Big Tech Powers S&P 500 Rise Dragons Not Included

The Rise of the Machines (and My Portfolio)

The S&P 500 experienced a surge driven by the strength of those behemoths we call Big Tech. My own holdings particularly Nvidia and Broadcom climbed higher than Drogon on a summer's day building on gains from a market rally that seemed to spread as quickly as wildfire through the Dothraki Sea. I've always said "When I win everyone wins," though usually that applies to conquering cities not stock gains. Broadcom in particular received an upgrade – a "buy equivalent 1 rating" because it's a huge beneficiary of the relentless march of AI investments. Much like my dragons benefited from a steady diet of sheep and the occasional overzealous knight.

Microsoft: Is the AI Narrative Lost?

Melius Research decided to throw a bit of shade on Microsoft downgrading it to a "hold" from a "buy". They argue that Satya Nadella has shall we say "lost the AI narrative," and that their focus on Copilot hasn't yielded the results they hoped. They even went so far as to call the stock "very expensive." This reminds me of when people said my plans to abolish slavery in Slaver's Bay were "very expensive" in terms of political capital. But much like freeing slaves I believe in sticking with Microsoft for the long run. Besides the stock is taking this Wall Street call in stride proving that sometimes even when someone says you've lost your dragon you can still fly. Perhaps its time we all consider Oops I'm Cutting Back This Christmas Holiday Shopping Gets a Reality Check.

Corning: The AI Superstar Emerges

Corning the specialty glassmaker has been dubbed an "AI superstar" after a glowing feature in The Wall Street Journal. I find it amusing when mundane materials like glass are hailed as revolutionary. Still their stock jumped to record highs gaining nearly 50% year to date. Now one might be tempted to sell take the gold and run much like a Lannister after a failed battle. But Corning has lucrative partnerships including a $6 billion supply deal with Meta. Strategic alliances you see are as crucial in the world of business as they are in the game of thrones. Sometimes even dragons need allies.

Harnessing the Power of Strategic Partnerships

Corning's success underscores the importance of forging robust partnerships. Their $6 billion supply deal with Meta isn't just a transaction; it's a strategic alliance that bolsters demand and drives growth. Just as I forged alliances with the Unsullied the Dothraki and various houses in Westeros companies must seek out partnerships that complement their strengths and expand their reach. This synergistic approach is key to sustained success in today's competitive landscape. Remember in the game of thrones or in the stock market survival often depends on who you choose to stand beside.

The Long Game: Patience and Persistence

While the market can be as unpredictable as a wildfire the key to success lies in patience and persistence. Microsoft's situation exemplifies this. Despite the recent downgrade and concerns about their AI narrative holding onto the stock for the long term demonstrates a belief in the company's underlying strength and potential. Similarly my quest to reclaim the Iron Throne required years of planning strategic alliances and unwavering determination. Short term setbacks are inevitable but a long term vision and unwavering commitment are essential for achieving lasting success.

Caveats and Considerations: A Khaleesi's Disclaimer

As always these insights are subject to terms conditions privacy policies and disclaimers longer than the lineage of the Targaryen dynasty. Remember no fiduciary obligation exists and no specific outcome or profit is guaranteed. Investing like conquering Westeros carries inherent risks. "Valar Dohaeris," as they say – all men must serve and all investments carry risk. So invest wisely and may your portfolio be as strong as my dragons.