They’ve been rather aggressive with those annual dividend increases and share repurchases. Over the last four payouts, we’re talking $0.82 a quarter, $3.28 annually. That’s a 17% jump from last year. 17%! And 90% higher than it was five years ago. They’re practically throwing money at us. (Don’t tell my accountant I said that.)
We are presented with two contenders: the Vanguard Total Stock Market ETF (VTI 0.01%) and the iShares Core S&P Total U.S. Stock Market ETF (ITOT 0.06%). On superficial inspection, they appear identical—a distressing lack of originality, wouldn’t you agree? But as any seasoned observer of human nature—or, indeed, financial markets—knows, the devil resides not in the broad strokes, but in the meticulous details.
The figures, when one gets down to brass tacks, are positively staggering. The International Energy Agency, those diligent chaps, estimate that data centers alone could be gobbling up nearly a thousand terawatt-hours by 2030. A quantity that, frankly, leaves one reaching for the smelling salts. The United States, therefore, finds itself in the position of a gentleman desperately in need of a larger waistcoat – a prodigious amount of power is required, and with some haste.
Micron’s the big dog in high-bandwidth memory (HBM) – the stuff that makes those AI processors tick. All this AI infrastructure building? It’s like a digital gold rush, and Micron’s selling the shovels. Or, you know, the memory. Same difference. Last fiscal year, they pulled in $37.38 billion in revenue, up from $25.11 billion the year before. Earnings per share? Skyrocketed from $1.30 to $8.29. I’m starting to feel bad for anyone who didn’t invest. Just a little.
The company, it appears, has been bolstered by the acquisition of BlueHalo. A curious pairing, like a meticulous watchmaker joining forces with a purveyor of slightly-used fireworks. BlueHalo, with its expertise in matters of space, cybernetics, and energies directed with a certain…force, now mingles with Aerovironment’s dedication to all things that fly without a pilot. The result? A broadened scope, they say. I suspect it is more akin to a sprawling, overgrown garden, where one struggles to discern the roses from the weeds.
This has led to a bit of a frenzy around stocks like NuScale Power (SMR +6.83%) and Nano Nuclear Energy (NNE +6.86%). Both went on a tear last year, then took a little tumble. Volatility, they call it. I call it a good excuse to buy low and blame the market when it doesn’t work out. Don’t tell my broker I said that.
Yet, Redwire’s ascent has been… modest. A flicker, perhaps, against the vastness of the industry’s potential. The share price, despite the general uplift, remains tethered to a lower orbit, a fact that invites a certain quiet contemplation. Is this a temporary stall, a gathering of momentum before a bolder trajectory? Or merely a confirmation of limitations, a gentle descent back towards earth?
The current obsession, this breathless race toward artificial intelligence, demands chips. Not just any chips, but more chips, faster chips, chips born of precision and, let us not forget, relentless pressure on those who assemble them. TSMC, by virtue of its size and reach, finds itself at the heart of this frenzy. They are not inventing the future, but they are undeniably facilitating it. And in that facilitation lies a certain…opportunity. An opportunity for those who hold the shares, naturally. The question is not whether TSMC will profit, but whether the price asked for a piece of that profit is worth the risk.
I’ve been watching these currents for a while now. The easy gains, the broad lift? Those days are likely numbered. A sorting will come. Some will flourish, yes, but many more will find themselves stranded when the tide goes out. Still, there’s work to be done, and a few stones worth turning over, if you know where to look. These aren’t recommendations to chase a frenzy, but observations for those who prefer to build a foundation, not a sandcastle.
They had a decent run last year, 77% up. Not bad for a company trying to navigate a battlefield dominated by giants. But that’s just the opening act. The real question is whether they can keep the momentum going.