My thoughts. Part 1.
The market hasn’t been very good lately and I think we can all see it. Stocks are getting hit even when companies report good earnings. I haven’t been posting much and I haven’t been buying as aggressively as I could because I’ve been watching over 100 names really closely. I’ve been trying to see the patterns and understand what’s really driving this market.
A lot of companies are reporting very good results and then getting sold hard. You look at big tech, and you see names like $MSFT down around 15% YTD even though the business continues to perform. That tells you something about how sentiment has shifted. Investors aren’t rewarding earnings the way they used to. They’re questioning where real growth and returns will come from.
One of the biggest questions in the market right now is capex. Capital expenditures have gone through the roof and investors are asking when those investments will start to pay off. A large and growing portion of that spending is going into AI infrastructure. Tech giants like AMZN, MSFT, Google, and META are expanding data center capacity, buying more GPUs than ever before and investing in the power, networking, and cooling systems needed to support massive AI workloads. Hyperscaler capex is expected to be well over half a trillion dollars in 2026, with around 70 to 75% of that tied directly to AI infrastructure such as servers, GPUs, and data centers, and data center investment overall is still growing rapidly as demand for compute capacity rises.
That is exactly why I’m concentrated in that theme. That is why one of my biggest positions is in $IREN. If this AI buildout continues the way I believe it will, companies tied directly to the underlying infrastructure should benefit. I could be wrong, but the capital cycle supports the thesis.
Within the same infrastructure theme there are other names I’m watching closely. $NUAI is one of them and I plan to do a separate post on it. There are other smaller companies I’m researching now that could also benefit if this cycle plays out the way I think it will.
On the defensive side, I believe copper stocks are the safest play this year. Everything we are building electrification, data centers, EV, requires copper. To me a copper ETF makes the most sense at this moment because it gives diversified exposure without the execution risk that comes with single miners.
Another company I own is $ALMU. Aeluma is a semiconductor company developing high performance photonic and electronic technologies that scale into multiple markets like automotive, AI, robotics, mobile, defense and aerospace, and quantum computing. The idea behind the company is that its proprietary platform can manufacture chips using compound semiconductor materials at scale, which could be a big advantage as demand for advanced sensors and high performance components grows. The company is still early stage, but if its technology finds broad adoption it could be a meaningful growth story in a niche semiconductor segment.
I also want to talk about $OSS. OSS designs and manufactures high performance edge computing hardware, especially ruggedized GPU based systems used in defense, aerospace, autonomous systems, and industrial applications. The company focuses on bringing data processing closer to where data is generated, which is critical for AI at the edge, drones, military vehicles, and other real time environments where latency matters. Instead of being a cloud data center play, OSS is more about deploying powerful compute directly into the field. They have been expanding their presence in defense and government markets and positioning themselves around AI driven edge workloads. This is a smaller company with higher execution risk, but if edge AI adoption accelerates across defense and autonomous platforms, OSS sits in a niche that could benefit from that shift.
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Part 2 - for subscribers.
New stocks - OSS, NUAI, ALMU & OUST.
