 years, characterized by a 3.3 standard deviation move over three days, driven by the liquidation of retail-heavy leveraged ETFs.
Robinhood equity preferred over Ethereum for value capture
Robinhood's deployment on Arbitrum captures 90% of fees, while Ethereum L1 captures less than 1%, leading to the argument that Ethereum's L1 value capture model is broken.
LTA contracts remain favorable for memory makers
Contrary to market fears of 'sacrificial' Long-Term Agreements (LTA), memory manufacturers are signing contracts at prices higher than current spot rates, ensuring sustained margins.