Does it matter to you from a market sentiment perspective if there's squabbling at the top of the US domiciled companies. Is it a worry that we'll see perhaps invidious being questioned in terms of its dominance. I think it's quite healthy.We've seen the trade has delivered enormous returns for markets over the last two years and we're, I think, all kind of experiencing the sigh of relief of this exhale. I guess in a way, we've moved from a rising tide, lifts all boats to more choppier waters, and investors ...

Market Trends & Competition - The AI sector is characterized by a race to the frontier, with companies like Google, Meta, Anthropic, OpenAI, and Microsoft competing to achieve artificial general intelligence [2] - Model leapfrogging is expected to continue with each iteration of GPT, Gemini, Claude, and XAI [2] - Investors should be concerned if models stop leapfrogging each other, as it would suggest diminishing scaling laws and potentially slow infrastructure demand [4] Infrastructure & Investment - Remarkable Nvidia earnings and Gemini 3 imply that scaling laws are firmly intact, leading to aggressive demand for GPU/TPU accelerators during the training phase [2] - Hyperscalers continue to raise capex expectations, indicating sustained investment in infrastructure [6] - The infrastructure build is expected to be prolonged due to natural governors such as data center construction speed, permitting, and power availability [6] - Every GPU from TSMC's foundry has high demand, indicating that the deployment of these assets into data centers is just beginning [6] Risk Assessment - The market may take a breather after a strong infrastructure trade, but recent data has not changed expectations for the infrastructure build [5][6] - Short-lived assets like GPUs/TPUs are not deployed until the data center shell is up and power is available due to high carrying costs [6]

Industry Growth & Wealth Transfer - The AI industry, including AI growth, AI infrastructure, Robotics & data centers, is expected to receive trillions of dollars in investment over the next 5-10 years [1] - This wealth transfer is projected to be unprecedented in scale [1]

Summary of SMid Cap Industrials Conference Call Industry Overview - **Industry Focus**: North America Small and Mid Cap Industrials, particularly in AI infrastructure and related sectors [1][3][4] - **Key Themes**: - Market penetration within untapped Total Addressable Market (TAM) - Broad infrastructure investments - Nuclear power growth and safety - Electrification and automation trends [4][9] Company Insights APi Group (APG) - **Rating**: Overweight - **Current Price**: $37.4 - **Price Target**: $42 (12.1% upside) - **Market Cap**: $15.563 billion - **P/E Ratio**: 30.4x - **Revenue Growth CAGR**: 8% [3][6] Mirion Technologies (MIR) - **Rating**: Overweight - **Current Price**: $24.0 - **Price Target**: $34 (41.5% upside) - **Market Cap**: $5.955 billion - **P/E Ratio**: 57.3x - **Revenue Growth CAGR**: 2% [3][10] Rollins Inc. (ROL) - **Rating**: Overweight - **Current Price**: $59.4 - **Price Target**: $70 (17.9% upside) - **Market Cap**: $28.763 billion - **P/E Ratio**: 59.2x - **Revenue Growth CAGR**: 25% [3][6] Valmont Industries (VMI) - **Rating**: Overweight - **Current Price**: $391.2 - **Price Target**: $480 (22.7% upside) - **Market Cap**: $7.706 billion - **P/E Ratio**: 22.5x - **Revenue Growth CAGR**: 13% [3][13] Gates Industrial Corp (GTES) - **Rating**: Overweight - **Current Price**: $21.5 - **Price Target**: $33 (53.2% upside) - **Market Cap**: $5.563 billion - **P/E Ratio**: 15.5x - **Revenue Growth CAGR**: 7% [3][6] Regal Rexnord (RRX) - **Rating**: Overweight - **Current Price**: $131.0 - **Price Target**: $190 (45.0% upside) - **Market Cap**: $8.696 billion - **P/E Ratio**: 14.4x - **Revenue Growth CAGR**: 5% [3][6] Key Industry Trends - **Data Center Demand**: Expected electricity consumption from data centers to reach ~1,100 TWh by 2028, with a power installed base growing to 242GW by 2028 [22][24] - **Capex Growth**: Anticipated ~55% increase in annual grid investments from 2024 to 2030, driven by rising power consumption and infrastructure needs [31][32] - **Nuclear Power**: Significant partnerships with hyperscalers for nuclear energy supply, indicating a shift towards sustainable energy sources [37][45] Competitive Landscape - **Mirion Technologies**: Leading in nuclear safety technologies with a strong market share in 17 of 19 markets served, focusing on radiation safety and medical applications [52][54] - **Valmont Industries**: Positioned as a global leader in irrigation equipment and infrastructure solutions, benefiting from utility and telecommunications demand [91][96] Financial Metrics - **Average P/E Ratio**: 26.4x across covered companies - **Average Revenue Growth CAGR**: 14% for the sector [3][6] Conclusion - The SMid Cap Industrials sector is poised for growth driven by infrastructure investments, data center demand, and nuclear energy partnerships. Companies like Mirion and Valmont are well-positioned to capitalize on these trends, with strong financial metrics and growth potential.

Talk us through why this is pretty amazing. 900 datacentres being owned, managed or indeed leased or coach leased by Amazon. Most people know that Amazon's cloud business is enormous, but this kind of shows us exactly how enormous, right.Most cloud computing companies don't tell you exactly where their facilities are. And one thing they really don't talk about is where they rent space. So these documents we reviewed, you know, as you said, it's about a fifth of us as computing power as of last year was prov ...

GOOGLE AND NVIDIA AS WELL, WE'RE JOINED BY MANDEEP SINGH, GLOBAL HEAD OF TECHNOLOGY RESEARCH. LET'S KICK IT OFF WITH AMAZON. I THINK IT'S FAIR TO SAY WE'RE BOTH INTERESTED IN ALPHABET TODAY.SO THEY HAVE A ABOUT A ZILLION DATA CENTERS. I'M ACTUALLY NOT MOVED BY THAT. I COULD HAVE GUESSED IT, AND I DON'T THINK IT REALLY MATTERS, RIGHT.HOW MANY ACTUAL PLACES THEY HAVE, DOES IT. MANDEEP: RIGHT NOW, WHEN YOU COMPARE THEM TO A PURE PLAY DATA CENTER PLAY ON THE G. P.U. SIDE, THEY DO ABOUT 32 TO 35 DATA CENTERS. IT ...

Core Insights - Amazon's data center footprint is significantly smaller compared to competitors like NVIDIA, with Amazon having a revenue run rate of $130 million compared to NVIDIA's $5 billion, indicating a substantial gap in market presence and capacity [2][6] - The need for edge data centers is emphasized for serving large language models efficiently, as they require regional accessibility to minimize latency for billions of users [4][5] - Google is leveraging its own chips, specifically TPUs, which are in their seventh generation, to enhance performance and reduce energy consumption, positioning itself advantageously against competitors like NVIDIA [8][9] Data Center Strategy - Amazon is currently in a "land grab" mode, acquiring land for data centers to meet the power requirements of GPU centers, which is becoming increasingly competitive as more players enter the market [6][7] - The number of data centers is crucial for serving large-scale AI applications, as having multiple locations helps in managing user traffic effectively [4][5] Competitive Landscape - Google’s advancements with its Gemini model are seen as a threat to OpenAI and NVIDIA, as it has better capabilities in reducing AI hallucinations and is supported by a robust search index [8][9][10] - OpenAI is expected to shift towards a more product-centric and application-focused approach, particularly in e-commerce, which could impact Google's search ad revenue significantly [11][12]

I want to start on your discussions with the European Union. We were hearing some noise that it doesn't necessarily include reducing steel and aluminum tariffs from 50% to 15%. Is that off the table for now.Know what we're talking about. Everything is on the table When you have such a great partner as the European Union. They have 450 million people and a $20 trillion economy.So the opportunity is great. They would like to have steel and aluminum as part of this package. And we think it is very, very import ...

Market Sentiment - KKR 的 Raj Agrawal 对数据中心和人工智能领域的过度繁荣表示担忧 [1] - KKR 在投资选择上更加谨慎，以降低风险 [1]

Data Center Industry & AI Buildout - Data centers are evolving from 50-150 megawatt facilities to 700+ megawatts to handle AI and compute loads [2] - Jacobs' data center project pipeline has grown fivefold in the last two quarters, with ongoing equipment orders and site selections [3] - Data storage world is currently at capacity, driving the need for continued data center buildout [5] - AI buildout is contributing significantly to the projected US growth of just under 25% (2.4%) [16] - Quantum computing facilities are more complex and represent the next phase of computing beyond AI data centers, currently focused on R&D [12][13][14] Healthcare & Life Sciences - GLP-1 buildout is in the "middle innings" for injectable forms, with new companies and delivery methods (tablets) driving further capacity and capital buildout [8] - Life sciences sector is experiencing growth in oncology and other cancer therapies, beyond just GLP-1s [17] Financial Performance & Tax - The company's effective tax rate increased to almost 40% in the last fiscal year, compared to under 17% the previous year, due to R&D tax credits and international taxes [9][11] - The full effect of the Trump tax policy is still being implemented, with expectations of seeing early elements of it from 2026 onwards [10] Infrastructure & Reshoring - Infrastructure spending related to water, transportation, energy, and power needs for urbanization is driving business [17] - There are tailwinds for domestic reshoring and construction beyond GLP-1s and AI [16]