Core Insights - Terry Smith, known as the "English Warren Buffett," has reduced his stake in Alphabet by over 44%, selling approximately 2.8 million shares in Q4 2025 amid market volatility [1] - Alphabet's Q4 2025 revenue rose 18% to $113.8 billion, with net income increasing 30% to $34.5 billion, and Google Cloud revenue surged 48% to $17.7 billion driven by AI infrastructure demand [1] - Despite strong earnings, Alphabet's stock dropped 11% following guidance for 2026 capital expenditures of $175 billion to $185 billion, nearly double the previous year, raising concerns about rising costs and margin pressure [1] Company Performance - Alphabet's revenue growth in Q4 2025 was 18%, reaching $113.8 billion, while net income increased by 30% to $34.5 billion [1] - Google Cloud revenue saw a significant increase of 48%, amounting to $17.7 billion, attributed to heightened demand for AI infrastructure [1] - The company's annual revenues exceeded $400 billion for the first time, with YouTube generating over $60 billion in ads and subscriptions [1] Market Reaction - Following a strong performance in 2025, where Alphabet shares gained 66%, the stock faced a downturn after the announcement of AI-related plugins by Anthropic, leading to a broader sell-off in SaaS stocks [1] - Alphabet's stock price fell approximately 11% in the two weeks after reaching an all-time high of $349 per share, trading around $298 per share by mid-February 2026 [1] - Analysts project a 14% revenue growth for Alphabet in 2026, with the stock trading at 30 times forward earnings, which is considered reasonable for its scale [1] Investment Strategy - Investors are advised to consider their own investment strategies rather than blindly following high-profile investors like Terry Smith, as individual strategies and time horizons may differ [1] - Given Alphabet's strong Q4 performance and growth trajectory in AI, the recent stock pullback may be viewed as an overreaction, suggesting that holding or viewing the dip as a potential entry point for long-term appreciation could be beneficial [1]

Quick Read Alphabet (GOOG, GOOGL) Q4 revenue rose 18% to $113.8B. Net income increased 30% to $34.5B. Google Cloud revenue surged 48% to $17.7B driven by AI infrastructure demand. Alphabet stock dropped 11% following 2026 capex guidance ranging from $175B to $185B. A recent study identified one single habit that doubled Americans’ retirement savings and moved retirement from dream, to reality. Read more here. Terry Smith, the founder and CEO of Fundsmith, is often dubbed the "English Warren Buffe ...

There’s no doubt that in 2026, the worst-performing sector in the stock market is the software sector. Investors have sold off virtually all software stocks on rising fears that AI will unseat long-established subscriptions.With combined experience of covering technology companies on Wall Street and working in Silicon Valley, and serving as an outside adviser to several seed-round startups, Gary Alexander has exposure to many of the themes shaping the industry today. He has been a regular contributor on See ...

The US stock market opened lower on February 17, 2026. It is the first session after Presidents’ Day, with the S&P 500 trading around 6,840 at press time. The Index is down approximately 0.65% (around 44 points) from Friday's high, but up almost 0.58% since today's open. This hints at buyers stepping in across sectors. Persistent "SaaSpocalypse" fears that AI will disrupt traditional software and tech models continue to pressure the market. This makes Information Technology the weakest sector, down 1.5% i ...

Fears that artificial intelligence (AI) will rapidly disrupt software companies have been overdone, according to JPMorgan. The bank’s strategists believe parts of the sector are more resilient than believed, creating a potential opportunity for investors. “Given the positioning flush, overly bearish outlook on AI disruption of software and solid fundamentals, we believe the balance of risks is increasingly skewed towards a rebound,” said Dubravko Lakos‑Bujas, Head of Global Markets Strategy. In a recent ...

Core Viewpoint - ServiceNow CEO Bill McDermott is purchasing $3 million worth of stock, indicating confidence in the company's future and suggesting that there is "no better entry point" for investors [1]. Company Insights - The stock purchase by the CEO is seen as a positive signal for ServiceNow, especially in the context of challenges faced by other software companies [1]. - This move may encourage other executives in the software industry to consider similar investments, potentially stabilizing market sentiment [1].

Michael Burry, the renowned investor who famously predicted the 2008 housing crisis in The Big Short, has once again taken a contrarian stance. In his recent Substack post, "Palantir’s New Clothes," the founder of the now defunct Scion Asset Management argues that Palantir Technologies (PLTR) is wildly overvalued, likening its AI platform hype to an emperor with no clothes. He cites ballooning accounts receivable, heavy dilution, unreliable third-party AI models, and a business model that resembles low-m ...

Welcome back. Figma stock is higher after announcing a new partnership with Anthropic. It's get more details from Deerra Bosen who spoke with Figma CEO moments ago.Dearra. >> Hey Brian. So this feature it's called C sorry it's called code to canvas.It lets users take interfaces built in AI coding tools like cloud code and convert them into editable designs inside of Figma. Now, this is a bet that in a world where anyone can build software or design something with AI, the real value is in what happens next. ...

Market Overview - The U.S. equity markets are experiencing a mixed performance with a divergence between growth-oriented technology shares and defensive sectors as traders return from the Presidents Day holiday [1] - The Dow Jones Industrial Average (DJI) is up approximately 28 points, or 0.1%, near the 49,500 level, while the Nasdaq Composite (IXIC) is down about 0.2% at 22,546 [2] - The S&P 500 (SPX) remains virtually unchanged, oscillating around its 100-day moving average of 6,836 [2] Sector Performance - The Technology Select Sector SPDR (XLK) is under pressure as investors de-risk from high-multiple software names, while defensive and cyclical sectors are providing support [3] - The Utilities Select Sector SPDR (XLU) has gained 1.5%, indicating strong performance in defensive sectors, while Financials are also outperforming due to stabilizing comments from Federal Reserve officials [3] Technology Sector Developments - Concerns about "AI disruption" are prevalent, with fears of a "SaaS-pocalypse" affecting software giants; Salesforce (CRM) fell 2.6%, Intuit (INTU) declined 5%, and Oracle (ORCL) dropped 4% [4] - Nvidia (NVDA) remains a focal point in the semiconductor space, trading up 1.3% ahead of its critical earnings report next week, while Advanced Micro Devices (AMD) and Micron (MU) are down 2% and 2.6%, respectively [5] Consumer Sector Insights - General Mills (GIS) stock plunged 6.9% after cutting its full-year profit forecast due to "uneasy" customers and a slowdown in household spending [6] - Medtronic (MDT) slipped 2.5% despite beating quarterly estimates, as management warned of potential headwinds from upcoming tariff implementations [6] Mergers and Acquisitions - Danaher (DHR) shares dropped 6% following the announcement of a nearly $10 billion acquisition of Masimo (MASI), whose shares surged 35% on the news [7] - Warner Bros. Discovery (WBD) rose 2.9% amid reports of seeking a "best and final" buyout offer from Paramount (PARA) [7] Economic Data and Upcoming Events - January retail sales were flat, indicating a cautious outlook from major retailers, while the Empire State Manufacturing Index for February reached +7.1, slightly missing expectations but remaining in expansionary territory [8] - Upcoming earnings reports from Palo Alto Networks (PANW) and Devon Energy (DVN) are anticipated to provide insights into cybersecurity spending and energy demand [9] - The Federal Reserve will release minutes from its recent policy meeting, which may offer clues regarding future rate cuts following a moderation in the Consumer Price Index (CPI) to 2.4% [9]

The technology sector has been a great place to put your money over the past few years, as artificial intelligence (AI) and other tech stocks mostly soared. But AI is disrupting so many industries that old tech stalwarts, which once seemed impervious to competition, are being disrupted. That can make picking individual tech-stock winners difficult and is why putting your money into a technology exchange-traded fund (ETF) may be a smart move. Doing so allows you to spread your money across many tech stocks ...