"This ‌is (not) the beginning of ‌the end of the tech dominance, it'll turn out to be a buying opportunity," said Hank Smith, director and head of investment strategy at Haverford Trust. "A big reason for that is the top tech names, ‌excluding Tesla, do not have challenging valuations given their growth rate, the moat around their business and their financial strength, which is unparalleled." The S&P 500 lost 24.20 points, or 0.35%, to 6,905.74 and the The Materials slipped, with precious-metal miners sl ...

Core Insights - Portolan Capital Management increased its stake in DigitalBridge Group by nearly 2.4 million shares, raising its total holdings to approximately 5.5 million shares valued at about $64 million as of September 30 [2][3][6] - DigitalBridge Group's shares have appreciated by about 18% over the past year, slightly outperforming the S&P 500's gain of 16.5% during the same period [4] - The company reported a revenue of $86.1 million and a net income of $12.8 million for the trailing twelve months [5] Investment Overview - Portolan Capital's investment in DigitalBridge now represents 3.5% of its reported U.S. equity assets under management (AUM) [4][6] - DigitalBridge specializes in digital infrastructure assets, including cell towers, data centers, fiber, small cells, and edge infrastructure [8][12] - The company generated $94 million in fee revenue in the third quarter, reflecting a 22% year-over-year increase, while fee-related earnings rose by 43% to $37.3 million [10] Market Position - DigitalBridge's fee-earning equity under management reached $40.7 billion, a 19% increase year-over-year, driven by organic fundraising and co-investment activities [10] - The company's strategic positioning in digital infrastructure is viewed as a structural growth opportunity rather than a speculative investment, with a measured approach to asset allocation [9][11]

Core Viewpoint - Nvidia is the leading player in AI infrastructure, but other companies like Advanced Energy Industries and DigitalBridge Group are emerging as significant contributors in the sector, offering potential investment opportunities for those looking beyond Nvidia [1][12]. Group 1: Advanced Energy Industries (AEIS) - Advanced Energy Industries specializes in precision power conversion systems, crucial for powering advanced semiconductors and data centers that support AI workloads [3]. - AEIS has a Zacks Rank 2 (Buy) with projected annual earnings growth of 27% over the next three to five years, driven by strong demand in semiconductor equipment and data center infrastructure [4][10]. - The stock trades at 25.7x forward earnings, which is attractive when adjusted for growth, as indicated by a PEG ratio below 1, suggesting it is undervalued relative to its earnings trajectory [5]. - AEIS has recently hit all-time highs, indicating strong momentum and alignment of fundamentals with technology trends [6]. Group 2: DigitalBridge Group (DBRG) - DigitalBridge Group is a digital infrastructure investment firm that partners with major operators to develop hyperscale data centers, essential for AI applications [9]. - DBRG also holds a Zacks Rank 2 (Buy), with earnings projected to grow at a 26% annual rate over the next three to five years due to increasing demand for digital infrastructure [10]. - The stock trades at 19.2x forward earnings with a PEG ratio below 1, indicating an attractive valuation relative to its growth potential, despite a recent trend of lower stock prices [11]. - Recent price action suggests a shift in momentum to the upside, indicating that investors are starting to recognize the long-term value of DBRG [11]. Group 3: Investment Considerations - As the AI boom continues, a broader ecosystem is necessary to support the technologies, where companies like AEIS and DBRG play critical roles [12]. - Both AEIS and DBRG are showing improving fundamentals, strong earnings growth outlooks, and technical momentum, making them compelling alternatives for investors seeking to diversify their exposure to the AI megatrend [14][15].