Our AI bets delivered solid earnings, yet the market decided those valuations were tasting a bit too rich for comfort

Evening brief: Our AI bets delivered solid earnings, yet the market decided those valuations were tasting a bit too rich for comfort

High Scrutiny Weighs on AI Leaders: Market sentiment slid to neutral as investors dumped rich AI valuations despite solid quarterly earnings beats across tech names. IREN Plunges 12.5% on Impairment: Shares dropped 12.53% after a $639 million impairment charge and Q4 revenue miss overshadowed $4 billion in contracted recurring revenue. Marvell Falls 10.3% After Earnings: The stock sank 10.28% despite beating Q2 estimates and raising full-year targets as lofty AI valuations triggered aggressive profit-taking. Flutter Rallies 7.1% on Court Win: Shares surged 7.13% following a court ruling against prediction market rival Kalshi that reduced competitive risks for FanDuel's sportsbook. Broadcom Earnings Focus Shift Ahead: Attention shifts to Broadcom's September 2 earnings report to test whether custom AI chip demand can reverse tech sector profit-taking.

High Scrutiny Weighs on AI Leaders

Market sentiment slid to neutral as investors dumped rich AI valuations despite solid quarterly earnings beats across tech names.

IREN Plunges 12.5% on Impairment

Shares dropped 12.53% after a $639 million impairment charge and Q4 revenue miss overshadowed $4 billion in contracted recurring revenue.

Marvell Falls 10.3% After Earnings

The stock sank 10.28% despite beating Q2 estimates and raising full-year targets as lofty AI valuations triggered aggressive profit-taking.

Flutter Rallies 7.1% on Court Win

Shares surged 7.13% following a court ruling against prediction market rival Kalshi that reduced competitive risks for FanDuel's sportsbook.

Broadcom Earnings Focus Shift Ahead

Attention shifts to Broadcom's September 2 earnings report to test whether custom AI chip demand can reverse tech sector profit-taking.

Posture: With Fear & Greed neutral at 54 amid AI profit-taking, we maintain a selective posture favoring high-quality compounders and cybersecurity.

Tickers in focus: MRVL, AVGO

Upcoming earnings

• AVGO — 2026-09-02, After Market Close
• PL — 2026-09-03, TBD
• AVAV — 2026-09-09, TBD
• ADBE — 2026-09-10, After Market Close
• ORCL — 2026-09-14, TBD
• MU — 2026-09-21, After Market Close

The day's moves on the ledger

No slate changes were logged this day.