The Long Term Investor

AND......filed under ......"you have got to be kidding". MSFT, META, and others PUNISHED for great earnings and.....this company.....is praised. GEE.....lets see....which ones would I want to actually own.

EVEN poor NVDA was punished for the other big tech companies going to have to buy massive amounts of NVDA product.

Intel shares pop 15% on earnings beat, uplifting guidance

https://www.cnbc.com/2024/10/31/intel-intc-q3-earnings-report-2024.html

 

BUMMER.......a six figure loss for me today. BUT.....amazingly I had two stocks in the GREEN.....HD and CMG. I also got smacked by the SP500 today by 1.50%....not that the SP500 had a good day.

WHATEVER.

 

And the last of the BIG CAP TECH earnings till later when the last one....."the one to rule them all".....NVDA.....reports in a few weeks.

Apple sales climb 6%, company pays $10.2 billion European tax charge

https://www.cnbc.com/2024/10/31/apple-aapl-q4-earnings-report-2024.html

(BOLD is my opinion OR what I consider important content)

"Key Points

• During the quarter, Apple paid a one-time income tax charge of $10.2 billion to resolve a long-running case dating back to 2016 over how the company handled taxes in Ireland.
• Sales of the iPhone 15 were “stronger than 14 in the year-ago quarter, and 16 was stronger than 15,” Apple CEO Tim Cook told CNBC’s Steve Kovach.

Apple’s fiscal fourth-quarter results beat Wall Street expectations for revenue and earnings per share but net income slumped after the company paid a one-time charge as part of a tax decision in Europe.

Here’s how the iPhone maker did versus LSEG consensus estimates for the quarter ending Sept. 12:

• EPS: $1.64, adjusted, versus $1.60 estimated
• Revenue: $94.93 billion vs. $94.58 billion estimated
• iPhone revenue: $46.22 billion vs. $45.47 billion estimated
• Mac revenue: $7.74 billion vs. $7.82 billion estimated
• iPad revenue: $6.95 billion vs. $7.09 billion estimated
• Other Products revenue: $9.04 billion vs. $9.21 billion estimated
• Services revenue: $24.97 billion vs. $25.28 billion estimated
• Gross margin: 46.2% vs. 46.0% estimated

During the quarter, Apple paid a one-time income tax charge of $10.2 billion to resolve a long-running case dating back to 2016 over how the company handled taxes in Ireland.

The company doesn’t give official guidance, but executives usually share some color about how they see the current quarter shaping up on a call with analysts.

Apple reported $14.73 billion, or 97 cents per share, in net income during the quarter, versus $22.96 billion, or $1.47 per share, in the year-ago period. Apple’s adjusted earnings per share, after removing the one-time tax charge, were up 12% on an annual basis.

Apple reported $391.04 billion in sales for the full fiscal year, up about 2% from 2023. Quarterly revenue in the September quarter was up 6%. Its cash pile now stands at $156.65 billion.

Overall iPhone revenue grew 6% in the first sign of how the iPhone 16 is fairing in the market. Apple’s newest devices came out on Sept. 20, giving Apple about a week of new product sales in the quarter. It’s still Apple’s most important product, accounting for nearly 49% of the company’s overall sales.

Sales of the iPhone 15 were “stronger than 14 in the year-ago quarter, and 16 was stronger than 15,” Apple CEO Tim Cook told CNBC’s Steve Kovach.

Cook said that the company was looking forward to Apple Intelligence, the AI system for iPhones and Macs that started to roll out this week as part of the iOS 18.1 update.

“We’re getting great feedback from customers and developers already and a really early stat, which is only three days worth of data: Users are adopting iOS 18.1 at twice the rate that they adopted 17.1 in the year ago quarter,” Cook said.

Apple’s iPad business had the strongest growth of any of Apple’s hardware lines with an 8% increase in sales to $6.95 billion. Part of the sales were from pent-up demand. Apple released new iPad Pro and Air models in May after going through all of 2023 without releasing new iPads.

Apple’s Mac business rose 2% on an annual basis to report $7.74 billion in revenue during the quarter, which includes back-to-school laptop sales. Cook told CNBC that the growth was driven by sales of the company’s MacBook Air, which was updated with new chips in the spring.

Apple’s services business -- which includes online subscriptions such as iCloud, Google search revenue, and AppleCare warranties for Apple hardware -- remains a juggernaut and grew 12% on an annual basis to nearly $25 billion in sales. However, Apple’s services revenue came in under LSEG consensus expectations.

The company reports its AirPods headphones, Homepod speakers and Apple Watch sales in a category it calls Other Products or wearables. That unit’s revenue came in light versus forecasts at $9.04 billion, which was down 3% year over year. The company released new Apple Watch and AirPods models during the quarter alongside the new iPhones.

Apple’s results in China are closely watched by investors as it is the company’s third-largest region after the Americas and Europe. Apple also faces renewed competition from local Chinese handset makers like Huawei. Apple’s revenue in China, Taiwan, and Hong Kong was down slightly year over year at $15.03 billion.

Apple said that it had spent $29 billion on share repurchases and dividends during the quarter.

Apple wraps up a busy week of earnings for the top tech companies. Alphabet on Tuesday reported better-than-expected results, driven by cloud growth. Microsoft issued disappointing guidance on Wednesday, leading to the stock’s steepest selloff in two years, while Meta beat estimates but warned of significant acceleration in its infrastructure expenses next year. Amazon reported strong growth in its AWS cloud business on Thursday. "

MY COMMENT

ALL five of the BIG CAP TECH companies reporting this week were strong BEATS.

The other companies need to follow what AAPL does and.......NOT.....ever give guidance. The reactions to the guidance are disgustingly ridiculous.

Look at APPLE as a good example of these companies.....sitting on cash reserves of.....ONE HUNDRED AND FIFTY SIX BILLION DOLLARS. With the reserves these companies hold....does it matter that they are going to spend large amounts to grow their business and build out their AI business?

This week has been a TOTAL WASTE of EPIC earnings. Much of this behavior due to the MEDIA and the WALL STREET ELITES.

 

This little article has content about the Capital Expenditures being done in the BIG CAP TECH world for AI build out. a topic in the markets this week.

Amazon CEO pledges AI investments will pay off as capital expenditures surge 81%

https://www.cnbc.com/2024/10/31/ama...s-will-pay-off-as-capex-surges-81percent.html

(BOLD is my opinion OR what I consider important content)

"Key Points

• Amazon’s capital expenditures jumped 81% in the third quarter from a year earlier.
• CEO Andy Jassy reassured shareholders that the company expects to make money on the investments, which are primarily tied to generative artificial intelligence.
• “I think our customers, the business and our shareholders will feel good about this long term that we’re aggressively pursuing it,” Jassy said on Thursday’s earnings call.

Amazon CEO Andy Jassy is trying to reassure investors who may be worried about the future payoff of the company’s massive investments in generative artificial intelligence.

On a conference call with analysts following the company’s third-quarter earnings report on Thursday, Jassy pointed to the success of Amazon’s cloud computing business, Amazon Web Services, which has become a crucial profit engine despite the extreme costs associated with building data centers.

“I think we’ve proven over time that we can drive enough operating income and free cash flow to make this a very successful return on invested capital business,” Jassy said. “We expect the same thing will happen here with generative AI.”

Amazon spent $22.6 billion on property and equipment during the quarter, up 81% from the year before. Jassy said Amazon plans to spend $75 billion on capex in 2024 and expects an even higher number in 2025.

The jump in spending is primarily being driven by generative AI investments, Jassy said. The company is rushing to invest in data centers, networking gear and hardware to meet vast demand for the technology, which has exploded in popularity since OpenAI released its ChatGPT assistant almost two years ago.

“It is a really unusually large, maybe once-in-a-lifetime type of opportunity,” Jassy said. “And I think our customers, the business and our shareholders will feel good about this long term that we’re aggressively pursuing it.”

AI spending was a big topic on tech earnings calls this week. Meta on Wednesday raised its capital expenditures guidance, and CEO Mark Zuckerberg said he was “quite happy” with the team’s execution. Meanwhile, Microsoft’s investment in OpenAI weighed on its fiscal first-quarter earnings released on Wednesday, and the company said capital spending would continue to rise. A day earlier, Alphabet CFO Anat Ashkenazi warned the company expects capital spending to grow in 2025.

Amazon has said its cloud unit has picked up more business from companies that need infrastructure to deploy generative AI models. It’s also launched several AI products for enterprises, third-party sellers on its marketplace and advertisers in recent months. The company is expected to announce a souped-up version of its Alexa voice assistant that incorporates generative AI, something Jassy said will arrive “in the near future.”

Amazon hasn’t disclosed its revenue from generative AI, but Jassy said Thursday it’s become a “multi-billion-dollar revenue run rate” business within AWS that “continues to grow at a triple-digit year-over-year percentage.”

“It’s growing more than three times faster at this stage of its evolution as AWS itself grew, and we felt like AWS grew pretty quickly,” he added.'

MY COMMENT

These companies are rushing toward the FUTURE. These investments will pay off....big time. This is EXACTLY what they should be using their HUGE cash reserves for.

SCREW........the markets.....the analysts.....and the media......they are simply short sighted and ignorant when it comes to the capital spending and AI. As a long term investor........this is massive future money for these companies.

Punishing these companies for this sort of investment......is like back in the 1990's and early 2000's......complaining about companies investing in the internet. We pretty much know how that all turned out in hindsight.

 

You know every quarter when earnings are reported......."IF".....we eventually get to the point where GREAT earnings are never rewarded....it will mean that the markets are BROKEN. It will mean that reality does not count anymore....it will all be about the short term media spin and the AI speed traders that thrive on the headlines and news.

Keep this up long enough and the markets will disconnect from fundamentals. It will slowly work its way into the longer and longer term. Over a few generations.......the long term will start to resemble the short term.

At that point the phrase that......"Past performance is not a guarantee of future results".....will be a perfect description of the markets moving forward from that time on. The long term performance data on the big averages and the markets will NO LONGER apply. The markets will have been irreversibly changed.

As I have said before.....it is very difficult to put HUMPTY DUMPTY.....back together again. It does not seem possible to those of us that are investing now and have been life long investors......BUT....once broken it will be nearly impossible to reconstitute the markets and get the old behavior and old returns back.

YES....I am talking about 15-50 years down the road. BUT......that is within the lifetime of many young investors out there right now.

 

Now....the story of the day......yes....more good economic news for investors and the FED.

October jobs report: US economy adds just 12,000 jobs as Boeing strike, hurricanes weigh on labor market

https://finance.yahoo.com/news/octo...rricanes-weigh-on-labor-market-175408734.html

(BOLD is my opinion OR what I consider important content)

"The US labor market added far fewer jobs than expected in October as weather disruptions and worker strikes weighed on the labor market.

Data from the Bureau of Labor Statistics released Friday showed the labor market added 12,000 payrolls in October, less additions than the 100,000 expected by economists.

Meanwhile, the unemployment rate held steady at 4.1%, partly due to a difference in how the BLS collects data for that metric versus monthly job additions. Workers who were employed but earned no money wouldn't be counted as unemployed in the household survey. They would not be considered employed in the payroll survey.

October job additions came in far lower than the revised 223,000 added in September. Monthly job additions for August and September were also revised lower by a combined 112,000.

"Ignore that top line [job additions], look at that 4.1% and just get on with it," Joe Brusuelas, chief economist for RSM, told Yahoo Finance. He added, "this is all noise."

Economists warned ahead of Friday's release that recent hurricanes and a strike by Boeing (BA) workers weigh on the labor market data for October. The BLS confirmed that was the case in Friday's release.

"It is likely that payroll employment estimates in some industries were affected by the hurricanes," The BLS wrote in the release. "However, it is not possible to quantify the net effect on the over-the-month change in national employment, hours, or earnings estimates because the establishment survey is not designed to isolate effects from extreme weather events. The was no discernible effect on the national unemployment rate from the household survey."

The BLS added that manufacturing jobs declined by 46,000 in October "largely due to strike activity."

Elsewhere in Friday's report, wage growth, an important measure for gauging inflation pressures, rose to 4.1% year-over-year, from a 4% annual gain in September. On a monthly basis, wages increased 0.4%, compared to a 0.3% gain in September. Additionally, labor force participation fell to 62.6% from 62.7%.

The report is set to be the last major economic release before the Federal Reserve's next policy decision on Nov. 7. Market expectations for that meeting moved little after the jobs report. As of Friday morning, markets were pricing in a roughly 99% chance that the Federal Reserve cuts interest rates by 25 basis points next week, up from a 95% chance seen a week ago, per the CME FedWatch Tool.

Broadly, recent data outside the monthly employment report has shown a labor market that's gradually cooling. Data out Tuesday from the Bureau of Labor Statistics showed job openings fell to their lowest level since January 2021 during the month of September. Meanwhile, the quits rate, a sign of confidence among workers, fell to 1.9% in September, down from a revised 2% in August. This marked the lowest quits rate since June 2020.

“The big picture is that the labor market continues to cool down (even beyond hurricane effects), and this should keep the Fed on pace for rate cuts in November and December," Carson Group global macro strategist Sonu Varghese wrote in a note on Friday."

MY COMMENT

Bring on the rate cuts.

What I really find telling above is the ONE HUNDRED AND TWELVE THOUSAND job additions for the months of August and September that just disappeared.......POOF.....up in smoke. Of course these job additions never happened. If we get this sort of revision for the data above.......the number of jobs added will be NEGATIVE.

AMAZINGLY this data is constantly revised in only one direction. This data is totally corrupt and distorted to the positive side. This is obviously inherent in the data and the government manipulation of the data. it defies all the rules of probability.

BUT....I love it since I want to see a good 1.5 year campaign of rate cuts.

 

I guess the markets dont care about spending massive amounts of money to build out AI when it comes to AMZN.

Amazon stock pops after Q3 earnings beat

https://finance.yahoo.com/news/amazon-stock-pops-after-q3-earnings-beat-150027690.html

Amazon CEO pledges AI investments will pay off as capital expenditures surge 81%

https://www.cnbc.com/2024/10/31/ama...s-will-pay-off-as-capex-surges-81percent.html

 

We are up very nicely today.....of course....the great earnings from ALL the big cap tech stocks are already wasted. The media and the markets have moved on.

 

AND....more good news for those of us that want to see a good rate cut campaign.

US manufacturing drops to 15-month low amid higher input prices: ISM

https://finance.yahoo.com/news/us-manufacturing-drops-15-month-140356630.html

 

Seems like a very strong market today but I note that AAPL and GOOGL are both currently in the RED again today.

(See comments above about the market being disconnected from earnings......and reality.)

 

I like this little article.

America’s Halloween-Eve GDP Delivers Few Scares
Growth remained healthy in Q3, underpinned by private-sector acceleration.

https://www.fisherinvestments.com/e...americas-halloweeneve-gdp-delivers-few-scares

(BOLD is my opinion OR what I consider important content)

"Undercutting lingering recession fears that seem to continue haunting some investors—and the spirit of the season—US Q3 GDP was decidedly un-spooky. The data, released Wednesday, show the world’s largest economy grew 2.8% annualized in the quarter. It is a slight slowdown from Q2’s 3.0% and missed analysts’ 3.2% estimate.[ii] But the big picture here is what matters most, in our view: The trends powering growth in recent quarters largely continue. Backward-looking as these data are, they are another step toward driving a stake into undead recession worries’ heart.

Forgive the Halloween wordplay, but the data did drop a day before kids stalk the sidewalks in search of sweets. And, looking deeper than the headline slowdown, the report featured plenty of treats. Real personal consumption expenditures—long feared at risk from high prices—jumped 3.7% annualized, the fastest growth since Q1 2023.[iii] Business investment, a typical swing factor for growth, also rose 3.3% annualized, powered by 11.1% growth in equipment spending—the second-straight strong quarter after Q2’s 9.8%.[iv] Taken together, we see stronger-than-feared household consumption and businesses’ continuing to shift to offense. This is the backdrop we think stocks have been pre-pricing for some time.

Real estate investment—both residential (-5.1% annualized) and private business investment in structures (-4.0%)—was among the detractors.[v] While rate-sensitive residential real estate has frequently detracted since mortgage rates started climbing a couple years ago, the business side’s decline is new this quarter.

A deeper dive into the data show this was largely a result of cooler factory investment (from 21.7% annualized in Q2 to 2.2% in Q3).[vi] Fast growth in private factory investment has long buoyed the category overall. To our read, this largely looks like businesses adjusting after a widely known period of weak demand for manufactured goods. It also coincides with the election, and uncertainty over that may cool corporate plans temporarily. But we don’t think that is the chief factor, given services have powered US economic growth in this expansion. In this way, it looks like another continuation of existing macroeconomic trends.

Other detractors included net exports, as imports outgrew exports. Both were positive (up 11.2% annualized and 8.9%, respectively), which is really what we think you want to see, as rising imports and exports point to healthy demand at home and abroad.[vii] But the calculation subtracts imports from exports, so this healthy circumstance actually subtracts from headline growth.

Lastly, we would be remiss if we didn’t point out one factor: Government spending. Federal government spending rose 5.0% annualized in the quarter, powered by a 14.9% jump in defense spending.[viii]

Look, we get that this is a bugbear to many, given deficit fears, election talk and the fact defense spending ties to wars ongoing abroad. And, despite GDP calculations treating it as such, we don’t think rising government spending is auto-positive. But from the pure effect on growth, it is a mistake to overrate or fixate on government spending in Q3.

The 5.0% annualized rise in federal spending added 0.6 percentage point (ppt) to the 2.8% headline growth rate.[ix] If you exclude it and look solely at private-sector activity, household consumption, business investment and residential real estate combined added 2.5 ppt.[x] That is up from Q2’s 2.2 ppt.[xi] The private sector entered Q4 on sound footing.

All in all, those looking for a scary movie in US economic data are likely to come up pretty empty in Q3 GDP. Continued services-led growth and a private-sector acceleration just don’t seem very ghoulish to us. Those are the very trends running for two years now—the factors that have disproven recession fright repeatedly, helping power this beautiful bull market."

MY COMMENT

THE.....BBM.....beautiful bull market.....is alive and well. In spite of the ridiculous market drop yesterday.......yes the markets should be EMBARRASSED.....the BIAS is strongly positive in the markets as a whole and in the TECH and BIG CAP areas.

 

Stocks are trying to make up for the IDIOTIC drop yesterday. A nice green day so far.....but....I dont think I will make back all of my six figure loss yesterday.....today.

So I will say in regular type.....not....all caps.......show me the money.

 

Here is some information that will be important to some on here.

IRS unveils IRA contribution limits for 2025

https://www.cnbc.com/2024/11/01/ira-contribution-limits-2025.html

SURPRISE......the "news".....the IRA limits stayed the same as 2024.

Here is some information on the 2025 401K limits.

IRS announces 401(k) contribution limits for 2025

https://www.cnbc.com/2024/11/01/401k-contribution-limits-2025.html

Key Changes

• 401K contribution limits are going higher forfor 2025.
• In 2025, employees can put $23,500 into 401K plans, it was $23,000 in 2024.
• Only 14% of employees saved the maximum amount in 2023, (see Vanguard’s 2024 How America Saves report).

 

This is very smart marketing and management. it is also a great use of Social Media. As an owner of CMG this is what I like to see from management. Consumers right now are pinched and like to see good value for their food dollar. I also like the potential for this to drive an increase in market share.

Chipotle brings back bigger portions after criticism from customers
Customers accused the fast-casual chain of using fewer ingredients in its popular burrito bowls

https://www.foxbusiness.com/lifesty...igger-portions-after-criticism-from-customers

(BOLD is my opinion OR what I consider important content)

"Chipotle said that it has been consistently offering "generous portions" in an effort to satisfy the customers who complained on social media that they were getting skimped on the size of their servings.

Interim CEO Scott Boatwright told analysts on Tuesday that proof is on the company's social media platforms, where he said people are "posting big burritos, big bowls and really excited about portioning they're getting in the Chipotle brand."

Boatwright said that it's a "reverse of what we saw earlier in the year" when many TikTok users began sharing videos of workers assembling their Chipotle bowls, persistently requesting additional toppings.

"We know we're delivering value for the consumer, especially in this really tight environment, and we'll continue to lean into that," he said.

CFO Adam Rymer also told analysts on Tuesday that the company had a higher usage of ingredients in the prior quarter due to its focus on "ensuring consistent and generous portions." However, the company also faced higher costs for several items, most notably avocados and dairy, according to Rymer.

Chipotle interim CEO Scott Boatwright told analysts on Tuesday that proof of larger portions is on the company's social media platforms. (Chipotle Mexican Grill / Fox News)

Still, Wall Street saw it as a smart play, with many firms raising their price targets on the stock.

CFRA Research Senior Vice President Arun Sundaram said that the company "essentially had no choice [but] to increase portion sizes given the backlash it received throughout social media."

Sundaram continued by saying that the bigger portion sizes should drive incremental traffic to stores, alongside initiatives like new limited-time offerings.

Former CEO Brian Niccol began to address the issue in July, shortly after customers first aired frustrations on social media, saying "there was never a directive to provide less to our customers."

Amid the criticism, Wells Fargo analyst Zachary Fedam started recording data from different Chipotle orders. Fedam, alongside other finance professionals, ordered and weighed 75 like-for-like burrito bowls across eight locations in New York City. They also tested the difference between online and in-store orders.

Based on the data, the smallest bowl ordered weighed 13.8 ounces, and the largest weighed 26.8 ounces.

"That said, consistency varied widely, w/ some locations serving bowls that weigh ~33% more than other locations (on equivalent orders); and the heaviest digital/in-store bowls weighing 87%/47% more vs the lightest," the report said.

He added that generous portions had always been a core brand equity of the fast-casual restaurant chain."

MY COMMENT

Glad to see the new CEO embracing this issue and turning it into a POSITIVE for the company. A nice market share GRAB.

 

A nice GREEN close today......and a good gain for me.....but....I made back less than half of what I lost yesterday. I had two stocks in the RED....HD and AAPL. I also beat the SP500 by 1.01%.

 

The week that was.

DOW year to date +11.50%
DOW five days (-0.50%)

SP500 year to date +20.79%
SP500 five days (-1.80%)

NASDAQ 100 year to date +21.07%
NASDAQ 100 five days (-2.21%)

NASDAQ year to date +23.53%
NASDAQ five days (-2.19%)

RUSSELL year to date +9.80%
RUSSELL five days (-0.34%)

As for me......I ended the day today with my entire account at YTD.....+58.99%. Last week I was at.......+62.53%. BUMMER....I got knocked out of the 60% range back into the 50% range.

 

HAVE A GREAT WEEKEND EVERYONE.

 

COOL.

Nvidia to take Intel's spot on Dow Jones Industrial Average

https://finance.yahoo.com/news/nvidia-replace-intel-dow-jones-212628611.html

(BOLD is my opinion OR what i consider important content)

"(Reuters) -Intel (INTC) will be replaced by Nvidia (NVDA) on the blue-chip Dow Jones Industrial Average index after a 25-year run, underscoring the shift in the chipmaking market and marking another setback for the struggling semiconductor firm.

Nvidia will join the index next week along with paint-maker Sherwin-Williams , which will replace Dow, S&P Dow Jones Indices said on Friday.

Once the dominant force in chipmaking, Intel has in recent years ceded its manufacturing edge to rival TSMC and missed out on the generative artificial intelligence boom after missteps including passing on an investment in ChatGPT-owner OpenAI.

Intel's shares have declined 54% this year, making the company the worst performer on the index and leaving it with the lowest stock price on the price-weighted Dow.

Shares of Intel fell 1.6% in extended trading on Friday, while those of Nvidia were up 2.2%.

This development comes a day after Intel expressed optimism about the future of its PC and server businesses, projecting current-quarter revenue above estimates but warning that it had "a lot of work to do."

"Losing the status of Dow Jones inclusion would be another reputational blow for Intel, as it grapples with a painful transformation and loss of confidence," said Susannah Streeter, head of money and markets at Hargreaves Lansdown.

"It would also mean that Intel is not included in exchange-traded funds (ETFs) which track the index, which could impact the share price further."

Launched in 1968, the Silicon Valley pioneer sold memory chips before switching to processors that helped launch the personal computer industry.

In the 1990s, "Intel Inside" stickers turned commodity electronic components into premium products, and eventually became ubiquitous on laptops.

Intel's revenue was $54 billion in 2023, down nearly one-third from 2021, when Pat Gelsinger took over as CEO. Analysts expect Intel to report its first annual net loss this year since 1986.

The company is worth less than $100 billion for the first time in 30 years.

That pales in comparison to Nvidia, which is sitting at a $3.32 trillion valuation, making it the world's second-most valuable company.

NVIDIA'S AI LEAD

Nvidia has emerged as a cornerstone of the global semiconductor industry, thanks to the essential role its chips play in powering generative AI technologies which has driven a seven-fold surge in its shares over the past two years.

The company's shares have risen more than two-fold this year alone.

Once popular only among gamers who hunted for PCs with Nvidia's graphics processors, it is now seen as a barometer for the AI market.

The company's 10-for-one stock split that took effect in June also helped pave the way for its addition to the index, making its soaring shares more accessible to retail traders.

Intel, on the other hand, has struggled to gain share in the AI chip market dominated by Nvidia, with the front-runner's chips hard to get and even harder to replace in AI datacenters, owing to the processors' technological edge and the high costs of replacing them."

MY COMMENT

A big blow to INTC.....they will not be dropped from ALL DOW Index funds. Also a huge psychological blow to the company.

BRAVO.....for NVDA.