Why We Bought 3,000 Shares of BXDC: Blackstone's AI Data Center REIT Is A Speculative Bet On The Most Important Real Estate In The World

A Quick Note On Nvidia Earnings I’ll be live-blogging my reactions to NVDA Earnings From My “Hottub Command Center” on Wednesday night😉 NVDA earnings are almost a religious event for me 😉, and there is a very specific ritual 😂: Hot Tub + 2 Gallon Smoothie Full of Precious, Precious Fiber. While we screenshot earnings presentation slides and celebrate the math-based magic of the Technowizard of Denny’s and his incredible army of super nerds🤣 Why, how do you celebrate Nvidia earnings?😉😂🤣 The option markets are pricing in a 6.5% price move for NVDA post-earnings (after the bell on Wednesday, May 20th). Hyperscalers all beat expectations and raised capex guidance to $715 billion (up $55 billion from last quarter). Not A Question of Record Earnings…Just How Amazing They Will Be NVDA earnings WILL be a blowout. Just a question of how amazing they will be. High probability guesstimates. Beat on the top and bottom line. Guidance beats. $100 billion buyback to start in the 2nd half of the year. Double the dividend to 2 cents per share. Options pricing in 6.5% up or down (deserves to go up but might not) So, how are we “Playing” NVDA earnings? At 3:55 PM EST (5 minutes before the market closes), I’ll have Captain Harbor (my daily driver in GNG AI) create a table for me. 100 shares @ 4.5% decline (good until canceled BUT I’ll cancel it after Thursday) 200 shares @ 9.5% decline 300 shares @ 14.5% decline NOT A FORECAST! After Amazon's earnings, the price crashed 6% for 1 second, and that’s the kind of algo-driven flash crash that we want to profit from. I NEVER forecast, I speak in terms of fundamentally justified probabilities. And the fundamentals are going to be great, AND the CFO of Nvidia recently said that in the back half of the year, the company plans to return 50% of free cash flow to investors. Source: FactSet Analysts are expecting $94 billion in buybacks, and their existing authorization is tapped out. And so a big splashy headline of “Nvidia doubles its dividend and announces $100 billion buyback authorization) is a logical expectation. Jensen is a natural showman and loves giving good news (presented with BIG, impressive numbers), so that’s my high-probability “Babe Ruth calling his shot”. If it happens, then I look like a Wizard, but of course, I won’t be, but it’s fun to make high probability calls, and buybacks are coming. I’m Not a Wizard, I Can Just Read…And Look At Calendars😉😂🤣 Dividend Investors Rejoice! You’re Getting A Raise! 😂 Dividend Investors Rejoice! You’re Getting A Raise! Why double the dividend? Because the dividend is 1 penny and 2 pennies = 100% (nice headlines), and costs Nvidia $5 billion per year instead of $2.5 billion (a 1% forward FCF payout ratio right now). By the way, Jensen owns 3% of Nvidia, so that dividend pays him $29 million per year. Why wouldn’t he want to double that to $58 million? Do you think the greatest CEO in the history of capitalism is a communist?😂 Source: GNG Research The cost is negligible, but I know that one day we all plan to live off Nvidia dividends…right? That’s why we’re buying today? So that one day we retire off the rivers of payouts from the empire that Jenson built? 😉😂🤣 Source: GNG Research AI Source: GNG Research AI OK, So How About An Actual Dividend Stock To Profit From The AI Boom? Enter Blackstone Digital Infrastructure Trust Inc (BXDC) BXDC: Blackstone's New AI Data Center REIT Is a Speculative Bet on the Most Important Real Estate in the World Okay, so let's talk about BXDC , because this is one of the more fascinating IPOs I have seen in a while. And yes, before Ash and Tare (our red-team fact-checking BARPs ) start sharpening the red-team knives from orbit, I am going to say the caveat immediately😉: BARP = Bounded Artificial Research Partner (what our agents asked to be called…instead of Lobsters (what open Claw agents named themselves)😂 Thus,