Nvidia's Positive Outlook Boosts Asian Tech Stock Surge
Nvidia's Earnings Impact: Nvidia reported stronger-than-expected earnings and a revenue forecast of $65 billion, boosting Asian tech stocks and easing concerns about a slowdown in AI demand.
Asian Market Reactions: Following Nvidia's results, Taiwan Semiconductor Manufacturing Company and Samsung Electronics saw significant gains, contributing to a rise in local indices across Taiwan, South Korea, and Japan.
Investor Sentiment: Prior to Nvidia's announcement, investors were cautious due to recent sell-offs in tech stocks, but the positive forecast has restored confidence in the market regarding AI chip demand.
Broader Market Trends: Most Southeast Asian markets reflected the optimistic tone, with notable gains in the Philippines and Indonesia, indicating a sustained interest in AI-related investments.
Trade with 70% Backtested Accuracy
Analyst Views on MSFT
About MSFT
About the author

- Market Share Challenges: Microsoft's AI-powered Copilot chatbot holds only a 3% global market share, with around 6% in North America, but the minuscule fraction of paying users indicates difficulties in market penetration, potentially impacting future revenue growth.
- Cloud Growth Slowdown: Revenue growth for Microsoft's Azure has decreased from 39% in September to 38%, with expectations for further deceleration in the current quarter, a trend that lags behind competitors like Alphabet, raising investor concerns about future performance.
- Capital Expenditure Pressure: Microsoft plans to invest $120 billion in AI infrastructure this fiscal year; despite strong demand, the failure to meet return expectations has led to an overreaction in the market, resulting in a 35% stock price decline.
- Long-Term Potential Remains: Despite facing short-term challenges, Microsoft remains a key global technology player, with its Windows operating system installed on two-thirds of desktop computers worldwide, and analysts' target price of $587.77 suggests over 60% upside potential.
- Investment Initiative: Microsoft plans to invest over $1 billion in Thailand between 2026 and 2028, focusing on cloud and AI infrastructure to enhance the country's global competitiveness and economic prosperity.
- Workforce Upskilling: In partnership with Thailand's Ministry of Labour's Department of Skill Development, Microsoft aims to accelerate workforce readiness by upskilling and certifying 150,000 workers, preparing them for the rapidly evolving AI economy.
- Educational Programs: The launch of Microsoft Elevate for Educators and Microsoft Elevate for Changemakers in Thailand is designed to strengthen the education, workforce, and social impact systems, enabling more individuals to learn, work, and thrive in the AI-driven economy.
- National Strategy: This investment is central to Microsoft's initiative, “Advancing National Growth, Prosperity, and Global Competitiveness with AI,” which seeks to provide inclusive access to cloud and AI technologies for citizens across all sectors of the economy.
- Military Campaign Conclusion: President Trump announced that the U.S. would end its military campaign in Iran within two to three weeks, raising hopes for a potential easing of oil prices, which surged nearly 60% last month, thereby alleviating energy cost pressures across various industries.
- Market Surge: The S&P 500 index gained 2.9% on Tuesday, marking its sharpest increase in over 10 months, reflecting investor optimism about future economic conditions, particularly in light of the potential decline in energy prices.
- Data Center Stocks Rally: Following Trump's announcement, Applied Digital's shares rose 15.5%, while IREN's shares increased by 8.4%, indicating heightened market confidence in the profitability of data center operators as energy costs are expected to decrease.
- Retail Investor Sentiment Improves: After a 24.6% decline in the month leading up to Monday, sentiment for Applied Digital shifted to 'extremely bullish', suggesting a recovery in market confidence regarding its future performance, especially with the prospect of falling oil prices.
- Oil Price Surge: Brent crude for June delivery rose 1.5% to $105.56 per barrel, with March prices soaring over 60%, marking the largest monthly rally since 1988, indicating market sensitivity to Middle Eastern tensions.
- Strong U.S. Crude Performance: U.S. crude for May also increased by 1.5% to $102.92 per barrel, with a 51% rise in March, representing the best performance since May 2020, reflecting concerns over supply disruptions.
- Escalating Geopolitical Risks: Iranian drones targeted fuel tanks at Kuwait International Airport, causing a massive fire and exacerbating global economic fears over reliance on Middle Eastern oil, especially with shipments through the Strait of Hormuz nearly halted.
- Trump's Withdrawal Statement: Trump indicated that U.S. forces are expected to leave Iran in two to three weeks, dismissing the need for a negotiated deal to end the conflict, which could lead to further oil price volatility and impact global market stability.
- Nvidia's Outstanding Performance: Nvidia stands out in the AI boom, reporting triple-digit revenue growth last year and a remarkable 73% increase in the current quarter, elevating its market cap to $4 trillion and showcasing its formidable competitive edge in the AI sector.
- Micron Technology's Rapid Growth: Micron Technology achieved $23.9 billion in revenue for Q2 of fiscal 2026, marking a 196% growth rate primarily driven by demand for high-bandwidth memory, with analysts forecasting a continued revenue growth of 191% in the coming year, indicating strong potential in the AI market.
- CoreWeave's Surge in Cloud Demand: CoreWeave's AI-native cloud platform revenue soared to nearly $1.6 billion in Q4, a 110% increase, despite facing a backlog of almost $67 billion and over $21 billion in debt; analysts predict a 143% revenue growth in the upcoming fiscal year, reflecting sustained market demand.
- Nebius Group's Rapid Ascent: Nebius Group reported $228 million in revenue for Q4, a staggering 547% growth, with forecasts suggesting a 523% increase in the next year; despite a high P/S ratio of 41 potentially limiting near-term upside, its long-term growth potential remains strong due to insatiable demand for AI-ready capacity.
- Significant Revenue Growth: Micron Technology reported $23.9 billion in revenue for Q2 of fiscal 2026, marking a 196% increase, primarily driven by the strong demand for high-bandwidth memory (HBM), solidifying its leadership in the AI applications market.
- Optimistic Market Outlook: Despite the cyclical nature of the memory industry, analysts forecast a 191% revenue growth for Micron in the current fiscal year, indicating strong growth potential and positioning it as one of the best-performing stocks of 2026.
- CoreWeave's Strong Performance: CoreWeave's AI-native cloud platform generated nearly $1.6 billion in revenue in Q4, a 110% increase, but faces challenges with a backlog of $67 billion and over $21 billion in debt, although a 143% revenue growth is expected in the upcoming fiscal year.
- Rapid Rise of Nebius: Nebius achieved $228 million in revenue in Q4, with an astounding growth rate of 547%, and is projected to maintain a 523% growth rate over the next year, although its high price-to-sales ratio of 41 may limit short-term upside potential.











