6 December 2024 Global bond flows compass ixed Incon 2024 in review: Flows in favour of high yielders � Asia: India Gsecs recorded their largest inflow in EM Asia followed by KTBs in Korea; sizeable outflows from China government bonds ♦ LatAm: Strong inflows into Brazil local government debt; foreign demand for Mexico Mbonos has remained choppy ◆ CEEMEA: Strong foreign inflows into long-dated PolGBs and SAGBs; non-residents trimmed their exposure in CZGBs Chart of the week: Strong y-t-d foreign inflows int ...

06 Dec 2024 16:00:00 ET │ 24 pages US Equity Strategy 2025 Outlook: Expect a Volatile Bull CITI'S TAKE We maintain a positive view on US equities headed into 2025. A base case 6500 S&P 500 target allows for mid-single digit gains on the heels of backto-back 20%+ years. Ongoing soft landing and Artificial Intelligence tailwinds now interact with Trump policy promises, and risks. Continued broadening beyond Mega Cap Growth impacts is critical but an extended valuation starting point will be an ongoing hurdle. ...

Summary of Amazon.com Inc. (AMZN) Conference Call Company Overview - **Company**: Amazon.com Inc. (AMZN) - **Market Capitalization**: $2.4 trillion - **Enterprise Value**: $2.3 trillion - **Current Price Target**: $240.00, with a current price of $220.55 indicating an upside of 8.8% [2][4] Key Industry Insights - **Event**: AWS re:Invent 2024 conference highlighted Amazon's advancements in the public cloud industry, particularly in AI/ML and custom silicon [2][8]. - **Positioning**: AWS is seen as uniquely positioned to capture momentum in AI solutions across enterprise customers and developers [2][8]. Core Financial Metrics - **Revenue Projections**: - 2023: $574.8 billion - 2024E: $637.1 billion - 2025E: $705.8 billion - 2026E: $780.5 billion [2][4] - **EBITDA Projections**: - 2023: $85.5 billion - 2024E: $118.1 billion - 2025E: $146.1 billion - 2026E: $169.4 billion [2][4] - **EPS Projections**: - 2023: $2.89 - 2024E: $5.22 - 2025E: $6.60 - 2026E: $8.36 [2][4] AWS and AI Strategy - **Generative AI Strategy**: AWS's strategy revolves around three layers: Infrastructure, Model, and Application [9]. - **Infrastructure**: Introduction of custom silicon like Graviton and Trainium, with Graviton offering 40% better price performance and 60% better energy utilization than x86 [10][11]. - **Model Layer**: Expansion of Amazon Bedrock, which provides access to LLMs and other foundational models [12][13]. - **Application Layer**: Launch of Amazon Q, a generative AI assistant for software development, which has significantly improved efficiency [16]. Revenue Growth and Margin Insights - **AWS Revenue Growth**: Expected to grow by 20% in 2025, with GAAP EBIT margins projected at 33% [8][20]. - **AI Services Contribution**: AI services are anticipated to contribute approximately 400 basis points to AWS growth in 2H'24 and 500 basis points in FY25 [28]. - **Normalized Margin Expectations**: AWS margins are expected to normalize in the low-to-mid 30% range due to scale and cost efficiency measures [21][31]. Capital Expenditure and Investment - **CapEx Projections**: Total capital expenditures are expected to reach approximately $91 billion in 2025, a 21% increase from 2024 [35]. - **Tech Infrastructure Investment**: Expected to grow from $31.5 billion in 2023 to ~$70 billion in 2025, indicating a strong commitment to scaling cloud operations [36]. Additional Insights - **Partnerships**: Collaboration with Anthropic to build a large AI compute cluster, enhancing AWS's capabilities in AI model training [18]. - **Market Position**: AWS's AI business is reported to be at a multibillion-dollar revenue run rate, growing at a triple-digit year-over-year percentage [23]. This summary encapsulates the key points from the conference call, focusing on Amazon's strategic positioning in the cloud and AI sectors, financial projections, and growth initiatives.

Summary of Global Semiconductor Conference Call Industry Overview - The report focuses on the **Global Semiconductor** industry, highlighting sales performance and market trends for October 2024 and projections for the coming years [2][4]. Key Points and Arguments 1. **Sales Performance**: - Total semiconductor sales decreased by **13.0% month-over-month (M/M)** in October, which is approximately **530 basis points worse** than normal seasonal averages [2][4]. - Only the logic segment saw a **4.4% M/M growth**, while other sub-markets experienced contractions [2][4]. - Excluding memory, integrated circuit (IC) revenue dropped by **3.0% M/M**, aligning with the 10-year seasonal average but **200 basis points below** the 5-year average [2][4]. 2. **Segment Performance**: - **Microcontroller Units (MCU)**, **Digital Signal Processors (DSP)**, and **Analog** segments posted declines of **29.5%**, **28.7%**, and **12.9%** M/M, respectively, all significantly worse than the 10-year seasonal averages [2][4]. - **Memory sales** fell by **31.4% M/M**, driven by a **35% sequential drop in units**, partially offset by a **6% sequential increase in average selling price (ASP)** [2][4]. 3. **Year-over-Year (Y/Y) Growth**: - Y/Y growth in total semiconductor sales was **+12.4%**, which is **620 basis points better** than the 10-year average, but a deceleration from an average of **~20% Y/Y growth in Q3** [2][4]. - Excluding memory, IC revenue increased by **8.3% Y/Y**, approximately **150 basis points higher** than the 10-year average [2][4]. 4. **Forecast Adjustments**: - The semiconductor forecast was trimmed due to lowered expectations for Analog and MCU revenue, alongside anticipated pricing declines for DRAM and NAND flash [2][4]. - Non-memory semiconductor revenue is projected to grow by **+8%**, **+19%**, and **+9%** Y/Y in 2024, 2025, and 2026, respectively [2][4]. 5. **Total Semiconductor Revenue Projections**: - Total semiconductor industry revenues are expected to grow **21% Y/Y** to **US$633 billion** in 2024, rising **24% Y/Y** to **US$782 billion** in 2025, and trending up **9% Y/Y** to **US$853 billion** in 2026 [2][4]. 6. **Preferred Stocks**: - In the U.S. market, preferred stocks include **AMD**, **ALGM**, **ADI**, **AVGO**, **ARM**, **MCHP**, **MU**, **NVDA**, and **TXN**, all rated as "Buy" [2][4]. Additional Important Insights - **Memory Market Outlook**: - The memory segment is expected to face near-term softness but is projected to recover in 2025 [2][4]. - DRAM sales specifically fell by **34.3% M/M**, while NAND sales declined by **27.4% M/M** [2][4]. - Contract pricing for DRAM is expected to increase by **10%** in Q4 2024, while NAND flash ASP is anticipated to decrease by **1%** and **4%** in Q4 2024 and Q1 2025, respectively [2][4]. - **Market Estimates**: - Street estimates for total semiconductor revenue for CQ4:24 are set for a **5.9% Q/Q increase**, with estimates for revenues excluding memory implying a **4.6% Q/Q increase** [2][4]. This summary encapsulates the critical insights from the conference call, providing a comprehensive overview of the current state and future outlook of the semiconductor industry.

Summary of UiPath's Q3 Fiscal 2025 Earnings Call Company Overview - **Company**: UiPath - **Industry**: Automation and AI-powered solutions Key Financial Metrics - **Annual Recurring Revenue (ARR)**: $1.607 billion, up 17% year-over-year, driven by net new ARR of $56 million [2][9] - **Revenue**: $355 million, a 9% increase year-over-year [10] - **Non-GAAP Operating Income**: $50 million, with a non-GAAP operating margin of 14% [11] - **Dollar-based Net Retention Rate**: 113%, indicating strong customer expansion [9] - **Gross Margin**: 85% overall, with software gross margin at 89% [10][11] Product Developments and Innovations - **Agentic Automation**: UiPath is launching agentic automation capabilities, allowing users to build, maintain, and deploy agents that can interact with various corporate systems [2][3] - **Agent Builder**: A new tool for creating agents, set to launch in public preview in February [6] - **Agentic Orchestration**: Expected to be available in Q1 FY 2026, enabling orchestration of complex processes across humans, robots, and AI agents [6] - **Autopilot for Everyone**: A conversational agent designed for non-technical users to automate complex tasks [5] Market Trends and Customer Insights - **Market Growth**: IDC forecasts the market for agentic labor automation to grow to $4.1 billion by 2028 [4] - **Customer Adoption**: Over 1,000 organizations have registered for the agent builder's private preview, indicating strong interest [3] - **Case Studies**: - A Fortune 50 healthcare company is rapidly implementing agentic capabilities after successful demos [3] - Volkswagen Financial Services plans to standardize on UiPath for automating customer communications, expecting over €10 million in annual cost savings [4] Strategic Partnerships - **SAP Partnership**: UiPath's integration into SAP Build Process Automation Solution enhances its market reach and credibility [7][22] - **Customer Expansion**: Notable expansions include a U.S. oil and gas company increasing automation within their S4HANA environment [8] Operational Efficiency and Future Guidance - **Cost Management**: Non-GAAP adjusted free cash flow expected to be approximately $325 million for FY 2025 [11] - **Focus on Customer-Centricity**: Emphasis on deepening relationships with customers and enhancing professional services [12] - **Guidance for FY 2026**: Anticipation of stabilization in net new ARR and acceleration in adjusted free cash flow growth [12][16] Additional Insights - **Customer Sentiment**: Positive feedback from customers regarding the new agentic offerings, with increased interest from C-level executives [18] - **Testing Automation**: UiPath's test automation capabilities are gaining traction, with significant interest from large enterprises [24] Conclusion - **Outlook**: UiPath is well-positioned to leverage its innovations in agentic automation and strengthen its market presence through strategic partnerships and customer-centric initiatives [9][20]

Welcome to Booking Holdings third quarter 2024 conference call. Booking Holdings would like to remind everyone that this call may contain forward-looking statements which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are not guaranteed of future performance and are subject to certain risks, uncertainties, and assumptions that are difficult to predict. Therefore, actual results may differ materially from these express ...

Good day, everyone, and welcome to today's GitLab third quarter fiscal year 2025 conference call. At this time, all participants are in view and listen only mode. Later, you will have the opportunity to ask questions during the question and answer session. If you'd like to ask a question, please use the raise hand function located in the menu of your Zoom controls at the bottom of your screen. In addition, please ensure your Zoom name reflects your full name and the firm you are joined with. And if you are ...

earnings conference call. My name is Sarah and I will be your conference operator today. As a reminder, this conference is being recorded. I would now like to turn the program over to your host for today's conference, Steve Winokur, PayPal's Chief Investor Relations Officer. Please go ahead. Thanks, Sarah. Welcome to PayPal's third quarter 2024 earnings call. I'm joined by CEO Alex Criss and CFO Jamie Miller. Our remarks today include forward-looking statements that involve risks and uncertainties. Actual r ...

Summary of META Platforms Q3 2024 Earnings Conference Call Company Overview - **Company**: META Platforms - **Quarter**: Q3 2024 - **Key Executives**: Mark Zuckerberg (CEO), Susan Lee (CFO) Core Industry Insights - **User Engagement**: Over 3.2 billion people use at least one META app daily, with significant growth in Meta AI and Llama adoption, which is becoming an industry standard [2][3] - **App Performance**: - WhatsApp: 2 billion calls made globally every day - Facebook: Positive trends among young adults in the US, with a 10% increase in time spent on the video player [9] - Instagram: Strong global growth, with over 60% of recommendations coming from original posts [9] - Threads: Nearly 275 million monthly active users, growing by over a million signups per day [2] Financial Performance - **Revenue**: - Total Family of Apps revenue: $40.3 billion, up 19% year-over-year - Ad revenue: $39.9 billion, up 19% or 20% on a constant currency basis [7] - **Expenses**: - Cost of revenue increased by 19%, primarily due to higher infrastructure costs - R&D expenses increased by 21% due to higher headcount-related expenses [6] - **Net Income**: $15.7 billion, or $6.03 per share [6] - **Operating Income**: $17.4 billion, representing a 43% operating margin [6] AI and Technology Developments - **Meta AI**: - Over 500 million monthly active users, with significant engagement in information gathering and content generation [15] - Improvements in AI-driven feed and video recommendations led to an 8% increase in time spent on Facebook and a 6% increase on Instagram [3] - **Llama Models**: - LLAMA token usage has grown exponentially, with LLAMA 3.2 released, and LLAMA 4 in development [3][4] - The expectation is that LLAMA will enhance the quality and efficiency of META's products [3] Product Innovations - **Reality Labs**: - Strong demand for Ray-Ban Meta glasses, which integrate AI for enhanced user experience [5] - Introduction of Quest 3S mixed reality headset at a price point of $300, with positive reviews expected to drive holiday sales [5] - **Threads**: Continued feature enhancements and user growth, though not expected to be a significant revenue driver in 2025 [27][28] Market Dynamics - **Ad Performance**: - Average price per ad increased by 11% year-over-year, driven by strong advertiser demand and improved ad performance [28] - Total number of ad impressions served increased by 7% [7] - **Geographic Growth**: - Ad revenue growth strongest in Rest of World (23%) and Europe (21%) [7] Future Outlook - **Revenue Guidance**: Q4 2024 total revenue expected to be between $45 to $48 billion [13] - **Expense Outlook**: Full year 2024 total expenses projected to be between $96 to $98 billion [13] - **Capital Expenditures**: Anticipated to be in the range of $38 to $40 billion for 2024, with significant growth expected in 2025 [13] Strategic Focus Areas - **Investment in AI**: Continued investment in AI infrastructure and talent to maximize returns and enhance core business engagement [12][22] - **Regulatory Landscape**: Monitoring of increasing legal and regulatory challenges in the EU and US that could impact business operations [14] Conclusion - META Platforms reported a strong quarter with significant user engagement and financial performance, driven by advancements in AI and product innovation. The company is focused on leveraging these developments to enhance user experience and drive future growth while navigating regulatory challenges.

Summary of AMD's Q3 2024 Financial Results Conference Call Company Overview - **Company**: Advanced Micro Devices, Inc. (AMD) - **Quarter**: Third Quarter 2024 - **Revenue**: $6.8 billion, up 18% year-over-year [2][11] Key Financial Highlights - **Gross Margin**: Expanded by 250 basis points to 54% [11] - **Earnings Per Share**: Increased by 31% year-over-year to $0.92 [11] - **Operating Income**: $1.7 billion, representing a 25% operating margin [11] - **Data Center Segment Revenue**: Increased 122% year-over-year to $3.5 billion, accounting for 52% of total revenue [11][12] - **Client Segment Revenue**: $1.9 billion, up 29% year-over-year [12] - **Gaming Segment Revenue**: Declined 69% year-over-year to $462 million [12] - **Embedded Segment Revenue**: Decreased 25% year-over-year to $927 million [12] Segment Performance Data Center Segment - **Growth Drivers**: Significant ramp in AMD Instinct GPU shipments and EPYC CPU sales [11] - **Market Share**: Gained server CPU share as enterprise wins accelerated [2] - **Key Customers**: Major cloud providers like Microsoft and Meta expanded their use of EPYC CPUs [2][5] - **Future Outlook**: Data center GPU revenue expected to exceed $5 billion in 2024, up from previous guidance of $4.5 billion [7][11] Client Segment - **Product Demand**: Strong demand for Ryzen 9000 series processors and Zen5 architecture [8][12] - **Commercial PC Market**: Expanded presence with large deals from companies like AstraZeneca and Volkswagen [8] Gaming Segment - **Challenges**: Revenue decline attributed to reduced channel inventory from Microsoft and Sony [9][12] - **Future Products**: Transitioning to next-gen Radeon GPUs based on RDNA4 architecture, expected launch in early 2025 [9] Embedded Segment - **Market Recovery**: Gradual recovery in demand, particularly in test and emulation sectors [12] Strategic Initiatives - **AI Infrastructure**: Acquisition of ZT Systems to enhance AI infrastructure capabilities [6] - **Product Development**: Accelerated product development pace with plans for annual launches of new instinct products [7] - **Ecosystem Collaboration**: Formed an ecosystem advisory group with Intel and other industry leaders to drive innovation in x86 architecture [4] Market Trends and Future Outlook - **AI Demand**: Anticipated growth in AI workloads, with data center AI business expected to grow at over 60% annually [10] - **PC Market**: Optimism for mid-single-digit growth in the PC market, driven by AI PCs and Windows 10 end-of-support [21] - **2025 Guidance**: Revenue expected to continue growing, with a focus on expanding customer base and optimizing workloads [24][31] Risks and Considerations - **Gaming Segment**: Continued challenges in the gaming segment due to inventory adjustments by major console manufacturers [9] - **Embedded Market**: Mixed recovery expected in the embedded segment, with some areas showing strength while others remain soft [18] Conclusion - **Overall Performance**: Strong execution in Q3 with record revenue and significant year-over-year growth across data center and client segments [11] - **Strategic Positioning**: AMD is well-positioned for continued growth and market share gains, particularly in the data center and AI sectors [10][11]