The AI & Chip Boom: This Warning Starts NOW.

We need to talk about Oracle, Nvidia,

Iron, Nebius, AMD, and Nvidia. And in

this video, we're going to have price

targets on some of these as well. But

here's what you got to understand. What

I've just mentioned are a list of three

buckets of companies. There are, and if

you don't understand the difference

between the three, you're going to learn

in this video. But if you think they're

all just AI chips and servers, you're

mistaken because you've got to

understand what drives the revenue at

these companies and the bottom line to

understand and evaluate them as separate

investments. Now, Chlorweave could

really be part of this discussion as

well along with Iran and Nebis. We've

personally been talking about Iran for

quite a while and it's been in our uh

meet Kevin channel here for a while now.

And look at this. It's been skyrocketing

even since we've been talking about it.

It just continues to go up. It's up

another 9% today. What's also very

interesting is just this morning before

the market opened in our beat Kevin

membership, we suggested that a great

trade today could be coreweave because

of the technical analysis we performed

in I I taught the analysis that I used

to make this determination. So, it's not

like I just throw a dart like I said

here's why I think it and I post it to

course members right here. And look at

this. I said it could go to 125 by the

end of September, but the technical

analysis is really bullish in the near

term here. And what happens? Literally

goes to 125 within an hour of the open.

Right to my line within 12 cents of it.

So, you want to be part of the Meet

Kevin membership, make sure you join

that. Go to meet Kevin.com. Get all the

uh alpha reports in the morning, our

trade setups, you get uh the top 10

stocks to buy for the next 10 years.

That's a big one. We've already

announced four of them. Six more coming

up. We do our analysis on them together

as well. Uh you get all the course

member live streams, all the course

content, the lectures. It could be a tax

write off for you buying the course and

the membership. So make sure to join

that. Use code bullish catalyst at

meet.com. So with that said, we've got

to break down the difference here

between Oracle and these other

companies. First of all, Oracle. So

Oracle is taking on massive amounts of

debt. They're taking on $ 38 billion of

debt for data centers this year. Now the

lenders are probably in the long term

going to be some bag holders here. JP

Morgan butc Financial although they

might end up dividing this up and you

know issuing bonds for this kind of

stuff. So who knows who's going to end

up holding the debt. But Oracle is

building a massive facility data center

not just in Shackleford County, Texas

and in Wisconsin but they're building

twice as many data centers as they

currently have. They currently have

about 34 data centers and they expect to

get to 71

data centers. This is insane. Oracle is

literally taking money anywhere they can

get it from issuing stock to borrowing

money to throw it into more data

centers. Now, Oracle's earnings actually

missed,

but their forecast was so bullish that

their stock today being up 38% at the

time of this recording has

just made its largest move since 1992,

the year that Kevin was born. '90s baby.

But anyway, that means this stock has

just generated roughly $300 billion.

Where do you think that $300 billion is

going to go? That $300 billion is in my

opinion, which is worth about three

Nikes, not three Nike shoes either,

three Nike companies. That $300 billion

is likely to turn into more share

issuance and likely to turn into more

capex spent. Now, could it all be a

bubble? Sure. But we got to talk about

where that money is going because it's

pretty exciting. Now, understand the

Oracle financials a little bit for a

moment. Oracle generates money by not

only producing data centers but then

licensing that data center space and

providing software related to it. It's

entirely unclear how much

actually comes directly from the server

stack and how much comes from the

licensing. They do give us a suggestion

that it's roughly 5050, but I actually

think that a lot of the licenses for

their software are just tied to their

infrastructure, which they call cloud

services, and they show it as a 50/50

split on their annual reports. Uh, but I

actually think the vast majority of

Oracle's revenue, which we know 86% of

it, factually 86% comes from cloud and

licenses, but I think the vast majority

of that 86% is basically just sort of an

ROI on them building data centers. Okay,

understand this for a moment. This is a

very different kind of business model

than just a pure play SAS business or

like an Nvidia business. Okay, so I want

you to think of this. Let's say it costs

you $100

to build an apple tree. Imagine you can

build an apple tree and it drops $10 a

year, assuming the apple tree doesn't

die like the AI bubble pops, right?

Okay. If it cost you $100 to build the

apple tree, you're like, "Well, I'm just

gonna keep building apple trees, that's

great, but it costs you a lot of money."

So, you take on debt and you build and

the revenue you're generating, that

increase in revenue you're getting is

coming from your capex expenses,

building the trees. So, really, the more

you spend, the more you make. Okay, this

makes sense. What happens when the

spending stops? Well, your revenue

growth slows. It's kind This is a

warning for Oracle. It's kind of like

with real estate. If you own zero rental

properties and this year you buy 10

rental properties or a 10-unit apartment

building, you're going to invest money

into that building and your rental

revenue will look like it just exploded

infinity%.

Because you went from zero rental

revenue to a lot, but that's really just

ROI on your capital investment. Like

building those apple trees or growing

the apple trees, whatever, right? That's

a very different kind of business model

than designing chips, which is what

Nvidia does. See, Nvidia doesn't make

anything. Nvidia doesn't have to spend

money on capital investments. Nvidia

spends money on people who design chips

and then Taiwan Semiconductor

manufactures the chips. So Nvidia

doesn't rely on

borrowing money from JP Morgan or

Mitubishi to go, you know, build the

trees or build more data centers to

increase their revenue. Nvidia just

relies on other companies like Oracle

doing just that. Taking that money and

then plowing it into Nvidia chip purpose

purchases. How do we know they're doing

that? Oh, well, the Financial Times

reported at the end of May that Oracle

to buy 40 billion of new chips for

OpenAI's new US data center. Okay. How

much money is Oracle expecting to spend

on capex in 25 and 2026?

Well, in 25 they're spending roughly

taking a quarter and annualizing it.

They're spending about $34 billion. They

expect to spend another $36 billion on

capex in 26. That means they're spending

$70 billion on capital expenditures.

That's just Oracle. That's how they're

getting their revenue increased by the

way, right? An ROI on these new data

centers they're standing up. Well, if

they're going to spend 40 billion on

Nvidia chips, 40 billion into 70 means

about 57% of all of their capex is going

straight into Nvidia chips, which is

crazy because it means you've only got

about 43% left for things like

buildings, server racks, super micro

computer racks, Dell racks, uh G uh

CPUs, like maybe AMD CPUs or or AMD

GPUs, whatever, The vast majority is

flowing to Nvidia here. Now, we'll talk

about AMD versus Nvidia in just a

moment, but it is possible that Oracle

is a play that benefits from data

centers in the long term, assuming the

trees don't die, assuming the AI bubble

doesn't die. But they're only growing

their revenue with these high

percentages right now because they're

borrowing money, blowing capex, and then

recognizing revenue on that. that

revenue growth isn't sustainable because

at some point they're not going to be

able to continue to generate those sort

of revenue gains and as long as you're

an investor who realize that great.

Nvidia is a different kind of business.

They don't spend money to make money.

They let other companies spend money and

then they make money. The downside of

Nvidia is they have to they have to earn

that money every quarter. when they say

or when they sell $40 billion of chips

in a quarter, they start the next

quarter at zero, right? They have to go

sell another $40 billion in chips. It's

kind of like Tesla when it sells cars.

You sell a thousand cars next quarter,

well, you got to sell another thousand

Cyber Trucks otherwise you're at zero,

right? So to grow from a,000 to 2,000 to

double, you have to go make the thousand

cars again and then get another

thousand, which is different from a

software business. And that's where you

have three buckets. A software business,

which Oracle has some of as well, just

like Microsoft and AWS do, is the gold

standard for making money. So, think

about think about it like this. There

are there are three buckets and there

are basically three standards. Okay? The

most expensive bucket well, let's put it

this way. the capex uh method that's

like you know Oracle building the trees

in my analogy here right uh data centers

right then you have the uh uh start at

zero method this is making chips cars

right and then you have the gold

standard SAS okay with SAS because you

have annual recurring revenue you

actually start at 100%. And you just

grow from there unless people are

cancelling. That's why SAS gets these

crazy valuations. So Oracle isn't mostly

in this pie. They're in the capex pie.

It's kind of like house hack with buying

houses, except we think houses will go

up over the very long term, whereas we

can't say that data centers will

continue to grow in value over the long

term. Just a little injection of

Houseack there for a moment. However,

Houseack is also getting into building.

You know, we're developing two ADUs

right now that are almost done. We're

going to be building probably 8 to 12

more over the next year. We're also

doing a spec build.

Starting at zero is sort of like

building homes as an analogy, right? Uh

the capex method is sort of like buying

homes. And then the SAS method, this is

kind of like the AI play, the AI SAS,

which is something Houseack's doing as

well. You know, we're running Blackwell

chips right now, training our ML so that

way we can launch our beta in Q4 and

hopefully license this in Q1, Q2,

because that's infinite. You know, when

people get into this and they're like,

"Oh my gosh, you helped me make 50 grand

and it cost me two grand to you. I could

pay you for 25 years and break even."

That's a great play. That's what we want

to do. It's sort of like the palunteer

but of real estate. We want to be the

palunteer of real estate. So the point

of this is to help you understand the

three different buckets. This isn't

supposed to be a pitch for house hack

just in case the SEC is listening. This

is not a solicitation. Read the private

placement memorandum. Read the offering

circular. I'm the CEO. I'm biased and

I'm using this company as an analogy to

help you understand Oracle and other

businesses. Okay. So AI SAS plays are

amazing because it's annual recurring

revenue. as long as you're not something

stupid like a chat GPT rapper in my

opinion because like I think those have

limited longevity like I don't know how

you're going to keep making money off of

that. We'll see. Uh and then you have

you know making chips which is what

Nvidia does and then you have the capex

method which is mostly the oracle though

Oracle does have some of the SAS play as

well and understanding those three

different businesses can help you

understand why companies get different

valuations. Right? So what's so

interesting about Oracle is most of

their business is renting out these data

centers and then throwing in the

software with it. The big winner in the

near term in my opinion massively is

going to be Nvidia. Yes, even over AMD.

Now why? Well, let's analyze that.

Everybody's worried about Nvidia not

being able to get from zero and selling

those chips again. But when Oracle is

saying, "We're going to double our data

centers," we probably still have another

two years in the pipeline of Nvidia

cranking these chips because companies

like, "Oh my gosh, I literally just now

got a headline, OpenAI and Oracle signed

$300 billion computing deal among the

biggest in history."

That's crazy that as I'm doing my Oracle

Nvidia video, uh, we get this wall. This

is a Wall Street. There it is. Wall

Street Journal breaking news. There it

is. Exclusive. Wow. All right. Open AAI

signed a contract to purchase $300

billion in computing power over five

years from Oracle. Dude, holy crap.

Divide that. Five years. $60 billion,

bro. $60 billion. This is why Oracle

wants to double their data centers

because now you know OpenAI the SAS

business is throwing money at them. So,

so think about this cycle here for a

moment. Open AAI right here is the SAS

business. It throws money at the capex

at the capex business, right? Open AAI

throws money at Oracle. And who is going

to recognize the biggest amount of money

from that right now?

Nvidia, it gives you years more years

more of run rate. Uh and and it it just

keeps the bubble going longer because

Oracle's over here taking on debt to

finance the continued expansion and then

it's a cycle right now. It all ends, you

know, when companies like OpenAI stop

signing contracts and then, you know,

Oracle has to issue shares and then the

share price goes down and then you can't

get any more debt and then all of a

sudden when OpenAI stops sending money

to Oracle, then Oracle is like, "All

right, we don't need to build any more

data centers." And then AI and then

Nvidia's starting at zero is going to

suck because you're going to have really

big negative growth. But deals like this

$300 billion deal just give you even

more run rate at these ship companies.

It's insane. It's hard not to be

bullish. Now, of course, you could go

into a recession and valuations could

collapse and everything. We're going to

talk about price uh uh price targets in

just a moment. I actually have a price

target of $240 on Nvidia. I'll show you

that in just a moment. But look at this.

Opening. I signed a contract to purchase

300 billion computing power over 5 years

uh from Oracle. People familiar with the

matter said the deal is one of the

largest ever signed, reflecting how

spending on AI data centers is hitting

new highs despite mounting concerns that

it's a bubble. It will require 4.5

gawatts of capacity roughly uh two

Hoover Dams. Oh, I did my flight

training over the Hoover Dam. Uh Oracle

share surging blah blah blah. Yeah, this

is just literally breaking news. Now, I

disagree with this. Oracle is the new

Nvidia for better or worse. I don't

think so. They're very different

business models. Again, you already know

this. It's the capex business model. I

think the only reason they're running

this headline is because of like their

euphoria around the stock right now, but

they're fundamentally different

businesses. So let's let me show you the

fundamentals. Okay. So you can by the

way get these screenshots. I think it's

uh it's useful to know this uh in the

Meet Kevin app. So uh I actually the

Meet Kevin app is optimized for iPhone

and uh Android.

You could get that at I think it's

meet.com/gapp.

meet.comapp

sends you to the Apple App Store. Yes,

it does. meet Kevin.com/app

sends you to the Apple App Store. Uh,

and then if you go meet Kevin.com/gapp,

that should send you to the Android app

store. Yes, it does. There you go. Sends

you to the Android app store. Please

leave me a fivestar review. But anyway,

if you uh go to the data tab that we

have in uh the Meet Kevin app, you can

actually see this data. So like here for

example, here is the Meet Kevin app. If

you don't like the green, that's okay.

You could change your color preference.

You just go to preferences and change

your color preference. I also recommend

that you change what you get

notifications on because if you want

notifications for Trump videos, great.

If you want videos on piloting or life

or whatever, you could choose that and

customize the notifications you want,

which which I think is is useful. But

beyond that, you could also go down here

and when you look at sort of like the

analysis, you could click on them and

expand and then you could see my sort of

highlighted notes on this, right? Uh

which is kind of cool. Uh I think that's

awesome. So, you know, something to to

check out. Uh meet meet Kevin app.

Again, that's meet Kevin uh.comapp or

meet Kevin.comgapp. Somebody in the chat

says 30 billion, not 300 billion. Well,

I don't know, man. Maybe you got to put

the glasses on. But this to me looks

like 300 billion.

And it looks like it says multiple times

here. It's also on my refinitive

terminal right here, uh, where I'm

getting the news wire.

So anyway, okay, let's talk about these

numbers. Okay, so we go to the iPad. Uh,

look at the numbers. Okay, this is this

is Nvidia. Okay, Nvidia has an insane

net margin. Nvidia brings 56.5

cents of every dollar they spend to the

bottom line. So, Houseac bought

Blackwell chips. We have We are running

Blackwell.

56.5 cents of every dollar we spent on

those chips

went to Nvidia's bottom line. That's

insane to think about how high that net

margin is. Now, I want you to compare

that for a moment to something like

Tesla. And this is not to be mean to

Tesla. It's just a it's just a fact.

It's a reality. Okay? Cuz I like Tesla a

lot. I love my Tesla. I've loved Tesla

since 2017 when I got my X. I love

riding my Black X. My Black X was the

best wide. The size was perfect, the

curves, it was beautiful.

But anyway, uh, now I got the Cybert

truck.

Okay, so

Tesla

has a net margin

of uh,549 divided by 22496.8%.

So Nvidia has roughly

uh 10x

a little less than roughly 10x Oh,

that's not the net income. The net net

income line is lower. Yeah, it's 10x.

Nvidia has 10x

the net profit margin of Tesla. So if

Tesla if Nvidia brings 55 cents for

every dollar they sell to the bottom

line, Tesla brings like 5 cents to the

bottom line. And Tesla is worth 1/4th of

Nvidia. So in put a different way,

Nvidia makes 10 times as much money per

dollar that they sell, but they're only

priced at 4x Tesla. That's an

interesting comparison, right? I think

that's very valuable to consider. Now,

something else to consider, uh, is that

you've got, uh, gross margins,

uh, and let's see here. through. Let me

go. Okay, let me go ahead and pull up

the sheets over here because it's going

to be a little easier for me to go

through these on the computer. So, if we

look at Nvidia's assets, Nvidia has $40

billion in debt, but they're probably

not paying that off because the rates

are probably pretty low on that because

they have $57 billion in cash in

marketables. If their debt was more

expensive, they would just pay off their

debt. They could literally pay off their

debt and have $17 billion sitting

around. On top of having $17 billion

sitting around, Nvidia is literally

paying $24 billion to repurchase stocks

in 6 months. That's what is that $12

billion of stock repurchases every 3

months, which is insane. They're immune

to the debt bubble, which you can't say

about Oracle, right? Oracle has debt. We

We'll go pull up their balance sheet uh

right now, actually. Oracle. Let's go

grab their last financial disclosure

and get their last quarterly results.

Let's go look at their debt just to be

able to compare. So Oracle, Oracle,

Oracle, here you go. So cash, Oracle's

got about 10 billion of cash, marketable

securities, about half, call it about 11

billion of cash. So we have 11 billion

of cash. We have debt that needs to be

paid of about $27 billion. I'm taking

out the deferred revenues. Okay. So, $27

billion of current debt that needs to be

paid. Look at this. This should scare

the beebas out of you. Longterm

debt, not deferred.

115 billion.

And they're literally going to borrow

another $ 38 billion of debt to go buy

Nvidia chips. Almost all almost a 100%

of $ 38 billion of debt is going into

Nvidia chips.

They're financing almost everything and

plowing it into Nvidia chips. So think

about it. Oracle holds the debt bag and

they've got that capex, that tree that

they're spending money on, but data

centers could lose value in the very

long term. Nvidia takes all of that debt

and turns it into cash flow today. Not

only do they turn it into cash flow

today, but then they turn around and and

buy back stock, pushing up the stock

value of Nvidia. Now, what does Oracle

do? Well, Oracle issues stock. Oracle is

literally issuing in the la in the last

quarter $1.7 billion of stock and

they're taking on more debt. So they're

taking on even more debt. They already

owe over hundred billion dollars of debt

and they're issuing stock. Nvidia has

essentially no debt relative to the cash

remarkables they have as I've shown you

with the numbers and they're buying back

stock at an insane level. So when you

compare Oracle and Nvidia, no, no,

Oracle is not the next Nvidia. Ifia

benefits immediately off all the

spending that Oracle does, has no debt

problem at all and is buying back stock

for days. Oracle is a debt bag holder

and that's what you have to be careful

about with Coreweave as well. Now

remember what oh uh remember the uh this

market's slipping a little bit right

now. Remember what I said this morning

and I told you about this, you know,

that we not only in the course member

alpha report over here, but this is when

the PPI came out in our course member

live stream this morning. I said, "Guys,

we're like we're at all-time highs in

pre-market. This is way too euphoric

going into CPI tomorrow. Don't get

caught on this. I don't think today is

an upside day for the Q's." And I was

right. We bled off on the Q's chloreted,

which was our other call. We made two

calls today. Q's down, core weave up.

Both of them nailed it. And you got to

be a part of that. You join the Me Kevin

membership, you get lifetime access. You

want it in five years, you want it in

two months, whatever. But the price goes

up over time. Use coupon code bullish

catalyst before we raise the price

again. That coupon expires soon. I

slightly extended it because I thought

we'd get some bullish catalyst this week

and BBI was actually really bullish.

That was a good bullish catalyst. Uh we

love those bullish catalysts.

>> Bullish catalyst.

Uh but anyway,

now

you you could start understanding a

little bit of the difference between

Nvidia and Tesla for example. Uh but you

could also understand a little bit of

the difference between Nvidia then and

AMD. AMD is a bit of uh you know, no

offense to stepchildren, but it's a bit

of the stepchild of Nvidia. Uh it's just

the less favored. They do not have

enough cash to pay their debts. They

have about, you know, sixish billion

dollars in cash, not counting

receivables, and they have current

liabilities of 9.8. Nvidia has plenty of

cash and short-term investments to cover

their current liabilities and then have

an extra 17 billion sitting around.

Actually, I think they can pay off all

of their debt. Let me look at that again

really quickly. Uh, I always just like

looking at the numbers because if you

look at the numbers, you don't have to

remember.

Uh, here assets. Yeah, I've got

marketables and cash of 56. I've got

current liabilities

of uh 40 bill. I'm sorry, total

liabilities of 40 bill total. They can

pay off all their debts. Uh and then uh

AMD actually has some long-term debts as

well. So, we don't have enough cash to

pay off uh our debts. And then when we

actually look at the cash flow statement

at AMD, and I'm not trying to poop on

AMD. AMD has a lot of the benefits that

AMD does as well. It's just it's just a

stepchild. Uh if you look at their cash

flows, they actually they do reby stock,

but they're issuing debt. They net

issued $1.5 billion of debt. Now, they

use that to reby their stock, but

they're issuing debt to buy back the

stock. Nvidia just makes so much damn

money, they don't have to issue debt.

They can buy back their stock and not

buy borrow. It's crazy. Nvidia has about

16 times the free cash flow of AMD. And

the stock market value of AMD is about

16.5 times that of AMD, which suggests

that they're kind of tethered, right?

They can kind of move together in

valuation uh because of that difference

in cash flow. Now, when it comes to

price targets for these, I think this is

this is a worthy conversation here. So,

uh the price targets, what I've done is

I've done my usual PEG analysis, which

is a price toearnings growth analysis uh

of these different companies. We take

what Wall Street assumes and then we

also make sort of kneecap adjustments to

these. And my take is the following. My

take is that right now Nvidia is trading

for a um a a PEG ratio of about 1.94 and

I think a fair PEG ratio for them would

be about 2.67.

At 2.67, mind you, Palanteer selling for

like a six, you know, Tesla selling for

like a five. At a 2.67, Nvidia is a $240

stock.

So really nice upside on top of where we

are on Nvidia. Obviously hashtag no

guarantees, but you're trading for 176

right now. You know, it's up like 3 to

4% on the day. AMD, I took the Wall

Street estimates and I adjusted down

their growth. That's my opinion. You

don't have to adjust down their growth.

Wall Street says their growth is going

to be 27% on earnings per share. I think

it's going to be closer to 20%.

With my adjusted down growth, I still

have a price target for AMD of $211.

Rounding a little bit, $211. That's

better than where they sit today. They

sit at 159 today. So, I'm bullish AMD

and Nvidia here.

Okay. Understanding that uh Nvidia or uh

Nvidia is trading for 176. 240 divided

by 176 puts me at a 36% upside. AMD at

211 divided by 155 puts me at a 36%

upside. See how they're tethered? Kind

of interesting. That's actually really

interesting because those are based off

the Kevin valuations. Anyway, Oracle,

according to Wall Street, could have a

$461 price target.

That's based on using my peg analysis or

Oracle. Okay. 461 divided by 22 or 323.

461 divided by 323. That's about a 42%

upside, but I don't like it. It's too

much debt and it's too capital intensive

in an asset that I don't have as much

faith in. Like I have more faith that

housing will continue to go up in value

over time. I don't know if I can say

that for data centers forever. I can say

that for data centers for the next two

years, but can I say it forever? I don't

think so.

At some point, they'll be a commodity

and they'll lose money. You know, you'll

have lower utilization or whatever.

That means with Oracle,

I personally have a personal price

target where I don't I'm not saying it's

going to go to this, but I don't want to

buy Oracle unless it's trading for under

$175.

That is like having where it is today,

but I wasn't interested in it yesterday

and I know it's going up today, but I'm

not interested in it today. Though, if

you're wondering, you know, in the Meet

Kevin membership, is Oracle part of the

top 10 stocks Kevin's buying for the

next 10 years?

The answer is a hard no.

It is not. Spoiler. There's not. The

stocks that are in me Kevin's top 10

stocks to buy for the next 10 years.

Right now, one of them is up today 8.3%.

Another one's up about 1%. Another one's

up about 1 and a.5%. And then where's my

last one?

My last one is up about 2%. All of them

are green right now, even though the

market's turning red. skull. Uh anyway,

this hopefully gives you a bit of an

understanding where likeweave

oracle like to me you have to you can

lump these together. So let's go back to

that sheet right here and you can lump

these the capex heavy ones right here.

This is going to be your Oracle, your

Iron, your NBIS, your core. No, Oracle

probably makes more of software than the

others, but even Coreweave

uh pitches its software for managing the

uh data usage uh people license from

them. All right.

Uh

Nvidia Nvidia

is obviously a stronger and has bigger

BP,

but both have uh 36% upside from here uh

to a fair value. You know, that's not to

overvalued. Uh even more if they go to

overvalued, right? Uh, and then as far

as the SAS side, you know, the SAS side,

that's where you have to be careful

because it's so played out already, so

rich already. Like, you know, Palanteer

is your perfect SAS example, right? Snow

has a better valuation, but there are

other SAS plays that could do well in a

recession as well. One of our top pen

stocks to buy over the next four years

is a SAS. Well, it's SAS and hardware.

Uh but but the hardware leads to the

SAS. Really shocking business. People

who know will know what I just said. And

anyway, um

there are opportunities here. You just

have to be careful because so many of

them are so rich and and I think there's

a risk of real valuation compression in

a recession for some of these. Uh I love

the SAS business model. That's that's

what like when it comes to SAS for me

most of the SAS that I want to hear

about is what can we pull off with house

hack because I personally like I want to

put more more of my own personal money

into house hack even this year because I

look at it as like we're buying house

hack shares at you know a buck 40 per

share which is basically just the value

of the homes and like a low multiple on

top of what you know a real estate

holding company trades for which they

usually trade for 2x uh book. This is

probably trading, you know, at, you

know, 145x book, which I think is a

discount. And then that's why I say

there's really no valuation premium for

the AI that we're building out. And so I

feel like, man, if I'm going to get into

SAS, I'd rather go buy house act. No,

there's risk obviously because what if

we suck, right? But I'd rather like

because of what I'm seeing, I'd rather

put money into that than than you know a

sass at a a six or seven peg that I

don't think will do well in a recession.

Yeah, that's where my head is on all

this. Uh, so,

okay, I just got a notification that

Blue Owl is in a uh secondary offering

for another $2.7 billion of money. Now,

why does Blue Owl matter? You might not

even know what Blue Owl is. know what

Blue Owl is either. Um, Blue Owl uh is a

is a company that is financing the AI

data center expansion for Meta. So, $29

billion of debt going to Meta. Blue Owl

Capital and uh Pacific Investment

Management, they've been involved with

that. UBS is warning about an asset

bubble fueled by debt. But this is why

like I recognize it could all be a

bubble, but realize the bubble is coming

from debt that companies like Coreweave

and Oracle are holding and they're

squeezing that debt and what's coming

out is cash. And Jensen Jensen, where's

my jacket? Where's my my members only

jacket? Basically, think about it like

this. Here's here are the debt people.

The debt people are are ringing a sponge

up here of debt. And then Oracle's like

got a bucket capturing all the debt. And

then the debt is overflowing. It's

bubbling over. Like all that money is

coming out and it's just pure profit

basically that's coming out. And you

just have Jensen over here going shower

shower me shower me in in all this cash.

Like he's liable for zero of the debt.

He doesn't even make the damn chips.

Taiwan Semi does. He just collects the

money. It tells you it's the greatest

largest PP business model ever. And as

long as the debt keeps flowing, man, the

dollars keep coming to your boys over at

Nvidia and hopefully to your stepbrother

AMD.

>> Why not advertise these things that you

told us here? I feel like nobody else

knows about this.

>> We'll we'll try a little advertising and

see how it goes.

>> Congratulations, man. You have done so

much. People love you. People look up to

you.

>> Kevin Pafra there, financial analyst and

YouTuber. Meet Kevin. Always great to

get your take.