Everyone agrees Costco’s a solid business. That’s boring. The real question isn’t if it’s good, it’s if it’s still worth the hype. Investors are basically saying, “Impress us. We’ve seen the free samples, now show us the long-term plan.” Here’s what they’re quietly obsessing over – and what I, as someone who actively seeks out companies everyone else is overpaying for, am paying attention to.
To discern the true vessels, those capable of weathering the storms and reaching a lasting prosperity, one must look beyond the surface. Seek out those companies with a unique bearing, a first-mover’s grace, and a valuation rooted in something more substantial than mere hope. Three such contenders present themselves: Nebius, Symbotic, and Strategy. Each, in its way, a seed holding the promise of an extraordinary ascent.
The impetus for this cheerful advance appears to be a confluence of factors, a sort of financial happy accident. The recent unpleasantness regarding Greenland and NATO, which had sent investors into a bit of a flutter yesterday, seems to have calmed down, and that’s always a good thing. But the real spark, as near as one can tell, came from the observations of Mr. Demis Hassabis, the bright spark behind Google DeepMind, at the Davos World Economic Forum. A clever fellow, that Hassabis, and clearly one who knows his way around the digital landscape.
It is within this climate of expectation that one finds oneself compelled to examine Celestica (CLS +0.07%). The company has, it is true, enjoyed a most remarkable year, its stock having ascended by a considerable margin. One observes, however, that popularity is not invariably synonymous with prudence, and a healthy skepticism is rarely misplaced. The question, therefore, is not merely whether Celestica may prosper, but whether its current valuation adequately reflects the inherent uncertainties of this rapidly evolving landscape.
Investing, naturally, is the favored method of this pursuit. Not because it is inherently logical – the stock market, after all, operates on a blend of hope, fear, and the occasional stroke of inexplicable luck – but because it offers the appearance of control. One can, at least, pretend to be master of their own financial fate, even as the market dances to a tune composed by forces beyond comprehension. The goal, let us suppose, is two million dollars. A sum sufficient to purchase a modest measure of peace, or perhaps a particularly extravagant collection of porcelain cats.
In a series of missives cast upon the winds of X, and a tome enshrined on Ripple’s digital sanctum, Long reveals her vision. Banks and corporations, she declares, are no longer content with mere pilot schemes. They march boldly into the realm of production, wielding stablecoins for settlement, on-chain assets for efficiency, and custody services for security. The likes of Visa and Stripe, once guardians of the old order, now weave stablecoins into their payment tapestries, seeking swifter settlements and the elixir of liquidity.
Buffett, in a moment of uncharacteristic exuberance (for him, anyway – a slight nod counts as a rave), declared Abel could manage his money better than anyone. Anyone! That’s a bold statement. I mean, has he seen my portfolio? Just kidding… mostly. But it does suggest Abel has the green light to shake things up. And shake things up he might. Now, I’ve been staring at spreadsheets and financial statements for longer than I care to admit, and I’m predicting two things. Two glorious, potentially lucrative things.
As of 2:25 p.m. ET, the stock had relinquished 13.4% of its value. A sum, incidentally, that could purchase a rather respectable collection of antique telescopes—or, failing that, a moderately sized asteroid.
Viking Therapeutics (VKTX 1.91%) and PayPal (PYPL +1.95%) represent, in their respective spheres, a gamble. One a speculative flutter on the whims of pharmaceutical approval, the other a slightly bruised, but still substantial, titan of the digital transaction. Both, however, offer a prospect of return that exceeds the tedium of a savings account.
Nvidia, once content to amuse with digital worlds, now powers the engines of calculation that shape our realities. They feed on data, and the hunger is insatiable. OpenAI, Microsoft, Meta, even Google – they all kneel before the altar of Nvidia’s GPUs. It’s a comfortable position, a monopoly built on silicon and CUDA, a proprietary language that locks customers in like serfs to a lord. AMD attempts to challenge, but it’s a slow climb against a fortified wall. The big companies build their own, of course, but even they find it cheaper to rent the tools than to forge them anew.