HONG KONG, Aug 24 (Reuters) - The term "flexible employment" has gone viral in China after a prominent economics professor described gig work as a form of "welfare", drawing widespread public anger and highlighting deep ‌anxieties over job insecurity.
Zhang Dandan, a professor of economics and deputy dean at Peking University's National School ‌of Development, made the remarks during a discussion on social protection for gig workers, on the popular financial show "Let's Talk" last week.
She argued that from the perspective of labour economics, "flexibility itself is a form of welfare."
While regular employees trade schedule flexibility for pensions and other benefits, flexible workers enjoy greater control over their time at the cost of weaker social protections, Zhang said.
The comments triggered a fierce backlash over the weekend, with social media users accusing Zhang of being oblivious to the harsh ‌realities of the gig economy.

#economics #form #welfare #flexibility

Aoris Investment Management, a specialist international equity manager, released its Q2 2026 investor letter for "Aoris International Fund". A copy of the letter can be downloaded here. The fund invests in high-quality, wealth-generating businesses managed by prudent and capable teams, targeting an annual return of 8–12% after fees over a 5–7-year market cycle. During the June quarter, international equity markets, as represented by the MSCI AC World Accumulation Index ex Australia, returned 13.8% in AUD terms. In local currencies, the return 15.1%. The Portfolio's Class A (Unhedged) returned 5.7% after fees, underperforming its benchmark by 8.1%, while the Class C (Hedged) gained 6.7%, 8.4% less than its benchmark. The June quarter continued to reflect an unusual year, marked by significant share price increases among AI infrastructure companies, particularly semiconductor producers and data center suppliers. Economic sectors like banks and commodity producers saw gains, but the firm chose not to invest due to their cyclicality and low growth prospects. Conversely, concerns about enterprise software and data companies, challenged by AI, negatively impacted performance. The letter outlined potential incremental opportunities for portfolio companies through AI. Additionally, reviewing the Fund's top five holdings could help identify its best picks for 2026.
In its Q2 2026 investor letter, Aoris Investment Management highlighted InterContinental Hotels Group PLC (NYSE:IHG). InterContinental Hotels Group PLC (NYSE:IHG) is a leading hospitality company owns, manages, franchises, and leases hotels globally. On August 21, 2026, InterContinental Hotels Group PLC (NYSE:IHG) closed at $159.91 per share, reflecting a market capitalization of $23.55 billion. InterContinental Hotels Group PLC (NYSE:IHG) posted a one‑month return of 0.25%, while its shares gained 32.18% over the past 52 weeks.
Aoris Investment Management stated the following regarding InterContinental Hotels Group PLC (NYSE:IHG) in its Q2 2026 investor letter:
"InterContinental Hotels Group PLC (NYSE:IHG) is a brand owner and franchisor of global hotel chains, including Holiday Inn, InterContinental and Crowne Plaza. Hotel owners pay IHG a franchise fee in exchange for access to its brands, loyalty program, and IT systems to help manage their properties, reservations and pricing. IHG franchisees earn better economics than independent hotels, which is why an increasing share of new and existing hotels are choosing to partner with IHG.
IHG's technology systems are a core advantage over smaller chains and independent hotels. AI can widen this gap through improvements in its search functions, booking process, customer service, pricing, marketing, and operational efficiency. For example, IHG is developing AI-powered conversational search to help guests book properties and receive more detailed information about its franchisees' rooms and services.…" (Click here to read the full text)

#inves

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In today's challenging restaurant environment, operators are under constant pressure to grow sales while managing rising food, labor, occupancy, and operating costs. While much attention is placed on pricing, promotions, labor optimization, and food costs, one of the most powerful tools for improving restaurant economics is often overlooked: the menuboard.
The menuboard is one of the most important points of communication between a restaurant and its customers. It does more than tell customers what is available and what it costs. A well-designed and strategically optimized menuboard can greatly influence product selection, increase average check, improve throughput, reduce decision friction, and make the operation easier to execute. When these benefits are considered together, the return on investment from menuboard optimization can be substantial.
A menuboard should be viewed as a "silent" salesperson that serves every customer, every day. Unlike a traditional advertising investment, the menuboard goes to work at the precise moment a customer is making a purchase decision.
Its job is to answer three fundamental customer questions quickly: What can I order? What looks appealing? What represents the best value for me?

#menuboard #costs #customer #optimization

Steve Hanke earned the moniker "Money Doctor" after advising governments across the globe on how to use currencies to get inflation under control.
The professor of applied economics at Johns Hopkins University is now helping Venezuela and has been named a special advisor to a leading member of the country's National ******* embly.
He told Fortune's Shawn Tully that his solution for Venezuela's 400% inflation is full adoption of the U.S. dollar, meaning bolivars and the central bank would be abandoned. The idea is to remove the risk of a central bank printing money to help the government pay its bills, stoking higher prices.
"Taming inflation is the key to restoring stability in Venezuela, and all the other progress flows from that," Hanke explained. "Stability isn't everything, but without stability, which means stable prices, you have nothing. And there's no better case study showing that's true than Venezuela."
He should know. The Money Doctor persuaded Montenegro in 1999 to dump theYugoslav dinar for the Deutschemark. He also oversaw Ecuador's switch from the sucre to the U.S. dollar in 2000, marking the first dollarization in Latin America since Panama a century earlier.

#stability #bank

While mapping out his future, the Braunschweig native and majority shareholder of the local professional team acknowledged that soaring financial projections in the NBA could influence his timeline. Pointing to the league economics and front-office spending, he admitted that a lucrative contract offer could alter his plans. "I've heard that in 2028, NBA salaries are going to increase even more. Obviously, it's not just about money, but if they put 10, 15, or 20 million a year on the table, then I might think about it a little longer," he explained.
This article originally appeared on Hoops Hype: "I've heard that in 2028, NBA salaries are going to …

#heard

Klarna Group plc (NYSE:KLAR) reported second-quarter net income of $9 million, reversing a $53 million loss a year earlier and remaining profitable after posting positive net income in the first quarter of 2026. Revenue increased 27% to $1.04 billion, while transaction margin dollars rose 42% to $446 million. Yet the shares closed 22.8% lower as investors focused on weaker expectations for the rest of the year.
Klarna Group plc (NYSE:KLAR) reduced its 2026 gross merchandise volume forecast to $149 billion to $151 billion from more than $155 billion and lowered its revenue outlook to $4.08 billion to $4.16 billion from more than $4.34 billion. Management cited weaker expectations for Germany, its largest market by volume. Currency movements accounted for approximately $600 million of the reduction in full-year GMV guidance.
The reported quarter showed continued growth and improved profitability, but the revised forecasts suggested that momentum in a core European market is slowing. For Klarna Group plc (NYSE:KLAR), the central question is whether better transaction economics can outweigh weaker growth expectations.
U.S. GMV increased 27%, outpacing companywide GMV growth of 18%, while credit loss provisions declined to 0.52% of GMV from 0.56%. Klarna Group plc (NYSE:KLAR) also increased transaction margin dollars to 42.8% of revenue, more than 4.5 percentage points higher than a year earlier.
Klarna Group plc (NYSE:KLAR) raised its full-year transaction-margin-dollar forecast to $1.62 billion to $1.65 billion and expects company-defined non-IFRS adjusted operating income of $280 million to $300 million. Transaction margin dollars, another company-defined non-IFRS measure, equal revenue less processing and servicing costs, credit loss provisions, and funding costs. The expansion indicates that higher volume is producing stronger economics after those direct costs.

#revenue

BitFuFu Inc. (NASDAQ:FUFU) reported a quarter that exposed the difference between producing more Bitcoin and making more money from it. Second-quarter revenue fell 62.9% year over year to $42.8 million, while a $20.5 million net loss replaced a $47.1 million profit. Yet average hashrate allocated to self-mining rose 47%, helping lift self-mined production 34% to 192 Bitcoin. Shares closed 11% lower at $1.29 on August 17 after the results. For BitFuFu Inc. (NASDAQ:FUFU), the question is whether shifting more computing power toward self-mining creates operating leverage or simply increases its exposure to Bitcoin prices and network difficulty.
The largest hole was cloud mining, historically the company's biggest revenue source. Cloud Mining Solutions revenue plunged 73.6% to $24.9 million. BitFuFu attributed the decline to lower selling prices amid falling Bitcoin prices, weaker market sentiment, and reduced order volumes from existing customers. The company reported net dollar retention of 24.1%, calculated as second-quarter 2026 recurring revenue divided by total second-quarter 2025 Cloud Mining revenue. Equipment sales also fell to zero from $5.2 million. The cloud-mining decline overwhelmed the benefit of BitFuFu Inc. (NASDAQ:FUFU) allocating more hashrate to self-mining.
Self-mining was hardly immune. Revenue declined to $14.0 million from $14.8 million even as production increased. BitFuFu attributed the decline to the combined effect of a 27.5% drop in the average Bitcoin price to $71,600 and higher network difficulty, partially offset by the increased self-mining allocation. Network difficulty reduced daily Bitcoin earned per terahash by 9.7%. Cost of revenue reached $43.7 million, exceeding total revenue. A $16.9 million net fair-value loss on digital ***** ets and digital-asset receivables or payables significantly affected company-defined adjusted EBITDA, a non-GAAP measure, which was negative $18.4 million. BitFuFu Inc. (NASDAQ:FUFU) therefore suffered from both weaker operating economics and an adverse accounting swing.
BitFuFu Inc. (NASDAQ:FUFU) produced more Bitcoin despite the harsher environment, deployed next-generation S21 XP miners, and restored total managed hashrate to approximately 20 EH/s by mid-August from 15.3 EH/s at quarter-end. Hosting and other revenue also rose to $3.9 million from $1.1 million. If Bitcoin prices recover while difficulty and power costs become more favorable, the larger self-mining allocation could turn higher production into a much stronger revenue and earnings response.

#bitfufu #self #NASDAQ #cloud

On August 13, Figure Technology Solutions (NASDAQ:FIGR) reported second quarter 2026 results that leaned hard into the story it has been telling investors since its IPO. Consumer loan marketplace volume reached $4.3 billion, up 132% from a year earlier and 4% ahead of the top end of guidance, marking a third straight quarter of triple digit growth. The message from management was simple: the shift of mortgage lending onto Figure's tokenized marketplace is accelerating, not slowing down.
Revenue and profitability grew alongside volume rather than behind it. Adjusted net revenue climbed 95% year over year to $218 million, and adjusted EBITDA rose 126% to $119 million, pushing the margin to 55% from 47% a year earlier. Net income jumped to $87 million from $30 million. Figure Connect, the company's capital-light marketplace that lets loans trade directly between originators and buyers on chain, drove much of that lift. Connect volume climbed to 65% of total marketplace volume, up from 42% a year ago, and management now expects that share to approach 70% in the medium term, higher than the 60% target it had set previously. Partner count grew to 489, up from 387 last quarter, and at least one newly onboarded partner has already become the company's largest or second-largest.
That growth has not come by loosening lending standards. Average FICO scores at origination have risen from 737 in 2020 to 756 so far this year, while combined loan-to-value ratios have fallen to 62.1%. Spreads on Figure's HELOC securitizations have tightened from around 255 basis points in 2023 to roughly 135 basis points across 22 priced deals, and the buyer base for those deals has grown to more than 100 unique investors from just a handful a few years ago. The pending acquisition of Kiavi, a residential transition loan lender, is expected to add 40% to volume and $100 million of EBITDA with a payback period under four years, giving Figure a new ****** et class to run through the same marketplace playbook.
Not every metric moved in Figure's favor. Net take rate, the cut Figure earns on marketplace volume, fell to 3.6%, the low end of its 3.5% to 4% guided range, and management expects it to stay there in the third quarter. Three forces are pushing it down at once. Figure Connect itself carries the lowest take rate of the company's three channels, and the partners moving fastest onto it are large ones skipping the higher take rate Figure branded channel entirely. Rising interest rates during the quarter also hurt gain on sale economics, and first lien loan volume, which carries lower take rates than home equity lines, tripled year over year.

#figure #quarter #connect #take

The autonomous driving industry is moving rapidly towards commercialization, with competition intensifying as firms race to commercialize robotaxi services both domestically and overseas. China, in particular, is gaining growing recognition as a major player in the autonomous driving race.
Driverless vehicles are becoming a common sight in China, with companies including Baidu, Inc. (NASDAQ: BIDU), WeRide and Pony AI Inc. (NASDAQ:PONY) operating commercial robotaxi services within select areas. The country's self-driving industry stands apart because it builds around a network of companies.
Autonomous vehicles are being made by established carmakers, specialists develop the software, and use the same batteries, sensors, and chips and as electric cars. The government is backing up the initiative through pilot programs, and China's complex traffic environment helps generate vast amounts of data to improve software.
In its latest endeavor, Chinese autonomous driving company Pony.ai has announced a planned and potential overseas robotaxi deployments of more than 4,000 vehicles, aiming to expand beyond China. This macro setup remains favorable for long-term demand, but profitability inherently depends on factors such as regulatory approvals, vehicle economics, and utilization.
A driverless vehicle navigating city traffic, equipped with ADAS and safety features.

#driving #vehicles #industry

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Achieved first-ever positive adjusted EBITDA, signaling that the company's marketplace scale is successfully translating into sustainable profitability.
Revenue growth of 141% was primarily driven by the successful monetization of platform subscription packages and increased trip volume across the network.
Expanded the ride-hailing footprint from 20 to 30 cities, now covering approximately 85% of Türkiye's GDP to capture structural demand from urban congestion.
Leveraged a multi-service 'super app' strategy where delivery adoption among existing mobility users drives higher driver utilization and superior unit economics.

#ebitda #leveraged

Warren Buffett's Berkshire Hathaway, which is now run by Greg Abel, revealed in its latest 13F filing that the fund bought a new stake in D.R. Horton (NYSE:DHI), worth about $580,000. The fund also increased its stake in fellow homebuilder Lennar (NYSE:LEN) by 30% in the second quarter, lifting that position to about $1.2 billion.
The housing market has been taking a hit amid higher mortgage rates, but some long-term indicators suggest a rebound could come. J.P. Morgan Global Research expects home prices to remain flat in 2026 but sees a 3% rise in 2027. Capital Economics forecasts a 2.5% rebound in home prices in 2027, followed by a 4% gain in 2028. The Mortgage Bankers ******* ociation expects single-family construction starts to recover to 967,000 in 2027 and 976,000 in 2028, after dipping in 2026.
DHI is one of the largest homebuilders in the country. In the most recent quarter, gross margin actually beat guidance at 20.7% even as prices slipped amid declining construction costs. The stock is down 10% over the past year. Bulls point out that a broader housing recovery is expected sooner or later and DHI is a strong play to benefit from it in the long term.
Bears say a recovery would take a lot of time. The company recently cut its full-year revenue guidance and Q4 guidance calls for a sequential slowdown in both revenue and homes closed. Elevated mortgage rates, sticky inflation, and cautious buyers are forcing DHI to lean on incentives and lower average prices to keep volume moving and these pressures are not expected to ease soo.
Forward non-GAAP P/E sits at 13.95x, about 13% below the sector median of 15.99x, but 40% above DHI's own five-year average of 9.99x. On a GAAP basis, forward P/E of 13.96x is below the sector median by roughly 19%, yet sits 40% above the stock's five-year norm.

#NYSE #fund

Eagle Capital Management, an investment management company, released its second quarter 2026 investor letter. A copy of the letter can be downloaded here. In the quarter, Eagle Capital Management discussed how enthusiasm around AI capital spending has driven strong S&P 500 earnings growth while also increasing risks from elevated valuations, concentrated demand, and aggressive investment **** umptions. Eagle remains a strong believer in AI but prefers constructing a portfolio that can perform across multiple outcomes rather than relying on one forecast. The firm believes current earnings can overstate underlying economics because semiconductor equipment is depreciated over several years, while free cash flow growth remains much weaker. It also expects competition and additional capacity across AI labs, hyperscalers, and semiconductors to eventually create winners and losers. These dynamics are encouraging Eagle to recycle capital toward attractive opportunities outside the most crowded AI trades while maintaining selective exposure to high quality beneficiaries. The portfolio trades at a 20% market discount with faster expected EPS growth. Please review the Strategy's top five holdings for key selections.
In its second-quarter 2026 investor letter, Eagle Capital Management highlighted ConocoPhillips (NYSE:COP). ConocoPhillips (NYSE:COP) explores for, produces, transports, and markets crude oil, bitumen, natural gas, liquefied natural gas (LNG), and natural gas liquids. On August 18, 2026, ConocoPhillips (NYSE:COP) closed at $129.72 per share. The one-month return of ConocoPhillips (NYSE:COP) was 9.20% and its shares gained 36.71% over the past 52 weeks. ConocoPhillips (NYSE:COP) has a market capitalization of $155.84 billion.
Eagle Capital Management stated the following regarding ConocoPhillips (NYSE:COP) in its Q2 2026 investor letter:
"The energy & metals companies we own benefit from favorable multiyear supply/demand outlooks, management teams that are good capital allocators, and **** et bases that are well-positioned on the global cost curve.
ConocoPhillips (NYSE:COP), the largest U.S. pure-play upstream oil producer, has low-cost, long-lived inventory that we believe is underappreciated relative to peers. In the coming years, its free cash flow should inflect higher as the Willow project in Alaska comes online and transitions from a cash drag to a cash generator. We see the oil market as reasonably balanced, but risks may skew to the upside over the next couple of years as the world manages shortages from the Strait of Hormuz, and the path to its full and enduring reopening remains murky. We expect EPS growth in the mid-teens over the next several years."

#capital #eagle

Eagle Capital Management, an investment management company, released its second quarter 2026 investor letter. A copy of the letter can be downloaded here. In the quarter, Eagle Capital Management discussed how enthusiasm around AI capital spending has driven strong S&P 500 earnings growth while also increasing risks from elevated valuations, concentrated demand, and aggressive investment ***** umptions. Eagle remains a strong believer in AI but prefers constructing a portfolio that can perform across multiple outcomes rather than relying on one forecast. The firm believes current earnings can overstate underlying economics because semiconductor equipment is depreciated over several years, while free cash flow growth remains much weaker. It also expects competition and additional capacity across AI labs, hyperscalers, and semiconductors to eventually create winners and losers. These dynamics are encouraging Eagle to recycle capital toward attractive opportunities outside the most crowded AI trades while maintaining selective exposure to high quality beneficiaries. The portfolio trades at a 20% market discount with faster expected EPS growth. Please review the Strategy's top five holdings for key selections.
In its second-quarter 2026 investor letter, Eagle Capital Management highlighted Workday, Inc. (NASDAQ:WDAY). Workday, Inc. (NASDAQ:WDAY) is a leading enterprise software company that provides cloud applications for human resources and financial management. On August 18, 2026, Workday, Inc. (NASDAQ:WDAY) closed at $190.64 per share. One-month return of Workday, Inc. (NASDAQ:WDAY) was 43.96% and its shares gained -16.20% over the past 52 weeks. Workday, Inc. (NASDAQ:WDAY) has a market capitalization of $47.09 billion.
Eagle Capital Management stated the following regarding Workday, Inc. (NASDAQ:WDAY) in its Q2 2026 investor letter:
"Software is controversial due to fears of Al-driven disruption. Al makes it easier to build software and will change workflows in how it is used. We believe there will be heightened competition and greater separation between winners and losers over the coming years. The industry is deservedly trading at a higher risk premium, but within the market there are plenty of mispricings.
The companies we own are resilient and highly entrenched in application software. We view them as offering upside optionality. Workday, Inc. (NASDAQ:WDAY), a leading HCM and financials platform, earns mid-teen margins on a business that should have long- term margins of 30% or higher. The founder's return to the CEO role is reigniting product innovation, and we increasingly believe Al will be a net positive for their business, enabling them to play offense. Examples include geographic expansion, adjacent-product extensions, and natural-language querying for business results. We expect EPS growth in the high teens, driven by revenue growth, operating leverage, and share buybacks."

#eagle #management #Growth #software

Eagle Capital Management, an investment management company, released its second quarter 2026 investor letter. A copy of the letter can be downloaded here. In the quarter, Eagle Capital Management discussed how enthusiasm around AI capital spending has driven strong S&P 500 earnings growth while also increasing risks from elevated valuations, concentrated demand, and aggressive investment ***** umptions. Eagle remains a strong believer in AI but prefers constructing a portfolio that can perform across multiple outcomes rather than relying on one forecast. The firm believes current earnings can overstate underlying economics because semiconductor equipment is depreciated over several years, while free cash flow growth remains much weaker. It also expects competition and additional capacity across AI labs, hyperscalers, and semiconductors to eventually create winners and losers. These dynamics are encouraging Eagle to recycle capital toward attractive opportunities outside the most crowded AI trades while maintaining selective exposure to high quality beneficiaries. The portfolio trades at a 20% market discount with faster expected EPS growth. Please review the Strategy's top five holdings for key selections.
In its second-quarter 2026 investor letter, Eagle Capital Management highlighted SAP SE (NYSE:SAP). SAP SE (NYSE:SAP) provides enterprise application and business solutions worldwide. On August 18, 2026, SAP SE (NYSE:SAP) closed at $210.47 per share. One-month return of SAP SE (NYSE:SAP) was 41.49% and its shares gained 22.77% over the past 52 weeks. SAP SE (NYSE:SAP) has a market capitalization of $246.79 billion.
Eagle Capital Management stated the following regarding SAP SE (NYSE:SAP) in its Q2 2026 investor letter:
"Software is controversial due to fears of Al-driven disruption. Al makes it easier to build software and will change workflows in how it is used. We believe there will be heightened competition and greater separation between winners and losers over the coming years. The industry is deservedly trading at a higher risk premium, but within the market there are plenty of mispricings.
SAP SE (NYSE:SAP) is the world's largest provider of ERP software. It is mission-critical and sticky. It will face tougher competition in peripheral products, but its core should grow rapidly over the next five years as it migrates customers to its modern platform. We expect EPS growth in the high teens, driven by revenue growth, operating leverage, and share buybacks."

#management #quarter #investor

Eagle Capital Management, an investment management company, released its second quarter 2026 investor letter. A copy of the letter can be downloaded here. In the quarter, Eagle Capital Management discussed how enthusiasm around AI capital spending has driven strong S&P 500 earnings growth while also increasing risks from elevated valuations, concentrated demand, and aggressive investment ******* umptions. Eagle remains a strong believer in AI but prefers constructing a portfolio that can perform across multiple outcomes rather than relying on one forecast. The firm believes current earnings can overstate underlying economics because semiconductor equipment is depreciated over several years, while free cash flow growth remains much weaker. It also expects competition and additional capacity across AI labs, hyperscalers, and semiconductors to eventually create winners and losers. These dynamics are encouraging Eagle to recycle capital toward attractive opportunities outside the most crowded AI trades while maintaining selective exposure to high quality beneficiaries. The portfolio trades at a 20% market discount with faster expected EPS growth. Please review the Strategy's top five holdings for key selections.
In its second-quarter 2026 investor letter, Eagle Capital Management highlighted Intuit Inc. (NASDAQ:INTU). Intuit Inc. (NASDAQ:INTU) provides financial management, payments and capital, compliance, and marketing products. On August 18, 2026, Intuit Inc. (NASDAQ:INTU) closed at $350.41 per share. One-month return of Intuit Inc. (NASDAQ:INTU) was 23.18% and its shares gained -49.88% over the past 52 weeks. Intuit Inc. (NASDAQ:INTU) has a market capitalization of $95.85 billion.
Eagle Capital Management stated the following regarding Intuit Inc. (NASDAQ:INTU) in its Q2 2026 investor letter:
"Software is controversial due to fears of Al-driven disruption. Al makes it easier to build software and will change workflows in how it is used. We believe there will be heightened competition and greater separation between winners and losers over the coming years. The industry is deservedly trading at a higher risk premium, but within the market there are plenty of mispricings.
Intuit Inc.'s (NASDAQ:INTU) QuickBooks, the dominant bookkeeping software for small and midsize businesses in the U.S., exists in a market that is difficult to serve profitably, given the low average selling price. Intuit's brand, scale, and network effect through the accountant channel give it formidable competitive advantages. It is well-placed to deliver Al solutions to this hard-to-reach customer. TurboTax, a relatively smaller part of the business, will likely adapt its business model to an Al world, but we have more modest expectations for its growth. We expect EPS growth in the high teens, driven by revenue growth, operating leverage, and share buybacks."

#management

Eagle Capital Management, an investment management company, released its second quarter 2026 investor letter. A copy of the letter can be downloaded here. In the quarter, Eagle Capital Management discussed how enthusiasm around AI capital spending has driven strong S&P 500 earnings growth while also increasing risks from elevated valuations, concentrated demand, and aggressive investment **** umptions. Eagle remains a strong believer in AI but prefers constructing a portfolio that can perform across multiple outcomes rather than relying on one forecast. The firm believes current earnings can overstate underlying economics because semiconductor equipment is depreciated over several years, while free cash flow growth remains much weaker. It also expects competition and additional capacity across AI labs, hyperscalers, and semiconductors to eventually create winners and losers. These dynamics are encouraging Eagle to recycle capital toward attractive opportunities outside the most crowded AI trades while maintaining selective exposure to high quality beneficiaries. The portfolio trades at a 20% market discount with faster expected EPS growth. Please review the Strategy's top five holdings for key selections.
In its second-quarter 2026 investor letter, Eagle Capital Management highlighted MercadoLibre, Inc. (NASDAQ:MELI). MercadoLibre, Inc. (NASDAQ:MELI) operates online commerce platforms in Brazil, Mexico, Argentina, and internationally. On August 18, 2026, MercadoLibre, Inc. (NASDAQ:MELI) closed at $1,779.14 per share. One-month return of MercadoLibre, Inc. (NASDAQ:MELI) was -1.12% and its shares lost 23.84% over the past 52 weeks. MercadoLibre, Inc. (NASDAQ:MELI) has a market capitalization of $90.62 billion.
Eagle Capital Management stated the following regarding MercadoLibre, Inc. (NASDAQ:MELI) in its Q2 2026 investor letter:
"Operating massive consumer platforms that aggregate demand for sellers and advertisers, these companies have scale advantages, fast growth, and the ability to deploy Al to further press their leads.
Almost half of our capital is in MercadoLibre, Inc. (NASDAQ:MELI), the leading Latin American e-commerce and fintech company. Latin America's relatively low e-commerce penetration-we estimate it at the mid-teens compared with nearly 30% in the U.S .- offers a long runway for growth. In recent quarters, revenue grew more than 40%. We think the market is too focused on near-term earnings revisions and may be conflating elective investments with structural weakness. Much like Amazon in its early days, MercadoLibre is trading lower margins today for a larger business tomorrow; we're thrilled with this approach, which both builds value and has enabled Eagle to establish an attractively priced position.

#eagle #NASDAQ #Growth #investor

Eagle Capital Management, an investment management company, released its second quarter 2026 investor letter. A copy of the letter can be downloaded here. In the quarter, Eagle Capital Management discussed how enthusiasm around AI capital spending has driven strong S&P 500 earnings growth while also increasing risks from elevated valuations, concentrated demand, and aggressive investment ***** umptions. Eagle remains a strong believer in AI but prefers constructing a portfolio that can perform across multiple outcomes rather than relying on one forecast. The firm believes current earnings can overstate underlying economics because semiconductor equipment is depreciated over several years, while free cash flow growth remains much weaker. It also expects competition and additional capacity across AI labs, hyperscalers, and semiconductors to eventually create winners and losers. These dynamics are encouraging Eagle to recycle capital toward attractive opportunities outside the most crowded AI trades while maintaining selective exposure to high quality beneficiaries. The portfolio trades at a 20% market discount with faster expected EPS growth. Please review the Strategy's top five holdings for key selections.
In its second-quarter 2026 investor letter, Eagle Capital Management highlighted Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM). Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) manufactures, packages, tests, and sells integrated circuits and other semiconductor devices in Taiwan and internationally. On August 18, 2026, Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) closed at $413.41 per share. The one-month return of Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) was -0.99% and its shares gained 82.43% over the past 52 weeks. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) has a market capitalization of $1.95 trillion.
Eagle Capital Management stated the following regarding Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) in its Q2 2026 investor letter:
"Half of our capital here is invested in Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) and ASML, two of the most dominant businesses in the semiconductor supply chain. The other half is invested across the three major hyperscalers. We ascribe a portion of the value of each of these three companies to their cloud business and the balance to the remainder of the company; i.e., 60% of the value of Amazon is from AWS and 40% is from retail.
TSMC and ASML are two of the best businesses in the semiconductor industry. TSMC is the world's fab, where most leading-edge logic chips, ranging from Apple to NVIDIA, are made. Both companies are well positioned over the next 5-10 years to participate in the sector's secular growth while maintaining their competitive positions. That said, they will face pressures when the next downturn comes.

#NYSE #management

Eagle Capital Management, an investment management company, released its second quarter 2026 investor letter. A copy of the letter can be downloaded here. In the quarter, Eagle Capital Management discussed how enthusiasm around AI capital spending has driven strong S&P 500 earnings growth while also increasing risks from elevated valuations, concentrated demand, and aggressive investment ******* umptions. Eagle remains a strong believer in AI but prefers constructing a portfolio that can perform across multiple outcomes rather than relying on one forecast. The firm believes current earnings can overstate underlying economics because semiconductor equipment is depreciated over several years, while free cash flow growth remains much weaker. It also expects competition and additional capacity across AI labs, hyperscalers, and semiconductors to eventually create winners and losers. These dynamics are encouraging Eagle to recycle capital toward attractive opportunities outside the most crowded AI trades while maintaining selective exposure to high quality beneficiaries. The portfolio trades at a 20% market discount with faster expected EPS growth. Please review the Strategy's top five holdings for key selections.
In its second-quarter 2026 investor letter, Eagle Capital Management highlighted ASML Holding N.V. (NASDAQ:ASML). ASML Holding N.V. (NASDAQ:ASML) provides lithography solutions for the development, production, marketing, sales, upgrading, and servicing of advanced semiconductor equipment systems. On August 18, 2026, ASML Holding N.V. (NASDAQ:ASML) closed at $1,802.98 per share. One-month return of ASML Holding N.V. (NASDAQ:ASML) was 0.06% and its shares gained 140.56% over the past 52 weeks. ASML Holding N.V. (NASDAQ:ASML) has a market capitalization of $682.12 billion.
Eagle Capital Management stated the following regarding ASML Holding N.V. (NASDAQ:ASML) in its Q2 2026 investor letter:
"Half of our capital here is invested in TSMC and ASML Holding N.V. (NASDAQ:ASML), two of the most dominant businesses in the semiconductor supply chain. The other half is invested across the three major hyperscalers. We ascribe a portion of the value of each of these three companies to their cloud business and the balance to the remainder of the company; i.e., 60% of the value of Amazon is from AWS and 40% is from retail.
TSMC and ASML are two of the best businesses in the semiconductor industry. ASML has a monopoly in extreme ultraviolet lithography ("EUV"), which is required for leading-edge semiconductor manufacturing. Both companies are well positioned over the next 5-10 years to participate in the sector's secular growth while maintaining their competitive positions. That said, they will face pressures when the next downturn comes.

#holding #capital #Growth

Eagle Capital Management, an investment management company, released its second quarter 2026 investor letter. A copy of the letter can be downloaded here. In the quarter, Eagle Capital Management discussed how enthusiasm around AI capital spending has driven strong S&P 500 earnings growth while also increasing risks from elevated valuations, concentrated demand, and aggressive investment ****** umptions. Eagle remains a strong believer in AI but prefers constructing a portfolio that can perform across multiple outcomes rather than relying on one forecast. The firm believes current earnings can overstate underlying economics because semiconductor equipment is depreciated over several years, while free cash flow growth remains much weaker. It also expects competition and additional capacity across AI labs, hyperscalers, and semiconductors to eventually create winners and losers. These dynamics are encouraging Eagle to recycle capital toward attractive opportunities outside the most crowded AI trades while maintaining selective exposure to high quality beneficiaries. The portfolio trades at a 20% market discount with faster expected EPS growth. Please review the Strategy's top five holdings for key selections.
In its second-quarter 2026 investor letter, Eagle Capital Management highlighted Amazon.com, Inc. (NASDAQ:AMZN). Amazon.com, Inc. (NASDAQ:AMZN) is a multinational technology and retail company known for its leading online marketplace and cloud platform. On August 18, 2026, Amazon.com, Inc. (NASDAQ:AMZN) closed at $259.45 per share, reflecting a market capitalization of $2.8 trillion. Amazon.com, Inc. (NASDAQ:AMZN) posted a one‑month return of 5.96%, while its shares gained 15.92% over the past 52 weeks.
Eagle Capital Management stated the following regarding Amazon.com, Inc. (NASDAQ:AMZN) in its Q2 2026 investor letter:
"Amazon Web Services ("AWS"), Microsoft Azure, and Google Cloud Platform ("GCP") are highly profitable businesses with strong growth, margins, and returns on capital. We own positions in each. These businesses are growing faster and will be even bigger than we previously thought. However, there is little question that the industry structure they inhabit is worse than it was a few years ago.
Operating massive consumer platforms that aggregate demand for sellers and advertisers, Amazon.com, Inc. (NASDAQ:AMZN) has scale advantages, fast growth, and the ability to deploy AI to further press their leads. Amazon's retail business, Google Search and YouTube, and Meta are comparatively more mature, but they continue to grow at well above GDP rates with attractive margins. We believe AI is demonstrably helping Google Search and Meta's advertising business, both of which have accelerated as ad targeting and content capabilities have improved. Amazon and MercadoLibre should also benefit more than brick and mortar peers, which are unlikely to capture the same benefits from advertising, improvements in consumer search, or gains in wareh

Eagle Capital Management, an investment management company, released its second quarter 2026 investor letter. A copy of the letter can be downloaded here. In the quarter, Eagle Capital Management discussed how enthusiasm around AI capital spending has driven strong S&P 500 earnings growth while also increasing risks from elevated valuations, concentrated demand, and aggressive investment **** umptions. Eagle remains a strong believer in AI but prefers constructing a portfolio that can perform across multiple outcomes rather than relying on one forecast. The firm believes current earnings can overstate underlying economics because semiconductor equipment is depreciated over several years, while free cash flow growth remains much weaker. It also expects competition and additional capacity across AI labs, hyperscalers, and semiconductors to eventually create winners and losers. These dynamics are encouraging Eagle to recycle capital toward attractive opportunities outside the most crowded AI trades while maintaining selective exposure to high quality beneficiaries. The portfolio trades at a 20% market discount with faster expected EPS growth. Please review the Strategy's top five holdings for key selections.
In its second-quarter 2026 investor letter, Eagle Capital Management highlighted Microsoft Corporation (NASDAQ:MSFT). Microsoft Corporation (NASDAQ:MSFT) is a multinational software company that develops and supports software, services, devices, and solutions, holding dominant positions in software, cloud infrastructure, generative AI, and gaming. On August 18, 2026, Microsoft Corporation (NASDAQ:MSFT) closed at $481.63 per share, reflecting a market capitalization of $3.57 trillion. Microsoft Corporation (NASDAQ:MSFT) posted a one‑month return of 23.39%, while its shares lost 4.76% over the past 52 weeks.
Eagle Capital Management stated the following regarding Microsoft Corporation (NASDAQ:MSFT) in its Q2 2026 investor letter:
"Amazon Web Services ("AWS"), Microsoft Azure, and Google Cloud Platform ("GCP") are highly profitable businesses with strong growth, margins, and returns on capital. We own positions in each. These businesses are growing faster and will be even bigger than we previously thought. However, there is little question that the industry structure they inhabit is worse than it was a few years ago.
Software is controversial due to fears of AI driven disruption. AI makes it easier to build software and will change workflows in how it is used. We believe there will be heightened competition and greater separation between winners and losers over the coming years. The industry is deservedly trading at a higher risk premium, but within the market there are plenty of mispricings.

#msft #management

Eagle Capital Management, an investment management company, released its second quarter 2026 investor letter. A copy of the letter can be downloaded here. In the quarter, Eagle Capital Management discussed how enthusiasm around AI capital spending has driven strong S&P 500 earnings growth while also increasing risks from elevated valuations, concentrated demand, and aggressive investment ****** umptions. Eagle remains a strong believer in AI but prefers constructing a portfolio that can perform across multiple outcomes rather than relying on one forecast. The firm believes current earnings can overstate underlying economics because semiconductor equipment is depreciated over several years, while free cash flow growth remains much weaker. It also expects competition and additional capacity across AI labs, hyperscalers, and semiconductors to eventually create winners and losers. These dynamics are encouraging Eagle to recycle capital toward attractive opportunities outside the most crowded AI trades while maintaining selective exposure to high quality beneficiaries. The portfolio trades at a 20% market discount with faster expected EPS growth. Please review the Strategy's top five holdings for key selections.
In its second-quarter 2026 investor letter, Eagle Capital Management highlighted Micron Technology, Inc. (NASDAQ:MU). Micron Technology, Inc. (NASDAQ:MU) designs, develops, manufactures, and sells memory and storage products in the United States and internationally. On August 18, 2026, Micron Technology, Inc. (NASDAQ:MU) closed at $940.76 per share. The one-month return of Micron Technology, Inc. (NASDAQ:MU) was -1.95% and its shares gained 702.63% over the past 52 weeks. Micron Technology, Inc. (NASDAQ:MU) has a market capitalization of $1.06 trillion.
Eagle Capital Management stated the following regarding Micron Technology, Inc. (NASDAQ:MU) in its Q2 2026 investor letter:
"Micron Technology, Inc. (NASDAQ:MU), the only U.S. producer of DRAM memory, has gone from being marginally profitable to earning more than Apple or Microsoft. Memory prices are now high enough to inflict damage on consumer electronics markets and prompt Al model companies and chipmakers to redesign their technology.
Micron's entire manufacturing PP&E footprint is approximately $60 billion, versus a market cap of $1.2 trillion. The company will make enough money over the next year to replicate its entire footprint multiple times. DRAM historically has been brutally cyclical. That cyclicality reduced competition to the point that only an oligopoly of three players could survive. Volatility was one of the moats that helped protect over-the-cycle returns."

#micron #capital #memory

Eagle Capital Management, an investment management company, released its second quarter 2026 investor letter. A copy of the letter can be downloaded here. In the quarter, Eagle Capital Management discussed how enthusiasm around AI capital spending has driven strong S&P 500 earnings growth while also increasing risks from elevated valuations, concentrated demand, and aggressive investment **** umptions. Eagle remains a strong believer in AI but prefers constructing a portfolio that can perform across multiple outcomes rather than relying on one forecast. The firm believes current earnings can overstate underlying economics because semiconductor equipment is depreciated over several years, while free cash flow growth remains much weaker. It also expects competition and additional capacity across AI labs, hyperscalers, and semiconductors to eventually create winners and losers. These dynamics are encouraging Eagle to recycle capital toward attractive opportunities outside the most crowded AI trades while maintaining selective exposure to high quality beneficiaries. The portfolio trades at a 20% market discount with faster expected EPS growth. Please review the Strategy's top five holdings for key selections.
In its second-quarter 2026 investor letter, Eagle Capital Management highlighted NVIDIA Corporation (NASDAQ:NVDA). NVIDIA Corporation (NASDAQ:NVDA) is a leading data center-scale AI infrastructure company that operates through Compute & Networking and Graphics segments. On August 18, 2026, NVIDIA Corporation (NASDAQ:NVDA) closed at $219.74 per share. The one-month return of NVIDIA Corporation (NASDAQ:NVDA) was 3.62% and its shares gained 25.28% over the past 52 weeks. NVIDIA Corporation (NASDAQ:NVDA) has a market capitalization of $5.32 trillion.
Eagle Capital Management stated the following regarding NVIDIA Corporation (NASDAQ:NVDA) in its Q2 2026 investor letter:
"NVIDIA Corporation (NASDAQ:NVDA) has dominated the market for Al accelerator chips and has become the most profitable company in the U.S. However, its largest customers have internal silicon programs that are likely to reduce NVIDIA's share over time. Google TPUs and Amazon's Trainium chips are the most competitive, but Microsoft, Meta, OpenAl, and Anthropic all have programs in various stages. When the market was small, custom programs were uneconomic. At today's scale, R&D can be amortized across the larger base. Moreover, NVIDIA's 75-80% gross margin implies it is marking up Taiwan Semiconductor ("TSMC") wafers by 4-5x. Custom programs don't have to be as good as NVIDIA to offer better price/performance to the end customer.
NVIDIA is investing in the neocloud industry to support demand for its chips and weaken hyperscalers' position. Ironically, by selling its chips at high prices, it makes the neoclouds high-cost operators, and therefore less likely to succeed against vertically integrated hyperscalers over the long term. As NVIDIA's market share crests and begins to fall, ma

Eagle Capital Management, an investment management company, released its second quarter 2026 investor letter. A copy of the letter can be downloaded here. In the quarter, Eagle Capital Management discussed how enthusiasm around AI capital spending has driven strong S&P 500 earnings growth while also increasing risks from elevated valuations, concentrated demand, and aggressive investment ****** umptions. Eagle remains a strong believer in AI but prefers constructing a portfolio that can perform across multiple outcomes rather than relying on one forecast. The firm believes current earnings can overstate underlying economics because semiconductor equipment is depreciated over several years, while free cash flow growth remains much weaker. It also expects competition and additional capacity across AI labs, hyperscalers, and semiconductors to eventually create winners and losers. These dynamics are encouraging Eagle to recycle capital toward attractive opportunities outside the most crowded AI trades while maintaining selective exposure to high quality beneficiaries. The portfolio trades at a 20% market discount with faster expected EPS growth. Please review the Strategy's top five holdings for key selections.
In its second-quarter 2026 investor letter, Eagle Capital Management highlighted ConocoPhillips (NYSE:COP). ConocoPhillips (NYSE:COP) explores for, produces, transports, and markets crude oil, bitumen, natural gas, liquefied natural gas (LNG), and natural gas liquids. On August 18, 2026, ConocoPhillips (NYSE:COP) closed at $129.72 per share. The one-month return of ConocoPhillips (NYSE:COP) was 9.20% and its shares gained 36.71% over the past 52 weeks. ConocoPhillips (NYSE:COP) has a market capitalization of $155.84 billion.
Eagle Capital Management stated the following regarding ConocoPhillips (NYSE:COP) in its Q2 2026 investor letter:
"The energy & metals companies we own benefit from favorable multiyear supply/demand outlooks, management teams that are good capital allocators, and ****** et bases that are well-positioned on the global cost curve.
ConocoPhillips (NYSE:COP), the largest U.S. pure-play upstream oil producer, has low-cost, long-lived inventory that we believe is underappreciated relative to peers. In the coming years, its free cash flow should inflect higher as the Willow project in Alaska comes online and transitions from a cash drag to a cash generator. We see the oil market as reasonably balanced, but risks may skew to the upside over the next couple of years as the world manages shortages from the Strait of Hormuz, and the path to its full and enduring reopening remains murky. We expect EPS growth in the mid-teens over the next several years."

#NYSE #eagle

Eagle Capital Management, an investment management company, released its second quarter 2026 investor letter. A copy of the letter can be downloaded here. In the quarter, Eagle Capital Management discussed how enthusiasm around AI capital spending has driven strong S&P 500 earnings growth while also increasing risks from elevated valuations, concentrated demand, and aggressive investment ******* umptions. Eagle remains a strong believer in AI but prefers constructing a portfolio that can perform across multiple outcomes rather than relying on one forecast. The firm believes current earnings can overstate underlying economics because semiconductor equipment is depreciated over several years, while free cash flow growth remains much weaker. It also expects competition and additional capacity across AI labs, hyperscalers, and semiconductors to eventually create winners and losers. These dynamics are encouraging Eagle to recycle capital toward attractive opportunities outside the most crowded AI trades while maintaining selective exposure to high quality beneficiaries. The portfolio trades at a 20% market discount with faster expected EPS growth. Please review the Strategy's top five holdings for key selections.
In its second-quarter 2026 investor letter, Eagle Capital Management highlighted Workday, Inc. (NASDAQ:WDAY). Workday, Inc. (NASDAQ:WDAY) is a leading enterprise software company that provides cloud applications for human resources and financial management. On August 18, 2026, Workday, Inc. (NASDAQ:WDAY) closed at $190.64 per share. One-month return of Workday, Inc. (NASDAQ:WDAY) was 43.96% and its shares gained -16.20% over the past 52 weeks. Workday, Inc. (NASDAQ:WDAY) has a market capitalization of $47.09 billion.
Eagle Capital Management stated the following regarding Workday, Inc. (NASDAQ:WDAY) in its Q2 2026 investor letter:
"Software is controversial due to fears of Al-driven disruption. Al makes it easier to build software and will change workflows in how it is used. We believe there will be heightened competition and greater separation between winners and losers over the coming years. The industry is deservedly trading at a higher risk premium, but within the market there are plenty of mispricings.
The companies we own are resilient and highly entrenched in application software. We view them as offering upside optionality. Workday, Inc. (NASDAQ:WDAY), a leading HCM and financials platform, earns mid-teen margins on a business that should have long- term margins of 30% or higher. The founder's return to the CEO role is reigniting product innovation, and we increasingly believe Al will be a net positive for their business, enabling them to play offense. Examples include geographic expansion, adjacent-product extensions, and natural-language querying for business results. We expect EPS growth in the high teens, driven by revenue growth, operating leverage, and share buybacks."

#workday #wday #eagle #Growth

Eagle Capital Management, an investment management company, released its second quarter 2026 investor letter. A copy of the letter can be downloaded here. In the quarter, Eagle Capital Management discussed how enthusiasm around AI capital spending has driven strong S&P 500 earnings growth while also increasing risks from elevated valuations, concentrated demand, and aggressive investment ***** umptions. Eagle remains a strong believer in AI but prefers constructing a portfolio that can perform across multiple outcomes rather than relying on one forecast. The firm believes current earnings can overstate underlying economics because semiconductor equipment is depreciated over several years, while free cash flow growth remains much weaker. It also expects competition and additional capacity across AI labs, hyperscalers, and semiconductors to eventually create winners and losers. These dynamics are encouraging Eagle to recycle capital toward attractive opportunities outside the most crowded AI trades while maintaining selective exposure to high quality beneficiaries. The portfolio trades at a 20% market discount with faster expected EPS growth. Please review the Strategy's top five holdings for key selections.
In its second-quarter 2026 investor letter, Eagle Capital Management highlighted SAP SE (NYSE:SAP). SAP SE (NYSE:SAP) provides enterprise application and business solutions worldwide. On August 18, 2026, SAP SE (NYSE:SAP) closed at $210.47 per share. One-month return of SAP SE (NYSE:SAP) was 41.49% and its shares gained 22.77% over the past 52 weeks. SAP SE (NYSE:SAP) has a market capitalization of $246.79 billion.
Eagle Capital Management stated the following regarding SAP SE (NYSE:SAP) in its Q2 2026 investor letter:
"Software is controversial due to fears of Al-driven disruption. Al makes it easier to build software and will change workflows in how it is used. We believe there will be heightened competition and greater separation between winners and losers over the coming years. The industry is deservedly trading at a higher risk premium, but within the market there are plenty of mispricings.
SAP SE (NYSE:SAP) is the world's largest provider of ERP software. It is mission-critical and sticky. It will face tougher competition in peripheral products, but its core should grow rapidly over the next five years as it migrates customers to its modern platform. We expect EPS growth in the high teens, driven by revenue growth, operating leverage, and share buybacks."

#capital #management #Growth

Eagle Capital Management, an investment management company, released its second quarter 2026 investor letter. A copy of the letter can be downloaded here. In the quarter, Eagle Capital Management discussed how enthusiasm around AI capital spending has driven strong S&P 500 earnings growth while also increasing risks from elevated valuations, concentrated demand, and aggressive investment ****** umptions. Eagle remains a strong believer in AI but prefers constructing a portfolio that can perform across multiple outcomes rather than relying on one forecast. The firm believes current earnings can overstate underlying economics because semiconductor equipment is depreciated over several years, while free cash flow growth remains much weaker. It also expects competition and additional capacity across AI labs, hyperscalers, and semiconductors to eventually create winners and losers. These dynamics are encouraging Eagle to recycle capital toward attractive opportunities outside the most crowded AI trades while maintaining selective exposure to high quality beneficiaries. The portfolio trades at a 20% market discount with faster expected EPS growth. Please review the Strategy's top five holdings for key selections.
In its second-quarter 2026 investor letter, Eagle Capital Management highlighted Lennar Corporation (NYSE:LEN). Lennar Corporation (NYSE:LEN) is a leading US-based home builder. On August 18, 2026, Lennar Corporation (NYSE:LEN) closed at $84.94 per share. The one-month return of Lennar Corporation (NYSE:LEN) was 8.75% and its shares lost 31.45% over the past 52 weeks. Lennar Corporation (NYSE:LEN) has a market capitalization of $20.42 billion.
Eagle Capital Management stated the following regarding Lennar Corporation (NYSE:LEN) in its Q2 2026 investor letter:
"Lennar Corporation (NYSE:LEN) is the second largest homebuilder in the U.S. Margins and earnings have collapsed over the past few years, driven by weakness in the company's geographic markets. This has been exacerbated by a change in business model, whereby the company spun off its land bank. In the long term, going "land light" should reduce balance sheet risk and improve returns on capital, but it also reduces margins, which has a more ****** ounced effect on earnings in today's weak market. Over time, we expect excess inventory to clear and volume and discounting to improve. Indicative of depressed valuations, M&A activity in the sector is increasing. Berkshire Hathaway recently acquired Taylor Morrison, making it the fourth builder in the country."

#lennar #corporation

Eagle Capital Management, an investment management company, released its second quarter 2026 investor letter. A copy of the letter can be downloaded here. In the quarter, Eagle Capital Management discussed how enthusiasm around AI capital spending has driven strong S&P 500 earnings growth while also increasing risks from elevated valuations, concentrated demand, and aggressive investment ****** umptions. Eagle remains a strong believer in AI but prefers constructing a portfolio that can perform across multiple outcomes rather than relying on one forecast. The firm believes current earnings can overstate underlying economics because semiconductor equipment is depreciated over several years, while free cash flow growth remains much weaker. It also expects competition and additional capacity across AI labs, hyperscalers, and semiconductors to eventually create winners and losers. These dynamics are encouraging Eagle to recycle capital toward attractive opportunities outside the most crowded AI trades while maintaining selective exposure to high quality beneficiaries. The portfolio trades at a 20% market discount with faster expected EPS growth. Please review the Strategy's top five holdings for key selections.
In its second-quarter 2026 investor letter, Eagle Capital Management highlighted Intuit Inc. (NASDAQ:INTU). Intuit Inc. (NASDAQ:INTU) provides financial management, payments and capital, compliance, and marketing products. On August 18, 2026, Intuit Inc. (NASDAQ:INTU) closed at $350.41 per share. One-month return of Intuit Inc. (NASDAQ:INTU) was 23.18% and its shares gained -49.88% over the past 52 weeks. Intuit Inc. (NASDAQ:INTU) has a market capitalization of $95.85 billion.
Eagle Capital Management stated the following regarding Intuit Inc. (NASDAQ:INTU) in its Q2 2026 investor letter:
"Software is controversial due to fears of Al-driven disruption. Al makes it easier to build software and will change workflows in how it is used. We believe there will be heightened competition and greater separation between winners and losers over the coming years. The industry is deservedly trading at a higher risk premium, but within the market there are plenty of mispricings.
Intuit Inc.'s (NASDAQ:INTU) QuickBooks, the dominant bookkeeping software for small and midsize businesses in the U.S., exists in a market that is difficult to serve profitably, given the low average selling price. Intuit's brand, scale, and network effect through the accountant channel give it formidable competitive advantages. It is well-placed to deliver Al solutions to this hard-to-reach customer. TurboTax, a relatively smaller part of the business, will likely adapt its business model to an Al world, but we have more modest expectations for its growth. We expect EPS growth in the high teens, driven by revenue growth, operating leverage, and share buybacks."

#eagle #management #letter

Eagle Capital Management, an investment management company, released its second quarter 2026 investor letter. A copy of the letter can be downloaded here. In the quarter, Eagle Capital Management discussed how enthusiasm around AI capital spending has driven strong S&P 500 earnings growth while also increasing risks from elevated valuations, concentrated demand, and aggressive investment ***** umptions. Eagle remains a strong believer in AI but prefers constructing a portfolio that can perform across multiple outcomes rather than relying on one forecast. The firm believes current earnings can overstate underlying economics because semiconductor equipment is depreciated over several years, while free cash flow growth remains much weaker. It also expects competition and additional capacity across AI labs, hyperscalers, and semiconductors to eventually create winners and losers. These dynamics are encouraging Eagle to recycle capital toward attractive opportunities outside the most crowded AI trades while maintaining selective exposure to high quality beneficiaries. The portfolio trades at a 20% market discount with faster expected EPS growth. Please review the Strategy's top five holdings for key selections.
In its second-quarter 2026 investor letter, Eagle Capital Management highlighted MercadoLibre, Inc. (NASDAQ:MELI). MercadoLibre, Inc. (NASDAQ:MELI) operates online commerce platforms in Brazil, Mexico, Argentina, and internationally. On August 18, 2026, MercadoLibre, Inc. (NASDAQ:MELI) closed at $1,779.14 per share. One-month return of MercadoLibre, Inc. (NASDAQ:MELI) was -1.12% and its shares lost 23.84% over the past 52 weeks. MercadoLibre, Inc. (NASDAQ:MELI) has a market capitalization of $90.62 billion.
Eagle Capital Management stated the following regarding MercadoLibre, Inc. (NASDAQ:MELI) in its Q2 2026 investor letter:
"Operating massive consumer platforms that aggregate demand for sellers and advertisers, these companies have scale advantages, fast growth, and the ability to deploy Al to further press their leads.
Almost half of our capital is in MercadoLibre, Inc. (NASDAQ:MELI), the leading Latin American e-commerce and fintech company. Latin America's relatively low e-commerce penetration-we estimate it at the mid-teens compared with nearly 30% in the U.S .- offers a long runway for growth. In recent quarters, revenue grew more than 40%. We think the market is too focused on near-term earnings revisions and may be conflating elective investments with structural weakness. Much like Amazon in its early days, MercadoLibre is trading lower margins today for a larger business tomorrow; we're thrilled with this approach, which both builds value and has enabled Eagle to establish an attractively priced position.

#mercadolibre #eagle #NASDAQ #management

Eagle Capital Management, an investment management company, released its second quarter 2026 investor letter. A copy of the letter can be downloaded here. In the quarter, Eagle Capital Management discussed how enthusiasm around AI capital spending has driven strong S&P 500 earnings growth while also increasing risks from elevated valuations, concentrated demand, and aggressive investment **** umptions. Eagle remains a strong believer in AI but prefers constructing a portfolio that can perform across multiple outcomes rather than relying on one forecast. The firm believes current earnings can overstate underlying economics because semiconductor equipment is depreciated over several years, while free cash flow growth remains much weaker. It also expects competition and additional capacity across AI labs, hyperscalers, and semiconductors to eventually create winners and losers. These dynamics are encouraging Eagle to recycle capital toward attractive opportunities outside the most crowded AI trades while maintaining selective exposure to high quality beneficiaries. The portfolio trades at a 20% market discount with faster expected EPS growth. Please review the Strategy's top five holdings for key selections.
In its second-quarter 2026 investor letter, Eagle Capital Management highlighted Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM). Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) manufactures, packages, tests, and sells integrated circuits and other semiconductor devices in Taiwan and internationally. On August 18, 2026, Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) closed at $413.41 per share. The one-month return of Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) was -0.99% and its shares gained 82.43% over the past 52 weeks. Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) has a market capitalization of $1.95 trillion.
Eagle Capital Management stated the following regarding Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) in its Q2 2026 investor letter:
"Half of our capital here is invested in Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) and ASML, two of the most dominant businesses in the semiconductor supply chain. The other half is invested across the three major hyperscalers. We ascribe a portion of the value of each of these three companies to their cloud business and the balance to the remainder of the company; i.e., 60% of the value of Amazon is from AWS and 40% is from retail.
TSMC and ASML are two of the best businesses in the semiconductor industry. TSMC is the world's fab, where most leading-edge logic chips, ranging from Apple to NVIDIA, are made. Both companies are well positioned over the next 5-10 years to participate in the sector's secular growth while maintaining their competitive positions. That said, they will face pressures when the next downturn comes.

#NYSE

Eagle Capital Management, an investment management company, released its second quarter 2026 investor letter. A copy of the letter can be downloaded here. In the quarter, Eagle Capital Management discussed how enthusiasm around AI capital spending has driven strong S&P 500 earnings growth while also increasing risks from elevated valuations, concentrated demand, and aggressive investment **** umptions. Eagle remains a strong believer in AI but prefers constructing a portfolio that can perform across multiple outcomes rather than relying on one forecast. The firm believes current earnings can overstate underlying economics because semiconductor equipment is depreciated over several years, while free cash flow growth remains much weaker. It also expects competition and additional capacity across AI labs, hyperscalers, and semiconductors to eventually create winners and losers. These dynamics are encouraging Eagle to recycle capital toward attractive opportunities outside the most crowded AI trades while maintaining selective exposure to high quality beneficiaries. The portfolio trades at a 20% market discount with faster expected EPS growth. Please review the Strategy's top five holdings for key selections.
In its second-quarter 2026 investor letter, Eagle Capital Management highlighted ASML Holding N.V. (NASDAQ:ASML). ASML Holding N.V. (NASDAQ:ASML) provides lithography solutions for the development, production, marketing, sales, upgrading, and servicing of advanced semiconductor equipment systems. On August 18, 2026, ASML Holding N.V. (NASDAQ:ASML) closed at $1,802.98 per share. One-month return of ASML Holding N.V. (NASDAQ:ASML) was 0.06% and its shares gained 140.56% over the past 52 weeks. ASML Holding N.V. (NASDAQ:ASML) has a market capitalization of $682.12 billion.
Eagle Capital Management stated the following regarding ASML Holding N.V. (NASDAQ:ASML) in its Q2 2026 investor letter:
"Half of our capital here is invested in TSMC and ASML Holding N.V. (NASDAQ:ASML), two of the most dominant businesses in the semiconductor supply chain. The other half is invested across the three major hyperscalers. We ascribe a portion of the value of each of these three companies to their cloud business and the balance to the remainder of the company; i.e., 60% of the value of Amazon is from AWS and 40% is from retail.
TSMC and ASML are two of the best businesses in the semiconductor industry. ASML has a monopoly in extreme ultraviolet lithography ("EUV"), which is required for leading-edge semiconductor manufacturing. Both companies are well positioned over the next 5-10 years to participate in the sector's secular growth while maintaining their competitive positions. That said, they will face pressures when the next downturn comes.

#asml #NASDAQ #management #letter