Hightower's Link Buying Netflix, Target, Broadcom Ahead of Nvidia Conference

"I've been adding to Netflix and Target and Broadcom actually ahead of what I think is going to be a very positive Nvidia meeting this week. Her broader thesis: investors who sold on Liberation Day missed a 34% rally since then, and waiting for certainty means stocks will be a lot higher by the time you act."

"Broadcom builds custom AI accelerators for hyperscalers who want silicon tailored to specific workloads. The two are dividing up the same massive capex wave, not competing. Q1 FY2026 AI revenue hit $8.40 billion, up 106% year-over-year, above the company's own forecast. CEO Hock Tan guided Q2 AI semiconductor revenue to $10.7 billion, with a stated goal to exceed $100 billion in AI sales by 2027."

"Netflix isn't an AI infrastructure company, but it's becoming an AI-powered advertising and content machine. Ad revenue more than doubled in full-year 2025 to over $1.50 billion, and the company expects it to roughly double again in 2026. With 325 million paid subscribers and 2026 revenue growth expectations, Netflix represents an AI beneficiary outside traditional infrastructure plays."

Stephanie Link at Hightower is positioning investments in Netflix, Target, and Broadcom before Nvidia CEO Jensen Huang's GTC presentation, expecting significant positive AI sentiment. Prediction markets show 98.65% probability Huang will discuss agentic AI and 98.35% probability he'll mention Blackwell. Broadcom builds custom AI accelerators for hyperscalers, complementing Nvidia's GPU dominance, with Q1 FY2026 AI revenue reaching $8.40 billion, up 106% year-over-year, and guidance for $10.7 billion in Q2. Netflix is transforming into an AI-powered advertising and content platform, with ad revenue exceeding $1.50 billion in 2025 and expected to double in 2026. Link's thesis emphasizes that investors waiting for certainty miss significant rallies, as evidenced by the 34% gain since Liberation Day.

Read at 24/7 Wall St.