Down cycle sinks all boats. Qualcomm FQ2 23 – Well positioned Qualcomm reported results that demonstrated its ability to manage its business but was forced to guide weakly as the economy refuses to play ball. Qualcomm reported FQ2 2023 revenue / Adj-EPS of $9.3bn / $2.15 in line with what the company had guided for, but it was more cautious...
Humans are at risk from humans, not machines. The exit of Geoffrey Hinton from Google has caused a stir and has reignited the AI safety/Armageddon debate, but the reality remains that humans are at much greater risk from humans than they are from machines which remain as dumb as ever. Geoffrey Hinton is widely known as the “godfather of AI”...
Bill Ready looks out of his depth. The outlook for this company now completely depends on cost-cutting as OPEX remains ridiculously bloated and I have serious concerns that Bill Ready has the stomach for this kind of pain as he appears to be focused on nothing but growth. To make matters worse, I get the impression that the company is...
Amazon – Darling has a dog day. Amazon reported good results but then went on to warn that cloud growth would slow which reversed a 12% rally to a 2% decline in after-hours trading. Q1 2023 revenues / EPS were $127.4bn / $0.31 ahead of forecasts of $121.6bn / $0.20 which were expected to be missed explaining the 12% rally...
Meta continues to rise from the ashes of 2022. Meta Platforms roared back to life with an excellent set of earnings which give it a platform to resume investing and, as long as it does so soberly, there are better times ahead. Q1 2023 revenues / EPS were $28.6bn / $2.20 nicely ahead of forecasts of $27.6bn / $1.97 and...
Two sides of the same story in search. Google and Microsoft both reported good results but took very different lines on what AI is doing to search with Google saying all is well and Microsoft saying that everything is about to change. Microsoft FQ3 23 – Offense. Microsoft reported excellent results and promises of good growth and tight cost control...
Good luck and good timing give great results. Microsoft is backing away from bundling Teams with Office 365 which I expect will have no impact at all on its use and popularity as it is now popular enough that the network effect alone will continue to ensure its success. Microsoft has announced that it will no longer bundle Teams with...
A situation that makes little sense. The dispute between Arm and Qualcomm is one of the more bizarre that I have seen in my time, but it is descending into the usual tit-for-tat which is likely to end in a settlement at some point. What is unusual in this case is that Arm opened hostilities right before its IPO (where...
Inventory correction offset by China. TSMC reported weak Q1 2023 results and guided down expectations, but this had been anticipated which combined with some initial positive signs on the Chinese economy, sets up a better H2 2023. Q1 2023 revenues / EPS were TWD 507bn / TWD 7.98 representing incremental growth from Q1 2022 but down significantly from Q4 2022...
Richard is founder, owner of research company, Radio Free Mobile. He has 16 years of experience working in sell side equity research. During his 11 year tenure at Nomura Securities, he focused on the equity coverage of the Global Technology sector.
Apple FQ2 2023 – Top dog.
Hardware rocks but AI flops Apple executed a pretty flawless quarter with market share gains in emerging markets offsetting the macro, but it is clear that when it comes to AI, Apple is miles behind. FQ2 2023 revenues / EPS were $94.8bn / $1.52 slightly ahead of estimates of $92.6bn / $1.43. Revenues were down YoY but if one excludes...