Chit Chat Stocks - Palantir, Coupang, and Remitly Earnings; Ryan Cohen's Strange Interview; An Incoming AI IPO $PLTR $RELY $CPNG

Episode Date: May 8, 2026

The Investing Power Hour is live-streamed every Thursday on the Chit Chat Stocks Podcast YouTube channel at 5:00 PM EST. This week we discussed: (00:00) Introduction (03:10) Ryan Cohen and GameStop's Controversial Moves (06:03) Nano Nuclear Energy x Super Micro Computer (09:21) Remitly's Strong Earnings Report (12:19) Coupang's Mixed Performance (16:12) Uber's Earnings and Market Position (22:01) Grab's Resilience Amid Regulatory Challenges (26:06) The Impact of SpaceX IPO on Market Dynamics (29:47) Pinterest's Aggressive Buyback Strategy (42:47) The State of Online Dating Apps (45:41) Earnings Reports and Company Valuations (52:19) Cerebras and the Semiconductor Landscape (56:07) Palantir's Growth and Market Positioning ***************************************************** Subscribe to Emerging Moats Research: emergingmoats.com  ********************************************************************* Chit Chat Stocks is presented by Interactive Brokers. Get professional pricing, global access, and premier technology with the best brokerage for investors today:  https://www.interactivebrokers.com/  Interactive Brokers is a member of SIPC.  ********************************************************************* Check out Value Spotlight: Stockwriteup.com  ********************************************************************* Fiscal.ai is building the future of financial data. With custom charts, AI-generated research reports, and endless analytical tools, you can get up to speed on any stock around the globe. All for a reasonable price.  Use our LINK and get 15% off any premium plan: ⁠https://fiscal.ai/chitchat  ********************************************************************* Disclosure: Chit Chat Stocks hosts and guests are not financial advisors, and nothing they say on this show is formal advice or a recommendation. Learn more about your ad choices. Visit megaphone.fm/adchoices

Will the Fed raise rates 25 basis points in June 2026? IBKR prediction markets let you trade the outcome alongside your stocks and options. Earn interest, get it right, and earn $1 per contract at ibkr.com slash predictions. Last trading day, June 17th. Welcome to Chit Chat Stocks, the podcast that helps you find your next great investment. I'm one of your hosts, Ryan Henderson, and I am joined today, as always, by the one and only Brett Schaefer. This is our weekly Investing Power Hour episode.

We are doing this a day early. We typically do this on Thursdays at 5 p.m. Eastern time, but we're doing it on a Wednesday because Brett's got a trip. So it's earningspalooza again, sort of the second week in a row. Last week, we had big tech. This week, we've got a number of companies that I think are closely watched by both you and I, Brett. We've got Remitly. We've got Coupang, Uber, DoorDash, Palantir, which is kind of a controversial one.

We've got an S1 breakdown and plenty more. But before we get into that, I do want to mention if you enjoy these episodes, the best thing you can do for us to help us is to leave a review on Spotify or Apple. Shouldn't take too long. it really means a ton if you're able to do that let's get right into it brett where do you want to start today did you see ryan cohen on cnbc yeah i have it loaded up do you want do you want to do you want to watch it with the with the audience i have it loaded up right now that couple seconds maybe 30 seconds with andrew ross sorkin it's a little come on this is kind of dead air for like two minutes well no it's dead we're doing i have a 30 seconds loaded up i tested it

beforehand all right we're going to share the screen game stop ceo you ready i hope let's just give it a listen to see what uh listeners can uh they can make their own opinion on what his attitude is in this clip all right and and the 20 as far as i understand while it's considered a highly confident letter, meaning TD's saying they're highly confident that they would provide the financing. It's not locked financing. Yeah, we'll see what happens. I hear you. I understand that. I'm just trying to understand where the rest of the money would come from half cash half stock half cash half stock ryan yeah if people want they can go watch the full video it's a tough watch yeah it's it's a very tough watch uh basically i'll summarize it

here he andrew ross sorkin asked very reasonable questions about basically how are you going to afford this acquisition this proposed acquisition of ebay which is more like ebay acquiring gamestop because it's it's much larger and then he sort of wants ebay to just make him the ceo essentially but the it's kind of an lbo right a little bit i actually haven't looked at the details much yeah that's how i understood it is basically cash through debt financing from i can't remember who their bank is and then like he said half cash half stock nothing matters half cash half stock how are you planning to finance the tariff fab half cash half stock uh how are you planning on financing whatever yeah i feel like this joke would go a long ways uh i was not enthused by

that i think michael burry was as well he ended up selling gamestop uh after writing a whole mini baby Berkshire thesis, which I find very confusing, but I guess that just screamed red flag for Ryan Cohen. And then another thing I'll mention is, I don't know if you saw this, Ryan, it was kind of floating around. I don't know the exact details, but with the incentive plan that Ryan Cohen has, he gets his tranches or whatever for the shares based on market cap of game stuff not per share value so no yeah obviously the guy is going to go acquire a much larger business in ebay i think he might be fleecing shareholders a little bit yeah i don't think that's too surprising again one of the most important things you can have in compensation

hurdles for management teams is a denominator make sure it's per share metrics it's very very helpful or make sure that they are massive shareholders as well the there's a lot that frustrates me about this it feels like since cohen has gotten involved with gamestop there's obviously a lot of gamestop fanatics out there now or has been for like the last five years ever since the initial gamestop debacle and he kind of carries himself like he's jensen huang he's wearing a black leather jacket yeah that's a good point that's a good point right there and it's just like you your business is not nvidia uh and i i generally think going on a public investing channel or going on tv and and talking down to interviewers for reasonable

questions it's one thing if they're like making fun of you or whatever andrew also can and becky quick are both asking reasonable questions in this interview and it's just a terrible look frankly for ryan cohen i don't know what on earth this whole baby berkshire michael burry thesis was i tried reading this it was so hard to follow and this this acquisition i hope games i hope ebay rejects it which if i were the ebay ceo i would reject it in a heartbeat if i were the ebay board i would reject it in a heartbeat they're one of the best share cannibals actually of the last decade they've reduced their share count uh ebay has reduced their share count by 60 plus over the last 12 years and they've done fine and they're actually kind of holding up well especially in

in the last couple years it feels like they've done a decent job sort of repositioning their business so yeah i would reject this in a heartbeat yeah comment here gamestop needs to pivot to designing GPUs. Yeah, that might be a better choice. Maybe they'll get desperate and do that. All right. Before we get to earnings, this will take about 30 seconds. I have a press release to read to you. Let me just give it with no context. Nanonuclear Energy, a leading advanced nuclear micromodular reactor and technology company focused on developing clean energy solutions, today announced it has entered into a memorandum of understanding with Super Micro Computer, a global leader in

high-performance, high-efficiency server and AI infrastructure solutions. We are going to be taking mini-nuclear reactors, Ryan. And we are going to be powering supercomputers. Is this bubble? Are we getting to the next level here?

I mean, both these stocks are up I think, like, nanonuclear is up like 30% on this news. This is for anyone that doesn't know, an entirely fake company. They don't have any products. Well, if you are a fake company without any products, this is what – this makes all the sense in the world, honestly. It's a memorandum of understanding.

Yeah. What that is, I don't know. It's got to be funny. Like whatever these meetings are, whatever these executive meetings are, them being like, okay, AI, obviously the next big thing. how do we draw a line from what we're currently doing to that we need to find a way and put it in a memorandum of understanding on our website and pump the crap out of it they go to zero my computer we need you guys could use a partnership and you haven't had a press release in a while we could use a partnership why don't we just announce something we're working together

and they're just going to send over some intern i would love to be the intern on one of those projects what exactly what exactly are we doing guys dad don't worry we're studying nuclear power and we're putting him on the back of semi-trucks theoretically all right well that was a bit of the bubble watch we have maybe some more serious ones with intel and the semi-companies that we can talk it to if we have time we have lots of listener questions but tons of earnings ryan what should we do first well my largest holding remitly just reported earnings And I thought this was a great quarter across the board. Obviously, I tried as hard as I can to keep the bias out of it, but the numbers looked good relative to estimates. So active customers reached 9.6 million. That's up 20% year over year. They were growing 19% roughly last quarter. So this is an acceleration for them.

Send volume increased 37% to $22 billion. Revenue totaled $453 million, up 25%. Net income was very solid. Operating margins reached 12% this quarter. So they turned the corner to profitability very quickly. I think it's gone from like 2% operating margins to 12% in the last four quarters. They raised their full year revenue. and adjusted EBITDA guidance.

So positive across the board, the stock was up 6% after hours, but as I was writing these notes down, stock has now dropped 4%. So I am curious what was said on the call. We're back to flat. So I think it might be a little illiquid for after hours trading, maybe.

It's a pretty small, fairly small company. This isn't Tesla or Apple or anything like that. a lot of the times you see something shoot up or shoot down after hours after a couple of trades and i think in reality what matters is what happens tomorrow or at least i i mean that's obviously what you know that was pretty uh stating the obvious but no i agree good quarter good quarter all around yeah just yeah i mean the guide last year was basically for a big deceleration and growth uh especially on the user and and volume front so for them to re-accelerate growth here on q1 is a promising sign it's the first quarter with the new ceo so gonna read the conference

call truth be told i wasn't super convinced in some of his sell-side conferences that he attended this quarter but 12 operating margins i mean if they if he likes to if he wants to keep improving the profit margins uh i can get over him not being that convincing and at a couple of sell-side conferences yeah they were putting him in a pretty good position here as a new ceo i think they reset expectations uh and i don't think i'm surprised that it's the first quarter and they easily beat they probably telegraphed that a little bit and you can kind of see the stock moving into the quarter on that i'm sure people were looking at third-party data all that good stuff and you kind of see that this beat was obvious but when looking at the actual business he is also in a good

position because it was really not in a position where all right we need to make any changes we have to do a big turnaround here we have to you know totally fix the pnl because they were already making a lot of progress on this operating leverage and he just had to kind of let that keep going they have the same marketing engine i don't think he came in and has changed much so far maybe he's going to change some tweaks on product development things like that that's to be determined but for right now he can almost just sit back and relax if he wanted to and that's going to be nice because that doesn't put pressure uh on him as a new executive now the last thing i would want to know for remit leaves did they buy back any stock well this quarter let's do a little check and a

shameless plug i'm going to pull up remitly here on fiscal ai and the end ryan i should mention we are recording this live but it will be coming out friday morning do you want to tell the listeners about the extra spring sale where they get extra discount if you're tired of us talking about fiscal ai this is the one if you're a regular listener to maybe uh listen listen listen up again to what ryan is saying yeah just uh if you are listening to this between thursday may 7th or even if you're listening to this now uh starting tomorrow thursday may 7th through thursday may 14th our link will get you 25 off instead of the standard 15 we do basically two discounts a year so if you've thought about uh checking it out or upgrading now would be the time this is in

conjunction with our launch of brokerage connections but let's talk remotely here i'll go to the cash flow statement and quick shout out as well we are looking at this 40 minutes after the earnings report and all the data is in this really is kind of one of a kind here 42 million dollars in buybacks brett is that what you like to see yes that's that's at least solid i i wonder what price they got that at the um maybe curmudgeon to me was thinking hey you had this cash in q4 when the stock was in the gutter why not do that then but hey i think the stock is still at a good price the repurchasing that's i think it's going to help with the long-term irr i mean it's just all around really good numbers a lot to like

the margins again as you mentioned already a 12 percent gap these are not adjusted numbers i believe there is room to get to 20 to 30 percent and for anyone's wondering it's the stock i will be covering on the newsletter this week so if you want more full detailed analysis you know thousand two thousand words or so on that i don't think for that will be in the show What chart are you looking at right here? Active customers are up 10x over the last six years. That plus a little – let's pull up the operating income chart here. This is maybe my favorite kind of chart.

Yeah, you like this one. I love a good operating – I love a good profit inflection. And you've seen them turn the corner at this point going from basically negative $28 million in operating earnings three years ago to positive 54 today. Yeah, this – it's a good reminder of alpha or great performance is not made by just staring at trailing numbers and saying, oh, this looks cheap on a face multiple. it's getting to know the business really well and having some idea of what the next 18 months look like next 18 months three years whatever you want to call it i think for both of us with your mitley it was in that ballpark it was one where the the path to profitability was pretty clear and i don't want to take any victory laps yet because it's not been that great

let's stop my crash tomorrow but it seems good so far yeah stocks up i think 80 or so over the last three months so it seems like other people are catching on to the story as well do we want to shift gears talk coupon as well sure coupon one that went in the opposite direction today let's see where it closed at um i actually also did mercato libre report let's let's put a pin in that one well we'll talk coupon first yeah 13 down today not the best numbers i saw ryan was talking to me earlier he didn't like him i guess i read him in isolation well you said you were a little disappointed um it's kind of what i was getting the vibe from you yeah i read him i thought it was okay a lot of listeners i guess were talking to us in the sub stack chat they didn't

like it either i guess we can go through the figures and kind of try to put some context around what happened they had revenue of eight percent year over year both in real and constant currency to $8.5 billion, slight gross margin compression. Both are explainable here for the decel in revenue growth and the gross margin compression because of the data leak boycott. I would think this is going to get turned around quickly. They talked about on the call that they already had plans to invest in more infrastructure, but when the data leak boycott came in, they had less demand over the same amount of fixed costs, so that decreased their margins a bit. And that's how they've lost money in Q1 because they said they're on the road to recovery.

I think they have 80% of their subscribers back from that data lake. So we're pretty much just a couple months out from that. Well, it's in here in May, maybe five or six months out from that now. And it looks like we're putting that finally in the rear view mirror. The one thing we want to look at, and this is what they talked about, so we want to make sure that it actually They haven't. So the next few quarters is the revenue reacceleration to, you know, they kind of are, they're not a rapid grower, but the 10 to 20% range. And it's not like the business is in distress. They're still operating cashflow positive, free cashflow positive, giving them plenty of room to pour capital, new initiatives. I think the one new note, speaking of buybacks,

every listener knows we love our buybacks. $391 million spent on the buyback in Q1, That is 1% of outstanding shares in a single quarter by their market cap today. Active customers down sequentially, but only 1 million down from the peaking Q1. I do have a nice fiscal AI chart that illustrates that. Other things they talked about, they said Taiwan, they're going to keep pushing aggressively because they're seeing success there. So there's going to be upfront losses. And then the second thing from a product perspective is that they are launching Rocket now or expanding

Rocket now in Japan. And I don't know really what that is, their secretive company, but that's one thing I want to look at further, I guess, to keep tabs on the company this quarter. Will the Fed raise rates 25 basis points in June 2026? At IBKR Prediction Markets, the yes recently traded at $0.05, while the no traded at $0.90. But the markets can change quickly. Trade prediction markets on political, climate, and economic events with simple yes or no prediction-style contracts where prices reflect probability. Explore trending data, spot the

trends, and if you get your prediction right, you earn $1 per contract at settlement. Plus, you'll earn a 3.14% APY on your investment with an interest-like incentive coupon, and you'll get $3 for signing up with IBKR Prediction Markets, which you can use for any purpose or to start trading. Prediction contracts are not suitable for all investors. Go to ibkr.com slash predictions and turn your views into IBKR prediction contracts today. Last trading day for this contract is June 17th. Yeah, I think the conference call is probably more important than the actual press release here because a lot's happened since the end of the quarter. The commentary from management is that I believe 80% of the Rocket WoW subscribers that churned related to the data incident have since come back and are spending just the same as they would.

Brett and I were talking about it this morning. Basically, this data – first of all, the data leak was overblown. And obviously, whatever. They should invest more in their security. but they made it sound like it was way bigger than it was the actual issue didn't seem that large but nonetheless i guess any data leak is is trouble but people aren't going to like think about the rocket wild delivery or what is it rocket fresh the overnight uh delivery service that coupon has where you can order before midnight and get products delivered to your

door before 7 a.m are you gonna stop are you gonna go out and start buying your groceries on your own at 1 a.m if you're using that service because there was a data leak it feels like ultimately the customer value proposition is what plays what is the most important in the long run so bit of a bummer of the quarter just because it was uh it's never fun to see a big deceleration and revenue growth, even if there's, you know, reasoning behind it. But I think when I look at my portfolio, this is still one of the most competitively advantaged businesses that I own. And it's not really when I plan to sell on any sort of short-term turbulence. I agree. Yeah. And the stock is down and I think it looks very, very, very cheap right now.

um i don't know if my video is frozen for you ryan my does it look okay does look frozen at the moment yeah i'm not sure there's our wi-fi's have been strong this was the same thing folders go to that happened in ryan's screen this morning um maybe it's the software program that we're using but our wi-fi speed seems strong either way you can hear me right i can hear you do you want You can maybe try to reconnect real quick, and I can go through Uber's earnings. I'll still have my mic here. I just have the video. Okay.

Yeah, taking a look at Uber's earnings, they – big jump. This morning, the fastest bookings – they reported their fastest bookings growth in four years. And Brett and I both talked about how on a previous show, there's this new service that launched in New York that's meant to be sort of the discounted Uber. They're trying to counterposition themselves, again, probably a microscopic amount of volume relative to Uber. But I think Uber pricing has kind of come into – kind of been on the hot seat over the last year or so. And that was sort of the focus of this call from Uber's management team. So apparently they generated some cost savings from their insurance business. So basically they insure drivers for accidents and any issues that they might incur. And they generated more cost savings than they were expecting. They said they are – which I did find this a little funny. It's hard to tell whether this is true or not.

But they said, as always, we reinvested these cost savings into lower prices for customers, which as always was kind of like, OK, I don't know if I buy that. But apparently it did re-accelerate growth in trips in some key markets, especially L.A. and California. people are writing a lot more actively now with some of the investments in lower prices margin expansion continues this looked like a pretty solid quarter across the board i haven't gotten into the call to see any av commentary but when you've got bookings growing i think it was high 20 percent range that's that's a strong sign for for uber the take rate came down a bit uh i believe lowest take rate in four-ish years so lowering the take rate a bit accelerating bookings growth get people addicted to the rides get people using the service as much as they can

and and kind of building that habit i think that that's a good quarter for them yeah it's a business where the next few quarters there's really no signs that they're going to slow down like the numbers are going to be good it is in that tricky situation similar as the software businesses where As long as some of these AV startups are experiencing hyper growth, it's like there's just going to be that narrative no matter how good Uber is doing. Do you have, maybe you mentioned here, I don't know if you have in your notes, again, the theme of the show, the buyback. Because if they stay relatively cheap, you know, they've been growing sustainably and durably, and the stock hasn't gone much of anywhere in the last year or so, if it keeps staying stagnant, I mean, the value is going to be created in returning capital to shareholders. I will check that buyback now, Brett. Yep, $3 billion in buybacks this quarter, which is pretty sizable.

That's more than the free cash flow that they generated, and that's the most they've bought back in quite a long time. All right, an acceleration. Now, do we want to take any listener questions? We have a lot in the chat here. Yeah, I see one about Grab, which maybe ties into the Uber discussion as well. Grab reported earnings, I believe, on Monday. For those that don't know, Grab is basically the Uber of Southeast Asia. They – most of their revenue and earnings comes from Grab deliveries and Grab mobility.

They've kind of been on the hot seat lately because Indonesia announced some government – I believe it's like some sort of a regulatory issue. Maybe you can double check on what exactly it was, Brett, but it's meant for two-wheel vehicles, which are supposedly popular in Indonesia. However, and it affected the stock, Grab's management team came out immediately on the conference call and was like, two-wheel trips account for 6% of our trips in Indonesia. So it's a tiny percentage of one market that they operate in. Seems like they're going to be pretty unaffected by this. They've continued basically their path to profitability and growth accelerated, revenue growth accelerated in every single division for them. Financial services, mobility, and deliveries. Are you a shareholder?

Are you a shareholder now? I am not. It's probably the highest thing on my watch list, honestly. I had a little trouble getting comfortable with the valuation, but I like the management team. It seems like the AV risk is lower over there, given some of the insanity of driving. You've got to deal with these motorcycles.

You've got to deal with the mopeds. That's the final boss for the autonomous vehicles. Here's what I have is that they did introduce a strict cap on commissions of 8% versus 15% to 20%. So if that was the entire business for Grab, yeah, that could really hurt them. But as you mentioned, strange rule, and it's not going to crush them.

I'd still like the direction the government's going there is a bit concerning. You do not want ride-sharing being regulated like the city of Seattle, where prices just go crazy, and no one makes money the supply and demand imbalance um begins so i mean i guess the number is less concerning than maybe what the government is thinking and if they don't like grab yeah you don't really want that relationship between grab and the local governments but the and i think it's

different depending on the market so maybe indonesia is a little more confrontational with some of these companies whereas i think it's malaysia is the market that grab started in apparently anthony tan is quite close with political leaders over there and they said like you single-handedly improved our employment numbers grabbed it by a wide margin so i think they're they're a little closer in that market the the thing that stood out and i imagine there's a lot of maybe western hemisphere investors in grab that are like what's the av risk and the cfo of grab on the conference call was like there isn't one basically there there is no pretty eerily let's say that's a 2045 risk for them yeah seems like a long shot at the moment

I do like Uber. I like Grab. I like both the business models because I think there's a big network effect there and there's big advantages to the rider and driver supply being sort of being the leader in local markets with that. So Grab, yeah, remains at the top of my watch list. Okay, other listener questions. Do you think the SpaceX IPO will mark the top and potentially even crash markets by sucking up liquidity from other meme names such as Tesla? Crashing the market, I'm not sure if it's going to mark the absolute top. I think it's plausible.

There's usually big thematic names that kind of go public to mark the end of a boom cycle. .com, 2021, other periods can go way farther in history. i think what you know that's to be determined we'll see but regarding sucking out liquidity i think that is a very plausible thesis and i would think that's likely to happen because it's so big so many people want to own this thing regardless of the valuation that there's just going to have to be attention drawn from here i mean i was talking i think in our subscriber chat the other day listener chat about how just the attention paid to bitcoin is probably down 95

from highs no one really seems to care anymore they moved on to other shiny objects and that is i would guess sucking liquidity out of the bitcoin uh price i don't really know how to describe that it's just kind of a trading vehicle and it's going to other things prediction markets what have you i think spacex and even we get open ai and anthropic that those can crowd out some of the other meme names as well like if you would if you're an investor in the elon complex if you're an elon lover you can invest in tesla right now but now you'll have two choices so i i think that thesis does make sense yeah i'm kind of on board with it too and something i was thinking about with Bitcoin is it's been basically between, I want to double check, make sure this range is

correct, between, I don't know, 90,000 and 70,000 for the last three, four months. I think the worst thing, if you're optimistic about Bitcoin, the worst thing that can happen is the price just staying flat because it there's no energy at least if it drops a bunch there's the oh this is a generational buying opportunity like you know like a flash crash kind of you might get some rebound or if it's solar rain obviously that that kind of helps the momentum as well but if people get bored with it and there isn't any fundamental reason people are using it i think that's an issue and i do agree about spacex potentially stealing shareholders from tesla i think that's probably why elon might be eager to blend the two because he doesn't want he doesn't

want to have that risk like i could certainly see a world in which someone's been a tesla shareholder for five years and they say oh i've made my money here i'm on i'm on to spacex now let's let's buy the thing that's growing well maybe not over the last five but 10 years 10 years you've done quite well uh yeah the i can't tell you the last time well i can't tell you the last time i thought about bitcoin and i can't tell you what the price is at all i i just i have no clue i mean it's in between like 40 and 100 but that's a wide range it feels like less people are talking about it honestly yeah maybe that's my echo chamber but i haven't heard as many people uh mentioning it who knows we get listeners that like bitcoin i know there's probably some out

there i hope we mark the bottom for you do we want to take some more questions here uh brett this one's kind of one for you have you picked up any new details or insights on the real brokerage remax merger uh nothing else just the conference call they had discussing it just reading through what it is. I have to look more deeply into the RE-MAX business. I'll probably do that when I have a company update on the real brokerage. And I believe this week or next week, the real brokerage reports its earnings. I'm sure there'll be plenty of questions about that, but it's really a wait and see to see what their strategy will be. Is it just acquiring these agents? Are they going to let the RE-MAX model sit? I'm not too concerned that the stock

kind of is falling off a little bit it's one for me high risk high reward position set it and forget it see what happens a couple other questions here some from tyler uh one of them says do you guys think do you guys think going public will allow the ai labs to fund themselves enough to pay for data center contracts don't know i'm gonna give that a big tbd i'm sure they would raise a ton of money uh so is it going to be enough i don't know this is their window though and there's another question earlier he says do you guys think open ai will actually be able to ipo this year no i'm going to say no on that one yeah i'm in agreement there i mean they they've got to have they probably account for 500 billion of the 1.5 trillion dollars out there in

cloud commitments right now i saw that i saw a data point that over 50 of the backlog for the hyperscalers are anthropic and open ai yeah there you go and i'm pretty sure like almost 50 for microsoft is exclusively open ai uh that's probably true yeah yeah it's i just don't think it's gonna happen i i would love to see the s1 of some of these businesses because it would give us a better perspective on what does compute costs actually look like relative to what they're bringing in i've got a couple news items here that i think are quick fun ones pinterest bought back 14 of its shares outstanding this quarter i don't know if you saw this but they uh they bought back two billion dollars worth of stock this quarter the market cap was basically around 10 to 11

billion throughout the quarter. It might have been a little higher. So literally reduced share count by 14% in a single quarter. They still have another $2 billion remaining on that share repurchase authorization. My guess here without having looked too deeply at the balance sheet is that this is some sort of levered buyback. Maybe they issued convertible notes. I'm doubtful that They just had $5 billion sitting on their balance sheet. But any interest in Pinterest? No. Nice rhyme there.

Yeah, they did add a billion dollars in debt, it looks like, using fiscally. I had long-term debt went up. But they did have, like, close to $3 billion in cash at the peak, so not bad. No, no interest. Maybe, like, if it's five times the rates. but i just don't why why own this it's it has been durable it like active users have been consistently growing for i want to say seven years now they have find the what is it maus total maus yeah i think that's the metric they they track most of it i believe is outside the

united states now my uh i've got some anecdotal evidence with this one as well it seems very yeah there was a big bump during covid sort of a covid bullwhip and then they've since continued to grow what are they at now what is that 620 million 631 631 million active users those active users are loading tons of images and ideas basically it is a real network effect honestly like i've i've seen this with other people that use it that they go there for ideas from creative from other users it's basically like a poor man's instagram in a way um or maybe like a more productive instagram it does need to be a little cheaper from here they've done a they haven't been able to monetize on in terms of ads that well and i don't really have that much faith that they're going to be

able to increase our poo from here on yeah they i was being a little bit tongue-in-cheek with saying it needs to be a net net but you're training at ev to sales at 2.7 now but you look at the ev to eva debts 39 piece 44 uh stop buying back stock clean up the income statement first or do both at the same time like what are these people for i'm sorry you like you if you can't turn that amount of revenue and given this type of business model like met is able to finance just absurd projects and they have 40 to 50 margins on an equivalent business that funds everything else i think pinterest can get there yeah yeah my without maybe i'll just do a quick check my guess is they spend a ton of money on well not money technically but they spend a lot

on stock-based compensation yeah 231 million dollars in sbc this quarter compared to 300 million in free cash flow so yeah and it's common size the percentage yeah all right 34 percent of revenue is spent on r&d 1.5 billion dollars where is similar to snap you just go what where is the money going snaps the worst to be clear snap is the worst but did you i don't know if we ever talked about this but did you see that evan spiegel like went to coachella and took that was that photo took a bunch of selfies with that was the selfie of him that was at the music festival lovely yeah that's bull and the next day he laid off like 15 of his staff or something like that i've had an epiphany mind-bending epiphany yeah yeah anyways i buy pinterest before i bought

snap let's just say that and i i thought they had an activist yeah it just seems same old story for then maybe the buyback will help. I don't know. Did you read the match group report? Briefly read the press release. Anything of note? Nothing really to know. I will say this is one of those,

you know, where sometimes you, you sell a company and you're just so happy to not have to read. You can read the reports for fun, but you're happy to not have a stake in it when they release earnings. Match group's one of those. For me, user growth or payer growth is slowing at hinge payers continue to decline at tinder which that

might be the biggest fall from grace of any mobile app ever but ryan they're they launched astrology mode i don't know that's gonna save the business honestly that's actually gonna work but i don't think it's gonna save the business they are winding down archer which was meant to be their grinder competitor and paying users across their evergreen and emerging portfolio continue to decline i put here evergreen and emerging appears to be neither evergreen or emerging yeah good point what what was the other um app they're investing in instead of archer i can't remember they had they had a whole bunch in the emerging portfolio they were starting to build a whole bunch that were like hyper targeted there was one that was like for 50 year old like i was single

single parents yeah that wasn't wasn't a bad idea yeah they're all the right idea i just oh yeah they invested a hundred million dollars in sniffies what that's the company names yeah what is sniffy is this a replacement for archer yeah oh my gosh it's a funny name let's just put that what i don't understand what is going on in the online dating industry it's just like the industry seems to be dying or stagnating at a minimum like the yeah bumble tinder have had payer declines for the last four years maybe it's just like an insane covid blip that they're still on a hangover from hinge is like it feels like the only app growing i think well one yes that's that's a key there i think one of the dirty little secrets was that there was a lot of fake users

and they clamped down on those i mean that's good but yeah that might have helped their payers exactly exactly it held their yeah i think that's what i mean by dirty little secret the revenue per pair can be dynamic there where you get more prepare you know they can go up by like two wags and maybe your activities there i i just want consistent activity um metrics from these companies because that's the key at the end of the day so and we're not seeing that i'm not seeing that at all is there any company that has come out of the iac complex and turned into a real like leader in their industry i guess is a leader but who expedia is all right how's their stock done it's all right but they

kind of yeah booking i guess lost of lost a very valuable market yeah they own verbo um i don't know let's look at revenues for expedia not bad not bad it looks all right it's still a compounder i mean it's just a great industry to be in it's grown at 10 since the last 20 years 10 annual growth last 20 years and you have a pandemic in the middle of it let's say expedia hey give iac some credit angie sure angie no match group no bumble technically a part of that complex no it it just feels like that the strategy of taking a whole bunch of disparate systems throwing them into one pile and and taking it public doesn't lead to good long-term outcomes oh yeah they they're doing a whole thing now they separate everything like three years ago

at match group into the separate divisions they're combining everything back together of course that'll save you yeah it's probably the right thing to do uh can you guess the share price of iac as of this writing or as of this recording uh i have no idea like i actually it was what 40 42 it was i i would have a better chance of guessing total returns over the last five years Let's go with that. I'm going to go ahead and guess that they are down. Oh, it's down like 50%. Yeah, it's something like that.

It's old return last five years. Cumulative, negative 66.6%. Well, do the sign of the cross there. That's unlucky. Down 66.6%. Yeah, well, like you said, when the businesses aren't doing well. You know what's maybe the best thing that's come out of IEC? DARA.

DARA. Sure. Expedia. They're fine. Yeah. Okay. DoorDash reported earnings. Not really a whole lot to say here.

They reported them today, so I haven't had a chance to read the call. But Marketplace order value up 37% year over year. i've discovered uh through posting on social media that some people truly hate doordash yeah i thought i disliked it i the fire i dislike it but yeah they there's people that really dislike them oh are you saying the fire community like retire early oh yeah yeah it's a waste of money but let me see if you think this is a good idea the wally basket doordash as the leader you know the movie wally i think pixar oh like the people sitting in the chair yeah they're sitting in the chair with the trash just watching clips meta doordash boom i think that's fine yeah doordash

honestly amazon probably in there too amazon maybe no no no no that's you have to make the food you'd have to get out of the chair oh yeah good point uh entertainment netflix netflix yeah but the key is meta meta and doordash i honestly think wall-e laziness basket as a concept i think doordash yeah like i don't like it but you can't fight the truth they put up good results disney reported earnings this morning nothing really crazy to report here honestly um solid quarter i think stock jumped today the all three of the divisions entertainment experiences and sports accelerated relative to last quarter but the growth is all single digits in each of the categories but maybe 11 maybe it was 11 in entertainment maybe you can double check that

for me the my question for you is would you ever own disney oh yeah at the right price um the parks are great entertainment i think is going to face a really long headwind because youtube video games short form content is just taking over and if we look at sports tough amazon apple a lot of just just headwinds across the board but parks are quite profitable maybe and hopefully they're trading above this right now so i don't want to be forced to not buy them but in a vacuum let's say i had cash and i could either invest in treasury bills or disney if they were trading at 12 times parks earnings i feel like that's Nice. That's not bad.

Yeah, I was going to say, I would have to buy it as if I'm only buying the parks business. Yeah. And then I'm okay with – because my assumption is basically that I don't know what earnings are going to look like for the entertainment division. I don't know what earnings are going to look like for sports. Maybe they're negative earners, honestly. that that possibility is out there i do like the experiences yeah go go ahead and then i have something that might uh cool your enthusiasm do you see any risk to the experience like to the parks disneyland disney world you know world where enter the entertainment brands aren't as relevant

i mean that's a that's a tough question but the parks themselves the brand is strong i mean you talk to people again i mean i've been in south america for all of 2026 the people like hey you've been in the united states i like to ask a question you ever been in the united states you know conversation starter oh where you been or where do you want to go in the united states they always say New York and Disneyland, Disney World those are the two

these are adults two most expensive places in America I ought to say tell them well keep saving the hardest part is going to be the trip not the visa no I think the brand is strong but I was reading the Wall Street Journal this morning

the new CEO says he wants to embrace and keep investing in video games which is big auto yeah video games horribly difficult business uh i was looking at ea the other day because they reported earnings bookings have gone nowhere in five years for that business and they have had like the they've got a gold mine in what was fifa is now fc that that should be a business that's easy to run yeah i think outside of you know basic candy crush style games outside of the roblox is the world over the next few years the and okay there's sports yeah

that's pretty stable but it's going to be dominated by nintendo and grand theft auto 5 or 6 right those are going to be the two those are going to dominate everything else i feel like is on their back footer yeah is bob eiger still around with disney no new ceo new ceo he uh the new ceo came in but is he involved in any way probably his ghost is gonna be involved when he's dead he still has he still has the ceo's office he's gonna have yeah when he's when he's passed away he's gonna his ghost is gonna be on the board of directors i think i will consider i would consider a disney position if it traded at similar to what you said 12 maybe even a little more like 15 times parks earnings if bob eiger is not involved in any way whatsoever if that is the

case because it's just like i i just think he's bad for the culture to move on uh and move into the new era do we have any other uh like zillow cerebrus you heard this company the cerebrus s1 yeah let's let's do it this is gonna relate i got cerebrus and then little bubble watch on semiconductor companies because i think people will be surprised the number of semiconductor companies in the top 25 largest market caps in the world but quickly cerebrus going public on may 13th i believe this has been a fast-growing startup they're signing a lot of commitments and it's really exciting at least to me because people know about the

problems with bandwidth, communicating across chips, memory, all the stuff that is the bottleneck of the AI revolution Cerebra says they can help solve this with their new giant chips really that's all it is, for anyone that's not tech at all, they're just big chips that can just work better

here's a quote from the S1 the enemy of speed is communication latency and since communication is thousands of times faster on chip than across chips the best way to reduce latency is to keep communication on chip they're teaching us like we're fifth graders that's i mean that's clear stuff right there our answer yeah our answer build the largest commercial chip in the history of the computer industry we use the entire wafer for one chip a technique called wafer scale integration so the wafer there's a standard

wafer size for like tsmc and then you cut it down so you can't go bigger than that uh i guess that's their limit today uh i guess really you know it's bigger better i guess it is and apparently they're 15 times faster than leading gpu solutions they have a 20 billion dollar partnership with open ai they have a partnership with aws could be a huge beneficiary of the ai inference boom 510 million dollars in revenue 2025 compared to close to a standing start a few years back have huge commitments 40 gross margin losing money today but that's because of immense r&d spend which makes sense uh the plan to raise three and a half billion dollars ipo i think they're expected to come out at like 50 times sales so of course you know keep it on the watch

list never invest in an ipo but i feel like this is the first ai startup that interests me because one that they're actually making inroads in what seems to be the semiconductor space that seems to be dominated by just giant companies uh which is really hard to do and second like maybe they solved a huge bottleneck here and it seems like some of the hyperscalers think so as well it is interesting but i think this is going to be so far from a reasonable price when this comes out that it's going to take years maybe before this is anywhere close to investable i don't say that Think about the software SPAC boom in 2021. We're looking at – and this will be on an episode next week.

We're looking at Bill Holdings, Bill.com, very standard billing software platform. Traded at 100 times sales. I've got a feeling the semiconductors are, I guess, the software of this cycle, it seems like. And I would not be surprised. They might be able to go faster. 100 times sales I bet will happen here

yeah they're projecting 25 maybe it pops sorry they're projecting 25 billion dollars which would be about 50 times sales so maybe it pops to 100 times sales we'll see but either way yeah it's going to be expensive I hope they keep

growing and then there's a market crash and we get able to buy them you want to talk bubble watch can we put intel on bubble watch well hold on you've seen their stock price yeah insane we got to talk palantir all right we we have time for both um how about related to the semiconductors intel first 560 something billion dollar market cap what are they up in the last year 467 as the meme goes real patriots owned intel uh i guess we're all going to get a tax return because they forced that stake into the company there was a rumor that apple was going to use them correct this is what caused them to gain

200 billion dollars yeah i think it was that apple is having that they are considering diversifying away from taiwan semiconductor to samsung and intel which may have just been sort of a i don't know how much of that is like optics to to wean off of tsmc but that's that is the rumor i'm sharing the chart now yeah it is up you said it 462 percent in one year i they got an issue stock right i gave when i posted i think on either sub stack or something of that they need to do a 50 billion dollar at the money offering i think that's just the right move to do raise some money they need it uh okay before we get to palantir tell me if this smells like froth all right i'm gonna go through the largest companies in the world and i'm gonna

even exclude big tech because they're not pure play semiconductors but these are the ones going from highest market capital lowest that are semiconductor or semiconductor related businesses one nvidia six tsmc seven broadcom broadcom has a two trillion dollar market cap uh 11 samsung 16 sk hynix 17 micron 18 amd 21 asml 22 intel that's almost as big as big tech yeah and then there is within the amazon microsoft alphabet of the world they have their own chip development it's a semiconductor super cycle oh god okay the the i mean the earnings will be insane this year yeah this year yeah i agree which it's i don't know it's kind of hard to fault

investors like what i can fault them it just stop with the fomo it's not you can get lucky or it could end poorly it's like throwing money at the roulette wheel it's so hard to value like let's say micron let me pull up the estimates here i'm pretty sure micron is expected to produce i want to say a hundred something million dollars in operating income uh let me just shout out to fiscal ai here they are expected to produce 134 billion dollars in operating income in 2027 granted we don't know what's going to happen here but 80 billion this year 134 billion next year what is that worth what what price does that deserve because i honestly don't know I put it in the too hard pile

if you want to make money on them go right ahead alright we got two minutes Palantir earnings keeps crushing incredible numbers and of course our guy Alex Karp has he's got a way with the words

doesn't he he sounds like a frat leader from a doesn't he yeah here's the quote frat leader that same thing uh all right quote palantir's rule of 40 score has soared to 145 this is an official press release by the way we have shattered this metric a feat matched only by other fellow ai infrastructure

companies nvidia micron and sk hynix momentum surged as we grew 85 last quarter our highest year-over-year growth rate but more than doubling our u.s business now we are raising our full year guidance to 71 growth 10 points ahead of our guidance from last quarter driven by our confidence in an AI and accelerating U.S. market. Now, this is tame for him. He said he wants to send drone strikes at short sellers, I believe, which I should be afraid of. Full disclosure, I'm short stock, so I don't know if I should be concerned. I'm glad he's not working in the U.S. government, but I'm sure he was joking. All right. Here are the numbers. 85% revenue growth, 16 quarter over quarter u.s revenue up 104 u.s commercial 133 gap operating margin 46

the stock's down because we're still at 65 times sales i think that says everything yeah the numbers were truly like outrageous so uh operating margins i want to pull up the exact numbers here you said 46 keep in mind um a year ago operating margins were at sorry checking this really quick 20 so operating margins went from 20 to 46 revenue growth was 85 which is i think their 13th quarter in a row of acceleration like this And they blew estimates out of the water. Doesn't matter. Stock's down.

Yeah. Stock's down because the valuation, it's priced in, I guess. More than priced in. Look, they're at $5 billion, I think, in last whole month's revenue. If that 5Xs to $25 billion over five years feels optimistic, maybe plausible. I mean, they're in a niche market, so I'm not sure how big this business can get. but let's say they get a $25 billion and 50% operating margin or net income margin, that's a $12.5 billion in revenue.

I believe I was doing this for a Motley Fool article. That's something like a PE of 30, maybe high 20. So what you are nothing if they're trading at a market multiple or, you know, a pretty premium multiple in a vacuum, it's just not going to work. And I think people are scared of the decel it's coming. Yeah. Yeah, at some point it has to, right?

Yeah, I still couldn't tell you what they do. Analytics. It's just analytics. Analytics. I mean, yeah, I could throw buzzwords out there, but I couldn't really tell you what they do. Yeah, they help. I think, honestly, they hype up more.

Data fusion in there. Yeah, something like that. They, yeah, they deploy these software at enterprises and it's supposed to bring all your systems together. It's supposed to be mysterious. That's part of their brand. Like, oh, you need to try us out. And I think that's what's happening.

A lot of commercial customers are doing so. All right. Anything else before we get out of here, Ryan? No, I think we're running up on time. Well, we did have one question and i want you to give me you can only get has to be one word answers for each of these i'm going to play value value play versus value trap first one crocs i guess two word answers all right yeah value play duolingo trap paypal god that's tough

trap yeah i'd probably agree with all three of those what about they have united health here well united health has already kind of rebounded made its way out if i'm not mistaken of the the value trap territory or the value play territory i think the stock's up quite a bit but and good earnings from oscar help too but no time to talk about it today that is going to do it thank you everyone for tuning in uh we want to remind you that brett and I are not financial advisors. Anything we say or discuss here on Chit Chat Stocks is not formal advice or a recommendation.

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