What Has Ray Dalio Been Buying?

What Has Ray Dalio Been Buying?

According to its latest 13F filing, released on Wednesday, in Q3 Ray Dalio’s Bridgewater Associates reduced its positions in Nvidia [NVDA], Meta [META] and Microsoft [MSFT], and nearly halved its position in Amazon [AMZN]. At the same time, Seeking Alpha reported, the hedge fund significantly increased holdings in Lam Research [LRCX], Apple [AAPL] and Constellation Energy [CEG], and established new stakes in Micron Technology [MU] and Alibaba [BABA].

Taiwan Nvidia Suppliers Say Boom to Go On 

Hon Hai Precision Industry Co [HNHPF] and Quanta Computer [QUCCF] both reported higher-than-expected earnings on Thursday. Both are forecasting continued strong demand for AI servers into 2025, Bloomberg reported, driven by the global expansion of AI data centers. Hon Hai projects AI server sales will represent half of its server business by 2025, rivaling its mobile phone sales, which have seen a slump in recent times. 

ASML Concurs

The Dutch chipmaker [ASML] reaffirmed its long-term forecast, anticipating revenue to reach €44bn–60bn by 2030, as AI demand boosts semiconductor needs. The projection, announced during ASML’s investor day, aimed to reassure investors after a weaker Q3 order intake led to a decline in ASML and related semiconductor stocks. ASML expects global chip sales to top $1trn by 2030, according to Bloomberg, equivalent to an annual growth rate of some 9% in the semiconductor market. 

Geely Tidies its Stable

The Chinese automaker [GELYF] is consolidating two of its electric vehicle (EV) brands, with Zeekr [ZK] acquiring a majority stake in Lynk and Co, valuing the latter at RMB18.33bn. This move aims to reduce internal competition as Geely seeks to streamline its EV portfolio amid fierce competition from China’s BYD [BYDDF]. Geely’s diverse acquisitions also include Volvo [VLVLY], Lotus [LOT] and Smart. OPTO recently compared the investment cases for Zeekr and another Geely subsidiary, Polestar [PSNY].

Incumbent Takes on E-commerce Upstarts

Amazon is testing a new “Amazon Haul” section in its app and website, focusing on items priced at $20 or less, with a view to competing with newer, low-cost platforms like PDD’s [PDD] Temu and Shein, Seeking Alpha reported. Available to US users in beta, Amazon Haul has its own distinct search, cart and checkout features, with items covered by Amazon’s A-to-z Guarantee. Most items are priced under $10, with some as low as $1, and are delivered in 1–2 weeks.

Is a Chinese Recovery in the Offing?

JD.com [JD] posted a 5.1% year-over-year revenue increase to RMB260.4bn yuan in its latest quarterly report, just above analysts’ estimates of RMB259.7bn. Net income rose significantly by 48% to RMB11.7bn, Bloomberg detailed, indicating early signs of consumer recovery in China, especially in electronics. The results also follow JD’s successful Singles Day shopping season, though the company did not disclose specific transaction numbers.

Is there a way for value investors to participate in the AI boom?

OPTO explores three stocks that offer AI exposure along with reasonable valuations, as a way of considering how investors with a value-oriented approach to stock selection could add AI to their portfolios. One is a key AI player which has the potential to eat into Nvidia’s near-monopoly of the AI data center GPU market; one energy stock offers significant AI exposure coupled with lower risk; and one is flying under a lot of investors’ radars, but has the potential for considerable long-term growth.