Report by Radio Free Mobile

Richard Windsor sees the EU’s technology sovereignty push as another example of regulation that could hurt the companies it is intended to protect. While restrictions on non-European technology providers appear supportive for local champions such as SAP, Siemens, Nebius and Mistral, he warns that limiting access to superior US technology risks making European products less competitive. Autos are the clearest pressure point: European OEMs already struggle with in-car digital user experience, while Apple CarPlay and Android Auto remain popular with consumers, and US-linked chip platforms from Nvidia, Qualcomm and Mobileye have won key infotainment and ADAS sockets on product merit. Given the pushback from industry, Richard expects that these proposals will never come into force and so if the EU can move quickly to fix the AI Act, there is still time for Europe to become relevant in AI.

Report by MYST Advisors

At MYST’s latest buyside event ideas spanned multiple sectors, with many of the long recommendations skewed towards small caps offering multi-bagger potential, driven by substantial operating leverage. These included A2Z Cust2Mate, Bed Bath & Beyond, Brookdale Senior Living, NioCorp, OptimizeRx, Vor Biopharma and Vuzix. Other notable themes included “AI Losers” such as H&R Block and Reddit; “AI Winners” including Mobileye and Spotify; lower-rate beneficiaries like Figure Technology and LendingTree; and positive management change stories such as CAE and GXO Logistics.

Technology

Report by Radio Free Mobile

Preliminary results from Samsung combined with TSMC’s monthly revenue disclosure gives Richard Windsor increased confidence that the inventory correction has come to an end. Of all the component suppliers, QCOM is now trading at the bottom of its peer group in terms of PER ratio which demonstrates just how short-term the market thinks. There is no end in sight to its sales of 5G modems to Apple, it is winning enough deals in automotive to seriously disturb Mobileye and it is very well positioned for the Metaverse when or if it takes off. From a long-term valuation perspective, the shares are on sale.

Technology

Report by Radio Free Mobile

Code red - INTC reported a truly awful set of numbers, declined to guide for 2023 and appears to be losing market share left, right and centre. Richard Windsor thinks there is a good chance that INTC will need more capital. He argues management should cut the dividend and sell its stake Mobileye (he believes INTC has 24 months to dispose of its stake before the share price collapses). INTC could post negative EPS this year meaning that there is very little to support the share price from a valuation perspective now.