In this episode of The Canadian Investor Podcast, Simon and Dan take a deep dive into NeoClouds and the increasingly important role debt plays in the AI infrastructure boom.
They explain how companies like CoreWeave finance massive GPU purchases, why its unsecured bonds are now trading at distressed yields, and what the bond market may be signaling about the sustainability of its business model. They also break down the difference between secured and unsecured debt, the risks facing shareholders if CoreWeave is forced to raise more capital, and why even secured GPU-backed financing could become more expensive if AI demand eventually slows.
The conversation also looks beyond CoreWeave to the broader NeoCloud sector, including failed and delayed IPOs, growing competition for capital, and the potential ripple effects for hyperscalers, landlords, Nvidia and memory-chip producers if financing conditions continue to deteriorate.
Finally, Simon and Dan draw parallels with the dot-com infrastructure boom and explain why investors can be completely right about AI changing the world while still losing money by investing in the wrong companies at the wrong valuations.
Stocks discussed: CRWV, NVDA, HUT, MSFT, META, GOOGL, ORCL, BLK, BX, NBIS, IREN, MU, 005930.KS, 000660.KS
Stocks discussed: WSP.TO, STN.TO, ATRL.TO, MCD, QSR.TO
Subscribe to our Our New Youtube Channel!
Check out our portfolio by going to Jointci.com
- Our Website
- Our New Youtube Channel!
- Canadian Investor Podcast Network Twitter: @cdn_investing
- Simonâs twitter: @Fiat_Iceberg
- Bradenâs twitter: @BradoCapital
- Danâs Twitter: @stocktrades_ca
Want to learn more about Real Estate Investing? Check out the Canadian Real Estate Investor Podcast!
Apple Podcast - The Canadian Real Estate Investor
Spotify - The Canadian Real Estate Investor
Web player - The Canadian Real Estate Investor
Sign up for Fiscal.ai for free to get easy access to global stock coverage and powerful AI investing tools.
Register for EQ Bank, the seamless digital banking experience with better rates and no nonsense.
Asset Allocation ETFs | BMO Global Asset Management
This podcast Ad Read is intended for information purposes only. The information provided herein does not constitute a solicitation of an offer to buy, or an offer to sell securities nor should the information be relied upon as investment, tax, or legal advice to any party. Particular investments and/or trading strategies should be evaluated relative to the individualâs investment objectives and professional advice should be obtained with respect to any circumstance. Past performance is no guarantee of future results. The viewpoints expressed by the speaker represent their assessment of the markets at the time of recording . Those views are subject to change without notice at any time. Commissions, management fees and expenses all may be associated with investments in exchange-traded funds. Please read the ETF Facts or prospectus of the BMO ETFs before investing. Exchange-traded funds are not guaranteed, their values change frequently and past performance may not be repeated.
For a summary of the risks of an investment in the BMO ETFs, please see the specific risks set out in the BMO ETFâs prospectus. BMO ETFs trade like stocks, fluctuate in market value and may trade at a discount to their net asset value, which may increase the risk of loss. Distributions are not guaranteed and are subject to change and/or elimination. BMO ETFs are managed by BMO Asset Management Inc., an investment fund manager, a portfolio manager, and a separate legal entity from Bank of Montreal.
BMO Global Asset Management is a brand name under which BMO Asset Management Inc. and BMO Investments Inc. operate. âBMO (M-bar roundel symbol)â is a registered trademark of Bank of Montreal, used under
licence.
See omnystudio.com/listener for privacy information.