@jacobiinvest Last fight of the night was one of the best I’ve ever seen in the 6 years I’ve been watching UFC.
The spectacle was cool but was very dragged out in between fights.
@jacobiinvest Context: I believe this quote came from a trip to South Korea. There market has been at all time highs but was down heavily on the day he said it (specifically ai stocks were plummeting on their market).
Understating depreciation by extending useful life of assets artificially boosts earnings -one of the more common frauds of the modern era.
Massively ramping capex through purchase of Nvidia chips/servers on a 2-3 yr product cycle should not result in the extension of useful lives of compute equipment.
Yet this is exactly what all the hyperscalers have done. By my estimates they will understate depreciation by $176 billion 2026-2028.
By 2028, ORCL will overstate earnings 26.9%, META by 20.8%, etc. But it gets worse. More detail coming November 25th. Stay tuned.