What difference does time make in investing? $1,000 invested in Microsoft over three different time horizons: 5, 10 and 20 years. Same initial investment. Very different outcomes. Time in the market can make a huge difference. How long would you have held on? #Investing #MSFT

Analysis #19 – AMD 1/8 – From CPU challenger to AI infrastructure player AMD has come a long way. The company that once competed mainly with Intel in CPUs is now positioning itself as a full-stack AI infrastructure company. CPUs, GPUs, networking, software and complete AI racks. And the numbers are starting to show it. 2/8 – The financial transformation Q2 2026: Revenue: $11.5B (+50% YoY) Gross margin: 54% Operating income: $2.0B Net income: $2.3B (+163%) EPS: $1.38 Non-GAAP gross margin reached 56%. This is no longer just a growth story. Profitability is scaling with revenue. 3/8 – Data Center is the engine Data Center revenue reached $6.7B, up an extraordinary 107% YoY. It now represents 58% of AMD's total revenue. For the first six months of 2026, Data Center revenue reached $12.5B, up 81%. This is where AMD's transformation is happening. 4/8 – AMD vs Nvidia Nvidia remains the dominant AI accelerator player. AMD doesn't need to replace Nvidia to create a large business. It needs to become a credible second major platform. The opportunity is increasingly about more than GPUs: GPU + CPU + networking + software + rack-scale systems. AMD's Helios platform is designed around exactly that strategy. 5/8 – OpenAI & Meta The most important validation is coming from customers. OpenAI and Meta each signed agreements to deploy up to 6 GW of AMD GPUs. Anthropic has also agreed to deploy up to 2 GW of MI450 GPUs. These aren't small experiments. They represent multi-year commitments to AMD's next-generation AI infrastructure. 6/8 – Now World Labs AMD just announced the acquisition of World Labs for approximately $8.2B. Why? World Labs specializes in spatial intelligence, 3D environments, robotics and simulation. This moves AMD deeper into the physical AI opportunity. It also gives AMD direct access to a team developing AI models — potentially helping AMD design future hardware and software around emerging workloads. 7/8 – The numbers I watch The balance sheet is strong: Cash + short-term investments: $13.1B Operating cash flow for H1 2026: $5.3B Total debt: approximately $3.2B. But valuation has become a major consideration. AMD's market value recently crossed $1 trillion, while trailing valuation multiples are extremely high. At this point, future growth is already a significant part of the price. 8/8 – My view AMD's transformation is becoming increasingly convincing. The company has: strong CPU business → rapidly growing Data Center → competitive AI accelerators → major AI customers → full-stack infrastructure → expanding AI ecosystem. The opportunity is enormous. But so are the expectations. For me, the biggest question isn't whether AMD can grow. It's whether AMD can grow fast enough to justify the valuation. I already own AMD. I'm watching revenue growth, Data Center margins, free cash flow and execution very closely. The next phase of AMD's story will be about turning AI demand into sustainable earnings.

Benjamin Graham on the margin of safety Graham's idea was simple: Don't buy an investment because everything has to go right. Buy it when the price leaves room for things to go wrong. That's something I try to keep in mind when investing in growth companies. A great company at an excessive valuation can still be a poor investment. The bigger the uncertainty, the more important the margin of safety becomes. Would you rather buy a great company at a fair price, or an average company at a very cheap price?

Portfolio Update – June to August 2026 June: -8.78% July: +0.04% August: +9.14% Three months that show why I don't rush to react to short-term volatility. The portfolio dropped sharply in June, stabilized in July and recovered strongly in August. No trades. No panic. Just patience. Sometimes the best decision is to do nothing and let the portfolio recover.

“The individual investor should act consistently as an investor and not as a speculator.” — Benjamin Graham

Analysis #18 – Alibaba ($BABA) 1/10 – Alibaba today Alibaba is no longer just an e-commerce company. Its business now spans: • China e-commerce • Cloud computing • AI • International commerce • Logistics • Local services • Digital media The biggest long-term change is the shift toward AI + Cloud. 2/10 – The long-term numbers Alibaba has continued to grow revenue, although at a much slower pace than during its earlier expansion. Revenue: 2022: RMB 853B 2023: RMB 869B 2024: RMB 941B 2025: RMB 996B 2026: RMB 1,024B FY2026 revenue was up 3% YoY, or 11% on a comparable basis excluding disposed businesses. The business is still growing, but the composition of that growth is changing. 3/10 – The problem: profitability Revenue isn't the problem. Profitability is. FY2026: • Operating income: RMB 50.2B (-64%) • Net income: RMB 102.1B (-19%) • Adjusted EBITA: RMB 76.4B (-56%) • Free cash flow: -RMB 46.6B The main reason? Heavy investment in AI, cloud infrastructure, quick commerce and user acquisition. 4/10 – Then comes Cloud This is where the story becomes interesting. Alibaba Cloud external revenue grew 40% in FY2026. And in the latest quarter, Cloud revenue growth accelerated further to 45% YoY. AI-related product revenue has now grown triple digits for 12 consecutive quarters. This is potentially the most important part of the Alibaba investment thesis. 5/10 – Latest quarter Q1 FY2027 (June 2026): Revenue: RMB 269.0B (+9%)≈ $39.6B But: Net income: RMB 10.4B (-75%) The market clearly didn't like the profit decline. But the decline is largely the result of Alibaba aggressively investing in its future rather than a collapse in the core business. 6/10 – The AI bet Alibaba is building a full-stack AI ecosystem: • Qwen AI models • AI applications • Cloud infrastructure • AI chips • Enterprise AI agents The strategy is similar to what we see from the largest US technology companies: Spend heavily today → build infrastructure → monetize AI over many years. The difference is that Alibaba is doing this while its traditional e-commerce business is already mature. 7/10 – A major new development Alibaba recently announced a $10.2B share placement. The money will be used entirely for AI development, including infrastructure, chips and models. The downside? Around 710 million new shares, roughly 3.6% of existing shares, creating dilution for current shareholders. This is something investors should not ignore. 8/10 – Why I remain interested Alibaba still has several advantages: • huge consumer ecosystem • massive data advantage • leading position in Chinese e-commerce • rapidly growing Cloud business • Qwen AI ecosystem • significant cash/liquid investments At March 2026, Alibaba held approximately RMB 521B ($75.5B) in cash and other liquid investments. The balance sheet gives the company significant capacity to invest. 9/10 – The risks This is definitely not a risk-free investment. Key risks: • Chinese regulation • geopolitical tensions • US-China technology restrictions • intense domestic competition • AI capital expenditure • dilution • declining margins • weak consumer spending The biggest question is simple: Will AI eventually generate enough profit to justify the enormous investment? 10/10 – My view Alibaba is currently in a transition period. The old Alibaba was primarily an e-commerce giant. The future Alibaba is trying to become an AI + Cloud platform. That transition is currently hurting earnings and free cash flow. But if Cloud and AI continue growing at the current pace, today's investment could create a much larger earnings engine over the next several years. I already hold Alibaba in my portfolio. For me, this is a long-term transformation story, not a short-term trade. The next few years will determine whether Alibaba's AI investments become a major competitive advantage — or simply an expensive bet.

Monthly Update – May 2026 Portfolio return: +4.52% Despite weakness in Bitcoin, gains in equities helped drive a positive result for the month. I also initiated a position in $MELI during May. The investment thesis remains intact, and I would consider adding further if valuation becomes more attractive. Focused on long-term execution rather than short-term market moves.

Interesting market environment. Oil elevated, Middle East tensions unresolved, rates still high… yet AI earnings keep pushing markets higher. Feels like AI is currently stronger than macro fear.

“Know what you own, and know why you own it.” — Peter Lynch

SpaceX and Anthropic just signed a major AI infrastructure deal. Anthropic will reportedly gain access to one of the world’s largest AI supercomputers. The AI race is no longer just about models. It’s becoming a battle for compute and energy. https://t.co/Q32t0IIZji