June Investment Strategy: Fundamental Strat on A.I Stocks, China's Impact on Semiconductors, and Treasuries TLT ETF
Assessing A.I Semiconductor Stocks and their Valuation + China Commentary on impact on Semis
Members,
I hope everyone had a great long Memorial Day weekend!
This note will be an interesting and important one. The Weekly Dashboard with key levels is attached at the bottom of this note.
From an investment standpoint, I will talk about 3 areas of interest to Investors:
Fundamental analysis on the Semiconductor ecosystem to understand the recent surge in A.I. names - a look into forward revenue estimates in conjunction with valuation
The intensifying U.S. and China chip battle and what this means for U.S. semiconductor stocks - why Semi stocks continue going higher even though Chip rivalry intensifies
The U.S. economy’s outlook and what this means for the the TLT ETF - when is a good time to begin accumulating treasuries again
But before that, I will tell you about a conversation that I had with a friend who worked in the Consulting industry in one of the prestigious firms (near the MBB Level).
This will be of course be only an anecdote, but it will hammer the point home that the divergence between the White Collar jobs market and the Stock Market has never been greater.
If you are interested in a career in Consulting or are directly working in the industry, this note will have first degree practical meaning to you. It will touch upon the health of the job market in Consulting, what MBA career offices are saying about the industry, and why this industry’s ails will eventually be reflected in the Stock Market.
If you recently graduated from undergrad or are in an MBA program with an .edu email address, it is graduation season and a bright future for you awaits. I will create a limited time offer for graduates to help them continue their investment education (and find practical investment ideas along the way). This only applies to folks with an educational email address.
Please be sure to forward this email to friends, family and colleagues to spread the word.