amit

AI Infrastructure & Semiconductors

The market is rewarding high-momentum infrastructure plays while showing exhaustion in overextended chip names. A rotation is emerging from pure-play compute into memory, photonics, and power as the AI supply chain broadens.

• Nvidia (NVDA): Reached all-time highs near $218; sentiment remains bullish but some analysts warn of a pullback after its massive run.
• Micron (MU): Highlighted as a primary beneficiary of the memory bull run, significantly outperforming the broader semiconductor sector this month.
• IREN: Secured a $3.4B AI Cloud contract with NVDA, validating a $70 long-term valuation target versus its current $43 level.
• AMD: Hit the $300 milestone with strong execution under Lisa Su; analysts see a path toward a $1T market cap.

Software & Defense Growth

Software is experiencing a bifurcated market where "AI winners" with strong earnings are decoupling from the broader SaaS selloff. Defense tech is seeing renewed interest through strategic partnerships and hypersonic development.

• Palantir (PLTR): Dominant leader with 85% revenue growth and a new $300M USDA contract; analysts set a bold $150 price target.
• Rocket Lab (RKLB): Partnered with Anduril for Mach 5 hypersonic tech; shares surged 26% as it scales into a major defense player.
• Datadog (DDOG): Led a software relief rally with a 28% gain following strong earnings, signaling a potential rotation back into high-quality SaaS.
• ServiceNow (NOW): Faced a 14% after-hours drop despite a revenue beat, highlighting the market's extreme sensitivity to guidance in the software sector.

Macro & Big Tech

Geopolitical tensions in the Middle East are driving Oil volatility, while Big Tech earnings continue to crush expectations, providing a floor for the broader indices despite high bond yields.

• Amazon (AMZN): Reached new all-time highs with a $300 price target driven by AWS acceleration and its $5B investment in Anthropic.
• Google (GOOGL): Overtook NVDA as the world's most valuable company following news of Anthropic's $200B cloud commitment.
• Tesla (TSLA): Reported a triple beat with 21% margins; expanding into vertical integration via a new chip fab partnership with SpaceX.