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Feb 16
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$407.72
$412.55
+1.2%
|
LONG
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Neil Campling
Tech/TMT Analyst
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"With the latest AI chips they used 10 times or 6 times the amount of memory... it takes 3-5 years to build a new memory fabrication plant, and that is creating a bottleneck." Demand is exponential (AI) while supply is inelastic (multi-year build times). This creates a classic super-cycle for memory manufacturers where pricing power shifts entirely to the producers. LONG pure-play memory manufacturers and semiconductor equipment suppliers. Global recession dampening AI capex; rapid resolution of supply chain issues (unlikely given the 3-5 year lead time). |
Bloomberg Markets
Memory Chip Shortage is Global Crisis in the ...
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Feb 14
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$407.72
$412.55
+1.2%
|
LONG
|
Steve Rattner
Economic Analyst / CEO of Willett Advisors
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While general manufacturing is struggling, Rattner states there is "obviously a huge boom in construction going on in data centers." He also cites the CHIPS Act as a success with factories building in Arizona. Capital expenditure is decisively shifting from traditional industrial plants to digital infrastructure. Companies providing the physical infrastructure (power/cooling like Vertiv) and the chips (Semiconductors) are the sole beneficiaries of this "manufacturing" spend. LONG the picks and shovels of the data center buildout. Overbuild/capacity glut or energy supply constraints. |
Bloomberg Markets
Wall Street Week | Rattner on Manufacturing, ...
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Feb 13
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|
$407.72
$412.55
+1.2%
|
LONG
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Jonathan Golub
Chief US Equity Strategist, UBS
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Golub argues the tech basket looks "incredibly attractive" because earnings are "on fire" while multiples have compressed 20%. He explicitly points to "AI semiconductor names and the Nvidias." The market is irrationally punishing the "picks and shovels" (Semis) alongside the "losers" (Software). Strong earnings growth coupled with lower valuations creates a classic buying opportunity for the hardware enablers of AI. LONG AI Semiconductors. CapEx spending by hyperscalers slows down significantly. |
Bloomberg Markets
Bloomberg Surveillance 2/13/2026
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Feb 13
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|
$407.72
$412.55
+1.2%
|
LONG
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Scott Bessent
Treasury Secretary
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"We saw 40,000 new construction jobs... First we'll get the construction jobs and then the factory jobs are going to come... We need to de-risk... What did they do on critical minerals? What did they do on bringing back semiconductor production? What did they do on bringing back steel to the US?" The administration is prioritizing physical industrial build-outs (factories) and supply chain sovereignty. This "Capex Boom" requires heavy machinery (CAT), domestic steel (NUE), and domestic critical mineral processing (REMX). The specific mention of "bringing back semiconductor production" reinforces the bull case for US-domiciled chip manufacturing (SMH). Long the "Industrial Renaissance" basket (Construction, Steel, Semis, Rare Earths). Delays in factory completions or a global recession reducing demand for raw materials. |
CNBC
Watch CNBC's full interview with Treasury Sec...
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