Core View on CoreWeave Inc. - Kerrisdale Capital has established a short position against CoreWeave Inc., describing it as a "debt fueled GPU rental business with no moat" and projecting a price target that suggests a 90% downside from its current valuation [1][2] Financial Performance and Valuation - Kerrisdale estimates CoreWeave's fair value at approximately $10 per share, indicating that the company's explosive growth is driven by hype rather than sustainable innovation [2][3] - The report criticizes CoreWeave for generating returns below its cost of capital, which is detrimental to shareholder value [3] Customer Concentration and Financial Risks - CoreWeave's financial model is described as fragile, heavily reliant on expensive asset-backed debt with interest rates ranging from 11% to 15% [5] - The company is projected to deplete $19 billion in cash by 2025 and faces significant risks due to extreme customer concentration, with Microsoft accounting for 70% of its revenue [5][6] Partnership with Nvidia - CoreWeave's close partnership with Nvidia is under scrutiny, as Nvidia acts as both an investor and a major customer, contributing to 15% of CoreWeave's total revenue in 2023 [4] - Critics argue that this "round-trip arrangement" raises concerns about inflated valuations and the sustainability of CoreWeave's business model [4][6] Market Performance - CoreWeave's stock price rose by 7.60% to $120.47 per share, reflecting a 201.18% increase since its listing in March [7]

Core Viewpoint - Nebius Group N.V. has successfully closed its underwritten public offering of Class A ordinary shares, indicating strong market interest and confidence in the company's AI infrastructure capabilities [1] Summary by Relevant Sections - **Offering Details** - The company offered 10,810,811 Class A ordinary shares at a price of $92.50 per share [1] - Underwriters have a 30-day option to purchase an additional 1,621,621 Class A shares at the same offering price, less underwriting discount [1]

Core Viewpoint - SuperX AI Technology Limited has formed a joint venture with Zhonhen Electric to create SuperX Digital Power, focusing on High-Voltage Direct Current (HVDC) solutions to address the high energy consumption of AI computing globally, excluding Mainland China, Hong Kong, and Macau [2][3][9]. Company Overview - SuperX AI Technology Limited is an AI infrastructure solutions provider, offering a range of products and services for AI data centers, including high-performance AI servers and HVDC solutions [11]. - Zhonhen Electric is a leading provider of HVDC technology in China, with established trust among major technology and telecom companies [6][10]. Joint Venture Details - The joint venture, SuperX Digital Power Pte. Ltd., aims to integrate Zhonhen Electric's HVDC technology with SuperX's AI infrastructure expertise, creating a comprehensive "Compute + Power" solution [3][8]. - This partnership is expected to enhance SuperX's capabilities, allowing it to offer a fully optimized solution from power-in to model-out, thereby gaining a competitive edge [13]. Technological Advantages - HVDC technology simplifies power distribution, reducing energy losses from approximately 10-15% in traditional systems to over 96% efficiency, significantly lowering operational expenditures [4][7]. - The new architecture allows for higher power density and a smaller footprint, potentially freeing up to 50% of facility space for additional AI servers [7]. Market Positioning - The collaboration positions SuperX to meet the urgent demand for energy-efficient AI data centers, providing a first-mover advantage in the global market [13]. - The partnership is seen as a strategic move to establish a new global standard for energy-efficient AI data centers, enhancing operational efficiency and reducing environmental impact [9].

Core Viewpoint - Arista Networks has reached a new all-time high following the release of full-year guidance, projecting $10.5 billion in revenue, which represents a 20% year-over-year growth [1] Company Performance - Arista Networks has significantly outperformed both the broader market and its tech sector competitors over the past year, with notable competitors including Hewlett Packard, Cisco, Dell, and Fortinet [3] - Over the past five years, Arista Networks has shown exceptional performance compared to its peers in the data center and AI infrastructure sectors [3] Technical Analysis - The stock has notable support around the $138 to $140 range, with significant highs and lows observed historically in this area [4] - The volume profile indicates a strong volume node near the $138 to $140 range, suggesting robust support [5] Options Strategy - A cautious approach is recommended due to the stock being overbought on the RSI, despite its recent rally to all-time highs [6] - A neutral to bullish options strategy has been suggested, involving selling an out-of-the-money put vertical, specifically selling the $148 put and buying the $140 put [7][8] - The potential credit collected from this strategy is approximately $220, with a risk of about $580, allowing for a break-even point nearly 4% below the expected opening price [9]

Core Insights - The AI infrastructure market is projected to grow from $87.6 billion in 2025 to $197.64 billion by 2030, with a CAGR of 17.71% [2] - Dell Technologies (DELL) and Applied Digital (APLD) are key players in this market, with DELL focusing on AI-optimized servers and enterprise IT solutions, while APLD specializes in high-performance computing and AI data centers [1] Dell Technologies (DELL) - DELL is experiencing strong demand for AI servers due to ongoing digital transformation and interest in generative AI applications [3] - In Q2 of fiscal 2026, DELL shipped $8.2 billion in AI servers and raised its full-year shipment guidance from $15 billion to $20 billion, indicating sustained demand [4] - DELL's AI backlog reached $11.7 billion at the end of Q2 fiscal 2026, with a $5.6 billion increase in orders during the same period [5] - The company has an expanding partner base, including Nvidia, AMD, and Meta, enhancing its ecosystem and interest in its AI solutions [6] - DELL's shares are trading at a low valuation of 0.76X forward sales, suggesting a potential investment opportunity [11][15] Applied Digital (APLD) - APLD signed a 15-year lease agreement with CoreWeave to deliver 250 megawatts of IT load at its Polaris Forge 1 campus, expected to generate approximately $7 billion in contracted revenues [7] - The Polaris Forge 1 facility is designed for AI and high-performance computing, with plans for additional facilities to scale up to 1 gigawatt [8] - APLD is also expanding with the construction of Polaris Forge 2, a $3 billion, 280MW AI Factory, expected to create over 200 jobs [9] - APLD shares have appreciated 122.2% year-to-date, driven by demand for AI infrastructure, but the stock is currently considered overvalued at 14.46X forward sales [10][15] Financial Performance and Valuation - DELL's fiscal 2026 earnings estimate is $9.54 per share, reflecting a 17.20% year-over-year increase [17] - APLD reported a loss of 80 cents per share in the previous year, indicating ongoing challenges in achieving profitability [17] - DELL holds a Zacks Rank 2 (Buy), while APLD has a Zacks Rank 3 (Hold), suggesting a stronger investment case for DELL [19]

Summary of BYDE (0285.HK) Conference Call Company Overview - **Company**: BYDE (0285.HK) - **Industry**: Automotive Electronics, Consumer Electronics, AI Infrastructure Key Points 1. Automotive Electronics Outlook - Management is optimistic about the automotive electronics sector, driven by the increasing smart driving trend in China and the expansion of BYDE's product offerings, which enhances dollar content per vehicle - BYDE provides various products including infotainment systems, Advanced Driver Assistance Systems (ADAS), and thermal management solutions - The company aims to penetrate more high-end vehicle models, which is expected to support revenue growth - As shipments increase, management anticipates economies of scale will lead to higher gross margins (GM) [2] 2. Consumer Electronics Business - BYDE is focused on improving profitability in the consumer electronics segment by reducing manufacturing costs through automation, such as the use of industrial robots - Revenue growth is expected in the coming years, supported by changes in smartphone form factors, including slimmer and foldable models - Components for foldable phones typically have higher technical requirements, resulting in a higher average selling price (ASP) and increased dollar content for BYDE [3] 3. Expansion into AI Infrastructure - BYDE has developed R&D capabilities in AI server liquid cooling components, with mass delivery expected to commence in the second half of 2025 - The company plans to target non-China markets for its liquid cooling components, anticipating higher demand due to increased penetration rates - BYDE is also expanding its product line to include optical modules, with mass production of 800G modules expected to start in 2025 and 1.6T modules currently in the prototype stage - The demand for AI infrastructure in the Chinese market is expected to rise following the launch of DeepSeek in late 2024, which includes AI servers, general servers, optical modules, and switches [7] 4. Financial Projections - Market capitalization: HK$95.2 billion / $12.2 billion - Revenue projections for the next few years are as follows: - 2024: Rmb 177,305.5 million - 2025: Rmb 194,357.6 million - 2026: Rmb 227,392.1 million - 2027: Rmb 250,547.3 million - EBITDA projections: - 2024: Rmb 9,734.9 million - 2025: Rmb 11,786.0 million - 2026: Rmb 14,756.6 million - 2027: Rmb 18,105.6 million - EPS projections: - 2024: Rmb 1.89 - 2025: Rmb 2.59 - 2026: Rmb 3.72 - 2027: Rmb 4.95 - Price target: HK$54.98, representing a potential upside of 30.2% from the current price of HK$42.24 [8] Additional Insights - BYDE's accumulated experience in automotive and consumer electronics manufacturing positions it well for growth in the AI infrastructure sector - The company's strategic focus on high-end automotive models and advanced consumer electronics aligns with global trends towards smart technology and AI integration [1][2][3][7]

Core Viewpoint - Nebius Group is raising $3 billion through a convertible notes offering and a simultaneous Class A shares offering to support business expansion and general corporate purposes [1][2][3] Fundraising Details - The company plans to issue $2 billion in convertible senior notes, with maturities in 2030 and 2032, aimed at qualified institutional buyers [2] - An additional $1 billion in Class A ordinary shares will be offered, with a 30-day option for underwriters to purchase an extra $150 million [3] - Goldman Sachs is the lead book-running manager for the public offering, with Morgan Stanley, BofA Securities, and Citigroup as additional managers [4] Business Expansion Plans - Proceeds from the offerings will be used for acquiring computing resources, securing land plots, and expanding data center operations [1] - The company aims to grow its global data center portfolio and customer base, targeting both AI native tech startups and larger enterprises [2] Strategic Partnerships - The fundraising follows a $17.4 billion agreement with Microsoft, providing the tech giant access to dedicated GPU infrastructure at Nebius' new data center in Vineland, New Jersey [4][5] - The agreement includes an option for Microsoft to acquire additional services, potentially raising the contract's total value to approximately $19.4 billion [5]

Core Viewpoint - Nebius Group N.V. has announced the pricing of its offering of $2.75 billion in convertible senior notes, indicating a significant capital raise to support its AI infrastructure initiatives [1] Group 1: Offering Details - The offering consists of two series of convertible notes: $1,375 million of 1.00% convertible notes due in 2030 and $1,375 million of 2.75% convertible notes due in 2032 [1]

Group 1 - Nebius Group N.V. announced the pricing of its underwritten public offering of $1 billion of Class A ordinary shares at a price of $92.50 per share [1] - The company has granted underwriters a 30-day option to purchase an additional $150 million of Class A ordinary shares [1]

Core Viewpoint - Nebius Group N.V. intends to offer $2.0 billion in convertible senior notes, divided into two series, to enhance its financial position and support growth initiatives [1] Group 1: Offering Details - The offering consists of $1.0 billion in convertible notes due in 2030 and another $1.0 billion in convertible notes due in 2032 [1]