Join us in this episode as we navigate the complexities of today’s financial landscape. Hosted by Barry Kite from Gundersen Capital, we begin with a comprehensive update on the stock market indices, revealing a nuanced picture of market gains amidst one of the longest government shutdowns. Barry and co-host Jeff Webster dive into the impacts these factors have on travel and airline operations, sharing real-world experiences and prognostications about the future.
He’s been seen on CNBC, the Fox News Channel, and the Fox Business Channel. His articles can be found on MarketWatch, Seeking Alpha, TheStreet.com, and many other places. He’s the author of the weekly Best Stocks Now newsletter and the inventor of the Best Stocks Now app. He’s president of Gundersen Capital Management. Here is professional money manager Bill Gundersen.
SPEAKER 02 :
Good morning and welcome to the Wednesday, October 15th edition of the Best Docs Now show. I am Barry Kite, planer and analyst here at Gunderson Capital Management, sitting in for Bill today as he’s traveling the friendly skies to get over to St. Regis, the St. Regis and lovely Longboat Key. So he won the lottery in terms of us three here today, Jeff, but… We’ll see what happens with the FAA, though, why he’s getting over there. But markets, he’ll be happy to hear this. Markets are up. We’ve got pretty much all green on the screen besides Bitcoin. We’ve got the Dow up 0.83% at this moment, up 379 points to 46,650. We’ve got the S&P 500 in the green as well, up over a percent, 1.07% to be exact, and that’s hitting that. I think it’s got to be an all-time high. We’re at 6,716, so I’m pretty sure we haven’t said that number on the show yet before. Also, we’ve got the NASDAQ pushing, getting closer to that 23,000 mark. We’ve got 22,809 up almost 300 points, up 1.3% today. We’ve got crude oil gaining back a little bit, still under $60 at just under $59.00. Up about a half a percent today. And gold continues to go up, up 1.48% at the moment. So above the $4,200 level at $4,204. And as I said, Bitcoin, the only thing in the red here, down a percent today, just under $112,000 per coin. But again, good morning and welcome to the Wednesday, October 15th edition of the Best Stocks Now show. I’m your host, Barry Kite, pointer analyst here at Gundersen Capital. taking the wheel for bill as he’s traveling down to uh down to south florida today the sarasota longboat key area and uh as always excited to have jeff webster joining me on the show today thanks for uh thanks for sitting in there is my wingman how’s it going it’s going great delighted to be here today it’s been a while look forward to it Yeah, I mean, you know, it’s short of kind of Friday’s hiccup. It’s felt, at least it feels pretty good lately. We’ll see how long that lasts. But, of course, not all rosy for everyone. Some of our government workers, obviously, are still busy. Still at home. We’re in the 15th day, if we’re counting at home, 15th day of the U.S. government shutdown. I’m interested to see, kind of get some boots on the ground perspective from Bill today to see how his flight goes this morning. Hopefully not too many hiccups for them. It’s not a long flight down there, so hopefully everything will go according to plan. I don’t know if you’ve heard any stories, Jeff, but I’ve had a small sample size, but we had a couple of friends over the weekend who were traveling with their little ones and families. And the short version was, you know, their experiences ranged from interesting to disastrous. One couple had to stay over an extra night. The other couple had their kids around some folks who were probably a bit over-served and maybe sitting in the airport maybe a little bit too long. But, yeah. They all eventually made it to where they were going safely, but not quite sure how much of that really falls on the TSA or air traffic control issues. But the airlines sure have someone to blame at the moment if they want to for their delays. But it’s likely to… Likely have a chance to continue the blame in the shutdown, though, for a couple more weeks. We’ve seen some prediction markets where this could end up being one of the longest shutdowns in history. I believe the longest one was from December of 2018 to January of 2019. I think that one lasted about 35 days. the odds of it lasting over 35 days went up yesterday. And from what I hear, it sounds like we’ve got the money to pay our military and Coast Guard, thank goodness, today. But then two weeks from today, Jeff, they’re going to be wanting another paycheck. And those funds may be a little bit harder to scrounge up. So, We’ve got another two weeks on the end of this. That would take us to 29 days, which would be a little bit under that record amount. But I did see somewhere where I think this is the third longest shutdown that we’ve had over the years. So we’ll do with that what it is. But looking forward to getting an update from Bill once he gets on the ground down there in Florida.
SPEAKER 03 :
Yeah, absolutely. Wishing him safe travels today. I know that I have, I’ve got family traveling today to different places. So we’ll look forward to getting their feedback as well. Now it’s my understanding that the TSA is not impacted by this shutdown. I’ll need to double check that, but they have a defined contract.
SPEAKER 02 :
Yeah, I remember that sheet that you sent over that was pretty interesting in terms of who gets paid, who doesn’t get paid, why they get paid, if they do get paid. And it was actually pretty enlightening. Of course, there’s a lot of government laws and red tape and stuff that defines a lot of those different iterations of those employees and And so it’ll be, you know, I know on the air traffic controller side, I saw something, I think it was end of last week, where they had the most, I guess, air traffic controllers out that they’ve had since like early 2022, I guess, whenever, you know, travel picked back up after COVID. So we’ll see as long as, you know, delays are one thing. As long as everybody gets there safely is the most important thing. Well, I guess before we read today’s tea leaves, we can recap yesterday’s market activity. It’s exciting to see. It’s always nice when we host a show and we’ve got plenty of green on the screen. Yesterday was a bit more of a… A mixed bag. We had the Dow finishing up. The Dow was actually up yesterday just over 0.4%. The Dow and the NASDAQ were down. Or S&P, I should say. S&P and the NASDAQ were down. S&P was down about… 16 basis points, NASDAQ down just over three-quarters of a percent. But the NASDAQ, seeing some numbers, NASDAQ’s gotten, I believe it’s gotten back all of its gains that were lost, at least where we’re at sitting right now, all of the gains that were lost on Friday. Obviously, market activity continues to be driven around. You know, rhetoric revolving trade with China, and we’ll get into some of that push-pull. You know, we’re finally getting into some earnings season, so we’ll actually have some data to kind of run through later on the show. Of course, heard, I think, on True Social Post, I guess, you know, at first it was a battle over rare earth minerals, right, and chips, meaning, you know, we’ll trade you. some NVIDIA chips for some rare earth minerals. And now it seems that we might be trading some soybeans for cooking oil. So we’ve gotten, we’re touching the entire spectrum here where, you know, basically that we may consider ending ending some of our cooking oil trade with China. I guess we’ll start making our own cooking oil over here. I guess I didn’t really realize that we didn’t make a lot of our cooking oil over here, but it’s a fairly interesting trade-off. Not the trade-off I thought, the headline that I would see when we woke up this morning, right?
SPEAKER 03 :
It’ll be interesting to see how those markets, futures, And forward contracts are impacted by, you know, that banter that’s going back and forth in those areas.
SPEAKER 02 :
Yeah, I mean, and we’ve got clients that are farmers, and actually I talked to someone last week who, you know, they’ve been harvesting soybeans. It’s a good thing for them. They’re not impacted as much because they have the ability to store the soybeans. And so they can kind of, of course, wait it out a little bit in terms of pricing and actually getting those soybeans delivered. But it’s still a big crop for the U.S. Corn and soybeans are kind of the two huge farming, kind of the cash cows for a lot of American farmers, that and throwing some wheat there. So we’re kind of gotten this trade-off, I feel like, where we’re moving from trade, and then finally we’re moving into some earnings. So we’ll get into some of those earnings when we get back for the second segment of the show. We’re just getting started here on The Best Stocks Now. We’ll be right back. We’ll be right back.
SPEAKER 1 :
Thank you.
SPEAKER 02 :
And welcome back here to the Wednesday, October 15th edition of the Best Docs Now show. Barry Kite, planner and analyst here at Gunderson Capital, taking the wheel for Bill today. And as usual, we’ve got Jeff Webster joining us on the show. Obviously, Jeff, a lot of you spoke to him, advisor here at the firm. And glad to have you here. Glad to have him to banter back and forth with. Of course, when we look at on and off air. Of course, we’ve still got plenty of green on the screen. Not much has changed with the markets. I know I need to go back. I know Besson was scheduled for the press conference around 9.15 this morning.
SPEAKER 03 :
I’m not seeing anything yet on Besson. On that, I checked about 10 minutes ago, hadn’t seen anything.
SPEAKER 02 :
Yeah, I figured either maybe the press conference is a little delayed, or at worst, nothing was said either overly good or overly bad. It doesn’t seem like the… He does pretty good in front of the microphone in terms of talking the markets, and of course, he’s been… Been in it for a very, very long time and kind of knows how to navigate that space from a market sentiment standpoint. So it will be interesting to see what his comments are once they come out. But the good news is the NASDAQ is up 1.36%, leading the way, and all the other equity indices are in the green at the moment. You know, it’s pretty interesting. I know we had, you know, we look at the markets today. We kind of have this, you know, we’ve got this push-pull narrative driven, you know, on one end by headlines and, of course, on the other end via data, primarily earnings data. And the primary, you know, news driver certainly as of late continues to be tariff talk as we observe exactly what happened with the rhetoric. On Friday, with the market taking a tumble, as the president mentioned, the November 1st 100% tariff threat deadline on China. And then, of course, it kind of cooled over the weekend and stocks recovered pretty significantly on Monday. Yesterday, China kind of talked a little tough, and we kind of went backwards just a bit with the mixed day yesterday. And then, of course, now we’ve got things back in the green, so a bit up and down. But the good news is I think we’re getting these – Bill always talking and obviously talking about stock prices follow earnings and just the way the earnings cycle works is you end up with these periods of time between earnings season and that’s where some of the, whether it’s rhetoric, news driven or just you know, sentiment kind of drives the market. And then, of course, we’re kind of made it through that, made it through that pretty well. And now it’s kind of the handoff over to, you know, handoff back to earnings. And, you know, we usually we get the financial earnings are usually the first ones that kind of kick it off. But, you know, we, you know, right now it’s just, You know, we kind of sit back and wait. I was talking to a couple of clients yesterday, and I had a client ask you, you know, what happened on Friday? And it’s, you know, really, it’s just not an event you can really hedge much against. I guess gold has probably been the biggest hedge for that. It’s just things get said and markets move, whether it’s uncertainty or whether on the actual word said. And then, of course, we get the data side kind of brings us back a little bit more towards reality. And the banks have really – we’ll highlight some of those in the second half of the show. But banks lead us off in terms of – earning season so we got that uh we got that kicked in and speaking of lead-offs what i you know your your your dodgers and the seattle mariners are off to a pretty good uh pretty good pretty good start to the to the uh championship series what both uh both starting out two and oh so you know our seattle listeners and uh and and you as a dodgers fan you got you probably feel pretty good today huh
SPEAKER 03 :
Absolutely, absolutely. Yamamoto, first pitch of the game, he gave up a home run, and then he ended up pitching a complete game. First time since 2004 that a Dodger pitcher has completed… A full game in the playoffs. Yeah, and I saw something. It was impressive.
SPEAKER 02 :
Yeah, I saw something. There hasn’t been a complete game in the playoffs pitched by anyone, I think, for, like, I think it was eight years to the day or so. So just pretty remarkable in today’s era of, you know, bring your reliever in at the four-and-a-half inning and just, you know, go – throw a million arms at you in the last uh last half of the game but yeah started out starting out two and oh good news is you didn’t have to you didn’t have to it wasn’t wasn’t much of a nail biter as it was for your first game so you should be you should be well rested these managers very they’re also jumping into the ai craze they’re using analytics they’re using all this information uh
SPEAKER 03 :
the classical movie that was out, you know, a dozen years or so ago, Moneyball. It’s all, it’s all analytic driven and stuff like that based on how they think things are going to perform.
SPEAKER 02 :
Yeah, and Billy Bean, of course, at the A’s, and then some of that, one of the first kind of, I guess, through that ecosystem, the first disciple that went out from the A’s, I believe, actually went to the Dodgers. I think he ended up somewhere on the East Coast eventually. Um, yeah, I mean, uh, you know, data, was it your, I think your, your picture of the night before had a little, didn’t he pull out like a cheat sheet and had, uh, and had some of those, you know, kind of had his pitches already, already planned out ahead of time, which is pretty, uh, pretty remarkable. I hadn’t seen that before. Um, but the, uh, Usually they’re just checking to see if they have any sticky stuff on their hands versus pulling out your… It reminds me of the old play sheet on the quarterbacks where they’re flipping and going through the play sheet. What Snell pitched, a very good game, too. But, yeah, the thing is, with the financials leading off, just a ton of, from an earnings standpoint, investment banking has been a very big bright spot for these financials, which we’ve seen deal-making. We’ll get into some of the deals. the AI deals that just keep, you know, it seems like every day we hear of a new AI deal. But in terms of, you know, an environment in which, you know, in which investment, right, it seems like it’s a pretty good environment for dealmaking, a pretty good environment for investment banking. And, you know, M&A activity was pretty much, you know, pretty much, not much for the last you know say call it to two years or so and so it’s a you know nice to see some of that back it just shows you that companies You know, either they feel the need to invest or they feel that it’s a good time to invest. And a lot of that’s related back to where we see asset prices going in the market. So we’ll get into some of those earnings when we get back for the second half of today’s Best Stocks Now show. We’ll be right back.
SPEAKER 01 :
This is Bill Gunderson. Thank you for tuning in to today’s Best Stocks Now, Best Inverse Funds Now show. I put several hours of research in during the wee hours of the morning each day to bring you the very best cutting-edge stories that I can. To get two free weeks of my newsletter, go to GundersonCapital.com. To talk to us about our fee-based only money management services, call us at 855-611-BEST. Now, back to the second half of the show.
SPEAKER 02 :
And welcome back to the second half of the Wednesday, October 15th edition of the Best Docs Now show. I’m Barry Kite, planer analyst here at Gunderson Capital, serving as relief captain for Bill this morning as he’s traveling down to the St. Regis for a conference he’ll be speaking at on Friday at the St. Regis in Longboat Key. If you’re interested in attending, you can always give Edie a call at 855-611-BEST. That’s 855. 611-2378. And, of course, if you’re interested in getting a copy of the newsletter or talking to Jeff or myself about how you’re positioned and how we could potentially help you or at least lead you in the right direction, you’re always welcome to give us a ring, 855-611-BEST. It’s 855-611-2378. Or, of course, you can reach us at the website at GundersenCapital.com. But it looks like markets remain in the green. So the good news is Bill should be having a smooth flight as long as he made it on there. So he’ll be pleasantly surprised with the green on the screen, right? And, of course, real quick, before we get into some earnings, I mean, this is primarily a stock-driven show, but in 2025, we really can’t talk about the global markets without mentioning gold. It’s just been a remarkable run. I heard a comment from the famous economist, Ed Yardeni, recently said that gold is the new Bitcoin. So we’re seeing really a historic rise in the precious metal, also on the silver end. Obviously, silver has precious metal characteristics, but also is an industrial metal. So a little bit different demand function there on the silver side, and we’ve got a bit of a short squeeze in terms of delivery of silver at the moment, and that’s what’s been kind of sending those prices to historic levels. But, you know, I mean, continually seeing estimates on the street.
SPEAKER 03 :
Barry, take a minute to talk about the difference between Owning physical gold versus purchasing some type of an ETF equity or investing in a mining company. What should investors be thinking about or listeners be thinking about as they consider those types of options?
SPEAKER 02 :
Yeah, and so, you know, you kind of laid out three different options, right? Obviously, you know, we could go, you know, buy the physical bullion, right? The trick there, obviously, you’ve got to store it and, you know, protect it and… You know, where do you store it, right? And holding physical gold, right? You know, a lot of times that’s going to be driven by, you know, if we’ve got some kind of, you know, apocalyptic type event or you’ve got, you know, you’ve got where, you know, a run on banks. You don’t want to keep your gold bars at your safety deposit box because when you need it, guess what? You may not be able to go to the bank and get it. So there’s kind of that natural thought process of I want to keep it close and have it next to me, the physical gold. The tricky part there a lot of times is finding liquidity. If you wanted to sell it, a lot of times you’re going to take a bit of a haircut when you go to, you know, somewhere to sell that physical gold. On the ETF side, you know, to me, the most important thing is you want the ETF to be backed by physical gold. So we use, you know, at the firm, we use GLD, for example, GLD, every share of GLD that’s issued. there has to be that amount of gold behind the scenes available to back that particular ETF share up. There’s some ETFs out there that you want to be a little bit more wary of that use futures contracts, right? So they don’t own the gold. They have… exposure to gold via, you know, the futures market, right? It’d be like if you and I, you know, orange juice futures, right? We’re not holding the, you know, the old trading places movie. We’re not holding, right, you know, physical frozen orange juice, you know, at our house. We own a futures contract on that particular commodity. So, The further you get away from the physical gold, in my opinion, the kind of more risk or just more chance that say that ETF doesn’t react exactly with gold because you can have other variables affect futures contracts that may not affect, that you don’t have to worry about if you actually own the gold or if you have an ETF that’s backed by the gold. And then, of course, the third element is, you know, Owning a minor, right? The part about a minor is, of course, they have to run the business properly, right? So it’s not just about the value of the underlying commodity. Obviously, it depends on how well they are operating the business, what their expense structure is. What their debt structure is. So one of the you know, one of the reasons why you’ll see some, you know, gold gold miners, you know, significantly say outperform the price of the metal is because, you know, they may be using leverage. Right. Most businesses are going to have some component of debt. And so, you know, using debt, right, will allow them to, say, get that metal out of the ground more efficiently. And they’re using someone else’s money and their cost of capital is, you know, lower, usually with debt financing versus equity financing. And so you get, you know, a bit of a kicker. Think of, you know, the micro strategy, for example, if you were, you know, as a Bitcoin, you know, miner or holder of Bitcoin. they’re borrowing money and buying Bitcoin, and so you have a leverage component to that particular business. So it’s probably the best three layers.
SPEAKER 03 :
Yeah, I like the latter two myself. A little more tradable, usable. Certainly on the gold mining stocks, you can track performance better. You can track profits. There’s something behind that asset that you’ve purchased, which in the case of a gold mining company, the stock, there’s something that you can actually tie to as opposed to just hoping that someone is willing to pay more for the bar of gold than what you paid for it.
SPEAKER 02 :
Yeah, and liquidity too, right? Liquidity function with an ETF, right? If you want to sell that GLD position today, right, we can go into the equity markets and be out of gold in a matter of seconds if we want to versus – You know, versus I always tell this story. I had a client years ago who had, she had about 80 grand in gold that she wanted to sell, right? And it was probably one of the more tricky kind of things that we’ve ever kind of tried to figure out. So me and my head of financial planning practice in Nashville. And so we were, we had, you know, okay, how are we going to sell this $80,000 worth of gold coins, right? And the biggest trick was getting the gold from her house, to the place where we’re going to sell it, right? It’s like, okay, as financial planners, we could help her. You know, hey, throw it in the trunk. Let’s go, right? You know, my partner was a great marksman, right? He certainly could have protected it along the way. Did he have a Brinks armored vehicle? Yeah, that’s what we ended up having to do. So, of course, the firm is like, yeah, probably not the most compliant thing for you guys to just hop in the car and drive it over there for her. Um, and so, yeah, we had to get rent to literally had to rent a Brinks truck, came and picked it up and took it to the place. I think the Brinks truck costs around 2,500 bucks at the time. I mean, it was, you know, what happens is it’s expensive to sell it. So at least in the equity markets, right, we can get out of it, uh, get out of it pretty quickly. And on a side note, in terms of holding the physical, uh, metal, I’ve, had a number of prepper clients over the years, and they’re bigger on holding junk silver. Silver is kind of an easier thing to break up in terms of bartering versus breaking off some tiny piece of gold. They focused on if you’re going to hold something physical, their suggestion was holding silver, but that’s to each their own in that sense. The only problem with silver is, of course… It weighs more, so you’ve got to need a bigger safe.
SPEAKER 03 :
What weighs more, Barry, a pound of gold or a pound of silver? That’s a trick question.
SPEAKER 02 :
That’s a trick question, yeah. But to have 100K of silver or 100K of gold, right, you’ve got to have a – it’s a lot heavier to move around. You need a reinforced floor in your – In your basement or wherever you’re storing it, right? Yeah, and it’s just pretty remarkable. I’ve actually seen some numbers where gold has actually outperformed the equity markets over the last 20 years. I’ve got to go double-check that number myself, but I did read that this morning in prepping, no pun intended, for the gold discussion. Well, we’re three-fourths of the way through the show, and we’ll be right back and finish up and get into some earnings finally.
SPEAKER 04 :
On a winter’s day. You gotta go where you wanna go.
SPEAKER 09 :
Do what you wanna do with it. Whoever you wanna be. You gotta go where you wanna go. Do what you wanna do with it. Whoever you wanna be.
SPEAKER 02 :
And welcome back to the October 15th edition of the Best Stocks Now show. I am Barry Kite, planer and analyst here at Gunderson Capital, sitting in for Bill today. And Jeff Webster is also joining me on the show. We’ve got still some strong numbers in the market here. We’ve got NASDAQ still up 1.28%. We’ve got the S&P up just right at 1%, and the Dow bringing up the rear there, still in the green up. 0.63%. Gold also just under that 4,200 mark, up 1.31%. But I’m always, you know, we’ve got some big earnings, and you finally got a tech company.
SPEAKER 03 :
Should I jump into it, Bear?
SPEAKER 02 :
Yeah, get in there.
SPEAKER 03 :
Should I jump into it?
SPEAKER 02 :
ASML, are we going to start there, or where are we going to start?
SPEAKER 03 :
Let’s talk about the banks first. I mean, these guys, they’re the best sandbaggers in the world. If you look at them, you know, we’ve got Bank of America, earnings beat. Citibank, earnings beat. BlackRock, not a bank, an investment and asset management company, big earnings beat. Goldman Sachs, beat. JP Morgan, beat. Morgan Stanley, beat. Wells Fargo, beat. Some of the major regional and super regional banks, Citizens and Synchrony Bank, big beats. And so the question is, is why, why is this happening? And really it, it kind of narrows to five key things. One, um, you know, their net interest income and yield curves, uh, tailwind stuff, of course, banks profit, uh, from the spread, uh, that they get from what they pay for deposits and short-term funding. compared to what they’re loaning out on their longer-term assets. So that’s been going good. Two, they have a very, very resilient consumer and corporate credit position right now where they have lower losses. You know, there’s been fewer defaults. That space has remained very stable and even improved. So delinquencies and charge-offs were down. they’re seeing strong fee and non-interest income from trading, capital market activity, and investment banking. So merger and acquisition, equity and debt underwriting, IPOs, advisory fees, all those types of things are going up. And then, of course, more people and institutions jumping into the market produces better trading revenue. Fourth, They’re becoming very good at operating leverage and managing their costs. So good, good activity there. And then just based on how the markets have been going, you know, since things recovered from the tariff talks, I mean, there’s just good, positive sentiment out there that is driving consumer and institutional finance activity in the form of borrowing and investing, all very, very good stuff for the banks.
SPEAKER 02 :
And Morgan Stanley, I mean, Morgan Stanley, they’re obviously going to be more on the investment banking side than, say, your traditional bank. I mean, their numbers, I think they know the assignment. They came in, earnings came in at $2.80. Estimate was $2.11. Yep. And, you know, so it’s quite a beat. And baggers. Yeah, and then I don’t know if this revenue number was, I got to double check if this is really the consensus number, but net revenue was $18.2 billion. the estimate was $10.7 billion. So they, you know, kind of basically over, you know, almost beat it by, you know, close to 100%, almost 80% here in terms of… Well, the bar will be risen going into the fourth quarter.
SPEAKER 03 :
You know, I was looking at what the estimates have all kicked up now. Now, flipping over to our… Our semiconductor space, ASML, our Dutch company that, you know, I think they’re Europe’s largest company right now. They reported net sales of 7.5 billion euros with net income of 2.1 billion net income in euros. That’s pretty rich net income on that 7.5 billion euro. in sales. So very, very impressive.
SPEAKER 02 :
And then, of course, the other thing that… Go ahead. Oh, no. They just had one of my favorite things that I’ve heard in a while. They said, order surpassed estimates in the third quarter, and it noted that sales next year would not be less than 2025. I’m like, what kind of guidance is that? I’ve never heard that before. It’s like, hey, good news is sales are not going to be lower than this year. So, yeah.
SPEAKER 03 :
Barry, we mentioned BlackRock. So there’s a group that includes BlackRock, NVIDIA. They are buying aligned data centers in a deal worth $40 billion. And so they’ve got this group, what’s it called here?
SPEAKER 02 :
I think it’s AIP. It’s that consortium that they basically, what, got about $100 billion that they’re working into the AI space?
SPEAKER 03 :
They’re committing to… Yeah, and it has a bunch of different investors and foreign investors, and they are looking to acquire Align data centers for $40 billion. So, again, that data center space is still really very, very hot. You know, you think of – I mean, we all think of, okay, all the machines and the chips and stuff like that that are going to go in to run the applications that – are so critical, but I also encourage investors to think about the picks and shovels that need to go into operating those data centers, building those data centers. You know, you need wiring, you need cooling, you need heating, you need flooring. You need construction companies. Those are all… Need some land. We need land. Exactly. Exactly. Those are all things that investors should be looking at. You know, one of our favorite holdings is Virtus. You know, as you drive by a Virtus building, it looks like this plain vanilla building. industrial distribution company. No, it doesn’t even look as fancy as that. I mean, the pink’s peeling a little bit, but they do really good selling all the picks and shovels that these data centers need. And so it’s really quite exciting to see how that goes. Now, with that said, we need to temper our enthusiasm in AI investments and make certain that we’re making good choices there because there is you know, what many say a bubble that could burst.
SPEAKER 02 :
Yep. And, of course, to stay up to date with our thoughts on the markets, get Bill’s newsletter at GundersenCapital.com. Or if you’d like to have a discussion with Jeff or myself about your portfolio allocation, give us a call, 855-611-BEST. That’s 855-611-2378. Have a great day, everyone.
SPEAKER 05 :
This show is not a solicitation to buy or sell any securities. Bill Gunderson or clients of Gunderson Capital Management may have long or short positions in stocks mentioned during the show. Past performance is not indicative of future performance. Gunderson Capital Management is a fee-based registered investment advisory firm. All accounts are held at Charles Schwab. Schwab is a member of SIPC and FINRA.
