Brasada Capital Management, an investment management company, released its Q3 2025 investor letter. A copy of the letter can be downloaded here. In the letter, the firm noted that the market entered the fourth quarter with equities near all-time highs and monetary policy easing. The firm also believes that this momentum could persist even though there are indications that a capital expenditure bubble exists. Further, the firm continues to invest selectively in companies with solid moats and cash flows, whil ...

Key Takeaways NVIDIA posts a 12-month net profit margin of 53%, highlighting strong AI-driven profitability.MU delivers a 22.9% net profit margin, supported by higher-than-industry sales and income growth.VRT records a 10.7% net profit margin as demand for digital infrastructure boosts performance.As the new year approaches, investors should look for companies that generate strong returns after all operating and non-operating expenses are paid. Therefore, it’s better to invest in a profitable business rathe ...

Investors track NVDA Stock performance as AI demand fuels growth. AFP via Getty ImagesOur multi-factor analysis indicates that it could be the right moment to divest NVDA stock. We maintain a general negative outlook on the stock, and a valuation of $133 might be within reach. We assert there is nothing to worry about in NVDA stock in light of its overall Very Strong operating efficacy and financial health. Therefore, in conjunction with its Very High valuation, this causes the stock to appear Risky.Nvidia’ ...

Brown Advisory, an investment management company, released its “Brown Advisory Large-Cap Growth Strategy” third-quarter 2025 investor letter. A copy of the letter can be downloaded here. The strategy returned -0.88% (net) during the third quarter, underperforming the benchmark, the Russell 1000 Growth Index. Even though the portfolio has significant exposure to AI, its underweight to the most speculative momentum-driven parts of the trade was a headwind to performance. In addition, please check the fund’s t ...

Core Insights - Sands Capital Select Growth Strategy reported a portfolio return of 6.3% in Q3 2025, underperforming the benchmark's 10.5% gain, driven by strong corporate earnings and AI enthusiasm [1] - NVIDIA Corporation (NASDAQ:NVDA) is highlighted as a key stock, with a one-month return of -12.93% but a 52-week gain of 33.19%, closing at $180.26 per share with a market cap of $4.381 trillion [2][3] Company Performance - NVIDIA's datacenter segment showed significant growth, accelerating from 64% year-over-year growth to 73%, with guidance suggesting further increase to 84%, despite a decline in China's contribution to revenue [3] - NVIDIA's partnership with OpenAI aims to deploy at least 10 gigawatts of systems for AI infrastructure, with the first phase expected to go live in 2026 [3] Market Position - NVIDIA ranks 5th among the 30 Most Popular Stocks Among Hedge Funds, with 235 hedge fund portfolios holding its stock at the end of Q2 2025, an increase from 212 in the previous quarter [4] - In Q2 2026, NVIDIA reported revenues of $46.7 billion, exceeding expectations, although there are suggestions that other AI stocks may offer greater upside potential with less downside risk [4]

Core Insights - AI stocks have shown exceptional performance in 2023, with expectations for continued momentum into 2024, supported by a projected global AI market growth to US$2,407.02 billion by 2032, reflecting a 30.6% CAGR starting in 2025 [1]. Company Analysis - NVIDIA Corporation (NVDA) and Micron Technology, Inc. (MU) are identified as top profitable AI stocks for 2026 and beyond, attributed to their high net income ratios [3][9]. - NVDA has a 12-month net profit margin of 53%, indicating strong profitability [7][9]. - MU has a 12-month net profit margin of 22.9%, also reflecting solid profitability [8][9]. Profitability Metrics - The net income ratio is a key indicator of a company's profitability, representing the percentage of net income relative to total sales revenues, with a higher ratio indicating better revenue generation and expense management [4]. - Additional screening parameters include Zacks Rank 1 (Strong Buy), trailing 12-month sales and net income growth higher than the industry, and a strong buy percentage rating greater than 70% [5][6]. Screening Results - The screening process narrowed down over 7,685 stocks to 15, highlighting NVDA and MU as qualified candidates based on their strong financial metrics [6][9].

Santa Clara, California-based Advanced Micro Devices, Inc. (AMD) produces semiconductor products and devices. Valued at $335.6 billion by market cap, the company offers products such as microprocessors, embedded microprocessors, chipsets, graphics, video and multimedia products and supplies them to third-party foundries, as well as provides assembling, testing, and packaging services. Companies worth $200 billion or more are generally described as “mega-cap stocks,” and AMD definitely fits that descriptio ...

Group 1: Wheaton Precious Metals Corp. (WPM) - The company has a Zacks Rank of 1 and its current year earnings estimate increased by 8.8% over the last 60 days [1] - Wheaton's shares gained 6.2% over the last three months, outperforming the S&P 500's advance of 2.5% [2] - The company possesses a Momentum Score of A [2] Group 2: Hallador Energy Company (HNRG) - Hallador has a Zacks Rank of 1 and its current year earnings estimate increased by 71.9% over the last 60 days [2] - The company's shares gained 20.3% over the last three months, also outperforming the S&P 500's advance of 2.5% [3] - Hallador possesses a Momentum Score of A [3] Group 3: NVIDIA Corporation (NVDA) - NVIDIA has a Zacks Rank of 1 and its current year earnings estimate increased by 3.6% over the last 60 days [3] - The company's shares gained 39% over the last six months, significantly outperforming the S&P 500's advance of 14.4% [5] - NVIDIA possesses a Momentum Score of A [5]

Group 1 - NVIDIA Corporation reported one of the best quarters, with impressive sales, earnings, and gross margin numbers, leading to significant stock movement [1] - The stock opened at $195, an increase of approximately $8 from the previous day, but closed at $180, indicating high volatility [1] - Jim Cramer emphasized the importance of owning NVIDIA stock rather than trading it, acknowledging the emotional challenges investors may face [1] Group 2 - NVIDIA develops graphics, computing, and AI solutions across various sectors, including gaming, data centers, professional visualization, and automotive applications [2]

Core Viewpoint - NVIDIA's stock has shown significant growth, currently trading at $199.05, driven by positive market conditions and a favorable outlook for the company, with a target price of $260 suggested based on its strong operational performance and financial health [1][3]. Valuation - NVIDIA is currently valued at over $4.9 trillion, making it the world's most valuable publicly traded company [3]. - The stock's valuation appears very high compared to the broader market, indicating potential caution for investors [4]. Growth - NVIDIA has achieved an impressive average top-line growth rate of 92.0% over the last three years [5]. - Revenues increased by 72% from $96 billion to $165 billion in the past 12 months [5]. - Quarterly revenues rose by 55.6% to $47 billion compared to $30 billion a year earlier [6]. Profitability - NVIDIA's operating income over the last 12 months was $96 billion, resulting in an operating margin of 58.1% [10]. - The company reported a net income of nearly $87 billion, leading to a net margin of around 52.4% [10]. Financial Stability - NVIDIA's debt stands at $11 billion, with a market capitalization of $4.9 trillion, resulting in a debt-to-equity ratio of 0.2% [10]. - The company has a cash-to-assets ratio of 38.4%, with cash and cash equivalents amounting to $54 billion of total assets of $141 billion [10]. Downturn Resilience - NVIDIA has shown moderate resilience during economic downturns, experiencing a slightly worse impact than the S&P 500 index [7]. - Historical data indicates that NVIDIA's stock has fully recovered from significant declines during past crises, including the 2020 COVID pandemic and the 2008 global financial crisis [11].