© 2024 Swell Asset Management
Since January 2023 the stock market has been surprisingly strong despite negative macro data points and sentiment heading into 2023. Consider the following forecasts made by investment bank market strategists at the start of the year. The S&P 500 was trading at 4,472 on 13 July 2023 when this article was written. The limited number … Continued
Exploring implications of a forced divestiture of Google’s ad tech business amid EC & DoJ antitrust complaints. Key points: Regulators may try to force Google to divest its ad tech business. The financial impact of a forced divestiture is small. Google could further reduce the impact by selling just the EU portion of the ad … Continued
Microsoft’s Chief Financial Officer, Amy Hood and Executive Vice President of AI and Chief Technology Officer, Kevin Scott, recently outlined the company’s vision and strategy for artificial intelligence (AI) in a riveting discussion specifically for investors. The pair detailed their perspectives on the potential of AI, its likely effects on productivity across various sectors and … Continued
The performance of Netflix has been impressive, with a 96% increase in its share price since October 2022 and a 151% increase since its low in June 2022. We previously discussed Netflix on Livewire with Hans Lee in October 2022 and January 2022 Netflix Q4 results were not a horror story. And we remain invested today. Conviction … Continued
Meta invests heavily in hardware infrastructure to support its extensive video content and AI workloads. We wrote about the scale of some of these investments in November last year in Meta – opportunity for contrarian long-term value investors. These investments are significant, and we expect Meta to spend around $36 billion in 2023 on R&D, … Continued
YouTube has evolved from a video-sharing site into a vibrant digital ecosystem with creators, viewers, and advertisers. At the helm is CEO Neal Mohan, whose strategic vision includes sustaining growth and unlocking potential to redefine how we consume content online. In a recent interview, Mohan outlined his critical strategic priorities for YouTube and the platform’s … Continued
Shopify recently announced its decision to divest its logistics business (including Deliverr) to Flexport, a leading logistics platform with a vision to make global trade easy for everyone. Following the divestment, Shopify will be smaller by 20% and own around 20% of Flexport. It makes perfect sense for Shopify to divest its logistics footprint … Continued
The Google I/O 2023 developer conference has always been a platform for showcasing innovative technology. This year’s event didn’t disappoint, as Google revealed an impressive array of advancements in artificial intelligence (AI), Android and Pixel devices, pushing the boundaries of what technology can do for us. AI Google also presented Bard, its AI chatbot which … Continued
At Swell, we spend a considerable amount of our time and energy searching for companies with a sustainable competitive advantage. It’s called an economic moat. And we look for it for good reason. In a perfectly competitive market, a company’s profit margin will approach zero, and the only thing stopping the slide to zero is … Continued
The cyclical nature of enterprise cloud spend is a positive signal. It validates the flexible and scalable nature of cloud computing and thus its long term value to business users. 4Q22 results – slowing growth and cautious outlook Q4 earnings from the largest public cloud providers show a gloomy year ahead for cloud spend. Amazon … Continued
