The Wobbly House of Cards (EP. 483)

Despite bubble fears around interconnected hyperscalers, NVIDIA trades at just 16x forward earnings while household wealth and bond yields both argue for resilience.

• Hyperscaler interconnection: A Bloomberg tool maps ~$22-25T in combined market cap across Anthropic, OpenAI, Alphabet, Amazon, Meta, Microsoft, Oracle, SpaceX and NVIDIA (NVDA), all cross-invested; NVIDIA now trades at 16x forward earnings, lower than at any point this decade.
• CapEx vs cash flow: Amazon, Meta, Microsoft and Alphabet are projected to spend ~$1T in CapEx next year against trailing free cash flow; Torsten Slok's consensus has hyperscaler operating cash flow rising from $600B (2025) to $2T (2030).

Themes, sentiment and reasons are AI-written paraphrases, checked so they never quote an episode. They may contain errors. Not investment advice. Episodes remain the property of their creators.