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Semtech Analyst Day Review

Semtech raised Q3 guidance and targets $3.2 billion of fiscal 2030 revenue, excluding upside from its AI data-center optical and copper interconnect businesses.

SMTC $16B
CV's Substack 10 clicks

From X

@convequity 12 clicks

Convequity on X

We think the gross margin gap between Cerebras ($CBRS) and NVIDIA ($NVDA) says little about which company delivers compute more cheaply. Cerebras reported a 14% gross margin in Q2 2026, against roughly 75% for NVIDIA. That is not a clean comparison, because Cerebras's commercial agreements include customer warrants. A customer warrant gives a buyer of Cerebras compute the right to buy Cerebras shares at an agreed price, adding potential equity upside to the compute it purchases. Cerebras records the value of these incentives over time as a reduction in revenue. Its cost of delivering the compute stays the same, so the full amount comes out of gross profit and its reported gross margin falls too. Add the warrants and a few other items back and Cerebras's Q2 margin was 41%, so the reported gap tells us little about what each company spends to deliver equivalent compute. Cerebras could challenge NVIDIA with attractive economics on selected workloads without matching every capability of NVIDIA's platform. In our view NVIDIA's stronger answer is Feynman reaching customers on schedule with the 3D-stacked SRAM we expect. Stacking more fast memory close to the compute would reduce the need to fetch data from slower external memory, helping NVIDIA narrow the architectural advantage behind Cerebras's fast inference. NVIDIA's adoption of Groq technology could ease some of this pressure, but we believe Groq's current architecture remains weaker than Cerebras's for low-latency inference. The longer Feynman takes to arrive at scale, the more time Cerebras has to win customers.

Investor Letters

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Is The Market Turning The Page?

CoreWeave’s debt and equity price action is framed as a wake-up call for investors amid a broader market discussion.

CRWV $34B
WHAT ARE WE DOING? “Contrarians At The Gate” 51 clicks

AppLovin Deep Dive

AppLovin rebuilt its ad model with AXON 2.0, lifting LTM revenue to about $7 billion and margins to 77% as Unity competition threatens…

APP $88B
Speedwell Research 27 clicks

Constellation: Stars Aligning?

Constellation Brands trades near $127 at roughly 11x next-twelve-month EV/EBIT, with recent business results offsetting concerns over…

STZ $22B
TSOH Investment Research 27 clicks
MOH · long

Molina Healthcare

Molina Healthcare faces unprecedented Medicaid managed-care cost inflation and margin compression after its shares declined since October…

MOH $11B
Value Investors Club

Research Roundup Vol. LI

Nvidia’s Q2 2027 triple-digit growth and above-consensus FY28 outlook reinforce AI infrastructure spending, while Symbotic’s new automation…

SYM $23B
Monte Independent Investment Research

S&P Global ($SPGI) Deep Dive

S&P Global has fallen about 20% in 2026 as AI disruption fears test the durability of its ratings, indices and financial-data franchises.

SPGI $125B
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