Right now, a top AI company suffers from a debt problem... On an individual level, debt is an ugly reality. Americans borrow money to buy homes, purchase cars, and even place DoorDash orders.
An Unexpected Winner From Mass Layoffs
By Ethan Goldman, analyst, Chaikin Analytics
Right now, a top AI company suffers from a debt problem...
On an individual level, debt is an ugly reality. Americans borrow money to buy homes, purchase cars, and even place DoorDash orders.
Debt allows people to buy costly items in easier-to-manage chunks. However, too much debt can wreck a person's life.
Corporate debt isn't always as nasty. Businesses buy each other's debt to keep day-to-day operations moving. Or management will borrow money to fund the company's expansion.
For instance, a big tech company could borrow billions of dollars to build data centers.
This top AI company is doing just that. It hopes to make those billions back, and then some.
Sure, they're different in scope and scale. But there's an obvious similarity between corporate and personal debt.
Debtors must eventually pay back the debt in full – and then some.
This seems obvious... If you don't pay your debt, you run into trouble. This is true for businesses and consumers. And no one enjoys what comes after defaulting on a loan.
As deadlines creep closer, debtors under pressure begin to stress...
Consumers may sell cherished items or take on a second job. Businesses sometimes spin off or sell deadweight segments... or implement waves of mass layoffs.
Employees of a well-known tech company saw this play out at 6 a.m. last Monday. As these people started work, they got an e-mail that every worker fears...
After careful consideration of [the company's] current business needs, we have made the decision to eliminate your role as part of a broader organizational change. As a result, today is your last working day.
If you haven't guessed by now, I'm talking about Oracle (ORCL). But I'm not interested in looking at its stock in the Power Gauge today.
Instead, there's a smaller tech stock seeing a boost from this painful message...
It will open a rare new investment vehicle that could have the biggest impact on your wealth since the dot-com era. In 2025 alone, it booked a 592% total gain in back tests. Soon, everyone will be using this type of financial AI to find stocks. So we urge you to try it now, BEFORE it spreads. Until Tuesday, September 22, claim free access here.
Every major AI firm now relies on massive data centers... monstrosities that suck up our electricity, drain our water supplies, and steal precious land. Yet AI companies are requesting 700 gigawatts of new electricity – enough to power every home in America. Until now, AI investors have piled trillions into the data-center boom. But according to investing legend Marc Chaikin, a new technology's coming... called AI "micro clusters." And it could render all current data centers obsolete. The company he believes is behind this $248 trillion "White Swan" event could soar starting September 29. Marc reveals his full prediction – and the stock ticker – for free, here.
This Signature Stock Grew 9% After Oracle's Purge
You see, Oracle held $156 billion in debt at the end of its latest fiscal year (May 31). That's more than double the company's annual revenue...
And this debt total is 50% higher than it was at the end of Oracle's fiscal year 2025.
This chunk of layoffs isn't Oracle's first attempt to gain leverage on its debt. Oracle let go of 13% of its employee base, about 21,000 employees, in its fiscal year 2026.
The company didn't leave these now ex-employees hanging, however. The e-mail laid out details on a severance package...
After signing your termination paperwork, you will be eligible to receive a severance package subject to the terms and conditions of the severance plan. You will receive an email from DocuSign to your Oracle email address with details on your severance and termination date.
As I said, I'm not interested in Oracle here. I'm looking at Docusign (DOCU).
The company makes software that collects signatures online. And it's used by HR departments in all steps of employment.
In the two days after Oracle shrank its workforce, shares of Docusign jumped 9%. That's a solid gain for a company that helps people sign paperwork.
Today, Docusign gets a "very bullish" rating from the Power Gauge.
But I wouldn't throw your hard-earned money into the stock right now...
Put simply, the Chaikin Money Flow indicator is currently weak. That means the stock lacks needed support from the biggest names on Wall Street.
However, it's too soon to take action now. So keep an eye on Docusign for now. If the Money Flow indicator gets stronger, that could be a sign to buy in.
Good investing,
Ethan Goldman
Marc Chaikin is speaking at our corporate affiliate Stansberry Research's upcoming 24th annual conference in Las Vegas. And he would love for all his readers to see his presentation...
— According to the Chaikin Power Bar, Large Cap stocks are more Bearish than Small Cap stocks. Major indexes are mixed.
* * * *
Sector Tracker
Sector movement over the last 5 days
Health Care
+1.83%
Information Technology
+1.03%
Staples
-0.70%
Energy
-1.27%
Industrials
-1.52%
Communication
-1.59%
Discretionary
-1.71%
Materials
-1.88%
Real Estate
-2.05%
Financial
-2.43%
Utilities
-3.04%
* * * *
Industry Focus
Innovative Technology
47
42
7
Over the past 6 months, the Innovative Technology subsector (XITK) has outperformed the S&P 500 by 13.42%. Its Power Bar ratio which measures future potential is Very Strong, with more Bullish than Bearish stocks. It is currently ranked #5 of 21 subsectors.
Top Stocks
AVPT
AvePoint, Inc.
BILL
BILL Holdings, Inc.
BRZE
Braze, Inc.
* * * *
Top Movers
Gainers
COIN
+11.66%
SNDK
+10.99%
HOOD
+9.12%
COHR
+7.22%
LRCX
+6.98%
Losers
NUE
-6.32%
QCOM
-5.82%
ARE
-5.40%
GM
-5.10%
ACN
-4.73%
* * * *
Earnings report
Earnings Surprises
No significant Earnings Surprises in the Russel 3000.
* * * *
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