Put together some longer-form thoughts on the AI Data Center Developers (aka Powered Shell Providers).. Key takeaways from Q2 earnings, what's driving recent weakness, and why I like the setup here with a number of catalysts that might reignite interest in these names.
$APLD
Nebius $NBIS folks on here are a bit upset at a meme, lol. Two things can be true at once:
- $NBIS has done an incredible job the past 2 years. Seems pretty clear they’re a top-tier neocloud. The founders’ / company’s story pivoting what remained of the business to AI
Again, purely speculating here, but I wouldn’t be surprised if Galaxy leased data center capacity to NVIDIA $NVDA directly, similar to Hut 8 $HUT.
Galaxy mentioned the universe of tenants as including “perhaps even some equipment manufacturers” all the way back in February…
Galaxy's $GLXY earnings call yesterday was diabolical, to put it mildly. That said, I still lean towards the company delivering a pretty large lease, and relatively soon..
And at $7.5B market cap, you're not paying much, if anything at all, for the option-value of that lease. If
