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Original headline: Strategist Tom Lee says he’s buying the AI stock dip, and Cisco holds the key
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Tom LeeNVDAtech stocksAI investment
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Related tickers and likely impact
NVDA
▲ Likely positiveNvidia
Relevance: low
| Market | US stocks |
|---|---|
| Sector | Information Technology |
| Industry | Semiconductors |
| Market cap | $5.2T |
| Close on 10/19/2026 | 217.09 |
| Change that session | +1.38% |
QQQ
▲ Likely positiveInvesco QQQ Trust
Relevance: low
| Market | US stocks |
|---|---|
| Sector | ETF |
| Close on 10/19/2026 | 718.36 |
| Change that session | +1.21% |
SPY
• NeutralSPDR S&P 500 ETF
Relevance: low
| Market | US stocks |
|---|---|
| Sector | ETF |
| Close on 10/19/2026 | 766.48 |
| Change that session | +0.42% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
Related news
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Market presenters on Bloomberg's Opening Trade said US and Asian tech futures rebounded after last week's sharp sell-off, while European futures fell amid protests in France and Russia-Ukraine tensions. Treasuries acted as a haven, while riskier bonds issued by AI companies widened from the rest of the market. India performed well because it has little AI exposure, and investors will watch Meta's guidance on AI spending. French debt sold off, with long-end yields up about four basis points, and the euro came under pressure.
- 'Just another scare': Wall Street sees the AI trade strong despite tech's latest rout
Technology stocks fell this week as financing concerns mounted, pulling the S&P 500 and Nasdaq into negative territory. CoreWeave (CRWV) and Nebius (NBIS) each closed the week down more than 25%, and Baird's Ted Mortonson placed Oracle (ORCL) near the bottom of tech on free cash flow, citing a higher cost of capital and scrutiny of circular finance. Nvidia CEO Jensen Huang voiced optimism about CoreWeave, in which Nvidia holds roughly a 10% stake. Patrick Moorhead (Moor Insights & Strategy) called the sell-off another scare, while Dan Ives (Wedbush Securities) pointed to CoreWeave's revenue backlog of roughly $104 billion at the end of the second quarter. UBS described the volatility as a recalibration of expectations rather than a fundamental break, urging investors to watch whether AI spending turns into sustainable earnings growth.
- AI investors will demand a return sooner or later
- 2 charts show why Wall Street is right to worry about tech stocks
Rising cost of capital could affect the financial statements of hyperscalers such as Oracle (ORCL) and Google (GOOG, GOOGL) in 2027, as they need fresh debt to fund AI infrastructure and free cash flow may turn negative. JPMorgan strategist Mislav Matejka forecasts hyperscaler free cash flow will turn negative in 2027, implying credit markets will drive more of the AI build-out. Consensus estimates for 2027 capital expenditures are already rising from levels experts believe are too low. Morgan Stanley sees total 2027 capex among hyperscalers reaching $1.6 trillion, up from $978 billion estimated for this year. Dan Ives of Yorkville expects capex to reach the trillions and over 1,000 datacenters to be built in the next few years.
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Apple will commit up to $100 million over three years to Perryman Company of Houston, Pennsylvania, to produce titanium for products including the $1,999 foldable iPhone Duo. It is also expanding its work with Qnity Electronics on advanced films for the variable-aperture camera on the iPhone 18 Pro, and says nearly 100 components across the Duo and iPhone 18 Pro are made by American companies in more than a dozen states. These moves fall under the American Manufacturing Program, which Apple expanded to a total of $600 billion in domestic spending. Meanwhile, the Duo faces severe supply limits, with online delivery estimates reaching roughly 14 weeks on the first preorder day, and JPMorgan estimates 8 million to 9 million units will ship this year, below an earlier estimate of about 10 million. Apple has not said whether the Perryman deal will increase near-term capacity.
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The open-source llm-d project has released version 1.0, a hardened core for distributed AI inference designed to help organizations serve and scale large language models more efficiently. New features include multi-tenant quality-of-service controls, zero-downtime operations with high-availability routing, and session-aware routing for agentic AI workloads. Founded in 2025 by Red Hat, IBM, Google Cloud, CoreWeave and NVIDIA and now governed by the Cloud Native Computing Foundation, the project has more than 500 contributors from over 25 organizations. Recent demonstrations showed cost reductions of five to 10 times for context-heavy agentic workloads and three times greater output throughput, while IBM Research reported 11.5 times lower inference cost than an all-proprietary configuration.
- Wall Street Gave Micron Back Its $1 Trillion Crown Just One Session Later
Micron closed at $904.90 on October 19, 2026, up 2.97%, lifting its market value back to $1.02 trillion after a 5.63% drop on October 16 to $878.84. Memory peers rallied too, with SanDisk up 5.53% and SK Hynix up 4.67%, though the article suggests hedge fund repositioning rather than new conviction drove the bounce, and Micron still fell 8.49% for the week. Fiscal fourth-quarter revenue reached $54.23 billion, up 379.3%, with non-GAAP EPS of $33.42 beating the $31.35 consensus, and management guided fiscal first-quarter revenue to $61.5 billion. Micron says more than 75% of its 2027 output is already committed, while the stock sits about 28% below its 52-week high of $1,255.00 and trades at roughly 7x forward earnings.
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Tesla's new Roadster, including its ultra-limited “Rocket” tier, is expected to do little for revenue given its tiny planned volumes, with the base Performance model expected to cost $200,000 or more. The article says Tesla trades at a P/E of 352 versus the S&P 500's average of 24, with its valuation resting on optimism about future products and Elon Musk's innovation rather than the core EV business. In the second quarter, revenue rose 26% year over year to $28.2 billion, but operating income fell 57% to $398 million amid price cuts and heavy R&D spending, and the company burned $1.09 billion in the quarter. Robotaxi services look like the most promising diversification, with S&P Global estimating in July 2025 that they could generate 45% of automotive segment revenue by 2030. The author concludes that a $1,000 investment made today is unlikely to do much over three years unless more information emerges.
- Anthropic sets aside 5% stake for public benefit fund ahead of November IPO
Ahead of its planned November IPO, Anthropic will put a 5% equity stake into a new public benefit fund, worth at least $50 billion and possibly near $100 billion at a $2 trillion valuation. The company will also add 2% more equity to the fund for every 50% rise in valuation, so public buyers would keep a smaller share of gains. The fund is a company-controlled LLC that cannot lobby or make political donations, but the board decides where the money goes and how much is donated, giving public shareholders little say in governance. Critics, including Elon Musk and David Sacks, argue the money should be given away directly, while the article links the timing to public backlash against AI.
- At end of Q3, PGBank's pre-tax profit reaches VND 630 billion, up 27% year on year
PGBank reported pre-tax profit after provisions of VND 630 billion for the first nine months of 2026, up 27% from the same period in 2025, as total operating income rose 9.6% and non-interest income from services and foreign exchange more than doubled. As of September 30, 2026, total assets reached VND 92,637 billion, up 4.3% from end-2025, with loans to customers up about 7.1%, customer deposits up 5.8%, and non-term deposits (CASA) surging 32%. Owners' equity rose 27.8% to VND 8,364 billion, and charter capital increased 33.2% to VND 7,327 billion. The bank's non-performing loan ratio stood at 2.46%, which it said remains within the safe threshold set by the State Bank of Vietnam.
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