Daily Brief Equity Bottom-Up: OpenAI and Its House Built on GPUs and more

• OpenAI’s growth model relies on an intricate loop of vendor financing, aggressive forward contracts, and $80B+ in projected external capital.
• Long-Dated chip commitments seem less about immediate infra demand and more about bolstering OpenAI’s fundraising optics by showcasing secured access to future capacity.
• If credit tightens or execution slips, the weakest links—OEMs and private equity firms backing infra-hungry AI startups—may snap first, with cascading effects on Nvidia, AMD, and TSMC to follow.

Key points (machine generated)

• Plover Bay Technologies specializes in reliable internet connectivity for critical applications in challenging environments.
• The company has partnered with Starlink as their first Authorized Technology Partner to enhance multi-WAN bandwidth bonding and fail-over capabilities.
• CEO Alex Chan emphasized the mission to improve connectivity at Peplink’s global developer summit in Amsterdam.

This article is sourced from an online content aggregator through publicly available sources and is displayed below for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• GST removal on life and health insurance eliminates insurers’ input tax credit, forcing them to cut agent-commissions, severely hurting Policybazaar (POLICYBZ IN) , whose 68% revenue depends on these segments.
• PB Fintech could have faced revenue losses upto 4.4% and 65.7% Adj. EBITDA hit if it fully absorbs GST; even 50% absorption cuts Adj.EBITDA by ~35%, based on FY25 numbers.
• Moreover, trail revenues, mainly from health insurance, could shrink sharply, threatening PB Fintech’s high-margin revenue stream and delaying its INR 10 bn profit target beyond FY27.

• Smartphone units increase ~3% YoY, that’s slightly better than 1H26 at ~1.5%, but still low growth.   
• Premium replacement demand is solid (Samsung, iPhone 17).  Improvements in Emerging Markets (Xiaomi, Transsion, vivo).   
• Mediatek reports on 31 Oct, Qualcomm on 5 Nov.  Their Smartphone business isn’t a driver given tepid growth. New ventures revenue timeline is the question.

Key points (machine generated)

• Oil prices are at a 50-year low, raising investment concerns in a volatile market.
• The oil and gas sector faces challenges, making traditional investments risky.
• Investors can consider cautious engagement through call options, with the current gold/oil ratio indicating oil is exceptionally cheap.

This article is sourced from an online content aggregator through publicly available sources and is displayed below for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• Occidental’s USD 9.7 billion OxyChem divestment fast-tracks debt reduction but removes a steady earnings buffer, leaving the company more exposed to volatile oil market cycles.
• The sale strengthens Occidental’s balance sheet and strategic focus on upstream operations but sacrifices diversification, as the chemicals unit provided resilient cash flows during oil downturns.
• Executing the divestment amid a chemical sector downcycle appears poorly timed. Occidental will sell a profitable asset at a discount while crude prices remain subdued.

• TSMC: +27.3% Premium; Opportunity to Set Up ADR Spread Short During Taiwan Session
• UMC: +2.0% Premium; Wait for Slightly Higher Premium Before Opening Spread Short
• ASE: +2.6% Premium; Wait for More Extreme Swing Before Going Long or Short

• Dell Technologies is undergoing a strategic transformation that could redefine its growth trajectory, as it aggressively scales its AI-optimized infrastructure portfolio.
• At the forefront of this shift is Dell’s Infrastructure Solutions Group (ISG), which saw a 44% year-over-year revenue surge in Q2 FY2026, driven primarily by soaring demand for AI servers.
• The company now projects over $20 billion in AI server sales in FY2026, up from just $10 billion in FY2025, with expectations of crossing the $25 billion threshold by FY2027.

• Q3 Summary: Solid EBITDA beat with margin expansion to 12%, though top-line missed street estimates; core business KPIs broadly in line, with slightly soft ARPA growth.
• Thesis: Strong positioning in Japan’s underpenetrated SaaS back-office market, with regulatory tailwinds, operational leverage, and FY11/28 targets of ¥65B sales and ¥20B EBITDA. 
• Valuation: Stock trades near our ¥5,700 fair value (~6x EV/revenue); short-term upside limited, but long-term fundamentals remain attractive.

• Marks and Spencer has reported strong financial performance for the past year, with sales growing by 6.1% to £13.9 billion and a significant 22% increase in profit before tax and adjusting items, reaching £875.5 million.
• The company also improved its free cash flow, ending the year with net funds of over £400 million, which is a demonstration of robust financial health.
• These improvements position Marks and Spencer in its strongest financial state in nearly three decades.