Trump Headlines… Is Giving a 2nd Chance

For the last few weeks, the market has been telling investors one story. AI slowing down, chips are falling, memory is falling, photonics is falling, AI infrastructure is falling. When I started reading the earnings reports, I found a completely different story, y'all. And I And I've said this before, but we got to look at the numbers. TSMC, record demand. Micron, record demand. ASML, record demand and backlog. So, now we have a problem. The market is saying one thing, the companies are saying another thing, and both can't be right. And whenever Wall Street and the business disagree, I got to stop watching the headlines and I got to start watching the numbers. Because somewhere inside there's a disconnect, and that's where the opportunity is. Not to mention, we have a president that has increased some bombing. So, today, I'm going to show you why I believe this AI pullback has less to do with weakening demand and more to do with spreading financial fear. I'm going to break down three companies that are next-generation AI data centers and explain why I believe they're sitting on some of the fastest-growing parts of the AI economic cycle. But, I also got to break down the the facts on how this war is impacting what we're doing. And even though it's fear, it's keeping us from seeing the the vision. And I'm not promoting a war, I'm just saying that's out of our hands. So, we have to truly take advantage of this opportunity that's in front of us because most people missed the last time. So, she bought a Wall Street Trapper. Make sure you like, subscribe, and share this with somebody cuz this is going to be really important. I definitely don't want to waste your time. And help us get to 2,000 likes, y'all, because that helps us truly, truly, truly get up in the algorithm and help the page grow. Let's go. We know for a fact that the war is 100% increased the fear in the market. The The went from being neutral, the Fear & greed index went from being neutral, the VIX which measures volatility all spiked as of the last couple weeks. Well, maybe the last week or so. Well, as of now the United States have bombed Iran 11 straight days. And during those days you had some bounces here and there. Iran is saying "Yo we rocking now and we going to hit Saudi Arabia." And Trump is now threatening to now destroy infrastructure, which is bridges and power plants. And in case you don't know, those go against rules of engagement. Those are truly what's considered war crimes. You cannot destroy a country's bridges or power plants or water supply system because that becomes what's called a crime of war. So, we see Trump doing this thing all over again, which is intensifying the threats, intensifying the attacks. And I'm not saying he's pump faking because people like to say he's chicken out Trump. And I don't like to say that because we don't like war because we don't need to see innocent people we don't need to see people get killed behind us making money in this market. Right? But we also know that those hostilities bring fear in the market. And so, what happens is now we're seeing crude oil spike back to $95, going back to $100, which means you and other American people are going to feel that pressure. Now, with that pressure comes, you know, if that stays up, now the Fed has to now look at doing what? Hiking rates, which now puts more fear in the market. Now, I'm not trying to scare you, but I want to paint a picture so you can understand what's going on. Yes, I'm going to break down the three companies, but I got to help you understand what's at bay right here. And this is the Trump playbook, right? And I'm not saying this is the playbook where this is going to make us a lot of money. I'm saying this is the playbook that he follows, right? He say he wants to do a deal, somebody fights back, he starts to bomb, sometimes he doesn't, sometimes he can get away without bombing. This time he's at the bomb. We are 11 straight days where they're bombing. I I'm going to understand that's going to cost us money. As Americans, we are actually paying for that. On top of that, the Trump administration is now doing what? They're now putting more tariffs out. Why? Because the tariffs got struck down. They paid about eight 83 I think it was something like 83 billion dollars in tariff refunds to companies, and those companies got refunds, but us as the American people didn't get no refunds on that. We still footing the bill. And so now they're going to re-put more tariffs on people. You see them threatening Canada, you see them threatening other countries, and then that's to get some of that money back. Now, I'm saying all that before I get into the AI and before I get into the stocks because I need you to understand this is where the volatility is coming from. Also, the volatility is coming from Korea. Well, if you don't know, the Korean stock market is about 75 to 80% memory stocks, which is SK Hynix, Samsung, companies like that. Well, that has that country's stock market has now went into a bear market. If you want to look at that, look at EWI. That's the Korean stock ETF. You can definitely check that out. Because our memory stocks are also attached to that and because Korean traders are also attached to that. This is why you see so much volatility in the memory sector. Now, I don't want to just paint that picture for you so you understand exactly what's going on in the market, where the volatility come from, and now we get to navigate. So, let's start with TSMC. Now, if you're new to investing, you may not know the name, but chances are you've owned products that wouldn't exist without them. TSMC doesn't just design chips, they manufacture them. Uh think of them as the world's most advanced chip factory. So, companies like Nvidia, AMD, Apple, and Broadcom, Qualcomm, right? And dozens of other semiconductor companies, well, design the chips. That's what they do it for. But, TSMC actually bills them. In fact, they manufacture the majority, about 92% of the world's most semiconductor chips. All right, so what I want you to know is whether AI is growing, I don't want you to look at social media and get confused. I don't even want to start with Nvidia. I started with TSMC because they're one of the first companies to see orders coming in. Now, listen to me. And that's what they tell us. They reported another outstanding quarter, $40 in revenue. Up about 30% over the last year. Their earnings has surged 70% and then and maybe be the most important thing is they didn't lower expectations. They raised the outlook for the rest of the year. Now, think about what that means. If AI demand is actually slowing, would the company manufacturing the world's most advanced chips be increasing guidance? Probably not. They'd be warning us. Instead, they told us that the demand remains increasingly strong and that's not all. Some customers are reportedly are even waiting 1 year to get their chips manufactured. That tells me something really important. Demand isn't disappearing. Supply is struggling to actually catch up. That's a very different story than the stock market and the headlines are telling us. Now, if AI demand is still growing, then where is the next wave of spending coming from? Now, I don't think it's just chips anymore. I think that Wall Street is beginning to shift toward an entirely new layer of AI infrastructure. This is my personal opinion and we've seen some headlines that support that. But, that could become one of the most fastest growing AI economies in over a decade and it's called Neoclouds. All right, and once you understand what they do, which I'll break down, you'll realize why companies like NBIAS, Iris, and Hut 8, why I'm really bullish on them and so let's get into that a little more. Now, let me make it simple. Imagine if you're starting an AI company tomorrow and you have an incredible idea. You're building the next chat GPT or you're building software for hospitals, maybe you're creating robots. And now you have a problem. You don't understand or you don't own thousands of Nvidia GPUs. Do you don't own a billion-dollar data center you don't own enough electricity to change or train AI model. So, where do you go? Well, 5 years ago it would have been Amazon's AWS or Microsoft Azure or Google Cloud. Now, just bear with me. Those companies rent business computing power. They're the traditional cloud providers, but AI changed the rules because AI doesn't just need cloud computing. It needs enormous amounts of computing from GPUs. Now, that's different. Now, training an AI model requires thousands sometimes tens of thousands of GPUs working together at exactly the same time. Traditional cloud wasn't designed for that, so a new business model evolved. That's where the neo-cloud came from. Just to give you an idea of that, I needed to do that before I can get into what I need to get into next. So, just rock with me. So, the first company on the list is NBI is they are the AI landlord. So, let's start with that company first. Right, again the ticker symbol was NBI is. Now, when most people hear cloud company, they immediately think Amazon, Microsoft, Google. And for years you probably were right. Those companies built the cloud economy, but again, things are changing. They created the digital office building where businesses store files, hosted websites, and ran applications. But again, AI changed what consumers actually needed. Today companies aren't asking for more storage, they're asking for more compute. And that's an entirely different business model. Think about Open AI, Anthropic, Perplexity, right? The next generation of robotics companies. Uh autonomous driving, uh drug discovery companies. They're all asking the same questions. Where can I find more GPUs to train my models? That's the problem that INVIDIAN solves. They don't sell servers, they sell time, which is extremely important. So, imagine walking into a Ferrari, all right? Walking to a Ferrari and you don't buy the factory, you don't buy the engine, you rent the access to the fastest machines available. That's INVIDIAN. They're renting one of the most valuable assets in technology today. Today, Nvidia GPUs, and not just one, the entire cluster, which is a big rack. Thousands of GPUs connected together, ready to train massive language models, LLM. Ready to, you know, produce interface, ready to enterprise AI. That's a very different business than traditional cloud computing. Think about owning your own AI data center. First, you need to buy the land, and then secure electricity, and then buy the building, then install network, and then buy thousands of GPUs, and then hire engineers. Ain't nobody got time for that. And then you got to wait months, sometimes years. But, can you even turn it on? But now that INVIDIAN exists, a customer signs up, logs in, starts training AI almost immediately, and that's why demand has exploded. They're eliminating time. And in the eye, time is money. Now, here's what impressed me. The company isn't talking about surviving, they're talking about expanding. Management has clues in investing aggressively in GPUs, AI infrastructure, and cloud to the help develop new data centers. And that's what I wanted to see. When business continue to invest during uncertainty, it usually because they're seeing something the market isn't. And so, when I think about MBIS, Amazon rents office space, MBIS rents the AI factories. And if AI keeps growing, the way that companies like Nvidia and TSMC just those factories will all provide a ton a ton of value. Now, the next company on my list is IREN, the company that understood the real bottleneck. For years, everyone believed GPUs were the scarcest asset. Today, you think there's something even more valuable, electricity. And now, you can order more chips, eventually they'll be delivered. You can't create another gigawatt of power overnight. But that's why IREN caught my attention. But they started off as a Bitcoin from Bitcoin to AI. So, most people think of IREN as a Bitcoin miner. Well, that was yesterday's story. Today, management is transforming the company into an AI infrastructure business because they already own something incredible, something incredibly difficult to build, power, large-scale power, land, cooling, fiber, infrastructure. And those assets happen to be exactly what AI companies need. So, instead of only buying it mining Bitcoin, they're now monetizing the same assets by renting GPU compute. And that's a much larger opportunity there. And at the end of the day, we in this game for money. So, think about it like this, owning a hotel for years, and you only rent it out rooms on the weekend. Now, tourism explodes, and instead of building new hotel, you simply fill the empty rooms up every single day. That's essentially what I rain is doing. They're taking AI infrastructure and that they already control and they are opening it to one of the fastest growing industries in the world. I like to call that capital efficiency. So, the company has announced approximately like 2.8 billion dollars in contracts under AI and that's in revenue coming in over the next couple years. That tells me that customers are experimenting anymore. They're committing and that's a huge difference because now they're committing to I rain. Now, the market used to value I rain based on Bitcoin and I think over time it's going to value the company based on AI infrastructure. And those are two valuation stories that go in two different directions. Now, we've talked about compute and we've talked about electricity. But what if I told you a company has already signed contracts stretching more than a decade into the future? Yep. That's where the third company comes in at, Hut 8. Think like this. Most investors still put Hut 8 in one bucket. Again, Bitcoin mining. I think that's becoming outdated because management is repositioning the business to long-term digital infrastructure. Like let's follow the contracts. One announcement completely changed how I personally view this company. Hut signed a 15-year data center lease valued at 9.8 billion bringing the contracts company's valued at 20 billion dollars. Think about that. That's not someone renting a space for 6 months. That's a long-term infrastructure. Those are contracts that are creating visibility and that's exactly what institutional investors look for seeing. Now, Hut 8 isn't simply, you know, filling [clears throat] builders with computers. They're building campuses designed to support AI for years. Power, cooling, networking security land. Everything required before the first GPU is ever switched on. This is exactly why facilities are becoming more strategic with these assets. So, here's a framework that I want you to remember. The AI economy doesn't stop at Nvidia. It keeps going. Yes, Nvidia does build the brain, but Neo Cloud provide the factories. Irene, no, secures the power. Hut 8 builds the campuses, and together they create infrastructure that allows artificial intelligence to exist. And that's what makes them important, and that's why I'm really super bullish on this build-out. So, let's zoom out for a minute. We've talked about the fear, and we've looked at the earnings. We've followed the money, and we've identified where I believe Wall Street is quietly shifting its attention. And the question now becomes, what does all of this mean for us as long-term investors? It means that opportunities like this when the market pulls back are great opportunities for us. And so, what do we need to do is find companies that we like and scale in those positions. Never go all in because we can't predict what the market is going to do. But, if we read the numbers and not the headlines, we can position ourselves exactly where we need to be at. If you got some value from this, man, I would love if you shared this out with somebody, and I would also love if you commented in the chat. It's your boy the Wall Street Trapper. Salute.