Core Insights - Oracle achieved a significant milestone in Q1 of fiscal 2026, with Remaining Performance Obligations (RPO) increasing by 359% year over year to $455 billion, indicating a substantial backlog in the tech sector [1][9] - The growth is primarily driven by the rapid adoption of Oracle's cloud and AI services, securing four multibillion-dollar contracts from major companies such as OpenAI, Meta, NVIDIA, and AMD [2][9] - Oracle anticipates its Cloud Infrastructure (OCI) revenues to rise by 77% year over year to $18 billion in fiscal 2026, with ambitious revenue targets set for the next four years [3][9] RPO and Revenue Growth - The Cloud RPO surged nearly 500% after an 83% growth last year, with 33% of total RPO expected to convert into revenue within the next 12 months, enhancing confidence in Oracle's near-term performance [2] - Oracle's long-term revenue projections include $32 billion, $73 billion, $114 billion, and $144 billion over the next four years, much of which is already reflected in its backlog [3] Competitive Landscape - Microsoft remains a strong competitor with a commercial RPO of $368 billion, growing 35% year over year, and Azure revenues of $75 billion in fiscal 2025 [5] - Amazon's AWS holds $195 billion in outstanding deposits, with 25% growth and 17.5% revenue expansion year over year, maintaining its position as a mature cloud provider [6] - Despite Oracle's rapid RPO growth, Microsoft leads in revenue, while Oracle's aggressive multi-cloud and AI strategies are narrowing the gap [6] Stock Performance and Valuation - Oracle's shares have increased by 97% year to date, outperforming the Zacks Computer and Technology sector's return of 16.8% and the Zacks Computer - Software industry's rise of 15.4% [7] - The forward 12-month Price/Earnings ratio for Oracle is 34.55x, higher than the industry average of 32.26x, indicating a potentially overvalued position [10] - The Zacks Consensus Estimate for Oracle's fiscal 2026 revenues is $66.60 billion, reflecting a 16.02% year-over-year growth, with earnings projected at $6.73 per share, suggesting an 11.61% increase from fiscal 2025 [13]

Economic Outlook - The current economic environment is described as benign, with expectations of lowering interest rates into a bull market, which is seen as favorable for the markets [8][14] - There is a concern about potential hidden risks, particularly related to credit leverage that may not be immediately visible [10][11] Risk Management - The discussion emphasizes the importance of identifying and managing tail risks, suggesting that while the market appears strong, there are underlying vulnerabilities that need to be monitored [22] - Historical patterns indicate that significant market crises tend to occur roughly every four to five years, suggesting that the market may be due for a correction [12][21] Investment Strategy - The current investment strategy leans heavily towards equities, with a belief that the market is positioned for growth, particularly in technology sectors [13][14] - There is a recognition that larger companies are better positioned to leverage new technologies, making them attractive investment opportunities [23]

Core Insights - The information technology sector has several oversold stocks, presenting potential buying opportunities for undervalued companies [1] - The Relative Strength Index (RSI) is a key indicator for identifying oversold conditions, with a value below 30 indicating potential buying opportunities [1] Company Summaries - **Accenture Plc (ACN)**: - Recently acquired IAMConcepts, a Canadian IAM services company - Stock has decreased approximately 26% over the past six months, with a 52-week low of $236.67 - Current RSI value is 28, and shares closed at $243.11 after a 3.5% drop [7] - **C3.ai Inc (AI)**: - Missed first-quarter earnings estimates and provided weak guidance - Stock fell around 5% in the past month, with a 52-week low of $14.70 - Current RSI value is 28, and shares closed at $15.61 after a 0.8% decline [7] - **Endava PLC (DAVA)**: - Reported mixed quarterly results, with a focus on AI integration in projects - Stock has decreased approximately 24% over the past month, with a 52-week low of $9.36 - Current RSI value is 25.7, and shares closed at $9.40 after a 5.3% drop [7]

Joining us right now is our special guest, David Rubenstein. He's co-founder and co-chairman of the Carile Group. He's also the owner of the Baltimore Orioles.And David, there are so many directions we could go with you. I was thinking about starting with inflation because we have a consumer price index coming up in a about an hour and a half. But you sat down and started talking about some numbers that you looked back.We're celebrating our 30th anniversary and you looked back 30 years ago. Uh what struck y ...

Economic Overview - The economy is described as being in decent shape, with some weakening in the labor market and a slight decline in consumer sentiment [2][9] - There is an expectation of upward pressure on inflation due to the gradual adjustment to tariffs, with only about 25% of the tariff impact passed through to consumer prices so far [3][4] Federal Reserve and Inflation - The Federal Reserve faces a challenging situation with conflicting mandates of managing inflation and supporting the labor market, especially if inflation pressures materialize while the job market weakens [6][5] - The market reacted positively to weaker PPI numbers, suggesting that the Fed may have room to cut rates [4] CEO Sentiment and Market Activity - CEO sentiment remains very positive despite uncertainties in the geopolitical landscape and the economy [11][12] - There is a notable increase in M&A activity as large companies consider significant transactions, driven by demand from private equity investors [13][14] Lazard's Performance and Strategy - Lazard has achieved a 100% total shareholder return over the past two years, attributed to internal steps and favorable market conditions [14] - The company is focused on recruiting high-quality talent and has met its productivity targets ahead of schedule [16] - Lazard's asset management business has seen net positive flows year-to-date, with a new CEO joining to drive further growth [17] Technological Advancements - The integration of AI is expected to enhance Lazard's growth and improve the quality of advice provided to clients [17][18]

Core Insights - Sezzle Inc. is positioned as a promising multibagger stock within the rapidly growing "Buy Now, Pay Later" (BNPL) market, providing flexible payment solutions for both merchants and consumers [1] - The global BNPL online value is projected to grow at a 9% CAGR, reaching approximately $580 billion by 2030, indicating substantial growth opportunities for Sezzle [2] - In Q2 2025, Sezzle reported a Gross Merchandise Volume (GMV) of $927 million, a 74% year-over-year increase, with total revenue rising 76.4% to $98.7 million [3] Financial Performance - Sezzle's adjusted net income increased by 92%, and the adjusted EBITDA margin improved by 550 basis points year-over-year to 38.4%, showcasing strong operational discipline [3] - Despite strong financial results, the stock experienced a decline of around 34% due to management's guidance indicating a slowdown in growth, which disappointed investors [4] - The stock remains up 100% year-to-date, reflecting overall positive market sentiment despite recent challenges [4] Analyst Sentiment - Analysts have maintained a positive outlook on Sezzle, with B. Riley Financial raising its price target from $101 to $111 while keeping a Buy rating, indicating the stock is attractively valued [5] - The company's consumer-focused features, such as Sezzle Up, which has over 2.9 million users, differentiate it from competitors by linking installment payments with credit-building [2] Industry Context - Sezzle operates in the U.S. financial technology sector, specializing in BNPL solutions that allow consumers to split purchases into interest-free installments, thereby enhancing merchant sales and customer engagement [6]

Group 1 - NextDecade Corp. experienced a significant drop in share prices, falling by 18.62% to $8.09, as investors reacted to developments regarding Train 4 of its Rio Grande LNG project [1][3] - The company successfully raised $6.7 billion to finance the development of Train 4 and continue progress on Train 5 [2][4] - Train 4 is projected to add 6 million tons per annum (MTPA) of LNG capacity, bringing the total capacity under construction at the Rio Grande LNG project to 24 MTPA [3][4] Group 2 - The funding for Train 4 includes $3.85 billion from a term loan facility, $1.13 billion from equity investments, and $1.7 billion from partners [4] - NextDecade's Chairman and CEO highlighted the strong global demand for natural gas infrastructure and the company's position to meet this demand with ongoing projects [3]

Economic Resilience and Inflation - The economy has shown more resilience than expected, with companies reporting stable conditions during the second quarter [2] - Anticipation of the Federal Reserve's actions in September is noted, with a focus on small-cap performance [3] Small-Cap Market Performance - Small caps have outperformed by approximately 400 to 500 basis points since April 8, largely unrecognized in the broader market [4] - Relative valuations for small caps remain cheaper compared to large caps, with small caps yet to reach new highs since November 2021 [5] Earnings Outlook - Small cap earnings turned positive in the second quarter after two years of negative performance, which is crucial for continued outperformance [6] - Expectations are that small cap earnings may outperform large cap earnings in the third quarter [6] Impact of Interest Rates - A lower interest rate environment would benefit small cap companies, particularly those with variable debt [7] - The anticipation of lower rates is already being factored into the small cap market [7] Capital Expenditure Cycle - The recent legislation allowing 100% depreciation on capital expenditures may signal the start of a capex cycle that benefits small cap companies [8] Focus on Industrial Sector - The focus is on economically sensitive areas, particularly industrials, which are expected to benefit from reshoring and re-industrialization in the U.S. [10][11] Historical Context of Small Caps - The Russell 2000's representation as a percentage of the Russell 3000 was 4.2% at the end of the second quarter, a level not seen since the 1980s [12] AI and Market Broadening - The AI narrative is shifting towards beneficiaries of AI, which may drive broader market participation beyond large caps [14]

Core Insights - The company is experiencing a leadership transition with Todd Nightingale joining as COO and President, bringing a strong background in networking and cloud services from Cisco [1][2] Opportunities in the Industry - There are significant opportunities in the field of Artificial Intelligence (AI), which is a major focus for the industry and is expected to drive discussions and innovations [2]

Summary of Arista Networks Conference Call Company Overview - **Company**: Arista Networks (NYSE: ANET) - **Event**: Fireside Chat at the Goldman Sachs Communicopia and Technology Conference - **Date**: September 10, 2025 Key Industry Insights - **AI and Networking**: AI is identified as a significant opportunity for growth, with the entire industry focusing on its integration into networking solutions [4][10] - **Campus Networking**: Arista Networks aims to expand its presence in campus networking, emphasizing that all networks are now mission-critical, not just data centers [5][9] Financial Performance and Guidance - **Revenue Guidance**: Arista raised its revenue guidance to 25% year-on-year, with specific targets for campus networking increased from $750 million to $800 million [7][9] - **AI Revenue Targets**: The company maintains a target of $750 million for AI backend revenue and an additional $750 million for incremental frontend revenue, with expectations of 25 to 30 new AI customers [10][34] Product and Technology Differentiation - **Arista EOS**: The Extensible Operating System (EOS) is highlighted as a key differentiator, providing a unified software experience across all products, ensuring high quality and reliability [12][17] - **Merchant Silicon Strategy**: Arista is fully committed to using merchant silicon, allowing for a diverse product portfolio tailored to customer needs, which enhances their competitive edge [18][19] Market Strategy and Customer Engagement - **Go-to-Market Strategy**: The company is expanding its go-to-market strategy to include managed service providers and channel partners, particularly in the campus segment [21][27] - **Security Solutions**: Arista partners with companies like Palo Alto Networks and Zscaler for cloud security solutions, emphasizing customer choice rather than developing in-house solutions [29][30] Future Opportunities - **Campus Networking Refresh**: The upcoming Wi-Fi 7 technology and the increasing demand for AI in campus networking are seen as significant growth drivers [31][32] - **Data Center Interconnect (DCI)**: Arista has a long history in DCI, which is evolving with customer needs for high-speed interconnectivity across multiple data centers [44][45] Long-term Outlook - **AI Momentum**: The executives express excitement about the long-term potential of AI in transforming networking, indicating that this trend will continue for the next decade [48] Additional Notes - **Analyst Day Preview**: An upcoming analyst day is expected to provide insights into business dynamics and technological advancements, particularly regarding high-performance demands and power limitations [46][48]