Apr. 29 at 3:03 PM
4 names, 4 different machines… but only a couple are actually compounding capital at a level that matters right now.
$MU — cyclical monster mode. Revenue growth FY26 ~+191% with gross margins pushing 75–81%. This is what peak supply tightness + demand shock looks like when it flips into pricing power. High beta, high sensitivity.
$APP — quiet killer. ~47% revenue growth with 51–60% net margins. That combo (growth + profitability at scale) is rare in software.
$SHOP — slow grind compounder. 25–30% growth streaking for 10 straight quarters + 17–19% FCF margins.
$NVDA — AI liquidity vacuum. ~65% growth with 71–75% gross margins. Still sits at the center of capex gravity in AI infrastructure.
Trade lens:
$NVDA and
$SHOP look like durable holds,
$APP is the asymmetric re-rating candidate,
$MU is the cycle trade with violent swings.
Everything else is narrative until cash flow proves otherwise. Who’s actually mispriced here?
Curious about the full approach?👉 Check the @MeanReverter_
