-a few days ago, Polymarket posted that dems have 75% chance of sweeping
-like 90% of comments were saying the numbers are wrong and republicans will win...
-another large account posted during a race which had 2m votes vs 2.3m votes with 25% of total votes counted, CNBC counted it as 99% victory. He wote "how can it be 99% if only 25% of votes are counted"
the amount of numerical illiteracy I've seen this week is insane
-Jukan losing faith accurately represents the state of the markets
-the reason I started w/ the above is to demonstrate probabilstic thinking vs win/lose thinkng
-it's the basis of all gambling games, and why most people suck at them
I actually feel bad for Elon, even though I deeply disagree with him on some things.
Imagine trying to build a car company in California in the mid-2000s, when American manufacturing is being completely offshored and almost all of Wall Street thinks you’re a joke and is rooting for your failure, while the entire oil and gas industry is using all their power and leverage to make you fail.
But against all odds, you actually pull it off. You build cars that make electric vehicles desirable to millions of people, create an enormous number of quality American jobs, and force the global car industry to play catch up and move away from oil and gas.
You would think California would be proud of you and the team. Instead you find yourself having to fight a completely corrupt and incompetent left government impeding all your efforts while you sleep at the factory night after night to avoid collapse. At some point, you would go to the right too.
And because of your politics, it becomes a justification for people to celebrate your companies failing in their personal ideological fight with you. Even threats against you become something people explain away and use mental gymnastics to justify.
Meanwhile, people like Scott Galloway and Bernie Sanders who have made absolutely nobody better off other than themselves get to lecture you about your value to society and even call for your murder without grounds from their vacation home while you're on 20 hour benders in your factories trying to get things built for all of society. If this were me I would lose my mind.
Criticize his opinions. I do sometimes, especially on Ukraine. But the pleasure people take in wanting to destroy everything he’s built is hideous and frankly suicidal for the masses, especially coming from people who insist they care about workers, the climate, and civilization as a whole.
As you try to make good things for society you are confronted with a world that worships people who care only about the perception of being good people, while they actually fight against your tangible efforts of making improvements for humanity.
I don't think almost anyone would have made it out of that and if they did, they would probably not come away feeling so warm towards the left either. So I am rooting for Elon to succeed, and for humanity.
@Colosteve2000 Look back to 2016
Bernie was a favorite among regular people
Then his party threw him under the bus and gave Hilary 100% of the superdelegates
Why?
They let him exist and speak
But it's for show
These extremists won't be in important positions
New Texas governor seems sensible
At $40
$AAOI is pricing in a catastrophic buildout
-Even if they give half their transistors away to protestors in Europe to break glass of local businsses
-They should should still be trading over $40
When it comes to growth stocks... the pendulum always swings too far in both directions.
Back in April should $AAOI have been trading at 12x NTM revs? guess not (see chart below)
Fast forward 7 months to today/tonight... should $AAOI be trading at 1x NTM revs? probably not
Keep this in mind... investors are always too bullish at the highs and too bearish at the lows.
This is starting to remind me of 2022/2023 when so many growth stocks became really disconnected from their fundamentals... they got oversold... they got washed out... investors gave up on them and many missed the ensuing rallies.
$APP was up ~600% in the 18 months after it's December 2022 lows
$PLTR was up ~300% in the 18 months after it's December 2022 lows
$UBER was up ~200% in the 18 months after it's June 2022 lows
$NVDA was up ~700% in the 18 months after it's October 2022 lows
$HIMS was up ~200% in the 18 months after it's May 2022 lows.
$CVNA was up ~2,200% in the 18 months after it's December 2022 lows
$META was up ~400% in the 18 months after it's October 2022 lows
$SMCI was up ~700% in the 18 months after it's April 2022 lows
$CRWD was up ~300% in the 18 months after it's January 2023 lows
$NFLX was up ~200% in the 18 months after it's May 2022 lows
$RKLB was up ~1,500% in the 18 months after it's April 2024 lows
$CELH was up ~300% in the 18 months after it's May 2022 lows
$TSLA was up ~150% in the 18 months after it's January 2023 lows
and the winner is $ASTS which was up ~4,000% in the 18 months after it's April 2024 lows.
Reality check:
- was this a perfect earnings report from $AAOI? no
- are there minor things to dislike in the report? yes
- did they guide to 200% YoY revenue growth in Q4? yes
- did the guide to 500k units per month by end of 2026? yes
- did they guide to 1M units per month by end of 2027? yes
- does this mean they can do 250-300% revenue growth in 2027? yes
- should the stock be trading at 1x 2027 revs? of course not
- is this market a flaming pile of shit? yes
- do fundamentals and valuations matter right now? no
- will fundamentals and valuations matter again some day? hope so
Have a good night.
Let's hope tomorrow is better than today.
Tom Lee: "I think compute will get much more expensive"
Guess what happens to all the backlogs from $GOOG $MSFT $META $AMZN etc..
They get larger.
The speed of backlog growth increases as the models get stronger, and will increase even faster if AI Video takes off
TOM LEE: THE LAST THREE MARKET SHOCKS BOTTOMED WITHIN THREE DAYS
With the Nasdaq plunging more than 5% and the Dow falling nearly 1,800 points, Tom Lee @fundstrat admitted today's selloff caught him by surprise.
But he sees similarities to three previous market shocks:
🔹 DeepSeek's AI selloff.
🔹 The Liberation Day tariff shock.
🔹 The AI "Situational Awareness" selloff.
Tom Lee says the longest any of those episodes took to bottom was three days, followed by sharp V-shaped recoveries, with some six-month gains exceeding 20%.
His comparison suggests a potentially short-lived liquidation event, although he also raised reports of hedge fund liquidations.
The next few sessions will test whether history repeats or this shock proves more persistent.
$AAOI “We expect our 2027 capacity expansion plan in the US to take longer to complete due to longer than expected time to obtain necessary electrical power among other construction related issues.”
Not good