GM and BRRR.

Action in markets remains muted as we approach the end of the quarter, so we’re zooming out from the minutia to focus on a couple of interesting businesses today.

1) ASML: A booming semiconductor critical to AI infrastructure
2) ELoop: Fractionalizing ownership over a fleet of rentable Teslas

Note: I did add ASML to my portfolio yesterday, and my reasoning is laid out in the summary below.

Also, make sure to vote in the CRE poll below, it’ll stay open for another day. ⬇️

AI: The Money Robots

ASML's Moat & Confident Growth Outlook

• High-Moat Business and Advanced Products: ASML Holding N.V., a key player in the chip supply chain, specializes in the development and manufacturing of advanced photolithography machines used for chip production. Its flagship product, the Extreme Ultraviolet (EUV) lithography machine, stands unrivaled in the market due to its advanced technology and lack of competitors. This gives ASML a hardware monopoly and a significant competitive advantage.

• Strong Pricing Power and Revenue Growth: ASML demonstrates remarkable pricing power, allowing the company to charge premium prices for its advanced lithography machines. This has resulted in substantial revenue growth and improved profitability over the years. ASML's ability to continuously increase gross margins reflects its pricing power and highlights the demand for its products.

• New EXE Product Line Driving Margin Expansion: ASML is set to introduce its new EXE product line, which features a novel optics design and faster wafer and reticle stages. This highly anticipated product line is expected to drive further margin expansion for the company, enabling chip scaling well into the next decade. ASML's commitment to innovation and development positions it as a leader in the industry.

• Reasonable Valuation and Share Buybacks: ASML's valuation is considered reasonable, trading at historical pricing multiples. The company actively engages in share buybacks, reducing its share count and enhancing shareholder value. This demonstrates ASML's commitment to delivering returns to its shareholders and confidence in its long-term growth prospects.

  Read more

Publicly-traded companies mentioned: ASML Holding N.V. (NASDAQ: ASML)

Our take: Long Bullish for ASML Holding N.V. (ASML). Seeing a positive outlook for the company, between its high-moat business, advanced products, strong pricing power, new product line, share buybacks, and reasonable valuation.

Crypto: Digital Gold Rush

Teslas Go Token: Driving into the Future of Ride-Sharing with Blockchain

• Car-sharing service ELOOP and Peaq tokenize 100 Teslas: Vienna-based ELOOP and Peaq have successfully tokenized 100 Teslas, allowing users to own a fraction of the car fleet and share in the revenue generated from rideshare operations.

• Tokenization of high-value assets bridges the gap between digital and real worlds for mainstream adoption of Web3: The tokenization of assets like ride-sharing cars aims to create a connection between digital and real-world ownership, enabling co-ownership of assets and revenue generation based on real services and goods.

• Revenue distribution to token holders incentivizes participation: Token holders receive a share of the revenue generated when the tokenized cars are rented, promoting active community involvement and incentivizing investment in the asset.

• Blockchain network ensures secure transaction and data storage: The Peaq blockchain network, built on Polkadot, provides the transaction and data storage layer for the tokenized Teslas, leveraging Polkadot's interoperability and outsourcing security to enhance product value.

• Applications beyond car sharing: The initiative opens up possibilities for decentralized electric vehicle charging, decentralized Uber services, and a decentralized camera network, expanding individual ownership and control of data.

  Read more

AI ART OF THE DAY

The BRRR’s Portfolio

Looking good with Coinbase playing catch up.

On Watchlist:
$AMD: NVDA’s strongest competitor
$ASML: AI Supply Chain
$ADBE: Creativity & productivity software
$ISRG: Robot Surgeons

Removed:
$AI: Enterprise AI software
-It’s selling off sharply - looks like the valuation ran too hot. Will wait for it to bottom before reevaluating.

Got feedback? Follow the writer on Twitter @frank_locascio and send a message.

Join our Facebook group to connect with the community.

The BRRR is meant for informational purposes only. It is not meant to serve as investment advice. Please consult with your investment, tax, or legal advisor before making any investment decisions.