Many factors are sending yields higher, but rising energy costs are the inflationary trigger
S&P Global (SPGI) is a foundational financial infrastructure company, currently trading at an attractive 25x forward PE with robust long-term growth prospects. SPGI's business model is resilient to AI disruption, with key segments—Ratings, Indices, Market Intelligence, and Energy—delivering diversified, high-margin revenue streams. I expect at least 8-10% long-term revenue growth and 12% FCF growth, with additional upside from buybacks, supporting a GARP investment case.
Semiconductor stocks are falling at Tuesday's open as a global bond selloff drives long-term yields higher and forces a rethink of the market's highest-multiple corners.
West Texas Intermediate's contract for October delivery and Brent crude's November contract rose to their highest levels in nearly two weeks.
Global bond yields surged Tuesday as renewed tension between the U.S. and Iran reinforced inflation expectations, which increased the prospect of interest-rate hikes in the coming months.
Bank of England's Andrew Bailey warns G20 that frontier AI models pose systemic financial risks, urging global vigilance and cooperation. GameStop (GME) projects Q2 net sales of $780M–$800M, down year-over-year but above consensus, citing tough comps and operational changes.
AMKR is expanding across the United States, Asia and Europe to boost regional flexibility, supply-chain resilience and deeper customer engagement.
RB Global, Inc.'s Q2 revenue grew 11%, but adjusted EBITDA rose only 6% as lower take rates and acquisition mix pressured operating leverage. Automotive GTV continued to gain share, while the nationwide insurer relationship reinforced the value of RB Global's physical marketplace infrastructure. BigIron expands RB Global into a large agriculture transaction market and provides another avenue for cross-selling and long-term platform growth.
The semiconductor industry is undergoing a strange inversion. For decades, memory was the quintessential commodity business: huge capital requirements, brutal pricing swings, and profits that could disappear when supply outran demand.
Cerebras expands AI inference infrastructure across Europe and Canada as it targets global demand and challenges NVIDIA and Microsoft.
Seeking growth beyond U.S. borders? Global equity ETFs could offer diversification and exposure to attractive opportunities across international markets.
APO reported record fee-related earnings of $785 million in the second quarter, up 25% year-over-year, with FRE margins expanding to 58.5%. Despite robust 34% year-over-year FGAUM growth and record $60 billion organic inflows, APO trades at 25x annualized FRE, below its level at the start of the year. APO's five-year plan targets 20% annual FRE growth, with perpetual capital now 70% of FGAUM, reducing earnings volatility and downside risk.