Retail Piles Into AI, Brands Unlock Hidden Value, and Takeover Hopes Fade

Retail investors piled into an AI stock tied to a fast-growing international partnership, and a heritage brand jumped after monetizing its intellectual property to cut debt and fuel expansion.

But risk appetite faded in biotech, where the collapse of takeover discussions erased a major source of upside optimism.

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U.S. stocks climbed as investors positioned ahead of the Federal Reserve’s policy meeting and a heavy slate of major tech earnings, with expectations of steady interest rates supporting risk appetite.

NVIDIA’s $2 billion commitment to CoreWeave is not about selling more GPUs tomorrow. It is about making sure those GPUs have somewhere to live.

As AI demand explodes, the real constraints are shifting toward power availability, land access, and permitting timelines.

If you track where AI projects stall, it is rarely because of a shortage of chips. It is because the physical infrastructure is not ready.

Owning Proximity to Scarcity

CoreWeave plans to build more than 5 gigawatts of AI-focused data center capacity by the end of the decade.

By tightening this partnership, Nvidia is aligning itself with a player that controls the real-world inputs that now gate AI deployment.

You can see the leverage here.

When Nvidia is embedded more closely in infrastructure decisions, it gains influence with hyperscalers, enterprises, and governments planning multi-year AI investments.

Capital Heavy, Strategy Clear

Data centers are expensive, regulated, and exposed to energy politics. NVIDIA is aware of the risk. But scarcity is the point.

As power and capacity become the hardest assets to secure, Nvidia is positioning itself near the choke points that will define AI growth.

That choice could matter as much as any chip launch in the years ahead.

Booz Allen Hamilton (NYSE: BAH) is facing a moment that cuts to the core of its business after the U.S. Treasury Department terminated all active contracts with the firm due to data security failures.

The dollar value involved is limited, but that misses the point. Booz Allen does not sell software or hardware; it sells trust.

When a major federal agency walks away publicly, it reframes the conversation.

You are no longer debating an isolated incident; you are questioning whether safeguards are strong enough for the work itself.

Why This Hits Harder Than a One-Off Breach

In today’s federal procurement environment, historical incidents are judged by present-day controls, not timelines.

If you operate inside sensitive systems, the tolerance for ambiguity is effectively zero. That reality raises the bar not just for Booz Allen, but for how it proves accountability across its entire operation.

The Ripple Effect Across Agencies

Treasury’s decision does not exist in a vacuum. Other departments may reassess renewals, slow approvals, or demand deeper audits.

Even without formal action, heightened scrutiny alone can introduce friction into bids and extensions.

You can feel the risk here. Government consulting depends on long-duration relationships, and hesitation spreads quickly when confidence wavers.

Execution Now Matters More Than Explanation

Booz Allen’s next steps will define the outcome. Remediation is expected, but structural proof of stronger oversight is required.

This is a test of whether the firm can restore confidence where trust is the product and reputation is the moat.

Leidos (NYSE: LDOS) is stepping into a much bigger role in U.S. energy infrastructure with its $2.4 billion acquisition of ENTRUST Solutions Group.

This is not about adding incremental revenue. It is about repositioning the company around a long-lived, regulated, and politically durable spending cycle.

With ENTRUST, Leidos roughly doubles its energy engineering footprint and expands beyond electric transmission into gas utilities and generation.

That matters when utilities are under pressure to upgrade aging grids, defend against extreme weather, and keep up with surging power demand from electrification and data centers.

Why the Timing Works

U.S. utilities are expected to invest close to $1 trillion over the next decade, and those budgets rarely disappear during downturns.

That stability gives Leidos something it has not always had: a growth engine that does not hinge on annual government program cycles.

If you are thinking about earnings durability, this shift anchors Leidos to regulated capital plans rather than discretionary spending.

Execution Is the Real Differentiator

Energy infrastructure projects are complex, slow-moving, and relationship-driven.

That plays to Leidos’ strengths in managing large, multi-year programs where execution discipline matters more than speed.

You are looking at a company choosing predictability and scale over volatility, a choice that reshapes how its future growth profile should be judged.

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Brand Engagement Network Inc [BNAI] $62.08 (+276.70%)

Brand Engagement Network jumped after the company locked in a multimillion-dollar African AI licensing deal, sparking a wave of retail buying shortly after the news broke.

Solo Brands Inc [SBDS] $8.90 (+43.09%)

Solo Brands gained after reporting stronger-than-expected preliminary EBITDA and confirming it remains in full compliance with debt covenants following major cost-cutting efforts.

Lands' End Inc [LE] $18.76 (+33.52%)

Lands’ End rallied after striking a $300 million joint venture deal with WHP Global to monetize its intellectual property, repay debt, and unlock long-term brand licensing growth.

Ramaco Resources Inc [METC] $22.09 (-20.31%)

Ramaco fell after renewed attention around a short-seller report alleging its rare earths project was misleading investors, alongside a securities law investigation that raised fresh fraud concerns.

Ascent Solar Technologies [ASTI] $5.92 (-19.06%)

Ascent Solar dropped after announcing a $10 million private placement with warrants, a dilutive capital raise that pressured the stock following its recent run-up.

Revolution Medicines Inc [RVMD] $97.78 (-16.91%)

Revolution Medicines tumbled after reports that Merck walked away from takeover talks due to valuation disagreements, removing a major acquisition catalyst.

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Back then… one financial expert begged people to look at Nvidia -- when it was trading at just $1.10!

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Thanks for reading. I'll see you at the next open! 

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— Adam G.
Elite Trade Club

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