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Thanks watching I appreciate your kind words!

I only know Buffett has been buying more OXY, not BABA and JD. I think it’s best not to follow Buffett’s trades because many of his trades don’t make sense and won’t work for retail investors (eg selling half of Apple even though Apple’s overall business is much better than the entire Berkshire, buying HP before and selling at a huge loss, selling TSMC because he didn’t understand tech and the business, etc). Chinese stocks are (eg BABA JD PDD) are generally uninvestable *no matter how cheap they are vs US stocks because of the politics there which I have mentioned many times in my previous videos.

Bro, they are in the same semiconductor industry and same sector. Of course, we can compare ASML to other semiconductor companies like Nvidia, TSMC, Broadcom, etc. The point is to show that ASML is still much smaller than the largest semiconductor companies in terms of market cap. But Within more specific sectors like semiconductor equipment manufacturers, we can also compare ASML to Applied Materials, Lam Research, and KLAC.

Synopsys is still in the process of acquiring Ansys, but it’s hard to know whether this acquisition will go through because of antitrust issues/regulatory approval. I’ll wait until this acquisition goes through first before making a new video about Synopsys. But I will add more to Synopsys if it dips more below my intrinsic value.

Same, I own both ASML and TSMC, as well as Nvidia, AMD, etc. I made several videos about Amazon before when it was much more undervalued. Typically, I make videos when the company is undervalued. For Amazon, the biggest growth and profit drivers will be its advertising business and its AWS business. Amazon will need to continue investing in AI infrastructures like Microsoft Azure and Google Cloud to stay competitive. I'll probably make a video about Amazon next month.

@@TheIntelligentInvestor Thx for reply! Thanks! Looking forward to it. Heavy capex-investing for Amazong for many years before and years to come. interestering to see when they can start harvesting the fruits fully! :D Interesting business non-the-less! Cloud-business globally expected to grow with a high CAGR coming 5 years which is positive.

Thanks for watching!

Lol

Same:) I like near-monopoly businesses.

Yup AMD is trying to copy Nvidia’s AI data center business now.

Yeah so when I made the video, it was undervalued. Most semiconductor companies are very cyclical and they go through many boom and bust cycles. Right now, the semiconductor market is coming out of the bust cycle. The PC market and most part of the semiconductor market went through a huge correction throughout 2023, so that has impacted AMD, Intel, Applied Materials, Lam Research and most semiconductor companies over the past 2 years. Now, the PC market is recovering, the AI server market is driving the most growth, the memory market is recovering because of AI, consumers are buying high performance PCs again, so in my view, all these trends (especially AI server market growth) and semiconductor recovery should benefit AMD over the next several quarters and throughout 2025.

@@TheIntelligentInvestor thank you for your reply and analysis as always! New sub :)

Yeah I think I’ll make a video about Micron next month after ASML.

@@TheIntelligentInvestor thank you!

Thanks for watching!

Bruh. I said the very large amortization of acquisition-related intangible (from acquiring Xilinx), is a non-cash expense AMD has to deduct every quarter which makes its GAAP operating margin exceedingly low. I don’t consider it as a real expense. I didn’t say the stock based compensation.

@@TheIntelligentInvestor You included SBC in your red frame, so I assumed that you are talking about both, since both affect gaap and non gaap operating income. And this does not change the fact that SBC is extremely high relative to FCF. Compare this to Nvidia. Sorry for any misunderstanding...

No problem, I do agree about the SBC part.

No problem I do agree about the SBC part. Btw, I also own Nvidia:)

@@TheIntelligentInvestor Nonetheless I do enjoy your deep dives very much! Keep going!

It depends on the business. It’s very reasonable for a semiconductor growth company. Typically, the semiconductor market excluding memory grows about 10% each year. The well-established semiconductor growth companies like AMD, Nvidia, TSMC, often grow much higher than 10% each year. You would use a very low terminal growth rate 2% to 5% if it’s a very mature slow growth company like Walmart, Coke, etc.

@@TheIntelligentInvestor thanks for your reply and explaining your thoughts. I usually use terminal growth rates aligning with average historic US GDP growth. I think that even the strongest growth companies will eventually mature and won’t be able to maintain above average growth rates for perpetuity! :)

@@APEXiize what is average historical nominal US GDP growth?

Yeah, ASML will be my next video.

I wouldn’t know. AMD guided $4.5 billion this year which I think will be higher this year. Next year I’m just guessing doubling to around $9 billion since many customers won’t be able to buy Blackwell. Based on what know, there is a huge demand for Blackwell which exceeds supply. And there’s a huge supply constraint on CoWoS and HBM throughout 2024 and 2025.

@@TheIntelligentInvestor i think 2024 revenue will be $5.0-$5.5 billion, and 2025 will be 10b

That’s a very good point. Based on what I know, AMD is investing in and hiring many software engineers now because they want to catch up or at least be closer to Nvidia’s CUDA and software optimization, libraries, tools, etc. Apparently Nvidia has had more software engineers than hardware engineers for many years. Jensen Huang is well ahead of everyone.

I’m not in the US. But I heard Interactive Brokers is one of the best.

​@@TheIntelligentInvestorhow do you manage the currency loss? Just curiousity as you not in usa.

@leonardom6031 Nope I keep my strategy very simple. I only buy US stocks.

@@TheIntelligentInvestor Uhm yeah but you have somehow convert your currency in usd dollar or back?

Yeah that’s the issue. I’m Canadian, so I have to convert CAD to USD to buy US stocks. If I sell US stocks, I just keep them in USD.

Nope I won't be analyzing MELI. It's near ATH. I usually like to analyze a stock if it's undervalued.

Different purposes/tax benefits.

I'll try to do Micron maybe next month.

Yes only for Patreon members.

Yeah that’ll be my next video, it should be out sometime next week. AMD dropped below my IV recently, so I bought back some AMD shares.

I’m not sure about how small flow would affect the downsize risk. But interestingly, I said in ARM is clearly overvalued in the video. Now, it has tanked a lot after earnings release. Fundamentals and earnings matter the most in the long run.

I think so too. Good thing you bring up South vs North Korea.

@@TheIntelligentInvestor the way you make your CZcams thaïe explanation and research is really great , I know tsmc as I’m based here 👍

TSM is the ticker. The company name is TSMC. That's just like calling Microsoft as MSFT.

It got used to calling it TSMC:)

FYI both same company

Yeah, you have some very good points there. The Ukraine/Russia war is a very good example, showing how it would impact China economically if Taiwan is invaded. The last thing China wants is more economic downturn and global crisis.

Yes, I have been buying TSMC gradually since three years ago before ChatGPT came out. Buffett doesn’t understand the technology and the company well enough. He bought TSMC for 1 quarter when it was around $350 billion USD, then he sold 1 quarter later because he was concerned about the geopolitical risks. TSMC rallied a lot after he sold.

Yeah the company is mission-critical and irreplaceable

I’m not buying Starbucks even though it’s likely undervalued. I realized Starbucks is facing too much competition, especially in China. The Chinese coffee makers (eg Luckin coffee) are selling very cheap coffees. I’m a bit bearish on Starbucks. I just don’t see Starbucks has any growth catalysts now.

It depends on the business. You have to use a higher terminal growth rate for growth companies like AMD. You would use a very slow growth rate (similar to GDP growth) for very mature companies like Walmart that has very slow growth.

@@TheIntelligentInvestor Thank you for the explanation

Thanks it was a bit of luck + a lot of research:)