Core Insights - Nebius Group NV (NBIS) has experienced a 200% stock rally since its low on June 9, contrasting with CoreWeave Inc (CRWV), which has lagged behind despite being a larger and more fundamentally sound player [1] - The valuation gap between Nebius and CoreWeave is significant, with Nebius trading at a price-to-sales ratio of 64.3, over five times higher than CoreWeave's 12.9 [2] - CoreWeave offers superior GPU access, larger data centers, and stronger ties to Nvidia, yet trades at a lower price, indicating that Nebius's high valuation is driven by hype rather than solid fundamentals [3] Market Dynamics - The surge in Nebius's stock highlights a disconnect in the market, where CoreWeave shows steady growth while Nebius's rise is fueled by excitement and retail attention, emphasizing a "story over substance" scenario [4] - CoreWeave is viewed as a more stable investment option, with steady revenues, stronger EBITDA, and a robust market presence, suggesting it is undervalued compared to its fundamentals [5] - The enthusiasm in the AI sector remains strong, but the contrast between Nebius and CoreWeave illustrates a divide between hype-driven growth and real scale and margins [6]

Core Investment Focus - Nvidia's public investments are heavily concentrated in two primary AI companies, CoreWeave and Arm Holdings, which together account for over 95% of its $4.33 billion assets under management [6][7][13] - CoreWeave represents 91.4% of Nvidia's invested assets, with Nvidia holding 24,277,573 shares valued at approximately $3.96 billion [7][8] - Arm Holdings accounts for 4.1% of Nvidia's portfolio, with 1,101,249 shares valued at $178.1 million [13] CoreWeave Overview - CoreWeave is focused on providing data-center infrastructure services and has aggressively invested in AI-GPUs, purchasing 250,000 of Nvidia's Hopper chips [7][10] - The company is projected to see sales growth from an estimated $5.25 billion this year to $19.55 billion by 2028, contingent on meeting Wall Street's expectations [9] - Despite rapid sales growth, CoreWeave faces significant financial challenges, including over $1 billion in interest expenses and a projected net loss of $1.2 billion for the year [10] Arm Holdings Overview - Arm Holdings generates revenue primarily from royalties and licensing fees related to its intellectual property, rather than manufacturing physical chips [14][15] - The company reported a gross profit margin of 97.2% in its fiscal first quarter, with net sales of $1.053 billion against a cost of sales of only $30 million [15][16] - Arm's unique position in the market allows it to benefit from growing demand for energy-efficient AI chips, while also being less vulnerable to potential downturns in the AI sector due to its diverse applications in CPUs and smartphones [17][18] Valuation Considerations - Arm Holdings is currently valued at a forward price-to-earnings (P/E) ratio of 61, which may be considered excessive given its expected sustained growth rate of 20% [18]

Group 1 - Nvidia-related stocks experienced a decline on Tuesday, with NEBIUS (NBIS.US) and CoreWeave (CRWV.US) dropping over 6% [1] - Recursion Pharmaceuticals (RXRX.US) fell more than 5%, while Applied Digital (APLD.US) decreased nearly 5% [1] - Arm Holdings (ARM.US) saw a decline of over 3% [1]

Group 1 - Nvidia-related stocks experienced a decline on Tuesday, with NEBIUS (NBIS.US) and CoreWeave (CRWV.US) dropping over 6% [1] - Recursion Pharmaceuticals (RXRX.US) fell more than 5%, while Applied Digital (APLD.US) decreased nearly 5% [1] - Arm Holdings (ARM.US) saw a decline of over 3% [1]

Core Viewpoint - Chip stocks experienced a broad decline on Tuesday, with significant drops in major companies [1] Company Performance - AMD (AMD.US) fell over 4% [1] - NVIDIA (NVDA.US) decreased by more than 1.2% [1] - Broadcom (AVGO.US) dropped over 1.5% [1] - TSMC (TSM.US) declined by more than 1.7% [1] - Super Micro Computer (SMCI.US) saw a decrease of over 2.3% [1] - CoreWeave (CRWV.US) experienced a decline of more than 5.5% [1]

智通财经APP获悉，周二，芯片股普跌，截至发稿，AMD(AMD.US)跌超4%，英伟达(NVDA.US)跌超 1.2%，博通(AVGO.US)跌超1.5%，台积电(TSM.US)跌超1.7%，超微电脑(SMCI.US)跌超2.3%， CoreWeave(CRWV.US)跌超5.5%。 ...

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Core Viewpoint - The article discusses the bearish perspective of short-seller Jim Chanos on CoreWeave, a prominent player in the AI "neocloud" sector, questioning its accounting practices regarding GPU depreciation and the sustainability of its growth [1][2]. Financial Analysis - Chanos highlighted that CoreWeave's capital employed averaged $19.2 billion in Q2, with depreciation and amortization (D&A) plus lease amortization amounting to $637 million, suggesting a 7.5-year useful life for its GPUs [3]. - If the useful life of GPUs were only 3.75 years, the depreciation expense would double, leading to a potential operating loss of $400 million instead of a reported adjusted operating income of $200 million [4]. - The implication is that overestimating GPU useful lives could result in significant financial losses, similar to a bank experiencing defaults on a rapidly expanded loan book [5]. Business Model Risks - CoreWeave's business model is at risk if it overestimates the useful lives of its GPUs, as indicated in its SEC filings, which acknowledge the challenge of accurately estimating component lifespans [7][8]. - Prior to its IPO, CoreWeave claimed that the useful life of its infrastructure exceeded its typical contract duration of 2 to 5 years, with a payback period of 2.5 years for investments [9][10]. Management's Defense - CoreWeave management asserts that it has successfully rerented older Nvidia A100 GPUs after their initial contracts, indicating a strategy to maintain revenue from older technology [12]. - During a recent conference call, management reiterated that older chips are still being recontracted for inference and lower-intensity jobs, suggesting resilience in their business model [13]. Market Dynamics - The rapid introduction of new Nvidia chip architectures could lead to older models becoming obsolete more quickly, posing a potential risk to CoreWeave's operations [6][14]. - While the current outlook for CoreWeave appears positive amid AI growth, the company must continuously find new use cases for older chips to sustain its business model [15].

Group 1: Market Overview - A softer-than-expected July inflation report has improved investor sentiment and revived hopes for a rate cut [1] - Traders are awaiting more economic data to gain further insights about the state of the U.S. economy [1] Group 2: Stock Recommendations - Investors are encouraged to search for stocks with strong long-term growth potential to enhance portfolio returns [2] - Recommendations from top Wall Street analysts can assist in identifying attractive stocks based on in-depth analysis of financials and growth prospects [2][3] Group 3: Pinterest (PINS) - Pinterest reported mixed results for Q2 2025, with revenue surpassing expectations but earnings missing consensus estimates [4] - BMO Capital analyst Brian Pitz increased the price forecast for Pinterest stock to $41 from $40 and reiterated a buy rating [5] - Q2 performance was impacted by a 25% drop in advertising pricing due to rising market share in previously unmonetized markets [6] - Pitz views Pinterest as a "Clear AI Winner," benefiting from AI-powered search functions and algorithm upgrades [7] - Gen-Z constitutes more than half of Pinterest's user base, providing valuable customer insights for advertisers [8] Group 4: CoreWeave (CRWV) - CoreWeave reported market-beating revenue for Q2 and issued better-than-anticipated guidance for Q3, but reported a larger-than-expected loss [9] - Jefferies analyst Brent Thill reiterated a buy rating on CoreWeave stock with a price target of $180, highlighting an 86% year-over-year jump in remaining performance obligations (RPO) [10] - Thill remains optimistic due to expansion deals with two hyperscalers and a ramp-up in capacity, adding 600 megawatts of contracted power [11] Group 5: Starbucks (SBUX) - Jefferies analyst Brent Thill upgraded Starbucks stock to buy from hold and increased the price target to $115 from $100 [13] - The stock has underperformed, sinking by 16% over the past six months, but Thill believes the risk/reward profile has improved [13] - Turnaround initiatives under new leadership are expected to drive improvement in U.S. comparable sales in Fiscal 2026 [13] - Thill anticipates gaining more visibility on Starbucks' earnings outlook as turnaround efforts become clearer, particularly regarding cost-saving initiatives [14] - The goal is to revive operating margins to 17% seen in Fiscal 2019, compared to 10.3% in Fiscal 2025 [14]

Core Insights - CoreWeave, an AI infrastructure provider, has experienced significant stock volatility since its IPO, initially priced at $40, later peaking at $187 before a recent decline [1][2] Financial Performance - In Q2, CoreWeave's revenue surged over threefold from $395.4 million a year ago to $1.21 billion, exceeding analyst expectations of $1.08 billion [4] - The company raised its full-year revenue guidance to a range of $5.15 billion to $5.35 billion, an increase of $250 million from previous forecasts [4] Supply and Demand Dynamics - CoreWeave faces supply constraints as demand for its products and services significantly exceeds supply, prompting substantial investments to increase capacity [5] - The company plans capital expenditures between $20 billion and $23 billion this year to address these constraints [5] Strategic Acquisitions - CoreWeave is pursuing the acquisition of Core Scientific for $9 billion in an all-stock deal to gain control over extensive power infrastructure [6] Debt and Cash Flow - As of the end of the quarter, CoreWeave had $11.2 billion in debt and $1.2 billion in cash, indicating a growing debt burden as it expands its infrastructure [6] - The company reported negative operating cash flow of $251.3 million for the quarter and negative free cash flow of $2.7 billion [7] Market Position and Growth Potential - CoreWeave is positioned as a leader in AI infrastructure, catering to both AI training and inference workloads, with increasing demand from various sectors [9][10] - The company has signed expansion agreements with major hyperscale customers, including OpenAI, indicating strong market demand [10] Financial Sustainability Concerns - Despite rapid growth, concerns exist regarding the sustainability of CoreWeave's spending and the accumulation of debt, with profitability appearing distant [11] - Unlike larger competitors like Amazon, Microsoft, and Alphabet, CoreWeave lacks the scale and diversified revenue streams to support its data center investments [12]