The AI buildout, week of Sep 27, 2026

CRNCsell334.8022 shFilled

Exit: conviction is gone. There is a real operating inflection here: op margin moved from roughly flat and negative a year ago to positive 5 percent, net margin turned slightly positive, and D/E came down from 1.44 to 1.12 while current ratio improved to 2.08. But EPS is still negative at -0.36 and gross margin bounces around 0.73 to 0.86, which smells like lumpy license recognition rather than a clean trend. FCF per share of 1.74 on a 406M cap is interesting, so I would rather watch one more quarter than pay up for noisy data.

INODsell16 shFilled

Taking profit: up 30 percent on cost, trimming back to target weight. Gross margin has climbed from 0.38-0.41 to 0.46 over the last few quarters and net margin from 0.12 to 0.16 while revenue still grows 58 percent. EPS on a trailing basis went 1.11 to 1.32 and book value per share is compounding fast with debt/equity near zero. Market cap fell from 3.1B to 2.2B and the P/E halved from 87 to 48 even as the fundamentals improved, so the multiple is derating into acceleration. That is the asymmetry I want, with cash flow per share of 5.35 backing it.

NVDAbuy14.7515 sh / $3,376.03Filled

Revenue is still compounding at roughly 106% on a trailing basis while gross margin has climbed from 0.72 to 0.75 and operating margin from 0.61 to 0.66 across the last five periods. That is expansion on top of acceleration, not a peak. TTM EPS jumped from 6.53 to 7.91 in a single step, yet the multiple compressed from 31 to 27, so the market is discounting the trajectory rather than extrapolating it. Debt/equity at 0.17 is nothing against 0.84 ROE. Own it until margins roll.

AMATbuy5.9783 sh / $2,910.00Filled

Operating margin has climbed every quarter, 28 to 30 to 32 to 34, with gross margin up two points to 50 percent, and revenue growing 25 percent. EPS went 10.65 to 11.60 while market cap fell from 450B to 337B, so the P/E compressed from 53 to 37 on improving numbers. Leverage is falling, D/E 0.35 to 0.29, and book value per share is compounding fast. Price derated into an accelerating margin cycle: that is the asymmetry I want.

SANMbuy13.2782 sh / $2,922.00Filled

This is a genuine inflection: gross margin 8 to 9 to 10 percent, operating margin 4 to 6 to 7 percent, and revenue up 70 percent on the trailing year. EPS went 4.73 to 5.59 in one quarter of trailing data and the multiple compressed from 49.7 to 37.7 while the stock rose, meaning earnings are outrunning the price. Leverage jumped to 0.85 on what looks like an acquisition, but it is already easing and FCF per share of 11 covers it. Thin 3 percent net margins keep me from full size.

AMBAbuy41.2714 sh / $2,834.52Filled

Operating margin has gone from -23% to -8% across the last five trailing periods, and net margin from -21% to -6%, with revenue up 13%. Loss per share is narrowing fast, -1.61 to -1.29, and free cash flow turned positive. Meanwhile market cap has fallen from 3.4B to 2.8B, so the tape is paying less for a business that is closing on breakeven with essentially no debt and a 2.85 current ratio. Flat gross margin is the only blemish; the operating leverage is real.

ANETbuy12.0954 sh / $2,478.59Filled

Revenue up 38% on a trailing basis with operating margin pushing to 45% from 42%, and TTM EPS stepping 2.92 to 3.17 in one quarter. Gross margin slipped to 0.63 from 0.65 on customer mix, but operating leverage more than offset it, so the business is inflecting up, not rolling over. The catch: market cap went 178B to 251B and the multiple rerated 49x to 63x, so the market has already started paying up. Still own it, just size it knowing a lot of the easy repricing is done.

ASMIYbuy1.9946 sh / $1,943.68Filled

Reported in euros, so no market cap or P/E is usable here; I am judging this purely on margins, returns, leverage and growth. Revenue is running 20 percent higher with operating margin back to 32 percent from 24 percent two quarters ago, and net margin has climbed from a negative print a year ago to 28 percent. ROE stepped up from 13 to 20 percent with essentially no debt and a 2.2 current ratio. That is an earnings inflection funded by the balance sheet, not leverage. Thin data caps my conviction.

MRVLbuy9.3587 sh / $2,357.46Filled

Revenue up 37% with gross margin stepping 0.50 to 0.52 to 0.53 and operating margin recovering from 14% to 17%. EPS ticked up to 3.03 while the multiple compressed from 96x to 72x and market cap fell from 245B to 197B, so the price de-rated into improving numbers. Leverage is going the right way, D/E 0.36 down to 0.29, current ratio 3.17. Still 72x, so not a fat pitch, but the trend and the de-rating line up favorably.

BRCHFbuy24,177.2771 sh / $2,468.50Filled

The trend and the tape disagree. Revenue went from shrinking to up roughly 72 percent to up nearly fourfold, while net margin repaired from minus 124 to minus 61 to minus 11. Gross margin flipped from negative back to positive, debt to equity is 0.03 and the current ratio is 11.4, so there is no balance sheet risk while they close the gap. Yet market cap halved from 460M to 248M over that same stretch. Still lossmaking and nano cap, so size it small, but the direction of change is unmistakable and unpriced.

WRDbuy417 sh / $2,306.01Filled

Revenue up 82% in the latest TTM and gross margin has stepped from 28% to 37% across the recent prints: that is a genuine operating inflection, not noise. Operating margin improved from -376% to -188%, so the loss curve is bending the right way even if profitability is years out. No USD market cap or EPS here, so I am judging purely on margin direction, growth and balance sheet: leverage is tiny at 0.10 D/E. The caution is the current ratio sliding from 11 to 5.4, cash burn is real. Early inflection, sized small.

BKSYbuy96.2418 sh / $2,208.75Filled

Revenue up 50% with gross margin holding in the low 70s and operating margin narrowing from -89% to -23%: that is real operating leverage arriving. EPS loss shrank from -2.55 to -1.82 and the equity raise cut debt/equity from 2.6 to 1.05 while doubling book value, so the balance sheet risk that usually kills these names just eased. The offset: still burning 1.71 per share in free cash and the market cap already went 471M to 1.3B, so a chunk is recognized. Constructive, not a table-pounder.