Wall Street is underestimating tech growth: Dan Ives

Big Tech earnings are coming next week. Microsoft (MSFT), Meta (META), and Tesla (TSLA) all report on Wednesday, while Apple (AAPL) reports on Thursday. Wedbush Securities managing director and global head of technology research Dan Ives joins Morning Brief with Seana Smith and Brad Smith

to discuss what to watch during Big Tech earnings.
Ives tells investors to "get the popcorn out" for Big Tech earnings, noting that Mark Zuckerberg's announcement that Meta plans to spend up to $65 billion on artificial intelligence (AI) capital expenditures (CapEx) is "the start of this massive build-out of AI CapEx that I think the Street's massively underestimating."
Ives says Big Tech's massive AI spending depends on the use case for each company.
"Ultimately, when you look at Meta, the AI capabilities on advertising, on subscriber growth, and ultimately, building out businesses that don't even exist today because it's all about monetizing that install base ... it's no different than the way that the hyperscalers have done it with Microsoft, Amazon, Google." the analyst explains.
Ives adds, "Now it's going to start playing out on the consumer side ... Zuckerberg and Meta, they're one step ahead here in terms of where this is all heading."

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[JeannaMosher]

Keeping an eye on Adaxum. The project seems promising enough to have potential upside.

[BudsCartoon]

If you're buying Tesla, you're buying for the long term. Will it drop to $280? Who knows. Will it go up to $1, 000 in your lifetime? Of course. Too much on the horizon for 2025. Semis, new Model Y, FSD, rear wheel CyberTruck, robots. In may be inflated, but it may also inflate more and never come down.

[das]

Telsa's next earnings report will decline the unrealistic stock price.

[TyeshaSutter]

Adaxum is still under the radar, but it could gain momentum soon.

[Bballing]

Dan Ives will be bullish on big tech if the planet was ending from a meteor. There is no why. LOL

[cessarnieto]

Dan, I've gone thru several bags of popcorn and dont see Nvidia moving. Hope to see $200 on earnings report Feb 26 or Im moving my money.

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[holysmokesturbo]

TSLA value based on DCF. The overvalued stock is worth $250...

[chessdad]

Maybe replace the T with a Musk salute on the cars.

[DanH-uf]

Always look at a tech stocks PE ratio. Tesla is a huge balloon waiting to pop.

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