Alger's Ankur Crawford: Not worried at all about a possible bubble in equity markets

Summary

Ankur Crawford of Alger dismisses bubble fears in AI stocks, arguing the rally is supported by strong earnings revisions and a multi-year capex cycle. She sees the market's cyclical skepticism as an opportunity, emphasizing that the compute shortage will drive secular investment for years. The conversation underscores a shift from consumer-led to industrial-led growth tied to AI infrastructure.

• Crawford says AI-related stocks are not in a bubble; earnings are rising with stock prices.
• She expects capex to rise through at least 2028 due to compute shortages.
• She describes the AI investment cycle as secular, not cyclical.
• Market skepticism about AI sustainability is viewed as a buying opportunity.
• The US economy is transitioning from consumer-led to industrial-led growth driven by AI.
• Crawford argues that multiples have not expanded because earnings have kept pace.
• She references Micron as an example of justified parabolic moves.
• The discussion focuses on the entire AI supply chain benefiting from rising demand.