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The truly discerning investor, however, does not chase the fleeting mirage of hype. They observe the currents beneath the surface. The current sell-off, while dramatic to the uninitiated, merely exposes the underlying truth: software, in its current form, is becoming… common. The real opportunity lies in those facilitating the infrastructure upon which this digital ambition is built. To focus solely on the brilliant minds crafting the algorithms is to mistake the portrait for the painter.

DNOW, you see, has recently swelled in size, having absorbed the pipes, valves, and fittings emporium known as MRC Global. A merger, they call it. I call it a chaotic joining of disparate souls, a bureaucratic ballet performed on a tightrope of spreadsheets. The revenue, predictably, nearly doubled, leaping from a modest 571 million to a rather imposing 959 million. But such figures, while impressive to the uninitiated, are mere illusions, phantoms conjured by accounting trickery and the relentless pursuit of growth. One must always ask: at what cost?

The trading volume reached 45.8 million shares, a figure 151 percent above the three-month average of 18.2 million. Such activity is not indicative of informed long-term investment, but rather a predictable flurry of speculation. The company, having gone public in 2011, has lost 88 percent of its initial value. This prior performance, conveniently overlooked in recent reports, should serve as a sobering reminder.

I’ve been creating spreadsheets. Lots of spreadsheets. It’s strangely soothing. It gives the illusion of control. Here’s what they say. Assuming, of course, that everything goes exactly according to plan. Which, let’s be honest, it won’t.

Nvidia’s transition from a provider of graphics processing units (GPUs) primarily for the gaming market to a dominant force in AI-driven data center solutions represents a notable case study in strategic adaptation. The company’s GPUs have become essential for both the training and operational phases of sophisticated AI models. However, the current valuation—reflecting a substantial market capitalization—necessitates a rigorous assessment of future growth prospects. While analysts project an annualized earnings growth rate of 46% over the next several years, the sustainability of such a pace remains contingent upon continued technological leadership and the absence of significant competitive pressures.

Investors, naturally, are drawn to the promise of a 7.2% yield. A glittering trinket, if you will. But beneath the surface lies a network of pipelines, a labyrinth of ambition. Two large-scale natural gas projects, sprouting from the Permian Basin – the Hugh Brison and Desert Southwest lines – are the current objects of affection. The former is reportedly 75% complete. A comforting statistic, until one considers the remaining 25% often represents the most…spirited challenges. The Desert Southwest project has been “upsized” due to “strong demand.” A phrase that always warrants a raised eyebrow. It is scheduled for completion in late 2029. A date so distant it practically resides in the realm of speculation.

The source of this agreeable movement, it appears, lies in a report published that afternoon by the Wall Street Journal. The paper detailed Alphabet’s intention to “expand the market for its artificial intelligence (AI) chips,” a phrase which, while perhaps lacking in elegance, conveys a determination to compete more vigorously with the currently dominant Nvidia. One might observe that challenging an established power is rarely undertaken without a degree of calculation, and in this instance, the stakes are undeniably considerable.

Software stocks, in particular, have taken a bit of a beating. Apparently, analysts are starting to worry that all this fancy AI might actually replace the need for, you know, actual software. The sheer audacity. It’s like saying the internet will replace…books. Unthinkable. And naturally, this means everyone’s recalibrating their expectations. Lowering earnings multiples. Being generally gloomy. It’s a vicious cycle. I’ve started leaving extra space in my budget for emergency chocolate purchases.

The Supreme Court decided some tariffs were illegal. So, naturally, the companies that benefit from cheap imports had a good day. Wayfair (W +2.34%), Amazon (AMZN +2.59%), eBay (EBAY +3.92%), and Etsy (ETSY +8.58%) all went up. Etsy particularly, a whole 8.58%. They beat expectations. As if expectations mean anything. Alphabet (GOOGL +4.00%) jumped, and Micron Technology (MU +2.36%) got a little boost because of something about AI and memory. It’s all very complicated. Or not.

Turns out, it wasn’t just some algorithm gone wild. They actually had a pretty solid quarter. I mean, solid. As in, revenue up 5% to $644 million. Not earth-shattering, but in this market? I’ll take it. It’s the little wins, isn’t it?