Transcript was automatically generated.

Frank Curzio 00:00

Hey guys, live on X today. I want to report to you because there’s a lot going on in the power sector. If you followed our Wall Street Unplugged podcast, you know this has been a major theme for us, probably going on three years now. We’ve had some incredible, incredible gains in this sector. We’re very early to a lot of names. We’re going to talk about some of the winners. As you know, we always still address our losers as well,

Frank Curzio 00:19

so this isn’t like a pat on the back. But what we want to do is show you the next phase of the next group of companies and small caps that could benefit tremendously because today you could have invested in Dell, or at least yesterday, right? And you think that Dell’s a huge beneficiary, but if you look at the AI trend and when it started, when Nvidia reported that monster quarter,

Frank Curzio 00:39

I think it was like four years ago now. Today you could have invested in. We’re looking at a lot of companies here where they were late to the party. Micron, late to the party. Look at the gains that it’s made in the last year. You look at Oracle is another one, late to the party. Look at the massive backlog, up 450% quarter over quarter, right?

Frank Curzio 00:58

And we saw what happened to that business. You’re looking at Corning is another one, right? So you see more of these old-school legacy companies that are starting to come around and saying, “Hey, you know what? We really need to be part of this trend because the amount of money that’s being spent on this trend we’ve never seen. I’ve been doing this for 30 years. We’ve never seen anything like it.” And we’re looking at a trend that’s going to be $1.7 trillion, right?

Frank Curzio 01:19

And you could believe that it’s in a bubble. You could say, “Oh my God, it’s going to crash.” You could listen to Michael Burry or whatever he’s been calling for this crash forever in AI. The bottom line is there is massive spending taking place and it has to flow to someplace. And it’s flowing to a lot of companies. And if you happen to pick the right companies, you’re really going to kick ass in this sector,

Frank Curzio 01:37

which is kind of what we’ve been doing, starting with Dell, which is one that my buddy Daniel Creech actually has in our portfolios and very well. We’ll probably start there. But we’re going to provide you with lots of new names that you probably haven’t heard of.

Frank Curzio 01:50

And we’ve generated, if you look at our Twitter account, X account, FrankCurzio, some of the winners that we’ve had in this sector when it comes to Vivo and it comes to DGXX. I mean, these are monster winners we won very, very early. I interviewed the CEOs of these companies as well, which you get, which you’re not going to see every place. So we’re really dialed in.

Frank Curzio 02:08

We have great connections throughout people who actually build these data centers and companies that build these data centers, what’s in shortage supply. And we’ve gotten lots of great ideas in our AI portfolio and stuff that it’s just absolutely on fire. It’s going to continue if you’re in the right names. And I want to start there and introduce you to my buddy Daniel Creech. What’s going on, man?

Daniel Creech 02:28

What’s happening, Frank? Happy Friday.

Frank Curzio 02:29

So let’s start with Dell Technologies. That’s your stock. That’s your crystal ball stock. Let’s talk about it. It’s always nice when it’s really up a lot because, like I said, if you follow us for a long time, it’s your first time, you might be like, “Ah, these guys just pat themselves on the back.” We talk about our losers, not more than our winners, but I like addressing our losers. This way we show our mistakes and everything. But Dell has been a huge, huge winner for us.

Frank Curzio 02:50

Thank you, Daniel. Let’s start there with Dell. I mean, should people be buying the stock up 27% of where it is today? And granted, people are probably saying you’re absolutely crazy buying it at 300, at 250. I thought you missed it. And now we’re looking at it at a 400 price tag. It’s a lot of fun with Dell. If you brought up a year chart there, Joe, it’s pretty cool.

Daniel Creech 03:07

Yeah, I wouldn’t buy it today. But to answer your question first, it is not expensive. It is cheap still. And the reason I’ll say that is because, and this is kind of fun, Frank, because we talk about how your eyes can play tricks on you. You pull up this chart, there’s no flying Florida way you would want to buy this right now. You’d think, “Oh, we missed it and everything.” But we’ll back into this.

Daniel Creech 03:27

Frank, they reported blockbuster earnings. This is another quarter in a row. They threw out this number, $17.90. Now they did a plus or minus 20 or 25 cents, but let’s just hold on to this $17.90 number. Frank, you put a 25 multiple on that. The market trades at about 21 right now. If you put a 25 multiple on $17.90, that’s $447.50. Stock is well under that.

Daniel Creech 03:49

So the point is, I wouldn’t chase it today. If you’re in it, congratulations. But any pullback on this, if you still believe in the AI train, momentum, as Frank has talked about, that you should, this will be something to add to it. The funny thing here is that this is going to be a hated stock because the media is already out there saying, “Oh,

Daniel Creech 04:08

Michael Dell quartered Donald Trump early, and now it’s all paying off because they got $9 billion in a Pentagon contract.” However, this is an AI play. And as Frank has talked about, not only has he hit the nail on the head and we’ve been right on the power source, but as AI and the spending makes it downriver from power generation to the end user and AI for whatever you’re doing that,

Daniel Creech 04:29

these guys are smack dab in the middle, Dell. Frank, if you remember, a few weeks ago, we were joking about this. Remember when Nvidia either did their latest conference call or a big conference and they named two companies? They said, “We can build AI everywhere because of two companies.” Those two companies were Dell and Palantir. And Palantir has been on an absolute tear the last couple of days.

Daniel Creech 04:50

I think it was up 8% today. But that’s been doing very well, both Dell and Palantir in the CRA portfolio.

Frank Curzio 04:56

Early. When did you recommend Palantir? Very, very, very early.

Daniel Creech 04:58

Yeah, we got a good price on Palantir. It’s been there a few years, but we’re in around 25-ish.

Frank Curzio 05:03

Yeah, 157.

Daniel Creech 05:04

Yeah, that’s a good winner. We took half off earlier, but the second half is up 400-plus percent. So that’s a good one. Dell is up over 120% in a month. And just quickly here, Frank, and I’ll hand it back. If you recall, Dell came out with fourth quarter numbers, just blockbuster numbers. And we talked about this on the podcast, and the growth was just unbelievable,

Daniel Creech 05:24

and the stock really wasn’t doing a whole lot. Well, come March, right after the Iran-US war breaks out, I went on to our Curzio Research Advisors, Frank, and I was talking to Frank about this. And I said, “Hey, I’m not recommending anything until the Strait of Hormuz opens up. But if I were, I would recommend Dell.” And I talked about Dell in March. Fast forward to April last month, I said, “Okay, I give.

Daniel Creech 05:46

Dell’s up 20%. I’m going to jump on this train.” And now we’re up 120% from then. Yes, this is bubbly-like market, but that does not mean that the bubble is going to end anytime soon. So do not listen to that kind of stuff again. Every time you think of the word bubble, go back to the Dell 17.90 times 25. And if you don’t think,

Daniel Creech 06:05

and we can get into this, I’ll hand it back, Frank, but if the market’s trading at 21 times and growing earnings at roughly 20%, a great conversation is, what multiple above that does Dell deserve when they’re growing earnings by 70, 80, 100%? And that’s for investors to hash out.

Daniel Creech 06:23

But Frank, we’re already in it and love it for subscribers.

Frank Curzio 06:26

Yeah. And people talk about, you know what? It’s so funny because if you want to talk politics, you want to hold up a sign, do whatever you want. I don’t really care. But I can tell you, when it comes to politics, it’s about you. It’s about your family. It’s about making money. Signing a deal with Donald Trump is the greatest thing ever. And we’ve been all over this trend since the Middle East, and he brought all these companies with him, including Alcoa.

Frank Curzio 06:46

I’m like, “What the hell is Alcoa doing there? We recommend Alcoa.” It opens up the door, right? It provides this bridge to more money coming in. Even Mark Cuban realized that, right, who didn’t like him, and now he has healthcare companies. You want to be on the side of politics. And I don’t care if you hate the guy, I like the guy. If you hate money, that’s up to you. You know, curly hair, purple, and go yell at the world if you want. I don’t give a shit what you do.

Frank Curzio 07:04

But I’m just saying, what we do here is try to make people money. You want to be on the right side of politics, and if you’re in that circle, it’s great for you, especially through the AI trend. So good for Dell. I mean, Dell did a great job. If you realize, I don’t know if you remember, early on in this trend, they were getting their ass kicked, and they provided all these systems that said, “Hey, we want to show that we could do this.

Frank Curzio 07:22

Let’s provide a product that works for all these hyperscalers.” And then they provided it, and their margins were horrible back in the day. This is like probably a year and a half ago, I think. And just their competitors are doing much better. And I was like, “Wow, these guys really can’t.” And all of a sudden, it switched. You listened to the quarter, and another quarter came out, and you saw the margins going higher. I’m like, “Wow, these guys have pricing power.

Frank Curzio 07:42

They have a system that everybody wants that works, and now they could charge more for it.” And then you saw this switch out of other companies and into Dell, whether it’s Hewlett Packard and some of these others as well. But to me, it’s really incredible to see this company really take off and what they’ve did. And great pick by you. We also have Palantir. And what’s the next generation?

Frank Curzio 08:01

Because, Joe, hit it. What do we need? No matter what. We’ve been saying this for how many years?

Speaker 3 08:06

I need more power.

Frank Curzio 08:08

Okay. The power requirements, we’ve been all over this. There is a crisis right now, and people don’t want to talk about it, and that’s okay. The hyperscalers know it. And if you want proof of this, it’s one thing I could tell you, for everyone who owns Bitcoin, we’ve been a big fan of Bitcoin. You have to watch out for Bitcoin because all the Bitcoin miners are selling Bitcoin right now,

Frank Curzio 08:28

and they should because they had this strategy. And being a Bitcoin miner is probably one of the worst models that you could have in a business because you can’t scale. It’s unscalable because you have to spend more, right? You have to buy more equipment. You have to buy more power, right? And power gets more expensive in order to increase that. And now that every four years, you have the halving, so your margins get cut in half. So you’re sitting on all these Bitcoin miners that are like,

Frank Curzio 08:48

“Okay, we’re going to buy Bitcoin and hold it. And hopefully, Bitcoin goes up to the moon. If it doesn’t, you’re screwed.” Now what they’re doing is, by luck, they happen to own a lot of their power and their power plants. And now they’re looking at another trend and watching these hyperscalers going, “Holy cow. You have Amazon spending $200 billion this year.

Frank Curzio 09:07

You have Google spending pretty much $200 billion over the next 12 months. You’ll look at $800 billion total from the top five, six hyperscalers. And this money is flowing in. This is a trend that’s not going away anytime soon.” So what are they doing? They’re selling their Bitcoin, and they’re changing, right? They used to have tier one, which is Bitcoin mining.

Frank Curzio 09:27

That’s about Bitcoin mining. They’re changing to tier three, and they’re switching it over. And there’s a cost to do that. But every megawatt, and I don’t want to get too complicated, every megawatt’s probably worth a million dollars in Bitcoin mining tier one. In tier three, that can go to $10 to $15 million. It’ll cost you $3, $4 million to build, though. But now they see a long-term trend.

Frank Curzio 09:46

They got lucky to sit on power. So they’re like, “Okay, we’re going to fund this by selling our Bitcoin.” So you wonder why. Why does Bitcoin keep crashing? And the market’s going higher. Usually, it does well. This is why. You used to have these Bitcoin miners buying and holding all the time. Almost every one of them across the board is selling, and they’re using that money, which they should, to go into a much better trend that’s more sustainable, that’s more scalable.

Frank Curzio 10:05

And now the companies that have done this have done incredible. We’ve been all over this. There’s two companies. One of them is Digipower X, DGXX. You want to bring up a chart? This is a company we have as a cost basis at $1.60. I’ve interviewed the CEO. People were pissed off. They were all over X. The stock was all the way up, and then it came all the way back down at Digipower.

Frank Curzio 10:25

And it was two recently. I think this is like two and a half months ago, three months ago, because they created the vision to take care of all the costs. Now, Oracle did the same thing. Everyone was like, “Wow, their backlog’s up through the roof. This is great.” And then they remembered and said, “Wait a minute. This isn’t software. This is hardware.

Frank Curzio 10:39

Where the hell is Oracle going to get all this money?” So you saw the stock go up tremendously, and then it came down because they were worried that they had to raise money. DGXX saw this and said, “Okay, let’s pull out a division. This way, it’ll take care of the costs. We don’t have to dilute the stock.” And everyone thought like they were taking out the good part of their company, and the CEO was lining himself up and making a ton of money. And everyone’s like, “Frank, you’re a fraud.

Frank Curzio 10:59

This is what you do with a lot of the assholes. I don’t care if I put something on an X and I’m right or wrong. So if I’m right, that’s good. Everybody’s happy. If you’re wrong, listen, it’s open season. You can rip me apart. Hey, Frank, you said the stock’s going to go high. That’s fine. You’re right. But don’t ever call me a fraud, okay? Because that’s out of bounds. If you call me that, you’re gone. You’re an asshole. You go after yourself because I’ve been doing this for 30 years,

Frank Curzio 11:18

and it’s so easy to be a fraud and do some of the shit that everyone’s doing, and whether it’s SPACs or whatever, and make a fortune off of everyone. That’s not what we do here, right? So we interviewed the CEO at two bucks, told the story, and look where the stock is right now. This is like two and a half months ago, right? This is a little before May. It came down to two. And look where this stock is. Why? Because they had the power. Need more power.

Frank Curzio 11:38

They actually combined. They went from tier one to tier three, and now they have 200 megawatts of total power. They sold 40 megawatts of power to Cerebros. And this is a contract that could be worth up to $2 billion. I think it’s $1.4, $1.2 billion. It’s a small company. And this is just 40 megawatts of power, right?

Frank Curzio 11:56

A colocation deal where Cerebros is going to rent the services probably for OpenAI because they signed a deal with OpenAI for 170 megawatts or something that they have to provide. 700 megawatts they have to provide. So they’re on the lookout for megawatts because they need power. They need energy, right? And look at, there it is. Digipower.

Frank Curzio 12:15

Just keep remembering that forever because I’m going to go over some statistics that are crazy. Another one, Daniel, that we have is Vivo Power. If you pull that one up, these guys secretly built 350 megawatts of power in the Nordic. No one’s paying attention because it’s the Nordic. This is a company who recommended it too. This is a company that’s going to be probably $15 to $20. These guys announced that they are in the middle of signing a deal.

Frank Curzio 12:36

They’re about to sign a deal next month. And if you have the megawatts of power and you’re these type of companies, and Nordic is great. They’re in Finland, and it’s lower-cost power. It’s a lot cooler there. And now you have KKR going out. You have Meta, Microsoft. Again, they need the power. They need megawatts. They need gigawatts. Everybody needs power or the power AI.

Frank Curzio 12:57

Just to put this in perspective, this isn’t large language models. That’s yesterday’s news. That’s like 20 years old. Now you’re looking at Agentic AI, which were probably in the first to second inning. Then you’re looking at different applications for robotics where you’re looking at what did Elon Musk throw out there? Your favorite guy, Daniel. How many robots? I get it? Like 10 billion robots by whatever, five years.

Daniel Creech 13:16

Gazillions.

Frank Curzio 13:17

Yeah. Say if it’s a billion robots. Say if it’s 100. They’re all AI. They’re all going to, when you’re constantly learning, the amount of power compared to a large language model, which is already like 15x of a regular search for Google, it’s like 50x. And now you’re looking at 100x. We just don’t have the power. So all these companies supplying power,

Frank Curzio 13:36

they’re in a position for the first times in their life where they don’t have to look for the hyperscales. The hyperscales are running to them, saying, “We need your power. Whatever we want to do, we’re going to sign it.” And then you have Vivo, 350 megawatts of power. They’re going to sign a colocation deal. They actually announced that they have a finalized process. It was an over-demand, and now they’re going to announce the actual person, the actual company. And in June,

Frank Curzio 13:56

I think, which is next month, which is, I think, in a couple of weeks. I think they said towards the end of June. But Vivo is another one that I really love. But Daniel, I mean, this power thing we’ve been on, I’m going to share some stats in a little bit, but I want to throw it over to you because I know you’ve been on all those with Dell. I know you’re looking at a lot of other names that you like as well, so.

Daniel Creech 14:13

Yes, sir. I like Corning a lot. They blew out the numbers on their recent quarter, and they’ve got a lot of partnerships with Nvidia and stuff. The PE is not near as attractive or exciting as Dell. It’s over 40, I believe. So I would caution you there. But this is one of the companies that has what I like to call solid headline risk,

Daniel Creech 14:32

meaning just like we’ve seen with different announcements around the Trump administration and taking investments and such, Corning has a lot of positive headlines coming out right now with its partnerships and all that kind of thing. And I think that that is the risk to the upside, not the downside. Yes. Could you have some situations come out where there’s projects delayed or spending cut? Yes.

Daniel Creech 14:51

And that is a risk. I just don’t think that’s a very high probability right now. So I do like Corning a lot. I’m big on the energy side in general, but Corning is another one. And then STM. This is one we picked out of 13Fs from the old Stanley Druckenmiller. STM, if you look at this, this has had an unbelievable run. I’d wait for a little bit of a pullback,

Daniel Creech 15:12

preferably over 1% than it is today. But look at that chart there, Frank. How would you like to have that thing?

Speaker 4 15:18

Yeah. Look at that thing. Wow. I mean, there’s a lot of names that have just really been killing it, which is incredible. Again, with Dell’s numbers coming out too, it was just amazing to see the Hewlett Packard is doing well, and everybody else around it doing well. SMSI was doing well. But what you want to do here is you want to find what they need, right?

Speaker 4 15:39

And it’s not just the power. It’s what’s in short supply. Well, memory. Look what happened to memory. And people point to Micron, but you could look at that whole entire sector is on fire, right?

Speaker 4 15:48

So you want to find out how because we’re at a phase where they’re spending so much money. They want to find productivity gains, which is what AI is all about. How do you find productivity gains? How do we lower costs? How do we increase output by lowering our costs? So anyone providing new products, if it switches, it’s Celestica was another name that we had massive, massive returns.

Speaker 4 16:08

I forgot we recommended that stock, Daniel. It might have been in the 20s or 30s, and it went to like 300 or something. And we sold it. And I think we re-recommended it. Now it’s wherever it is, Celestica. But you have to find and having contacts that actually build these data centers all over the world. And we have people that subscribe to our newsletter,

Speaker 4 16:30

our one membership. It’s a credit investors and stuff. And we have a conference every year, which is really cool. But these guys show up at the conference, and they talk about these projects and everything and what’s going on. Again, I don’t say their names or anything, but they help us tremendously in saying, “Hey, we need this. We need that. We need power. We need this.” And it’s not just regular power because Jeffries just reported. They just have a report that came out today.

Speaker 4 16:50

We have access to a lot of research. A lot of people don’t. Please listen up. This is important, and this will make you a fortune, okay? And you can thank me later and buy me beer if you see me. The data center outlook for Q2 is falling tremendously behind. Projects are getting delayed. It’s not because of the money. It’s because of the sheer size.

Speaker 4 17:06

We are looking to increase our gigawatts, not megawatts. Gigawatts, right? This is 1,000, right? Megawatts is a gigawatt. 102 gigawatts have been announced since 2024. A lot of this needs to come online by 2028, 2029. That’s a shitload of power, guys. It’s a massive amount of power.

Speaker 4 17:25

Now they’re currently expecting just 41 gigawatts to come online out of the 102. They don’t have the employees. They don’t have the manpower. It still bumps in the road when it comes to regulation. I think Texas is the biggest, and you had Virginia second, but now Pennsylvania is becoming one of the biggest hotspots for data centers.

Speaker 4 17:46

The mega products, those are the bigger ones. The mega projects, those are the ones that have seen the biggest delays. And they’re citing what they need the most. And they’re saying that they’re having trouble when it comes off-grid. So when you have the grid and you’re attached to electricity, right? You have your grid, and you have all this power.

Speaker 4 18:06

You have the power flow, power flow. And then when you have prime power during those key moments, right? So those key moments when everybody gets home or if it’s summertime, it’s called this peak, right? So when you hit peak, you got to be very, very careful. When you hit peak, when you look at AI, this is nonstop, right? 24/7 basal power. We need more power, more power, more power, right?

Speaker 4 18:25

So now they’re having during peak, you need other ways to power AI that are off-grid. And they’re having trouble with that section. And it’s hard to manage. You don’t have the experienced teams. You look at XAI. They’re 11% utilization rate for their GPUs because of those issues with chillers and turbines and stuff like that.

Speaker 4 18:46

This is being reported by Jeffries. Getting the equipment, these are very big issues. So any company that could solve that problem where you have this stationary power that works, look at Bloom Energy with fuel cells. That’s one that we recommended that we’re up over 1,000% on, right? We recommended that very, very early. Bloom Energy’s BE, one of our best holdings, right?

Speaker 4 19:07

Again, just being early to this trend is nice because when we’re up 600, 700%, I love to see my buddy Jim Kramer, who I work for. I love to see on CNBC where they’re like, “Oh my God, this company is great. We’re up 600% on it.” It’s the greatest feeling in the world. Trust me, it’s the greatest feeling in the world. When people recommend your stock that you’re up 600% or 700% on. So what are some other off-grids, right?

Speaker 4 19:26

Daniel, if you’re looking at some of these companies, and there’s a couple I want to share with you that I think you know a little bit about. And I never thought I’d say this in my life, but they’re solar companies. And I hated alternative energy because whenever you have to subsidize anything, it’s all about the government and stuff. These companies are now printing money. And I’m not talking about the solar panel companies.

Speaker 4 19:46

We know that solar has been cut, and subsidies have been cut under this administration. It’s BESS. It’s battery energy storage systems. The companies that can provide that, which is the power to three, four hours when you’re at peak power and you’re able to use this for, again, a certain amount of time, these companies are seeing massive demand.

Speaker 4 20:05

Look at Next Power NXT. You want something that could be a big winner? I’m giving this away, and people who have a crazy AI newsletter are probably like, “Frank, you’re giving a shit away.” We’re up like 50, 60 percent of these stocks. That’s why. And hundreds of percent. Those are the ones I’m giving away. I’m not giving away any new picks, okay? For people that pay a lot of money for a newsletter. This company just raised guidance just the other day.

Speaker 4 20:26

They help data centers maintain power during those peak demands at grids. A $5 billion backlog of business at just a $23 billion market cap is trading at 33 times forward earnings, printing money, huge margins. Again, this is a solar company, right? Because now you’re looking at the battery storage component.

Speaker 4 20:47

It’s cheaper than turbines, than gas turbines. It’s cheaper to use solar. Economical. I never thought that I’d say that solar is economic. It has better economics than anything or alternative energy. Now you have Next Power NXT. Another one, Daniel, is Scholl’s. SHLS. This is one, I think, could really, really skyrocket from here.

Speaker 4 21:08

If you pull up a chart, the solar companies had to take a step back, and they all got hit in March pretty hard. We recommended this before March, and then we were up, and then we’re down a little bit. Now up, I think, 50, 60 percent on this name. This is a stock. What’s the market cap on this, Joe? If you go down, look at that chart. That’s a crazy chart. It’s just $2 billion. Okay. You have a $2 billion market cap.

Speaker 4 21:26

It’s trading at 26 times forward earnings. These guys are starting to print money. Now you saw that just there’s downturns, but this is why. The last, if you put up six months, Joe, I mean, even after that downturn, and we saw it out with a couple of solar stocks, and I was like, “Listen, let’s maintain here. I think we added to our position.” And this stock has taken off ever since.

Speaker 4 21:47

A backlog of $750 million and growing, right? So now you’re seeing these companies really starting to grow. They raised guidance significantly. They’re expecting $580 million, now expecting $620. Again, this is a $2 billion company trading at three times sales, right? Trading at 26 times forward earnings.

Speaker 4 22:05

This is a name that’s going to see massive demand because all the hyperscales are in dire need for this technology, right? So we got Scholl’s. You have Next Power is another name. So these are the next generation of power names right here that I feel like no one really knows these and talk about them because they see solar. It’s not just solar. It’s the battery energy,

Speaker 4 22:25

the storage, battery storage, which is called BEST. That’s for AI. That’s for data centers. And this part has really taken off, Daniel. So just pay attention to those statistics because we’re really behind. We announced a lot of projects. They are in dire need of power. Anthropic, look where Anthropic is. It’s now bigger than OpenAI. Look at OpenAI. Look at all these massive systems that keep competing with each other. They keep getting better every month they come out with a new system, whatever it is.

Speaker 4 22:46

You look at the charts and the leaderboards and the large language models to show you which ones are the best systems. They keep coming out. They keep coming out. And as they come out, just know they need more and more and more and more power as these things get smarter and AI is working off of AI now. They’re not just analyzing past stuff on the internet. Everything new is being analyzed, and they’re learning from this and creating outcomes, right?

Speaker 4 23:08

And that takes a lot of work because they’re constantly learning every single second, millions of data points. And man, this thing is getting crazy now, but you’re going to need more power for all of this. And these are some of the names that are going to benefit, so.

Daniel Creech 23:19

Yeah. I think these will continue to benefit. We’ve talked about power generation, everything from turbines and GE Vernova and independent power plays like Vistra and such. But a lot of the megawatts or gigawatts, however you want to look at it, that are coming online to satisfy the power demand are between wind, batteries, and solar. So you haven’t missed this.

Daniel Creech 23:39

Of course, anything can pull back and such. But again, as Frank said, the main ingredients to run AI is power, and you need more of it. And it’s not just going to come from natural gas or oil, which I’m incredibly bullish on. But again, when you look at even the gigawatts that are coming online this summer as we ramp up for peak energy and such,

Daniel Creech 23:59

the main driver behind the gigawatts is wind, solar, and batteries. So yeah, spot on on that. And it’s good to see those charts finally breaking out and taking off.

Speaker 4 24:08

Yeah. And you know what? Even the optic companies that Nvidia is investing in to increase the speed and GPU to GPU, there’s one company that’s really cool. And this is a James Altucher company.

Speaker 4 24:23

And to be fair, this used to be a treasury company, and they switched it because it was a I don’t know if it was a SPAC or a reverse merger. And now that they just bought technology from Copen, which is pretty amazing. Look, CoreWeave did the same thing, and people all over CoreWeave, “Oh, this is a shitty company,” whatever. They transferred it into the right industry. Just like Bitcoin miners are sitting in the right industry, right?

Speaker 4 24:42

I wouldn’t go and buy some of these crazy Bitcoin miners that have really run shitty and diluted the crap out of investors, some of the early ones. But the ones that we like are really DGXX, who’s been transferring these assets from Tier 1 to Tier 3 a while ago. But in terms of you’re looking at the market where CRDO is a big company.

Speaker 4 25:03

This is like the connection using copper wires and stuff like that, interconnections and electricity. And ALAB is another one. These are two big companies that control that. But Fabric AI is a company, FABC, down a little bit today.

Speaker 4 25:16

But if you just pull up a two-month chart, three-month chart, you can see that this stock was 2 and went to 5 right away because the deal that they just signed with Copen with their technology is for micro LEDs, which they have this technology that could be 5 times or 100 times faster than what CRDO, which has a $20 billion plus market cap, ALAB has a $40 billion plus market cap.

Speaker 4 25:39

So copper wires is lasers, right? These one channel at a time, basically each channel is one wire or one fiber. And you’re looking at micro LED channels are per pixel. So a 2,000 by 2,000 micro LED is 4 million potential channels. What you’re saying here is more speed, faster, more efficiency.

Speaker 4 25:57

And this is why Nvidia is investing so much money in this space. And this is kind of an under-radar name. You might look at it and say, “Okay, the transfer from Bitcoin Treasury, and this is going to be ” and now they focus on this. But they had a lot of money raised, and they switched strategies, and now they bought this technology from Copen. And you have a lot of insiders in there who really know what they’re doing. This is a name that I’m looking at right now, Fabric AI, FABC.

Speaker 4 26:17

But this is one that could really, really, really take off here if they get this right because they do have the technology. And again, all these hyperscales are really looking for ways to improve their business. So these are small companies. A lot of them are risky. But we recommended them when they were really risky, saying that they’re going to sign huge deals. And look at Digipower X and recommended that under $2.

Speaker 4 26:38

And look where it is now. It’s incredible. It was just 8. It’s a little under 8. And they signed a billion-dollar deal, right? This is a tiny little company with a $30, $40 million market cap. Vivo as well. We saw them putting together all these assets and 350 megawatts of power. Now you have all the big companies are looking for them.

Speaker 4 26:54

But with the statistics that I showed you with OpenAI and how they’re hiring companies like Cerebras to go out there and say, “Hey, just get your ass out there, and we need megawatts. Purchase energy any way you can,” that opens the door to Vivo. That opens the door to DGXX. Again, it’s just 40 megawatts of the 200 megawatts.

Speaker 4 27:15

And that’s not even talking about GPU as a service, which is NeoClouds and stuff like that. And this is like the co-location deal where your company you have a company like Google or OpenAI comes in and rents that whole space, right, and brings in their own equipment and stuff. But Vivo is there, 350 megawatts of power.

Speaker 4 27:35

This company is incredible. And I think you’re going to see really good things out of it. All you need is for them to sign one deal. Even Iron, you see these companies. Once they sign one deal, you know they’re real. A lot of other companies I have looked at, they have the power, but they’re still transitioning. They just diluted the hell out of shareholders, some of these other companies and the larger Bitcoin miners I would stay away from.

Speaker 4 27:55

But right now, Vivo and DGXX are my favorite plays in this. And I don’t know if you have any more that you wanted to share. But we just wanted to share, give you an update. Dell’s on fire. We’re talking about a lot of stocks that are on fire to really kick an ass. And a lot of our investors have been in so early and really killing it. For me, it’s not about patting on a back. It’s what’s the next generation, right? How can we help you?

Speaker 4 28:14

Where are we looking next, right? And that’s how your mindset has to be as investors. What’s next? Yes, you made money. Okay. High-five. Buy yourself a car. I don’t know. Whatever you want to do. I don’t know. Hook as coke. Whatever you want to do, do. That’s up to you. More personal feelings. Go have fun with yourself. But for us, it’s how do we make you money? What’s the next stage of this? And from what I’m seeing right now, Fabric AI,

Speaker 4 28:34

optical components, which is huge, Scholl’s and Next Power are just beginning their runs. And they have technology similar to BE.

Speaker 4 28:42

When I said, “Okay, all these companies and with SMR technology and stuff,” I’m like, “This isn’t even scalable yet.” I mean, it’s in submarines, but it’s not even scalable yet. There’s this nuclear technology, which is portable. BE with the fuel cells has technology that’s scalable. And I was like, “These guys are going to kill it.” Granted,

Speaker 4 29:02

I didn’t think it would go to $300 a share when we recommended it at 20s and wherever. I think we still have a small do we have a small position? We sold it.

Daniel Creech 29:09

You sold it.

Frank Curzio 29:10

We sold the whole thing. Okay. Good. We sold it. We sold it at a very, very nice price, high twos, I believe. So you’re looking forward into what’s the next generation, Next Power, Scholl’s. I mean, these technologies work, right? You missed BE, that’s fine. Okay. We sold. You missed Celestica, that’s fine.

Frank Curzio 29:28

Okay. I still think DGXX has a ton to run because it’s only 40 megawatts of power compared to 200 that they have and 400 at full capacity.

Frank Curzio 29:39

And then you also have Vivo, right? And then you look at Scholl’s and Next Power. Those are some of the companies and also Fabric AI, FABC. So those are some of the ideas that I wanted to share with you. But this is a next generation of power that we’re looking at. What’s working for these guys? And once it works, these guys are writing you a check immediately.

Frank Curzio 29:57

I’ve seen these contracts two years ago where they were locking in electricity for some of the big electricity companies for the grid. And they had a 75% increase in price year over year for three years. So they said, “Okay.

Frank Curzio 30:13

If you sign now, Microsoft, if you sign right now, it’s going to be a 75% increase in power prices for three years.” And Microsoft couldn’t sign it quicker. And this is years ago. That’s how bad they need power. So much so that they’re investing in SMR technology that’s not even available yet, right? They’re investing in Three Mile Island that’s going to open another four years from now that you still need local,

Frank Curzio 30:35

federal, all kinds of approvals, state approvals, which who knows if you’re going to get. And then they locked in 20 years of power, Microsoft, after that. If that doesn’t tell you how much dire-needed power they need, there it is. I mean, who the hell locks in 20 years of power that’s not even available yet? That’s not even available for another five years, and you haven’t even got the government approvals. If you find these companies, that’s what we’ve been doing.

Frank Curzio 30:55

We’ve really been kicking ass in our portfolio, making monster gains. I own my own cooking. So when stocks go down, I get hit as well. I own a lot of these companies. I’m very, very, very, very, very happy right now. Just know if these stocks go down, I’m probably going to lose a lot more money than you’re losing. On the flip side, I’m probably going to make a lot more money, which I’ve been doing, which is really, really cool because we’ve been in this early. We have great contacts.

Frank Curzio 31:14

And this is the next wave. So we wanted to just jump on a live call and tell you guys. And Daniel, you’ve been doing a fantastic job as well just covering this industry. And that’s your pick. That was Dell. He’s like, “Oh, I’m recommending Dell.” I’m like, “Yeah, Dell’s pretty cool.” He’s like, “No, I really like Dell.” I’m like, “Okay.” And sure, Dell’s up. So yeah, I have my name on the door, so I’m going to take credit for it, but.

Daniel Creech 31:32

As you should.

Frank Curzio 31:34

That’s all I’ll say. That’s good. We got your name on there. It’s almost like The Coach, right? You take credit for everything. That’s it. You take credit for everything. But you do take credits for the losses, right, when things go bad, so. But yeah, I don’t know if you wanted to finish off with anything else. We just wanted to report with you with a couple of names. We did this months ago. And if you listen to us, if you listen to our interviews,

Frank Curzio 31:53

again, we’re not just spilling out names that you’re going to see with people pumping all over the exec camp. We’re interviewing the CEOs. CEOs come to us and say, “Frank,” and then I go over the whole entire story at my Wall Street Unplugged podcast, which we’ve been doing for 15 years. I think we’re up to 23 million downloads in over 130 countries, which is fantastic.

Frank Curzio 32:12

I just really appreciate the support. It’s no BS. There’s no one above me, right? So there’s no one above Daniel. We say how we feel.

Daniel Creech 32:18

You’re above me, Frank.

Frank Curzio 32:20

But we don’t care. It’s basically we go whatever our thesis is. We don’t care who we offend. If we disagree with someone, we disagree with them, right? There’s no like, “Oh, you got to support this agenda.” There’s no agenda, right? It’s making money, right? So we don’t give a shit about the politics. We don’t give a shit about whatever you’re thinking about, whatever. All we care about is giving you really good ideas. That’s how we built our business. And that’s worked for us.

Frank Curzio 32:40

And I think people look for people they could follow, they could trust. And that’s how we’ve built our reputation on this for over 30 years. So by giving you good ideas and then hopefully you guys subscribe to our newsletters, which a lot of people have been doing lately, which is really cool. So questions and comments, I’m here for you, frankkerseyresearch.com. Again, we’re going to offer all of our products under one umbrella now.

Frank Curzio 33:00

It’s changing the whole industry around instead of offering a bunch of products. This way, you get access to all of our recommendations, not just through AI, but small caps, large caps, across the board, and combining all of our services, which is going to be called Curzio Alpha. So we’re really looking for just one price point instead of subscribing to another place. And one guy has 19 newsletters, and they charge you $3,000 each.

Frank Curzio 33:20

Ours is just going to be $2,500 for all of our picks, all of our services. We’re going to have a live event every Friday going over portfolio, recommend stocks whenever we want, not on a schedule. This way, however we see fit. So it’s going to be really, really cool. I’m really looking forward to that. Text alerts and everything, special interviews before they get released on our podcast.

Frank Curzio 33:37

You’ll get them released on that first, especially interviews of the stocks that we have in our portfolio because I talk to almost all the CEOs for the stocks in our portfolio, at least most of them, especially small caps. But looking forward to a lot of good things with Curzio Research going forward. And I know Daniel is too. So I don’t know if you want to finish off with anything, Daniel, any other picks, even though we just gave away what?

Daniel Creech 33:57

Nope. We just gave away aplenty.

Frank Curzio 33:58

Free picks. And track us. Follow us. Let us know how we’re doing. I believe in accountability, right? I never wrote a newsletter for the last 30 years that you can’t find, right? I don’t care if it’s wrong. I like to look at what we’re wrong on and how we can get better and stuff like that. So that’s how you build a reputation is by accountability.

Frank Curzio 34:18

I just hate when people go on and say, “You know what? AI, it’s really hot right now. It could crash, but it could go higher.” Fuck is that? That’s the most meaningless thing in the world, right? It’s like, “It could go higher, but it could go lower.” No. Right now, we just see everything in AI. The money is fueling this, guys. The money is fueling this trend. It really is incredible when you just see how big this trend is.

Frank Curzio 34:39

And people who are comparing it to 1999 are pretty much idiots and don’t understand because all you have to do is not look at where the stocks are going. Look at where the profits are. Look at the profit margins in today’s market in the last three years, and look at the profit margins in 1999, 1998, 1999, 2000. You’re going to see the market going up and profits going down.

Frank Curzio 34:59

This is a different trend. You’re seeing the market go up, and you’re seeing profits absolutely take off, right? This is totally different, right? You have Dell 30 times earnings, up 30%. It’s not an expensive stock, even though it’s up 30% today because their earnings are growing along with their stock price. So it’s a lot different. Some things might get frothy. You could see a pullback, and that’s fine.

Frank Curzio 35:17

Be careful with taking profits in some of our names with S&P 500, bid up what? How many weeks in a row, Daniel?

Daniel Creech 35:24

Eight.

Frank Curzio 35:24

Eight weeks in a row we’ve been up. And be smart. That’s why we took some profits in some of our newsletters. But be prepared because if we do see a pullback, there’s no stopping this money, the money flowing into energy, the money flowing into AI. It’s just a matter of finding out where that money is going to flow to. If you pick the right stocks, you’re going to make a fortune. And this is a great market to do so. So we’ve been doing it for our subscribers.

Frank Curzio 35:44

We plan on doing that going forward. And thank you for all your support. So Daniel, email if anyone wants to contact you.

Daniel Creech 35:49

Daniel@curzioresearch.com.

Frank Curzio 35:50

And once again, frank@curzioresearch.com. Thanks for listening. Tune in for our live broadcast and to visit us, go to CurzioResearch.com. I’ll check you guys out later. Thanks.