PROVIDENCE, Rhode Island, Feb 17 (Reuters) - Softbank Group Corp said in ‌its latest 13-F filing ‌with the U.S. Securities & Exchange Commission that ​it had dissolved its stake in Nvidia in the fourth quarter of 2025, a transaction the company ‌first disclosed in ⁠November. The $5.8 billion sale took place in October 2025, Softbank ⁠said when it announced the transaction. Softbank liquidated the position in ​order to ​help raise ​funds for further ‌investments in ChatGPT creator OpenAI. The 13-F filing ...

Group 1: Apple’s Capital Expenditure Strategy - Apple Inc. is significantly reducing its capital expenditure, cutting it by 19% year-over-year to $2.37 billion, while other major tech companies are collectively committing around $700 billion in capex over the next year [1][2] - Apple's full-year capital expenditure was $12.72 billion, which is less than what Amazon plans to spend in a single quarter [2] - CEO Tim Cook emphasized a prudent and deliberate approach to expenditure, relying on on-device processing and "private cloud compute" to avoid the massive server costs that burden its rivals [4] Group 2: Market Reactions and Predictions - The market is beginning to question the aggressive spending strategies of other tech giants, as seen with Amazon's $200 billion capex guidance leading to an 8% stock drop, and Alphabet's plans causing a 6% decline [3] - Prediction markets indicate skepticism regarding Apple's restrained spending strategy, with Apple valued at just 14 cents in a market predicting the largest company by the end of December 2026, compared to Nvidia at 44 cents and Alphabet at 33 cents [5] - Despite speculation about a leadership change, traders give Tim Cook a 69% chance of remaining CEO through 2027, suggesting that a reversal in strategy is unlikely [6]

Market Performance - The year of the Wood Snake was moderate for China stocks and ETFs, with iShares China Large-Cap ETF (FXI) gaining about 9.4% over the past year, primarily in 2025 [1] - China's benchmark Shanghai Composite Index rose 18% in 2025, outperforming the S&P 500's 16.4% gain [1] - The current year has seen a decline in the market due to the ongoing property market crisis, weak January manufacturing data, and subdued economic growth momentum [1] Economic Growth - China's economy grew 4.5% year over year in Q4 2025, down from 4.8% in Q3, marking the weakest rise in three years [3] - Full-year growth for 2025 reached 5%, aligning with Beijing's target, supported by a record-high trade surplus [3] - Forecasts for 2026 GDP growth vary, with Vanguard estimating around 4.5% and Goldman Sachs predicting 4.8% [4] Regulatory Environment - Chinese policymakers are shifting towards sustainable growth, introducing tighter enforcement measures to moderate market momentum and strengthen long-term investor confidence [5] - The China Securities Regulatory Commission (CSRC) has intensified its crackdown on speculative activity following the Shanghai Composite Index reaching 10-year highs [6] AI Sector Growth - China aims to become a 90% AI economy by 2030, with significant growth in AI model usage projected [7] - Monthly token use in AI models in China is forecasted to range from 220-670Qa from 2025 to 2030, compared to 100-175Qa in the United States [8] Valuation and Equity Flows - The P/E ratio of FXI stands at 12.60X, significantly lower than the 28.77X of iShares Core S&P 500 ETF (IVV), indicating a cheaper valuation for Chinese equities [9] - Domestic equity flows are expected to rise, with Goldman Sachs estimating that Chinese equities could attract about $500 billion in fresh domestic capital this year [11] Consumption and Property Market Concerns - Domestic consumption remains subdued, with retail sales rising only 0.9% year on year in December 2025, missing market expectations [12] - The property sector is under pressure, with primary property sales expected to fall 10-14% in 2026 due to an oversupplied market [13] Overall Outlook - The outlook for Chinese stocks and ETFs is moderate-to-upbeat for 2026, supported by attractive valuations, improving equity flows, and AI-driven growth momentum [14] - However, long-term confidence in the Chinese market is contingent on regulatory stability, with potential volatility due to property sector stress and geopolitical risks [14]

Core Viewpoint - Investors are increasingly concerned about a potential bear market, prompting a shift towards value, dividend, and international stocks, despite the S&P 500 remaining flat in 2026 [2]. Group 1: Market Conditions - After three consecutive years of over 15% gains for the S&P 500, it is wise to consider portfolio protection against a market correction [1][15]. - Current expectations for GDP and earnings growth, along with stable inflation, do not indicate immediate risks for the markets, but preparation is advisable [3]. Group 2: Investment Strategies - The Vanguard Short-Term Treasury ETF (VGSH) offers a low-volatility option by focusing on short-term U.S. Treasury bonds, providing a 3.6% yield and minimizing default risk [5]. - The Vanguard Total Bond Market ETF (BND) invests across the entire U.S. investment-grade bond market, including Treasuries and corporate bonds, with a yield of 4.2% that compensates for added risk [8][9]. - The Vanguard U.S. Minimum Volatility ETF (VFMV) targets stocks with lower volatility, reallocating towards value and defensive equities, which can help mitigate downside risk [11]. Group 3: Sector Allocations - The VFMV ETF's top sector holdings include technology (26%), industrials (12%), consumer discretionary (11%), and financials (11%), with a focus on less volatile tech stocks [12][13]. Group 4: Overall Strategy - While these Vanguard ETFs may not guarantee protection in a bear market, they are designed to cushion against volatility and should be selected based on individual investment goals and risk tolerance [14].

The S&P/ASX 200 began the week on a positive note as Australian shares edged up with modest gains on Monday (February 16, 2026). Gains in technology, gold and healthcare stocks countered weakness in miners and financials, with the half-year earnings season swinging into full gear. The S&P/ASX 200 closed up Monday, gaining 19.50 points or 0.22% to 8,937.10, after last week's 2.4% rally that marked its strongest weekly performance in ten months. According to the ASX website, the top-performing stocks in the ...

Group 1 - The traditional white-collar career path is under threat from automation, with 37% of organizations planning to replace early-career roles with Artificial Intelligence, indicating a significant shift in the entry-level job market [2][8] - Goldman Sachs reported a record low intern acceptance rate of 0.7% from a pool of 360,000 applicants, making it more competitive than admission to most Ivy League universities [3][8] - Chinese equities are facing a deteriorating earnings outlook, with skepticism regarding the ability of Lunar New Year spending to sustain market recovery, particularly affecting major tech companies like Alibaba and Tencent [4][8] Group 2 - Young Americans are increasingly engaging in side gigs as a response to an uncertain labor market, reflecting a generational shift in employment perspectives and the decline of traditional 9-to-5 job stability [5][8]

Core Viewpoint - IBM plans to triple the hiring of entry-level positions by 2026, amidst concerns in the tech industry about AI displacing junior roles [1] Group 1: Company Strategy - IBM's executives state that as AI replaces basic tasks, entry-level employees will engage more in cross-department collaboration and product innovation [1] - The long-term vision includes strengthening the talent pipeline within the company [1]

Cohu's Q4 report arrived with a surprise that's causing investors to sell the stock.Cohu (COHU 6.89%) stock is losing ground in Friday's daily trading session. The tech company's share price was down 7.2% as of 3:20 p.m. ET amid roughly flat trading for the S&P 500 and the Nasdaq Composite. Cohu reported its fourth-quarter results after the market closed yesterday and delivered sales in line with Wall Street's expectations. On the other hand, the business reported a loss that was far larger than anticipated ...

Core Viewpoint - Tesla's recent attempts to transition towards artificial intelligence have highlighted its divergence from other tech giants, as its financial fundamentals deteriorate while its valuation remains high [1][3]. Group 1: Valuation and Financial Performance - Tesla's soaring valuation masks its weakening fundamentals, with the company being the only member of the "Magnificent Seven" to report a decline in actual profits over the past three years [1][3]. - The expansion of Tesla's valuation multiples is largely attributed to declining profit expectations rather than growth, indicating a significant disconnect between stock price and deteriorating fundamentals [1][3]. - Tesla's free cash flow is projected to turn negative for the first time since 2018 due to planned capital expenditures exceeding $20 billion by 2026, contrasting sharply with peers like Alphabet, which is expected to generate substantial free cash flow despite high spending [1][5]. Group 2: Cash Flow and Capital Expenditure - Over the past five years, Tesla's total free cash flow was approximately $27 billion, while other tech giants generated significantly higher cash flows, with each member of the "Magnificent Seven" creating more free cash flow in the past year than Tesla's total over five years [4][5]. - Tesla's planned capital expenditures for 2026, aimed at supporting its ambitions in autonomous driving and AI, will lead to a substantial negative cash flow, highlighting its financial strain compared to competitors [5][6]. Group 3: Profitability and Market Position - Tesla's operating profit margin is currently below 5%, while other tech giants have margins ranging from 11% to nearly 60%, indicating the challenges of building a tech giant on an automotive manufacturing base [7][8]. - Tesla's market share in the global automotive sector is only 1.8%, which limits its ability to leverage its position for higher profitability compared to its peers [7][8]. Group 4: Funding and Financial Strategy - Tesla has indicated to investors that it may require additional funding due to increasing cash consumption, raising concerns about CEO Elon Musk's broader business empire and potential restructuring [2][8]. - Historically, Tesla has engaged in 11 rounds of public equity financing, which is nearly equivalent to the total number of financings conducted by the other six tech giants combined, reflecting its reliance on external funding [8].

This story was originally published on CFO.com. To receive daily news and insights, subscribe to our free daily CFO.com newsletter. Claudia Gast | General Motors General Motors appointed Claudia Gast as deputy CFO and vice president of strategy, corporate development and technology partnerships, effective March 1. Gast will report to CEO Mary Barra for strategy and to CFO Paul Jacobson for corporate development and technology partnerships. She joins GM from electric vehicle startup Lucid Motors, where she ...