The AI Boom Isn’t Over! Micron Technology Just Proved It!

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2:04Lowe's. We help you save. Valid through 527. While supplies last, selection varies by location. See lowes.com for details. Visit your nearby Lowe's on South Loop 288 in Denton. Talk about, you know, MU and all of the other SanDisk and DRAM and all of that stuff. So tap in on Thursday at seven o 'clock. Shout out to everybody. I took advantage of the bundle that we did last week. It is over, but everybody that took advantage of it, if not, then you could just, it's back to regular, you know, EYUniversity.com, monthly, annual. But if you took advantage of that three-year, congratulations. If you didn't take advantage, then just get in where you fit in.

2:45Like I said, whether it's monthly, whether it's annual, you know, but, you know, go to EY University, make sure that you take advantage because that class is probably going to be, you know, the most people probably that we have so far. So highly anticipated class. So make sure you tap in. Yeah, I'm excited for it, man. I've been cooking up. I gave Shiley a little bit of the preview of the direction that we're going. While every day I've been out here, I've just been like, all right, I got to add that. I got to add another piece. There's so much going on. I spoke to Ian a little bit about it earlier from TSM.

3:17to it's so much that it's going to probably be uh one of our longer classes and we got a special guest coming in too uh to go with some options training as well so eyl university all the earners make sure you're packing all the new earners make sure you're packing is going to be one of those ones last time we showed you what happens if you miss a class right we showed you some of the returns if we span that out to a six month maybe a 12 month range it gets really really disgusting So make sure y 'all tap in. It's going to be special. I guarantee you that. And I would be remiss if we didn't celebrate Rashad for elevating to getting a gold jacket.

3:56What? All the fame. Just a light 2 ,000 % return on the wake up. I'm like, why are people hitting me up? I read the post. I said, oh, thanks, Addy. Well, let's start with that because that's been obviously one of the topics of discussion. you know, every couple of years, these type of things happen. Happen with NVIDIA. It happened with SanDisk, actually. Same time as MU. MU has happened with... Man, what else has happened in this recent history? I mean, the entire memory sector, if you want to look at it. It's Western Digital. It's Seagate as well. I mean, we're watching these companies. We watched it with GEV crossing over 1100.

4:43We've watched it with Dell. I mean, there's so many parts of this AI story that are just running right now to all time highs and AMD, obviously, you know, after their report, and I'm sure we'll talk about that a little bit later. The question still remains, has the story changed? And the answer continuously is no, it hasn't. And so we've been talking about it on Market Monies for two years now, right? So like when people are talking about Micron, it was$86, $87. We understood what the GPU was. And I'm glad that people came to a realization of what that actually is and to understand how that's going to work inside of the data center rack and then understanding what memory, the component and the part that it plays, it's vital.

5:24And the fact that there's a shortage means that now we can control price. And when you can control pricing on something that is in demand, you're seeing legendary returns. And so it's interesting after they reported it's blowout quarter and we were like reporting and i'm like look sometimes the numbers are not matching what the stock is doing sit tight we're going to be in for and for a nice street here and here we are crossing over what is it did it get to seven eight hundred today nearly got to 800. yeah um we said it was going to four we said it was going to five and here we are so the story's not over yet uh still has some more legs uh we're still in 2026 it's been sold out up until 2027 and i think the story still continues you hit a high of 8 18 67 today amazing return and you know what i love about the story when it comes to nvidia amd micron sandisk they are real companies that are focused on enterprise that deliver real results like for a while there are a lot of companies that were getting a lot of attention that were not great businesses so even for the point where everyone keeps making like us this is comparable to 1999 99 these are some of the strongest profit margins i've ever seen in these types of businesses in tech ever like this class of technology companies is probably 15 times better than the ones in 99 but um hell of a run for micron i know everyone wants to know is there more room to grow there is do i think they'll split at some point they're going to have to if they keep running at this space.

7:01But once again, Rashad, I want to give you credit not only for holding on for one, but for multiple and being an advocate for a quality company. Appreciate it. Don't cut me in being gracious. No, don't cut. No, no, no, no, no. I want you, Shadi. I know. I think it's important, right? I think people understand when they watch this, they watch us, they know I'm extremely bullish on a lot of these companies. Shadi kind of takes more of a conservative approach. So like watching something that goes from 10 % to now 2 ,000%. Shout out to G, he just hit 2 ,000 % as well. What is the mind frame of the conservative investor as he's watching appreciation?

7:49Well, you know, I'm always a paranoid person just in life in general. You know, I think, you know, that's just, I'm paranoid. it so i always think about what the worst case scenario could happen so i think you always you always got to be mindful during good times of of just you know thinking about what could potentially happen go wrong and there's a lot of there's a lot of talk about that right now on instagram at least on my algorithm there's too much of it there's a lot of talk of like you said and comparing into 1999, comparing it to 2008, comparing it to, you know, a variety of different stock market crashes that have happened in the past.

8:31So I think that, yeah, the companies is a difference between what happened in them. But you still got to think, you know, just be mindful. There's a geopolitical things that can happen as midterm elections is going to be interesting. talking about the Republicans redistricting. Yeah. And so now that looks like that, you know, they might actually be able to hold on to the House, which looked like they were going to guarantee to lose the House. Now that kind of changes the geopolitical landscape of things. Iran, you know, we got Netanyahu goes on 60 Minutes yesterday talking about the goal is for Israel to not rely on America at all anymore and not have any more funding.

9:15For the next 10 years. Done. Well, 10 years is a long time. So it's a lot going on right now. I said after all those years to say like, listen, 10 years, we don't want to have anything to do with this. Give me 10. Just give me another 10. I'll figure it out. I'll figure it out. What's the multiple on that? I'll figure it out. A decade. It's definitely historic. You know, it's definitely historic as far as, you know, just coming from a world of finance. That's not something that, you know, is ever really thought about something 2000 percent, a thousand percent, something like that. That's really like even private equity returns really on a public market.

9:56So, you know, I think it takes a while to actually even fully believe. Yeah. That's not something like I said, me, I was in traditional finance for 12 years. so you know that's something that i still kind of have that that level of thinking as far as you know more conservative safety don't lose money which that's always going to be the thing is not that's the number one rule but uh you know you start you got to kind of um rewire your belief system a little bit to have you know more take more risk and and just have a little bit more you know, um, optimistic view on things that not, are, are not traditionally, uh, possible during, you know, regular financial structures.

10:47Yeah. I was gonna say, I think that that's important. Like literally that's a, that's a phone call that we just had. Like what he was just saying literally is a phone call that we had. And the, the premise of it was like, think of the times that we're in where like, not only are you doing 2000%, but like you, You're watching communities of people that are saying, hey, I'm only at 600%. Yeah. But like they're feeling like they're feeling at 400%. At 400%. Which is somebody's lifetime return at one point. Right. 100 % is not good anymore. Whereas like you come from a world in 2008 when you started this where 7 % to 12 % was like, hey, if I can guarantee you that, this is really a good year.

11:28And now you've done 2 ,000%. This is not the first time you've gone over 1 ,000. It's not the first position. So it's just a new time. And so I appreciate, I want to call it a pessimistic view. I'll call it more of a conservative view because it gives me a chance to explain my bullish case over and over. And so far, the story hasn't changed. And so I don't think the returns are going to change because like you said, Ian, these companies are actually making real money. They have real revenue and they have real guidance. And each quarter they're beating those numbers. And that's going to continue for at least to the end of this year.

12:05And I think definitely into 2027 until we see something, something drastically change. I think the only thing that changes this, Ian, and just, I would like to get your perspective on it is the companies are obviously legitimate companies and they produce real products. They're not like just phantom, you know, nonsense. Is the demand over height? That's the thing that people I think are concerned about. There is a, there is a demand and there's a, but the AI demand has been a forerunning of it. So like But when it all settles down, well, AI will definitely be here and will definitely be a part of it.

12:37But will the demand, even if it comes down a little bit, that could be that could make drastic. It could be devastating for those who are not disciplined. And I want to you can. And one thing I want to say, you can be a conservative bull and also to the asset class that you use to express your belief in your bullish case matters. So, like, you did it in options. I choose to do it in futures. Right. So that matters, the selection. But to your point, would that be a place where we get to a mean where the returns on is high? Yes. But I think the elite companies are going to remain elite. It's no different than like when I look at open AI and I said this before, open AI is the apple of AI and Anthropic is the Microsoft.

13:23it's the same battle from 30 years ago now you have gates versus jobs the the capitalist versus the creative the psycho person versus the more structured person in terms of pr it's the same going back to story the same story when you're going around making your case to go public anthropic has done a better job and even like when apple was coming public right a couple years later then you hear about Steve Jobs' parenting style and how he's not as present. That was to devalue the leadership of Apple, which affected their stock to make you lean more on a safer Bill Gates, who was safer at the time.

14:06Now we can argue if it was an illusion or not, right? But my thing has always been, you have to be hyper-concentrated. The only case to be in any market is a bull. Because even when people are making a 1999 comparison, I'm like, what benefit do you get over the market crashing? Because you missed out. Like, let's say you short the market and you short it with options or futures. And your best case scenario, you may get four or five hundred percent because you're not going to stay into the very bottom and you're not shorting at the very top. Hold for the long term for great quality companies. But do I think the demand will be there?

14:41Yes. Is there going to be some fallout amongst the companies who attach themselves to AI that are not of high quality? Absolutely. And I think that restructuring will come in late 2027. Yeah, I think the key word you said there was shoddy was demand. I think that that's the word that I'm always looking for in every report. And the most important report happened in early April, and that was TSM. And once TSM tells us that the demand has tripled or it's doubled or quadrupled, then I know the AI story is still very much intact. There are other companies that report and that helps. But if I know the manufacturing, right, the order capacity, because it doesn't matter if it's NVIDIA, if it's Google, if it's Meta, or if it's XAI, the manufacturing capacity still comes through TSM.

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