Core Insights - The primary concern regarding Dell Technologies Inc. (DELL) is not the volume of AI services it can sell, but rather its profit margins and overall earnings potential [1]. Company Analysis - Dell's focus on profitability is crucial, as the market ultimately values companies based on their earnings [1]. - The company is involved in a competitive landscape where technology disruption and policy shifts can significantly impact its financial performance [1]. Investment Perspective - The analysis emphasizes the importance of identifying mispriced opportunities in the market, particularly in relation to Dell's earnings and market positioning [1].

You've got this great take on sort of what the drivers are going for. Do you call it tire. But we are still trying to digest trade, We are still trying to think about interest rates.I think you go into what's happening with inflation, but earnings, what are we hearing from earnings to vindicate the run up that we've had of late. A looks thus far, right. I think it's fair to say that earnings have been really, really good.If you look at the performance of the HYPERSCALERS, in particular this most recent earn ...

European third-quarter earnings have exceeded expectations across the board, supporting stocks at record highs and boosting sentiment on the outlook for 2026 https://t.co/lQuxpLRfBu ...

[CC may contain inaccuracies] Depending on which Fed speech you're listening to at any moment, it's not the jobs that are most important or sticky inflation that's most important. So from your perspective, what's the greater force at the moment. Well, I think it's it is a bit of a toss up.I think Fed officials aren't quite sure what what they want to do. But my inclination is to believe that they'll pass on a December rate cut, that there will be another pause, they'll reconsider at the beginning of next ye ...

Optimism among U.S. small businesses continued to fall in October on weaker earnings trends, with labor shortages and the government shutdown also dragging on sentiment https://t.co/UHoenJW9Kr ...

Time. The major indices uh erasing most of their losses from last week, driven by some optimism that the government shutdown will end soon, as well as easing concerns about the AI trade. Let's bring in Ed Yardi, president of Yardi Research, still aiming for the S&P to end the year at or maybe close to 7K.Ed, it's good to see you. There was some discussion this morning that the 50-day was tested and held. Uh you know that when you're down three for the week and that's the worst in seven months, it was probab ...

Market Overview - Major indices have erased most of their losses from the previous week, driven by optimism regarding a potential end to the government shutdown and easing concerns about the AI trade [1] - The S&P is projected to end the year at or near 7,000 [1] Earnings Performance - Earnings have shown a significant upward trend, with a "meltup" based on strong fundamentals [3] - Analyst consensus for 2026 earnings has been raised, with Q1 and Q2 of this year outperforming initial low to mid single-digit expectations, achieving low double-digit year-over-year increases [4] - The third quarter earnings reporting season is expected to show a 14% increase for S&P 500 earnings, significantly higher than the initial estimate of 6.5% [5] Productivity and Labor Market - Strong productivity growth is contributing to improved earnings, with real GDP revised up to nearly 4% for Q2 and similar expectations for Q3 [6] - Layoffs, particularly in technology and warehousing, are linked to productivity improvements rather than a decrease in demand for services [7] - The labor market is experiencing structural changes, with a slower growth rate in labor supply, but productivity enhancements from AI and management tools are likely to keep unemployment low [10] Economic Outlook - The economy may experience strong growth rates of 3-4% alongside high employment levels, with productivity gains potentially leading to rising real wages [8][11] - Despite concerns about income and wealth inequality, real wages and household consumption are at record highs, indicating a generally positive macroeconomic environment [12][13]

Economic Outlook - GDP growth expectations for Q4 are projected at 1%, with Q1 at 1.3% [2] - Earnings growth expectations for Q4 are flat quarter over quarter, with eight of the eleven S&P sectors expected to show sequential negative earnings growth [2][4] Sector Analysis - The technology sector is expected to see sequential positive earnings growth due to seasonal factors, while most other sectors are anticipated to post negative earnings growth [4] - There has been a noticeable shift in investor sentiment regarding the labor market, AI bubble, and private credit concerns over the past few weeks [6][7] Investment Sentiment - Investor positioning has shifted from being underinvested and ready to buy dips to expressing significant concerns about market risks [6] - The potential cliff event for AI capital expenditures is anticipated between 2026 and 2027, suggesting a borrowing of growth into 2026 that may impact future growth [9]

Market Outlook - The market is considered a "buy the dip" market, especially in AI [3] - A solid Santa Claus rally is expected, with focus on November and December, potentially adding about 4 percentage points [14] - The market is in a bull market, reaching all-time record highs in the past couple of weeks [13] AI Sector Analysis - AI is viewed as an app with widespread applications, benefiting cloud providers [5] - There's nervousness about AI, but it's considered a good thing, unlike the tech bubble where concerns were absent [4] - Cloud providers are making a fortune as a result of AI [6] Earnings Performance - S&P 500 is expected to reach record highs for the third quarter in a row [10] - Current earning season shows an increase of 14% year-over-year, exceeding analysts' expectations of 65% [10] - Strong earnings provide a floor underneath the market, better than expected [8] Valuation and Multiples - The forward PE (price-to-earnings ratio) is around 22 to 23 [11] - The Magnificent Seven stocks are selling at 30 times forward PE, while the S&P 493 is selling at about 19 to 20 [12]

American companies are turning in one of their best quarters in years. Wall Street has just shrugged. https://t.co/gTU5Q6XwZ1 ...