11 Comments
User's avatar
Markus's avatar

Why don’t ARM just buy BTU and double their earning?

Expand full comment
Sascha's avatar

Masaponzi-son. Shrub, you're killing me :D

Expand full comment
Andrzej TheFakeKlaus's avatar

Of all the big complex topics Andy mentions, CNBC’s first question back to Andy is clarifying what a tamagotchi is!

Journalism 101: when interviewing a guest always ask the most important question first

Expand full comment
ApparelAnalyst's avatar

Oh it was planted question, see how easily he pointed to the toy in the background ;)

Expand full comment
WCO's avatar

would add that ARM is now 125b and their SBC (LTM) is 900m :)

ARM net-income (LTM) is 85m. Every quarter SBC >> Net Income. In the end, if it goes well, all of it will go to management.

Expand full comment
The Coal Trader's avatar

Love this!

Expand full comment
The Blind Squirrel's avatar

That’s hilarious Shrub. I was wondering what Andy had hung in the background! 😂😂😂

Expand full comment
Jaakko Häkkänen's avatar

Thanks shrub!

Expand full comment
Paul Graca's avatar

You are absolutely right, the valuations make no sense. However on the one side before 2020 coal was worth nothing. Because of all the carbon limiting rules, the space became uninvestable, and that could happen again. On the other side apple put arm based chips in the M1 Macs because Intel was unable to produce anything good for them. The M1 chips are fast and energy efficient, so the market will slowly go in that direction. Unfortunately the market always takes things to extremes.

Expand full comment
Luka Lugaric's avatar

Great piece of writing about mad Mr Market

Expand full comment
dre_3000's avatar

love these comparisons. i sometimes get stuck in the mining stocks echo chamber to forget how stark the perceived difference in value of FCF is between mining and AIAI/metaverse/..

Expand full comment